Many of us think South Africa is run by the Government, by Parliament, by the ANC, they all the same anyway, to a degree this is true but the main influence comes from big business (listed on JSE, by inefficient Government controlled business, e.g. Eskom and then of course there is SARS.

1. Be wary of doing business with large corporates and government departments, they have  substantial resources and will often demand discounted prices and take extended credit terms  which will adversely effect your cash flow.
2. The banks (all JSE listed) have vast cash resources which emanate from investors deposits, customer accounts from funds generated from a variety of often excessive bank  charges, from interest on loans, credit cards, and overdrafts etc. All of their resources collectively come from us  the clients and investors. The banks we give our money to make excessive profits for themselves with our money – what a business.
   
   Be very vigilant when dealing with a banker, when the going gets tough for you they get tougher (after all they might lose funds that don’t belong to them in the first place)
   
   Banks are the custodian of your financial resources you are the custodian of your CASH FLOW, if you manage and control that adequately you can negate the banks control over your destiny.
3. SARS has established itself as the most powerful organization in RSA. It dictates to all of us what  to do, when to do, how to do and only on their terms and conditions. It is often onerous to comply  with all their requirements, rules and regulations. SARS have all the laws in their favour and can  easily create more with which to come after you. Prescription doesn’t apply to taxes and they will  eventually recover all amounts they maintain are owed by you.
   
   The best advice concerning SARS is comply, comply, comply, submit and pay timeously i.e. in  respect of income tax, VAT, STC, UIF, SDL, customs duty etc etc.

• Income tax returns
• Purchases of fixed property
• Sales of fixed property
• Purchases of motor vehicles
• Sales of motor vehicles
• Interest earned on investments
• Sale of businesses
• Sale of shares
• Informers

Their net continues to widen, don’t try to avoid any form of tax, the chances are you will be found out and the consequences may well be dire. In particular remember that VAT is collected by you on behalf of SARS, it is not at any stage your money, it is not to be used when your business requires additional finance to get you through a cash flow crisis, always pay the VAT due to SARS timeously.