Technology

Advannotech

With our support, Advannotech grew their client base and made key acquisitions to support the company’s rapid growth.

The context

Advannotech is an integrated technology and enterprise management solutions provider. The company, owned by Xolani Zuma, began trading in 2018 and is a 100% black-owned company based in Gauteng, that employs a team of innovative, solution-driven, experienced, and dedicated professionals offering multi-disciplinary professional services to public and private entities.

The business’ goal is to become the preferred technology and services provider, in varying capacities, to public and private institutions, property owners, local provincial and national government departments and state-owned entities in general.

IMAGE GALLERY

The challenge

Despite having established their first client agreement in the same year the company launched, the challenge was expansion. In addition to the need for further capital in the face of limited revenue from a small client base, resulting from a lack of access to the market, the company lacked a clearly-defined growth strategy.

To help achieve their vision, CEO Xolani Zuma and his team needed relationships in place as well as an understanding of precisely which services would most effectively support the company’s growth ambitions.
Grappling with an expansion-hampering lack of liquidity and an unproven track record, Mr Zuma knew that his journey required the right banking partner.

The solution

At the very first meeting, Mr Zuma encountered our diverse Standard Bank team quickly able to understand Advannotech and its vision. We then began connecting the business across our enterprise and business banking ecosystems, focusing on the precise relationships and services that would support growth.

With little more than a few hundred thousand rand in Advannotech’s account, we helped the company chart a growth strategy that would increase revenue to R50 million in six years. Mr Zuma described our strategy as focusing our “Enterprise Development team on securing opportunities with credible businesses that would ensure the plan worked.” We then bet on this plan with our own capital,

We also assisted Advannotech in establishing a client base and our credit manager advised on key acquisitions to take Advannotech national, enabling the business to serve clients and operate seamlessly across the country.

“Standard Bank’s knowledge and ability across the tech, management, and consultancy ecosystems meant they could foster the right relationships, further leveraged with the services they knew I needed at every stage of my growth journey. Even now, Standard Bank is looking ahead, planning my expansion into the continent,” explains Mr Zuma.

The outcome

By the end of 2019, within 12 months of talking to Standard Bank, Advannotech boasted turnover of more than R500 000. A year later, in the midst of the Covid-19 pandemic, Advannotech became a R15 million per annum business. By the end of 2021, Advannotech’s annual turnover exceeded R20 million. In less than four years, Advannotech has grown from a start-up to a nationwide entity with a turnover of more than R20 million, employing about 30 people in five provincial offices.

The business also supports a sought-after tech internship programme, providing skills and access to graduates. Building marketable skills for technology graduates also “deepens the ability of South Africa and Africa’s technology sector to drive inclusive growth, enabling African technology to solve for Africa’s future in tomorrow’s world,” says Mr Zuma.

Xolani Zuma

CEO

“At every step of my journey, Standard Bank has put the relationships, systems, and facilities in place to guide, and then enable, my growth.”