Home-based enterprises are becoming increasingly common, especially in many townships within South Africa. Numerous home-based enterprises offer a means of survival as they allow for an income generation that sustains the livelihoods of many. However, some of these home-based enterprises are viewed as being unregulated, and falls part of the informal economy.
Situated on the West Rand in Randfontein is a Township called Mohlakeng, of which Extension 7 in particular was explored during this study. This extension is an RDP housing settlement that was developed in 2003. Extension 7 provides a variety of home-based enterprises such as spaza shops, hairdressers, shebeens, day-care centres, motor vehicle repairs and so forth. I initially viewed these home-based enterprises as being unregulated and informal because of the structures in which they were carried out in, as many structures were made from corrugated iron.
This initiated questions such as are economic activities (home-based enterprises) in Mohlakeng Extension 7 being regulated? Is the municipality aware of such economic activities? Are there any policies or regulatory frameworks set out by the municipality or other government structures? What are the processes of opening up a home-based enterprise?