Assessing the feasibility of land reform farm equity schemes : a focus on capacity building and empowerment
Abstract
This research was undertaken to determine the extent to which share equity schemes have been successful. The research also investigated the possible causes of failure of the established share equity projects and sought to determine the feasibility requirements that may be put in place to ensure success and sustainability of the ventures in support of land reform. The methodology used involved comparing the data gathered from business plans, valuation reports and other project documents from the Department of Land Affairs (DLA) with the information gathered through interviews and observations. The results revealed causes of failure to include the fact that beneficiaries of the investigated equity schemes did not participate in business plan development or implementation and therefore had no sense of ownership in the intended joint ventures. It was also found that none of the business plans included any form of training for capacity building and therefore no mechanism for empowering beneficiaries existed to participate effectively at all levels of the farming enterprise. Furthermore, original farm owners as the majority shareholders tended to re-invest profits into farm assets rather than paying dividends. It was concluded that the inclusion of a training programme in every business plan is crucial to the success of farm share equity ventures as this may enable beneficiaries to be sufficiently empowered to participate effectively at all levels of the business.
Collections
Related items
Showing items related by title, author, creator and subject.
-
The development and evaluation of a community-based programme offering psychosocial support to vulnerable children affected by HIV/AIDS, poverty and violence.
Killian, Beverley Janet. (2004)This research programme endeavours to develop, implement and evaluate an effective method of offering psychosocial support to vulnerable children. Vulnerability is defined by trained community members as including children ... -
The state of spatial information for land reform in South Africa : a case study of the Amantungwa Land Reform project.
Kubheka, Sipho. (2006)Many authors and practitioners involved in rural or local development agree that co-operation and the integration of efforts by the delivery agents is crucial for sustainable development programmes. The delivery of Land ... -
Loan products to manage liquidity stress when broad-based black economic empowerment (BEE) enterprises invest in productive assets.
Finnemore, Gareth Robert Lionel. (2005)Investments in productive assets by broad-based black economic empowerment (BEE) enterprises in South Africa (SA) during the 1990s have been constrained, in part, by a lack of access to capital. Even if capital can be ...