Born to do Business

Provided by Business Partners Ltd, South Africa's leading investor in SMEs

Dr. Theo van Rooyen was born in North West Province , Porchefstroom. He completed his DComm (Management Accounting) in 1984 and NLaur Tech in 1986. It was after working in ABSA’s Financial Division till 1991 that he entered the business environment, a move that changed the course of his life.

His first business was a garage in Pretoria , which he sold after two years to buy his first Spur. Since then he has owned several Spurs, Panarottis Pizza Pasta’s and John Dory’s Fish and Grill’s. In addition to that he operated the cafeteria at the Mamelodi Campus of the University of Pretoria and became a partner at Route 21 Insurance Brokers. With all these years of experience behind his name, it’s no wonder why Dr. van Rooyen became a mentor for Business Partners ltd in 2007.

“I believe in leading by example and hands on management in all my businesses. I also like to get involve in a run down business to turn it into a profitable and saleable business. When owning your own business you will face new problems every day. The challenge is to change everyday problems into opportunities. To be successful motivates me to get out of bed in the morning,” says van Rooyen.

With his financial background, van Rooyen had no experience in the restaurant industry. The idea of buying into a reliable franchise like Spur gives you the peace of mind of ongoing support and training from the franchisor. “Franchising is the best way to gain experience if you enter an unknown environment. If you join a reliable franchise it is easy to call on the expertise and support of the franchisor. Franchising is a partnership between franchisor and franchisee,” enthuses Dr. van Rooyen.

The franchising concept is a great success in South Africa that will grow and yield more opportunities. Dr. van Rooyen says that a franchise is the best way for inexperienced people to enter the market. “If you do your homework and enter into partnership with a firm and reliable franchisor, the problems will be limited. It is always a pleasure to deal with a franchisor like Spur.”

According to Dr. van Rooyen, you always need assistance from outside experts. Before entering an agreement it is always better to pay for the best advice, i.e. lawyers, accountants, etc. “It often happens that entrepreneurs who try to save money before hand run into trouble later,” he says. Many entrepreneurs also expect to gain profit early in their franchise. However, experience has taught van Rooyen that one has to make provision for adequate working capital in any new business for at least six months as breakeven levels are only reached between six to 18 months.

As a start-up venture, he believes it is always better to be conservative in planning and projections. In this way, any unforeseen circumstances can be overcome when one spends enough time in planning all aspects of business before opening. It is in the planning process that the expertise of the franchisor plays a major role.

Dr. van Rooyen’s biggest challenge was providing quality service to customers from day one, while sticking to budget. “You need to employ people with the right attitude and train them to give quality service and to serve quality products,” he says.

Another challenge for him was competition. However, his advice is to not spend too much time focusing on competition, but to rather concentrate on your own business and to do things better than anybody else. According to van Rooyen you should be the market leader in your own area.

Dr. van Rooyen says that an aspiring franchisee should remain humble and focused on their goals. They should believe in themselves and what they do. “Enjoy your business and never take your eye off the ball. A successful franchisee must be a strong leader with good communication skills. Be prepared to work hard and long hours without getting much compensation from day one,” he says.

Being self-employed comes with its difficulties and it is not always easy. Theo advises that you learn how to handle stress, frustration and sometimes disappointment. He goes on to say that you must have the commitment of your family before considering an own business. What compensates for all these factors is the satisfaction of owning and managing your own successful business.

For the aspiring franchisee, Dr. van Rooyen suggests deciding on a business that you will enjoy, spending enough time on research and planning and to choose the best franchisor for the specific type of business. Approach the business with a positive attitude; be prepared to crawl before you walk and to not be greedy. “Cash flow is the heart of your business,” he says.

In closing he says to always remember: “If you can dream it, you can do it!”

Born to do Business

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