Thu Jul 01 12:04:14 CST 2004

WHILE working for an international insurer as a specialist in new business development, Jenny Chetty spotted a gap in the market. She noticed that many start-ups battle to raise funds and when they do get off the ground, they struggle with cash flow problems.

Even excellent new products failed because of faulty costing. So she started Cacia Financial Management about two years ago. As MD, her mission was to help small businesses find their feet and develop into profitable organisations.

Chetty, who places great store in upliftment through knowledge transfer and practical support, says she worries that people might perceive her to have succeeded because of special treatment based on her gender or skin colour. Instead, she says, a professional approach and personal attention to clients' needs won her most of her accounts and kept the referral business rolling in.

She also believes she provided something unique in the market: a full professional accounting service that was affordable to small and medium business owners and would not only do the number crunching but run payrolls, monitor cash flow, pay creditors and collect debt. She also helps draw up business plans and secure funding.

Small businesses would no longer have to worry about tax, law and cash flow -- they could get on with running their businesses without getting bogged down in account details.

Chetty says that the transition from being employed by a large multinational to running her own Randburg-based business was smooth -- she had already been spending a lot of time out of the office with clients. Business grew rapidly, mostly because of referrals, and she quickly had to add staff and extend services.

"We started with a reasonable client base, setting up new structures for companies and helping with strategic investments," says Chetty. "In some companies, we have people primarily employed by us sorting out things. It's a very personalised service. We go in and get to know a business. Relationships are important."

Cacia now employs two payroll experts, four bookkeepers and four BCom graduates. The business also draws from a range of high-level consulting expertise. "We produce monthly management accounts and sit down with a company to identify areas of importance. You have to be aware of what your numbers are telling you. Money management is crucial to a small business.

"We provide information at various levels to support growth. Number crunching is the easy part. We look at the figures and find ways to add value so that they support management objectives. And, basically, we take the headache out of money management so that clients can focus on their core business."

She points out that in credit control, for instance, a salesman does not want to jeopardise relations with an important client by having to plead for cash owed. "It works better having a third party collect debt, because it seems more professional and serious. People tend to pay up more easily."

Cacia has a Web site, provides an online service and is developing a secure electronic interface. Clients in Zimbabwe and Ghana, for instance, e-mail account system back-ups.