PwC MSME Survey 2020 slide image

PwC MSME Survey 2020

INTERVIEW: OLUBUNMI ABODERIN-TALABI, AUTHOR & PUBLISHER/FORMER EXECUTIVE VICE-CHAIRMAN, WIMBIZ Olubunmi Aboderin-Talabi "The stress of trying to get compliant and stay compliant, plus the constant bombardment of tax officials is a significant deterrent to moving from the informal to the formal sector." Please enlighten us on the role of WIMBIZ? WIMBIZ is an organisation that recognises the vital role that women play in society and inspires them to do better as professionals whether they are in careers or running their own businesses. At WIMBIZ we implement programs that seek to inspire, empower, connect, and advocate for greater representation of women in leadership positions both in the public and private sector. WIMBIZ now has a contributory associate pool of 679 accomplished women and more than 9,500 women on its database. We regularly collaborate with credible local and multinational organisations to deliver programs, which have, on aggregate, directly influenced over 107,465 women since inception. WIMBIZ has 18 programs and events, mostly annual, that train or support women on boards, women in public service and women in business. What are the issues and challenges faced by female-owned businesses in WIMBIZ? Female-owned businesses face issues such as limited access to funding; hidden fees; a narrower pool for mentorship; lack of sponsorship; challenges with family support and in some cases, undue intimidation; threats of violence; or social stigma. Women also carry the larger chunk of the burden of care, irrespective of their comparative income-earning power. These are all in addition to the general challenges of doing business in this environment, such as unstable power supply; fragile infrastructure and multiple taxation and so on, which all entrepreneurs, irrespective of gender, have to tackle. It is estimated that 40% of Nigerian entrepreneurs are women (one of the highest rates in the world) but approximately 23% of enterprises are in the formal sector. What, in your view, can be done to move or bring in more women- owned businesses out of the informal into the formal sector in Nigeria? To encourage more women-owned businesses to migrate into the formal sector, we would need to improve on the ease of doing business and make it attractive for small businesses to register and operate formally. As it is now, some entrepreneurs who try to do things the right way justifiably feel as though they are being unduly penalised for their probity. There are no less than nine different types of taxes and levies that registered businesses have to contend with every year. It is not unknown for companies, (even those with a strong track record of paying the correct amount of taxes when due), to be visited repeatedly by tax representatives of local, state and federal authorities. Sometimes staff from multiple or clashing departments of these agencies show up. The stress of trying to get compliant and stay compliant, plus the constant bombardment of tax officials is a significant deterrent to moving from the informal to the formal sector. Olubunmi Aboderin Talabi is an author; the publisher of Clever Clogs Books; and the convener of the Akada Children's Book Festival. She is passionate about creating visually- engaging, culturally- relevant content for children, and has a desire to see steadily increasing literacy rates across the world. She started her publishing career working in a family newspaper business, Punch Nigeria Limited. She has served on the board of Punch for over 24 years and worked in an executive capacity for 8 years as the Executive Director, Business Development and New Projects. Olubunmi is currently a Non-Executive Director at Punch (www.punchng.com) PwC MSME Survey 2020 PwC June 2020 51
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