Author Archives: Sally Nell

Is Insurance really necessary?

The simple and straight forward answer is – Yes.
Some of you may ask why? The answer to this is also pretty simple – Life is unpredictable.

Below are a few examples of some of the basic, if not most important insurance policies you may need in your personal capacity and for construction/business.

Personal Insurance
The 5 basic insurance policies that everyone should have, although not everyone can afford all of the below, it is a good idea to have them, look at it this way – the cost of insurance is relatively cheap well at least far less than the cost of not having it if something goes wrong.

• Health Insurance
• Car Insurance
• Homeowner’s or Renter’s Insurance
• Life Insurance
• Disability Insurance (Long and short term)

Construction Insurance

Uwe Putlitz, CEO of the Joint Building Contracts Committee, says “generally five types of insurable risks generally apply to all construction projects:

Contract Works Insurance (CWI): This deals with the whole works during the construction period including plant and materials, work by specialist contractors, and additional professional fees where damage to the works occurs. Such a policy must be extended to include possible damage to existing buildings during alterations and additions and/or to include adjoining structures;
Supplementary Insurance (SI): Deals with expense or loss caused by events outside the normal control of the parties, including civil commotion, riots, strike action etc. not included in the CWI policy. SI can be obtained from the South African Special Risks Insurance Association (SASRIA) in South Africa, or the Namibian Special Risks Insurance Association (NASRIA) in Namibia. Supplementary to the CWI, SI is not available to the public and needs to be arranged by a broker;
Public Liability Insurance (PLI): Provides indemnity in the event of a death or injury to any person and or accidental loss or physical damage to tangible property;
Removal of Lateral Support Insurance (RLSI): This applies where the execution of the works may cause weakening or damage or interference with the support of land or property on site or adjacent to the site and the consequences thereof; and
Other Insurances (OI): This applies to cover risks in transit of goods imported from overseas specifically for installation in a project.”

The concept of insurance is straightforward but the actual selection of appropriate policies for specific contracts is not.
“That is why it is important to deal only with a broker experienced in construction industry insurance matters: this type of cover is not a do-it-yourself activity and, if dealt with improperly, all claims will be rejected. The insurance must be carefully considered to include and list all identified risks including the location of the works, the type of structure, the method of construction and where existing structures or other site conditions may be at risk,” he explains.

Business Insurance:

From the day anyone starts a business, you are exposed to risks. Before the first employee is hired, a business is at risk. This is why it is so important to have the right insurance policies. A lawsuit or catastrophic event could cripple a small business before it has a chance to get off the ground.
Fortunately, businesses have access to a wide range of insurance types to protect them against these possibilities. Here are some insurance types that a business should have in place as soon as possible.

Professional liability insurance:
Professional liability insurance, also known as errors and omissions (E&O) insurance, covers a business against negligence claims due to harm that results from mistakes or failure to perform.

Property insurance:
Whether a business owns or leases its space, property insurance is a must.

Workers’ compensation insurance:
Once the first employee has been hired, workers’ compensation insurance should be added to a business’s insurance policy.

Home-based businesses:
Many professionals begin their small businesses in their own homes. Unfortunately, homeowner’s policies don’t cover home-based businesses, ask your insurer for additional insurance to cover your equipment and inventory in the event of a problem.

Product liability insurance:
If your business manufactures products for sale on the general market, product liability insurance is a must.

Vehicle insurance:
If company vehicles will be used, those vehicles should be fully insured to protect businesses against liability if an accident should occur.

Business interruption insurance:
If a disaster or catastrophic event does occur, a business’s operations will likely be interrupted.

So to end, you can see how necessary having insurance actually is.
You may not want to pay the monthly instalments but you will grateful you did if something ever happens (let’s hope that nothing that requires a claim happens).

Please ensure that you have enough insurance policies in place to cover any event that could affect the running of your business or your life and make sure you or anyone affected is covered.

For Insurance cover or enquiries please contact:
Brad Hutton
brad@surelinkwealth.co.za

 

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Sources:
Mint
Entrepeneur

Alternative Marketing

Firstly let’s start off with a definition for Advertising and Marketing:

Advertising:
Is an audio or visual form of marketing communication that employs an openly sponsored, non-personal message to promote or sell a product, service or idea?

Marketing:
Defined as “the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.” The term developed from the original meaning which referred literally to going to market with goods for sale. Marketing is a set of processes that are interconnected and interdependent with other functions of a business aimed at achieving customer interest and satisfaction

And now for the Difference between Advertising and Marketing:
Marketing and advertising are fuzzy disciplines to begin with. Advertising is just one component, or subset, of marketing. Public relations, media planning, product pricing and distribution, sales strategy, customer support, market research and community involvement are all parts of comprehensive marketing efforts. As you market your company and its products or services, keep in mind all the facets that work together to constitute marketing:
A simple concept by definition, if not execution, marketing is every way you touch a prospect or customer. That includes tools such as paid advertising, and it also includes dozens of smaller variables, everything from how your receptionist answers the phone, to how an order is fulfilled, to the positive or negative buzz about your product.

What is Alternative Marketing/Advertising?
Alternative advertising and marketing makes use of media strategies that are different to traditional methods, in order to reach a targeted audience.

 

Examples of Alternative Marketing/Advertising:

– Segway advertising with pictures or videos
– Social Media Advertising (Digital)
– Train or bus advertising
– Video Trucks
– Sand Advertising
– Sky Writing
– Street Decals
– Bicycle seat adverts
– Flash Mobs
– Graffiti Adverts
– Adverts on plastic packets
– Interactive (like the Velcro bus stop for Coca-Cola)
– Ambassadors
and a whole host more, you just need to use your imagination and think outside of the box.

Traditional Advertising:

Pros:
– You can easily reach your target local audience
– The materials can be kept.
– It’s easy to understand
– Direct mail was easier to process mentally and tested better for brand recall.

Cons:
-There is very little interaction between the medium used and the customers.
-Print or radio advertisements can be very costly.
-Results on this marketing strategy cannot easily be measured.

 

Digital Advertising (Alternative):
Pros:
– You can target a local audience, but also an international one.
– Your audience can choose how they want to receive your content.
– Interaction with your audience is possible.
– Digital marketing is cost-effective.
– Data and results are easily recorded
– Level playing field
– Brand Development
– Viral

How can we use both Digital & Traditional Marketing?
Traditional marketing methods support digital marketing efforts. The two do not operate in exclusion from each other. Use hard copy marketing materials to further strengthen a relationship with a contact, referral partner or client.
You don’t have to invest in television or radio ads, but you can give brochures to someone who is interested in your services.

To end off -there are some really catchy adverts and marketing going around and there is no better time for the alternative than NOW!

 

If you would like to advertise your company on our website please do not hesitate to contact me on +27 (0)33 343 1130 or SallyN@L2B.co.za

 

Sources:
http://www.marketingprofs.com/2/mccall5.asp
https://en.wikipedia.org/wiki/Advertising
https://en.wikipedia.org/wiki/Marketing
http://altermark.blogspot.co.za/2013/05/examples-and-categories-of-guerilla.html
https://www.digitaldoughnut.com/articles/2016/july/digital-marketing-vs-traditional-marketing

 

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To view notes with screenshots on how to use our website, please visit our Wiki site.
To view more articles, please visit our blog.

During the initial nerves and stress of finding out that I had to write a blog, I was asking myself WHAT IS A PPP anyway? How am I going to write about this, when I don’t even know what PPP stands for!? Don’t fear, once I pulled myself towards myself and looked at it with a stress-free and nerve free mindset it hit me! Public Private Partnership, PPP stands for Public Private Partnership aka P3 or 3P 😉 so here goes:

 

A Public Private Partnership (PPP, P3, 3P) as defined in South African law is a contract between a government institution and a private company, in which the private company bears significant risk and management responsibility, and payment is linked to performance.

 

The main objective of PPP’s all over the world is to ensure the delivery of well maintained, cost-effective public infrastructure or services, by leveraging private sector expertise and transferring risk to the private sector.

 

In traditional procurement of public services or infrastructure, the government pays for capital and operating costs and carries the risks associated with cost overruns and late delivery etc. While the expertise and experience of a private company may be procured for the design and construction of infrastructure, once the asset is delivered the private company is paid and then leaves. The public sector is then responsible for staffing, maintenance and operation.

 

In a PPP procurement, the public sector buys a full set of services, including infrastructure and other services, from the private sector. It pays for these over the term of the PPP agreement, based on successful delivery. The private sector usually puts its own capital at risk, funding its investment in the project with debt and shareholder equity. Because of the financial risk the private sector takes, it is motivated to provide a high level of service, as good returns on equity will depend on the quality of services it delivers. The public sector is then responsible for operation once the project is complete.

PPP’s are on the rise as it has been found that there is an increasing number of countries that are enshrining a definition of PPP’s in their laws, each tailoring the definition to their institutional and legal particularities.

 

Characteristics of PPPs

• A PPP is a clearly defined project, where the procuring institution carefully defines its objectives.
• The contractual relationship spans a set length of time, which may range from 5 to 30 years.
• The private party plays a key role at each stage of the project: funding, development, design, completion and implementation.
• The funding structures of a PPP sometimes combine public and private funds.
• Payment arrangements in PPPs are based on outputs, related to the provision of services and/or infrastructure and services.
• PPPs are not a way of avoiding payment for capital projects. They allow the procuring institution to spread payments for large projects over the project’s lifetime.
• Direct user charges, like road tolls or water fees, may also contribute to a project’s revenue.
• Risks are allocated to the party most able to carry them.
• Fixed and operational assets are adequately maintained over the project’s lifetime.

Source

 

There is no one widely accepted definition of public-private partnerships (PPP) however the above covers what they are basically all about.

 

On our Leads 2 Business website we have Public Private Partnerships projects listed, below is 2 examples of many:

South Africa:

Tourist Development – Ebizweni Development, Algoa Bay

PPA 4315 – Embizweni Development, Algoa Bay – Infrastructure
PPA 4316 – Embizweni Development, Algoa Bay – Offices
PPA 4317 – Embizweni Development, Algoa Bay – Residential
PPA 4318 – Embizweni Development, Algoa Bay – Hospitality & Leisure

Africa:
Roma Valley Development, Lesotho

PPA 17450 – Roma Valley Development, Lesotho – Student Hostel
PPA 17451 – Roma Valley Development, Lesotho – Student Centre
PPA 17452 – Roma Valley Development, Lesotho – Computer Centre
PPA 17453 – Roma Valley Development, Lesotho – Shopping Centre
PPA 17454 – Roma Valley Development, Lesotho – Wellness Centre
PPA 17455 – Roma Valley Development, Lesotho – Infrastructure
PPA 17456 – Roma Valley Development, Lesotho – Business School

 

If you’d like to know more about the current or upcoming projects on our database please feel free to contact me on +27(0)33 343 1130 or SallyN@l2b.co.za.