The Private Sector will always be a better creator of jobs than the Public Sector because it is motivated by profit. The Public Sector’s function is to level the playing fields so as to allow the Private Sector to perform efficiently. The Public Sector has consistently proven to be a poor creator of employment. The average length of a job created by the Public Sector is just 46 days. South Africa, with its outmoded and disproved Marxist theories, driven relentlessly by the South African Communist Party, was yet to understand this simple fact and has hankered after the brief period in history when Russia had attempted to compete with the United States. Those walls had fallen and , for example, East Germany had become the poor adopted child of West Germany. BMW and Mercedes had easily trumped the Trabant.
Why, even after Cuba had conceded defeat, would the leadership of the new South Africa continue to pursue this outdated and failed ideology? Unless you believed in ‘jobs for pals’ there is no rational economic reason for a bloated cabinet, fat and idle public service and clueless local government sector. Granted many of these people received training in Communist countries whilst in exile during the Apartheid era but hey, hello, this is 2015.
Dear ANC, pick up your toys and move on. The rest of the conscious world has.
institutions. These can outlive the best and worst of presidents. Do we want to be remembered as a nostalgic but fading footnote in world history? Commemorated for the one big thing we got right in 1994 – but with a sense of aching possibility about the opportunities lost, dreams deferred and goals missed since that date?”
The final word must go to the founding father of the now not so new South Africa. Although now 16 years later, Madiba’s words at the opening of Parliament in Cape Town in May, 1994 still have relevance: “Our single most important challenge is therefore to help establish a social order in which the freedom of the individual will truly mean the freedom of the individual. We must construct that people-centred society of freedom in such a manner that it guarantees the political liberties and the human rights of all our citizens”.
I had arrived early for my appointment at the Grill Room in the Oyster Box hotel. My guest on this day was multi-millionaire entrepreneur and industrialist, George Blake. I was hoping to get him interested in my Chartwel Venture Fund idea.
While I nervously awaited the arrival of my celebrated guest, I checked in the back of a polished soup spoon to see that my tie was straight and my unruly locks were in place.
The original cottage called ‘The Oyster Lodge’ was built on the grounds in 1863. Made of Burmese Teak, corrugated iron and reinforced concrete, it was originally used as navigational beacon.
The Cottage and overgrown grounds were sold to Ken O’Connor and Kay O’Connor (Hill), his sister, in 1952. They started a tea garden, which changed to a restaurant, and then The Oyster Box Hotel, which opened in March 1954, on the site next to the lighthouse.
In 2006 the property came up for sale. The then owner, Wayne Reed, particularly wanted the Oyster Box to pass on to a family who would continue the hospitality, traditions and values for which the hotel was so synonymous. Stanley and Bea Tollman (the Founder and President of Red Carnation Hotels) purchased the property.
Although very run down, it was their vision to restore and develop the legendary Oyster Box Hotel to its original glory. The greatest challenge being to restore the property in a way that was authentic to the period in which it was built and simultaneously bring it into the 21st century. The hotel we see today is a fitting tribute to their vision.
Building began in October 2007 and was completed in September 2009. While a number of the original landmarks remain intact in the new structure, the hotel has, for the most part, been re-built.
The main building complex has undergone a number of changes since the 1940’s, the most notable architectural interventions occurring during the 1950’s.
A number of the original landmarks remain intact in the new structure. From the grand, revolving door at the entrance, to the reception and foyer with its black and white terrazzo tiles; familiar wrought-iron balustrade and original, inlaid hand-painted tiles and friezes, collected by Kay Hill on her regular travels to Spain & Portugal.
The recognizable black and white chequer-board floor has been re-instated throughout. The-double volume, ‘Palm Court’ is now at the ‘heart’ of the new hotel with all the other areas rippling out from there. An entirely new floor level was added to tastefully create additional banqueting space, conference, business and meeting facilities and the impressive new Lighthouse Bar overlooking the iconic red and white lighthouse and the Indian Ocean.
In all the ways that reflect and celebrate the legend of The Oyster Box, the experience of the ‘new’ Oyster Box is one that holds the grand hotel’s history, heritage, heart and home in perfect balance.
I scanned the wine list to find a wine that suited the occasion. Running my finger down the right hand side of the menu I had an apoplexy. The prices could comfortably feed a family of four for a week. ‘Ah well, I’m doing this for my country with my own funds so why compromise. I shakily called a waitron, pointed at the picture and said in my most commanding voice ‘I will have a bottle of this my good man. Please bring a bucket and put it on ice’
The waitron scurried off and returned with said wine and bucket. I tried to relax and appear nonchalant.
Just as I got my tremors under control the considerable presence of the mega -mogul was upon me with outstretched hand in greeting .
‘George, so glad you could make it. Its been too long’
‘Afternoon Bryan, thanks for the invite. Good choice of restaurant’
After paddling a few niceties back and forth over the net, sampling the wine and ordering the prawn starter George said ‘So, what is this all about. You said on the phone that you were starting something new here in Umhlanga and that I may be interested’ The starter arrived and George’s question hung in the air as we happily devoured the shelled sea critters served in a delicately piquant sauce.
‘George, you know that before retiring I had spent thirty odd years in the venture capital market with some spectacular successes and also some notable failures. It’s a tough game but I believe South Africa now has to take several risks in order to undo the considerable damage caused by Zuma and the ANC National Executive’
‘I’ve prepared a five year plan for you and your colleagues to peruse back in London but if I may I will briefly talk to the concept now’
‘Go ahead’ said George sipping his chardonnay ‘I am all ears’
‘We have conducted an in depth macro -economic review of the potential of the area concerned and the Government and Provincial Development plans for the next five years. An estimated 180 bn in infrastructural spending is anticipated.
There are certain tax advantages available to investors under Section 12j of our Taxation Act so we will structure one of these vehicles to conduct our business in this market.
The investment target area will be the KwaZulu Natal Northern Development Corridor from Umhlanga to Richards Bay and the type of investor will typically be foreign denominated companies and individuals where the deteriorating rates of exchange will have the biggest impact on conversion to the SA Rand.
Companies, developments and startups having intensive labour requirements will be sought as well as skills training ventures . These types of business will be given priority.
Naturally we will closely scrutinise the calibre of management, feasibility of their concept and background integrity of the selected ventures. We will, after investing continue to monitor the management process. We will also demand positions on the board and apply close scrutiny to the financial integrity of their reporting .
The national imperative is to create one million new enterprises or collapse so we hope our efforts will be taken seriously by business and government alike’
I concluded and waited for a response.
‘Thank you for that succinct outline Bryan. I think that you covered all of the salient points in your thumbnail sketch. However, general feeling towards South Africa amongst my colleagues is very negative’ said George ‘until South Africa can vote qualified people to its leadership they are destined to be governed by some or other goat herder that appeals to the populist left. They will also find that promised investment from Russia and China carries with it a threat to their sovereignty. Those countries similarly have unemployment problems and so tend to import their own labour. That certainly does not reduce your crippling 50% youth unemployment statistic ’
‘My thoughts exactly George but I feel a patriotic duty to once more try to re-ignite and elevate private initiative in the face of this ridiculous overfed government’
‘Well your either very brave or very stupid Bryan and I know your record precludes the latter so my question is why? Business logic suggests packing the tent and locating business in one of many countries that is keen on productive capitalists and welcomes and encourages them, which South Africa very definitely does not’
‘Yes, I know George but if not me then who and if not now then when’
‘Noble sentiments but the country is teetering on junk bond status, the Executive is defending the actions of the incumbent ‘mad king tut’ and the illiterate majority, will be given another blanket and a bucket of rice and will simply vote in another megalomaniac African Kleptocrat at the next elections. I do not see relief from this inevitable downward spiral. Fiscal bailout looms’ ‘George, I cannot fault your analysis and logic.
Putting risk capital into an already risky nation does not make good business sense but dammit I am loyal. The risk can be managed. I have spent sixty five years in this country. I am too old to go anywhere else and anyway this has been and is my home. I am not a colonialist, migratory capitalist or international globe-trotter. I am a South African, born and bred, and these people are just destroying my countery in front of my eyes. They must be stopped before the place is in tatters’
There was silence around the table as the waitron served the Chateaubriand that we had ordered. Wiping his mouth with spotless linen and taking a sip of the decidedly crisp chardonnay George spoke. ‘I’ll tell you what I’ll do Bryan. When I return to London I will syndicate an investment with some of my more adventurous colleagues who would probably lose an equivalent amount on the horses or at the tables anyway. By sharing in the risk we will all individually be less exposed and a small sterling investment at Rand 22-30 odd to the Pound would translate very nicely into a sizable Rand amount for your venture’
‘That is very accommodating of you George. I am very grateful for this concession on your part. I will certainly spend the rest of my business life trying to turn this pumpkin into a stagecoach’
‘Shall we adjourn to the verandah for coffee and port’ I suggested pleased with the outcome of the meeting. This investment was probably pocket change for George and his compatriots and I knew that he was making an unbusiness -like decision based on my woeful and sentimental plea.
Certainly with likes of George and his well known collaborators on board convincing other investors was going to be a tad easier.
Chartwell House was the family home of Sir Winston Churchill for most of his adult life. Chartwell is a museum and shrine to the man who led Great Britain to victory during the Second World War. Now a National Trust property, Chartwell is an understated Victorian country house, originally dating from Tudor times, with beautiful gardens and a spectacular view of the Wealden Hills that Churchill is said to have loved.