How to turn your passion for fashion into an unstoppable business
The fashion industry in South Africa is the largest on the continent, with an estimated value of R208.6 billion in 2023. The industry encompasses a comprehensive ecosystem spanning design, manufacturing, and retail operations, generating diverse employment opportunities across skill levels. Regional fashion brands frequently engage local suppliers and service providers, stimulating growth in adjacent sectors including textile production, manufacturing, marketing services, logistics operations, and media. This value chain creates a multiplier effect, catalysing broader economic development and employment generation throughout the country.
But success is not assured for young aspiring fashion designers and entrepreneurs. Fashion is a highly competitive industry, with constantly evolving trends. Fashion startups face many of the same obstacles as other SMMEs, including access to finance, the development of entrepreneurial skills, and effective cash-flow management. With youth unemployment at crisis levels in South Africa, FNB and Proudly South African are partnering to support emerging young fashion entrepreneurs.
“South African youth unemployment can’t be solved purely through formal employment in the private sector,” says Janis Robson, FNB Business Development Head. “We understand the catalytic importance of empowering young entrepreneurs to build lasting businesses that contribute directly to job creation, economic growth, and the fostering of a creative industry. The fashion sector has huge potential to create employment, raise awareness of South African creativity and success across the globe, and build stronger local value chains to the benefit of our economy.”
Happy MaKhumalo Ngidi, Chief Marketing Officer of Proudly SA, emphasises the sector’s importance: “Fashion is a labour-intensive sector with a wide value chain. It sustains jobs, manufacturing, and retailers. Having a partner like FNB, who believes in small businesses and their contribution to South Africa, makes it easier for us to advocate for our country’s exceptional talents.”
Building a sustainable fashion business demands much more than creative talent. The journey from fashion student to successful entrepreneur begins with solid business fundamentals. Aspiring designers must first clearly define their brand identity and target market, then validate their concepts through small-scale testing and portfolio development. A comprehensive business plan becomes the blueprint for securing funding, while understanding compliance requirements and choosing the right business structure – whether sole proprietorship, partnership, or registered company – creates a foundation for growth. Most importantly, entrepreneurs must learn to separate personal and business finances early, maintaining clear records and a strong credit history.
Robson explains: “Local designers often struggle to compete with lower-priced imported goods, so it’s very important to have a clearly defined target market, to maintain high standards of quality, and to use your SA flair to differentiate yourself. It can be helpful to collaborate with other designers to minimise costs, and to use social media platforms to grow brand awareness as part of a comprehensive marketing strategy. For many fashion startups, growth also means navigating the complexities of hiring staff, sourcing materials competitively amid pressure from cheaper imports and building relationships with retailers. Success requires entrepreneurs to wear multiple hats – from creative director to marketing manager, financial controller to HR lead – while staying focused on building a lasting legacy in South African fashion.”
The partnership between FNB and Proudly SA, which was solidified last year, has already made significant strides in supporting local fashion talent. Flagship initiatives include the Local Fashion Police campaign, which gives South Africans the opportunity to win prizes by showcasing their locally made fashion on social media. Through partnerships with fashion schools, aspiring designers also receive practical knowledge and inspiration from industry heavyweights, while renowned designer Otiz Seflo has committed to taking on interns from Stadio and UJ, providing hands-on experience in a world-class atelier.
The potential of the sector is reflected in South Africa’s growing roster of world-renowned designers like, Lukhanyo Mdingi, Sindi Khumalo, and Laduma Ngxokolo, who have established influential voices in the competitive global fashion industry. As Robson explains, “Their achievements demonstrate how creative vision, combined with sound business acumen and institutional support, can build lasting fashion enterprises that contribute to South Africa’s economic growth.”
For young designers looking to follow in their footsteps, the message is clear: success in fashion requires more than creative talent. With the right support, business knowledge, and dedication, South Africa’s next generation of fashion entrepreneurs can build sustainable businesses that create jobs and contribute to the nation’s economic growth – turning their passion for fashion into unstoppable businesses.