Anna Phosa is one of Africa’s most successful pig farmers. She’s often referred to as a ‘celebrity pig farmer.’
But her business journey wasn’t rosy, and she struggled to raise capital to start and grow the business.
In 2004, Anna started her first pig farm in Soweto with $100 contributed from her personal savings. She started with only 4 small pigs.
After four years — in 2008 — she was contracted by Pick ‘n Pay, the South African supermarket chain, to supply its stores with 10 pigs per week. This was a first breakthrough and the request grew quickly to 20 pigs per week.
By 2010, she had signed a major contract with Pick ‘n Pay to supply 100 pigs (per week) over the next five years under a R25 million deal – that’s nearly $1.9 million (in Aug 2017 terms).
With a contract in hand, Anna was able to raise capital from ABSA Bank and USAID to buy a 350-hectare farm property. Today, her farm houses 4,000 pigs at a time and employs about 20 staff.
Most entrepreneurs who want to start a business often turn to banks and end up disappointed. And that’s because banks tend to focus on growth and mature businesses that have healthy cashflows and collateral that can be used to secure the loan. If don’t have any of these, you could be wasting your time chasing a bank loan.
Many entrepreneurs don’t know this but banks are just one out of 15 different options for raising capital. The problem is, too many unqualified businesses approach the banks for loans.
Inside the free course, I’ll explain each of these 15 other options of funding, and the important criteria you have to meet before you ever think of approaching the banks for a loan.