26 February 2009

Spirit of empowering a community through business

Submitted by: Xstream Hot Water Cylinders
{pp}Business empowerment is key to sustainable economic growth in South Africa. A 2006 study done on Entrepreneurship in South Africa shows that the country is estimated to have approximately two million small businesses, representing 98% of the total number of firms in the country. Entrepreneurs produce solutions that fly in the face of established knowledge, always challenging the status quo. This is essential for the development of a young country like South Africa.

After five years of hard work, Paarl-based company Xstream Hot Water Cylinders has grown from a small business to a medium enterprise that has been able to adapt to the changing market because of its independence. For an industry that was not in high-demand five years ago, the solar-power geysers that Xstream now manufactures have become a prominent way of saving electricity in South Africa. Xstream is an example of how South Africa’s smaller businesses employ a large majority of the country’s labour force. Over the past five years, Xstream has gone from eighteen employees to fifty-two, showing that success is not only financial gain, but also what can be done for a community. South Africa’s large unemployment rate of nearly 25% highlights the significant impact that smaller enterprises have on the growing economy. Roughly 55% of the country’s workers are employed by small businesses. These contribute a significant portion of 42% to the country’s wage bill. Dawie Thirion, Managing Director believes that the business is successful because staff are proud to work there. “The power of trust leads to success,” Thirion wisely says. Thirion points out that the first three years of business were far from financially successful but that the work that was put in then was critical for the growth that the business is now able to sustain. A sterling example of this philosophy is newly appointed Director, Leezhaane Whitten who began working at Xstream as a receptionist. Thirion adds, “One cannot but admire her entrepreneurial skill, attention to detail and general business sense. That on its own is a success story and personifies the success of the company.”With a total of 7 product lines, Xstream has grown from a small manufacturing outfit to a business whose products are in high demand within five short years. “We have sourced our own distribution channels and have created our own opportunities in order to succeed,” says Thirion when asked how to succeed as an entrepreneur. This year’s energy crisis has confirmed that the market is ready for solar powered geysers, but Thirion is quick to add that quality comes before all else. In the five years that the business has been manufacturing, there have been no quality failures. Again, Thirion attributes this to the staff at Xstream who are proud of their record and maintain a high level of quality during manufacturing.In a market that has seen much competition from imported product, Xstream is confident to hold its own with their product range, quality and affordability. “Running a business is hard work that requires all those involved to believe in it and work hard for its success,” finished Thirion.

Contact information:Leezhaane WhittenXstream Hot Water CylindersTel: 021 872 0900/08E-mail: info@xstream.co.za www.xstream.co.za

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