×

We've got news for you.

Register on SowetanLIVE at no cost to receive newsletters, read exclusive articles & more.
Register now

Property stokvels are propagation of our forbears' vision about shared wealth creation

Leseyane learnt from her mom and aunts how to make money with groups

Stokvel mentor and property investor Silindile Leseyane
Stokvel mentor and property investor Silindile Leseyane
Image: SUPPLIED

The stokvel industry is evidently shifting from a consumer-based approach to being more focused on wealth creation.

Consequently, there has been a rise in investment stokvels, with property being no exception.

We spoke stokvel mentor and property investor Silindile Leseyane about the future of property stokvels, women in stokvels, as well as the secret ingredients which make stokvels a success.

Leseyane is also the chairperson of Sakhisizwe Property Stokvel, which is one of Mzansi’s fastest growing and most successful property stokvels.

Take us through your stokvel journey and how it began

I grew up in a home and community where stokvels were the norm. My mom and aunts were involved in stokvels, so combining stokvels with property was a no-brainer. These were things I grew up around and understood.

When I started working, I began investing in property. I then realised that there’s only so much I could do on my own and that we could do so much more as a collective.  

This is what stokvels do and should continue doing. If money is chiselled towards assets that can actually generate income, that would have a bigger impact.

As a stokvel mentor, what do you believe are the secret ingredients for a stokvel’s success?

There needs to be a vision. What do you want to achieve? If your vision is clear and you have people who are aligned with that vision, it really does help.

There also has to be an element of risk-taking to a certain extent. You start seeing benefits when you take on a little bit of risk (either investing in the stock market, property or in businesses).

With property stokvels on the rise, what do people need to know before joining?

Make sure you understand how the stokvel works. There seems to be a misunderstanding about what property stokvels are and how they work.

All stokvels are different so it’s very important to understand that. Understand the constitution; the document that governs how the stokvel works. You also need to ensure that you’ve got the right knowledge, understand how the process is going to work and how decisions are made.

Stokvels are a very old model. Is the idea of using the industry for wealth creation necessarily a new one?

The vision was there with our parents who wanted to actively participate in the economy. They were unable to as they were excluded from certain economic opportunities. So stokvels were a means of necessity.

With us, we’ve got the university degrees, the entrepreneurial spirit, business knowledge and access to opportunities. The only problem is access to the capital. Through stokvels, we’re able to raise the capital to take advantage of opportunities that may seem unattainable.

Stokvels have proven beneficial and still bear much potential. In what ways have you personally witnessed stokvels change the lives of ordinary South Africans?

More than anything, it’s the access to knowledge and understanding. When you join any kind of stokvel, it opens your eyes in terms of how things actually work.

Yes, there are financial benefits but the knowledge that is shared within a group has no price tag, the same goes for the type of opportunities that one can access as part of a stokvel.  It’s that level of knowledge and awareness which has up-skilled our stokvel members to become wiser consumers even in their own personal right.

You are also an active member of Women in Stokvels. What role do you believe the presence of women in the industry plays in fighting gender inequality?

I’ve found that women are the ones running many stokvels. Even back then, women were the ones who primarily used stokvels.

The reason why our mothers were involved in stokvels was to ensure that they were able to raise registration fees in January and that the household could run. We’re still doing that in a way, but now we’re just taking that a level up because we have access to more opportunities.

In terms of the wealth gap, women are still behind. We’ve had to come up with various ways to bridge the gap, and one of the ways is through investments. Investments don’t discriminate.

We’ve seen how life-changing property stokvels can be. Do you reckon we can anticipate even bigger changes in the stokvel industry? If so, why?

It’s only the beginning. It will only get better. There’s definitely going to be more change and collaboration where stokvels are self-organising and looking at what opportunities are out there. When we’re coming in as a group, many more opportunities become accessible.

Do you believe the idea of traditional stokvels will soon be replaced by modern (and often digital) stokvels? Or will they continue to co-exist for years to come?

There’s still room for all kinds of stokvels to co-exist. Each of them have different priorities, objectives and goals. So there’s definitely no reason why one should be sacrificed in favour of the other.

We’ve seen food prices sky-rocketing, so if we’re able to come together and get bulk shopping discounts, I don’t see why we can’t do that. There’s also still a definite need for the community that traditional stokvels offer where we come together and socialise.

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.