CAPITAL EQUIPMENT NOV 2018

CONTRACTOR DEVELOPMENT

Skhumbuzo Macozoma, CEO of SANRAL (left), and Emmy Leeka, CEO of Barloworld Equipment, celebrate the signing of the MoU between the two companies.

Partnerships for contractor development

A collaborative initiative between SANRAL and leading construction equipment suppliers – Bell Equipment, Barloworld Equipment and Wirtgen South Africa – will accelerate emerging contractor development by affording them better access to road construction machinery they need to execute major SANRAL-owned projects, writes Munesu Shoko .

Y ear after year, many small success of their businesses. Their major difficulty is often the lack of credit to purchase equipment to fulfil their contracts. Small businesses are often denied access to finance because of their limited operating history and low gross margins. This is exacerbated by the competitive nature of the construction sector where both large construction contractors enlist access to funding as one of their most formidable concerns threatening the immediate

and small companies are jostling for a share of the few and far between projects. In such a cutthroat trading environment, efficient equipment is the difference between success and stagnation. With that in mind, the South African National Road Agency Limited (SANRAL) has entered into strategic agreements with leading road construction equipment suppliers to help close the access to equipment gap for small to medium contractors. This will allow them to use their SANRAL-managed projects as

CAPITAL EQUIPMENT NEWS NOVEMBER 2018 16