Naledi Threads Business Plan — People, Compliance and Controls
The staffing model, employment and tax obligations, and the cash and stock controls protecting a small owner-operated retailer.
People, Compliance and Controls
Jump to section
- Overview & contents
- i. Important Notice and Basis of Preparation
- 1. Executive Summary
- 2. The Business
- 3. Market Analysis
- 4. Location Strategy
- 5. Products and Merchandise Strategy
- 6. SWOT and Competitive Position
- 7. Marketing and Sales
- 8. Operations
- 9. People, Compliance and Controls
- 10. Implementation Plan
- 11. Financial Plan
- 12. Break-Even
- 13. Working Capital and Debt Service
- 14. Returns
- 15. Sensitivity and Scenarios
- 16. Risk Management
- 17. Trigger Points and Management Response
- 18. Key Performance Indicators
- 19. Key Assumptions
- 20. Conclusion
- A. Appendix A: Consolidated Financial Summary
- B. Appendix B: Capital and Pre-Opening Schedules
- C. Appendix C: Funding and Debt Schedules
- D. Appendix D: Risk Register
- E. Appendix E: Glossary
- 9.1 Organisational structure and staffing
- 9.2 Compliance and regulatory
9.1 Organisational structure and staffing
|
Role |
Year 1 monthly cost |
From |
Responsibilities |
|---|---|---|---|
|
Owner-manager |
R14 000 |
Month 1 |
Buying, open-to-buy control, cash, banking, staff, floor selling |
|
Senior consultant and keyholder |
R7 800 |
Month 1 |
Opening and closing, stock receiving, visual merchandising, relief management |
|
Sales consultant |
R6 300 |
Month 1 |
Selling, fitting-room service, replenishment, loyalty capture |
|
Weekend and peak consultant |
R2 700 |
Month 1 |
Saturday, Sunday and month-end peak cover |
|
Second sales consultant |
R6 300 |
Year 3 |
Added as volume grows; relieves the owner from full-time floor duty |
|
R |
Year 1 |
Year 2 |
Year 3 |
Year 4 |
Year 5 |
|---|---|---|---|---|---|
|
Owner remuneration |
168 000 |
204 000 |
253 914 |
290 880 |
327 906 |
|
Staff wages |
201 600 |
212 688 |
299 994 |
316 516 |
333 921 |
|
Statutory contributions and skills levy |
7 392 |
8 334 |
11 078 |
12 148 |
13 237 |
|
Sales commission |
22 658 |
28 550 |
31 690 |
34 067 |
36 281 |
|
Total payroll and commission |
399 650 |
453 571 |
596 676 |
653 611 |
711 345 |
|
As a share of revenue |
22.0% |
19.9% |
23.5% |
24.0% |
24.5% |
The Year 3 hire is the most questionable cost in this plan and is flagged as such. Adding a second full-time consultant costs roughly R85 828 a year and is the reason Year 3 EBITDA falls below Year 2 despite revenue growing 11.0 per cent. It is included because the owner cannot sustainably work six days a week on the floor indefinitely while also buying, banking and managing. But it should be treated as a decision to be re-taken on the evidence at the time, not a commitment made now.
9.2 Compliance and regulatory
|
Obligation |
Requirement |
|---|---|
|
CIPC |
Company registration, annual returns, beneficial ownership register |
|
SARS — VAT |
Compulsory registration above R1 million turnover; bi-monthly returns |
|
SARS — PAYE, UIF and skills levy |
Monthly EMP201; the skills levy becomes payable once annual payroll exceeds R500 000 |
|
Department of Employment and Labour |
UIF registration, minimum wage and Basic Conditions of Employment Act compliance, employment contracts |
|
COIDA |
Registration and annual return of earnings |
|
Municipal |
Business licence, trading hours, signage approval |
|
Consumer Protection Act |
Returns, refunds and exchange policy displayed and honoured |
|
POPIA |
Lawful basis and consent for the customer database and WhatsApp list |
The POPIA point is easily overlooked. The loyalty scheme, size register and WhatsApp broadcast list in Section 7 all constitute processing of personal information. Explicit opt-in must be captured at the point of sale, the purpose stated, and an unsubscribe mechanism provided. This costs nothing if designed in from day one and is expensive to retrofit — and the size register is the store’s single most valuable retention asset, so building it on an unlawful basis would be the most costly possible corner to cut.