With youth unemployment sitting at 44.6%, many young South Africans are no longer waiting for jobs that may never come – they’re creating their own. While necessity is a major driver, locals are also starting businesses to make a difference, build wealth, or continue a family legacy. The result is a growing wave of youth-led startups, side hustles and digital ventures. Recent data shows there’s been a 3.5% increase in youth entrepreneurship, even as overall youth employment keeps falling.
“We’re seeing young people step into entrepreneurship earlier than ever,” says David Morobe, Executive General Manager for Impact Investing at Business Partners Limited, which runs the annual SME Toolkit SA Business Plan Competition for aspiring young entrepreneurs. “Yes, for some, it’s out of necessity because work is scarce. But for others, it’s a choice – they see a chance to solve real problems, build something of their own, and make an impact in their communities.”
From drones in farming to AI in food systems, young entrepreneurs are blending profit with purpose, but too many promising ideas never get off the ground because they lack the right support.
“A good idea alone isn’t enough,” explains Morobe. “It takes the right tools, planning and backing to turn an idea into a real, viable business. Many young founders still face major hurdles such as limited funding, red tape and a lack of strong business planning skills.”
One of the biggest barriers is a weak or superficial business plan.
“Most funders won’t even look at your idea if you can’t show exactly how it will work and grow,” points out Morobe. “A business plan shouldn’t just tick a box, it’s your blueprint for building, measuring and growing a real business.”
To help address this gap, Business Partners Limited is once again calling on young South Africans to enter the SME Toolkit SA Business Plan Competition, now in its 16th year.
Open to all South Africans aged 18–35, the free competition offers practical business planning support, mentoring, and access to digital tools – plus a chance to win a share of R150,000 in cash and mentorship prizes.
All entrants get free, in-person business planning workshops in Johannesburg, Pretoria, Soweto, Durban and Cape Town. These cover essentials like marketing, cash flow planning and building a sustainable business model.
Participants must submit their business plans by 30 November 2025, after which finalists will pitch their ideas to a panel of judges. Winners will be announced at an awards ceremony in Johannesburg in February 2026.
“South Africa’s future depends on unlocking the entrepreneurial potential of its youth,” concludes Morobe. “With the right support, today’s young innovators can become tomorrow’s job creators, not just for themselves, but for their communities too.”
Got an idea? Don’t let it stay just an idea. Enter today at https://smetoolkit.co.za
