Conversation about loading airtime with grandmother turns into a profitable business idea

Business News

Due to the language barrier, he realised there are many people in the country who struggle to use digital services.

What was a normal conversation between a grandson and his grandmother about reading comprehension has turned into a profitable business idea.

Thapelo Nthite was helping his grandmother load airtime onto her phone because she struggled with reading and understanding English. A question popped into his head, “how many people are going through the same problem, with no one to help?”

His idea to start Botlhale AI was the reason why the panel at Momentum’s 2024 Big Success Pitch chose him as the winner.

Business idea

According to Nthite’s research, only 8% of South Africans speak English at home, and only 30% are comfortable expressing themselves in the language.

Due to the language barrier, he realised there are many people in the country who struggle to make use of digital services.

With Botlhale AI, he aims to increase the application of artificial intelligence systems to eliminate language as a barrier to entry for basic digital services.

ALSO READ: Google adds 15 more African languages on Voice Search

R500 000 cash prize for business idea

He saw a gap that some businesses might be losing on clients because of the language barrier. Therefore, through his product, businesses will be able to engage with customers in a language they understand using AI-powered natural language processing.

The Momentum’s Big Success Pitch saw it befitting to award his idea with the top prize of R500 000 cash prize.

“As part of the prize, he also walks away with the services and expertise of a financial adviser from the financial service provider.”

Second place winner

The prizes of the competition do not only include the money, but they also include mentorship and coaching received from an experienced financial adviser.

Being able to receive advice on how to grow and sustain a business was the reason why Phillip Mngadi entered the competition.

Founder of Zinacare, a business that produces at-home tests, and mobile nurse service was selected as the second-place winner in the competition. And walked away with R300 000.

He said through the mentoring he is going to receive, he will be able to take the business to the next level.

ALSO READ: Google looking to fund 15 black-owned South African tech start-ups

The competition

The second annual Momentum’s Big Success Pitch competition received over 11,000 entries and had to cut it down to the top 5.

“Through this competition, we are empowering entrepreneurs who have the potential for scale and sustainability with not only a cash injection but also meaningful advice through business coaching with a financial adviser,” said Qhawekazi Mdikane, executive head of Momentum Brand Marketing.

The other winner was Zizipho Ntobongwana for her social enterprise Sheba Feminine. It came out third and received R200 000. She was inspired to start her own sanitary pads and tampons after she noticed other brands make use of harmful chemicals.

Rounding out the top 5 of the competition was Nomso Kana, founder of Simsciex Technologies which provides broadband and energy solutions as well as Serisha Barrat who is the founder and chief executive of Lawyered Up. Lawyered Up uses artificial intelligence to make legal help accessible to small businesses.

NOW READ: Business playbook: SME tips to plan, save and grow

Solid State acquires Q-Par Antennas USA

Technology

Value-added components supplier Solid State has acquired Q-Par Antennas USA for a maximum consideration of up to $2.0m.Solid State said on Friday that Q-Par, an antenna systems and related technologies distributor primarily for defence and security applications, will join its systems division.
The AIM-listed group stated the acquisition will be funded from existing cash resources, with an initial cash consideration of $500,00 payable on completion, with an additional $500,000 paid in the first week of January 2025.
A further deferred payment of $500,000 will be paid out in cash over a two-year period, while an earn-out consideration of a further $500,000 may be payable subject to exceeding certain growth and performance targets.
Chief executive Gary Marsh said: “The acquisition of Q-Par Antennas secures a valuable distribution channel and gives the group an opportunity to further invest in the medium-term growth opportunity in the US markets.
“As Solid State broadens its footprint and product offering in the US market, locally recognised and accredited sales channels enable scale, particularly into niche markets.”
As of 0935 GMT, Solid State shares were up 4.35% at 240.0p.

Reporting by Iain Gilbert at Sharecast.com

Trump may kill the CHIPS and Science Act. Here’s what that means for your community.

Science and Health

If Donald Trump wins the 2024 presidential election, semiconductors may be the last thing on your mind. Yet, the existing federal effort aimed at increasing tech manufacturing in the US may no longer just move slower than many hoped — it may stop altogether.Recently, Trump took aim at the CHIPS and Science Act on the Joe Rogan podcast on Oct. 25, suggesting that instead of putting federal money toward a domestic semiconductor industry, the US can charge foreign semiconductor manufacturers high tariffs to encourage them to build factories in the United States.“That chip deal is so bad,” the Republican candidate told Rogan.One problem with this suggestion is that tariffs are paid by the importer and not the exporter. The idea, repeated by Trump, that a tariff is something the US charges foreign countries when goods are imported is disinformation. Tariffs are paid for by the business doing the importing, which often in turn increases the cost of the imported goods to the consumer.Killing the CHIPS Act isn’t as simple as declaring it defunded, with millions of dollars already committed. But it can easily be mismanaged and abused to benefit corporations over workers. It’s a complex and in some ways risky act that requires competency to get right. As it is, there have been holdups due to the long negotiation processes meant to ensure that the federal money is not misused by the corporations that are awarded funds. Still, people connected to the US semiconductor industry have expressed fear that a Trump presidency could mean the end of years of hard work to establish both foreign and domestic semiconductor fabrication plants and the jobs they bring to the United States.Democratic nominee for president and current vice president Kamala Harris, in contrast to Trump, has been promoting the CHIPS Act, one of the major bipartisan pieces of legislation passed by the Biden Administration. On Monday, Harris toured a Corning semiconductor plant in Saginaw, Michigan, that received $325 million in CHIPS funding to expand operations and add 3,000 jobs in the swing state.Why US semiconductor manufacturing mattersThe CHIPS and Science Act, enacted in 2022, focuses on US-based research and manufacturing of semiconductor chips.Semiconductors, such as the electrical circuit “wafers” you see when you open up a computer, are at the heart of much modern technology, including smartphones, TVs, digital cameras, LED bulbs, ATMs, medical equipment, cars — you get the picture. We use them every day without thinking about it.About 90% of the most advanced semiconductors are produced by one Taiwanese company, Taiwan Semiconductor Manufacturing Company (TSMC). Overall, about 75% of all semiconductors are produced in East Asia. Other countries with growing semiconductor production include Germany and the Netherlands. When the CHIPS Act passed, the US produced just 12% of the world’s semiconductors, far less than we use.The United States’s biggest supplier of semiconductors is TSMC. If anything happened on the international stage to cut the US off from Taiwan, the US would be in trouble, because we couldn’t manufacture enough of them domestically to fulfill the country’s needs.To help make the US more self-reliant when it comes to semiconductors, the CHIPS Act committed $280 billion to strengthen the industry, including providing $52 billion in subsidies for US semiconductor manufacturers, including TSMC, South Korean Samsung and US companies like Intel.Still, there are risks associated with entering what can be seen as a “semiconductor war” with China. Part of the act says that the geopolitical risks will be assessed and addressed. This is another complex aspect of the act that can slow things down.The CHIPS and Science Act also includes measures like:Research and development for the next generation of chips is federally funded, as are programs to accelerate bringing new technology to the manufacturing stage. 

State and local incentives to build chip manufacturing plants are being matched federally.

A workforce development aspect that prioritizes helping low-income Americans, with a focus on rural areas and communities of color. The CHIPS Act also funds regional economic developmentOn top of federal efforts, the CHIPS Act also has many impacts on local economies.While large technology corporations like Intel are receiving CHIPS Act funds, money also goes to:University researchers

STEM startups that use/develop semiconductors

Nonprofits involved with semiconductor manufacturing workforce training

Suppliers to chip manufacturers

R&D for fabless chip makersSome of this funding goes through the EDA Tech Hubs program. In 2023, the Economic Development Administration put out a call to economic regions across the US to build a consortium including an institute of higher education, a state or local government entity, private sector firms, economic development groups and workforce representation. In October 2023, the Biden Administration announced the selection of 31 EDA Tech Hubs, which were qualified to make proposals for grants from $500 million in federal funding to help them build assets, resources and equitable tech jobs. In July, 12 of those hubs were selected as the program’s initial grant recipients. Cities like Philly and Baltimore received the designation, but not the associated funding. 

What’s at risk if the CHIPS Act is abandonedIf executed well, the CHIPS Act will mean more US jobs, both in research and design of chips and in manufacturing them, though it isn’t going to happen overnight.Arizona, for example, is on its way to becoming a center of the industry, with a major semiconductor fabrication plant (commonly called a fab) under construction in north Phoenix. The state has drawn TSMC, and with it nearly $100 billion in semiconductor investments. Intel also has its main semiconductor campus in the state. Both TSMC and Intel were awarded CHIPS Act funds.Even with the new semiconductor fabs about a year from opening, working people in Arizona have been impacted by the CHIPS Act. Ironworkers Local 75 in Arizona has grown from 250 members to 1,100 since the act passed. When the fabs open, they will each employ about 6,000 people, many in good-paying blue-collar jobs that don’t require a college degree and are tied to workforce development training programs.And it isn’t just Arizona. Twelve Samsung semiconductor fabs are planned for Austin and Tyler, Texas. Four Micron fabs are planned in Upstate New York, in Ithaca, Malta, Macy and what is being called the “largest semiconductor fab in the US” in Clay. Columbus, Ohio is getting two Intel fabs, with Idaho, Utah, Florida and Oregon each building one fab. The Clay fab alone is expected to create more than 50,000 jobs for the area, which includes other regions like Syracuse, Auburn and Oswego. If things don’t get derailed, that’s a lot of new jobs, and a lot of potential opportunities in EDA Tech Hub regions. 
Companies:
Intel Corporation / Samsung

We Energies Cookie Book now available, distribution events begin November 2

Arts & Culture, Books

MILWAUKEE — A near-century-old tradition continues this holiday season as the annual We Energies 2024 Cookie Book is out!  It’s available now for digital download, but so many families across the state have long preferred the hard copy.

Distribution events for those books begin November 2nd, at both Fox Cities Stadium in the Fox Valley, and American Family Field in Milwaukee. Both events run from 9 a.m. to 1 p.m. CST on Saturday, Nov. 2.

The tradition of customer-submitted recipes for Holiday cookies dates back to 1928, with the idea of promoting electric appliances for Baking. The theme for this year’s book is “Childhood Memories.” 

Click here for digital download and distribution events: https://www.we-energies.com/recipes/

LAST YEAR: WTMJ’s Vince Vitrano participates in We Energies’ ‘Great Cookie Book Taste Off’

Understanding the Current Mileage Reimbursement Rates and How They Affect Your Business in 2024

Business News

In 2024, many businesses will continue to rely on employees using their personal vehicles for work-related travel. Whether it’s attending client meetings, making deliveries, or traveling between offices, these miles add up. To offset these costs, employers offer mileage reimbursement to their employees. For businesses, it’s essential to stay informed about the current mileage reimbursement rates to ensure compliance with IRS guidelines, accurately compensate employees, and take advantage of tax benefits.This article will explore the current mileage reimbursement rates, how they are determined, and how they affect your business operations in 2024.
What Are Mileage Reimbursement Rates?
Mileage reimbursement rates are the amounts per mile that businesses reimburse employees when they use their personal vehicles for work purposes. These rates are set by the IRS, reflecting the costs associated with driving a vehicle, including fuel, maintenance, insurance, and depreciation. The IRS reviews these rates annually and makes adjustments to reflect changes in the cost of living, fuel prices, and vehicle operating costs.
For 2024, the IRS has set the current mileage reimbursement rate at 65.5 cents per mile. This rate applies to business-related travel, and it’s critical for employers to use this rate to avoid tax complications.
Why Do Mileage Reimbursement Rates Matter for Businesses?
Mileage reimbursement rates are important for businesses because they directly affect how employers compensate their employees for work-related travel and how those expenses are recorded for tax purposes. Here are a few key reasons why understanding the current mileage reimbursement rates is crucial:
1. Ensuring Fair Compensation for Employees
By reimbursing employees at the IRS-approved rate, businesses ensure that their staff are fairly compensated for the expenses they incur while using their own vehicles for work. These expenses can be significant, especially for employees who drive frequently for business purposes. The 65.5 cents per mile rate accounts for fuel, wear and tear, insurance, and more.
If a business reimburses employees below the IRS rate, employees may end up shouldering part of the cost themselves, which could lead to dissatisfaction or even potential turnover. On the other hand, over-reimbursing could result in excess payments that may be subject to taxes.
2. Tax Deduction Opportunities
Mileage reimbursements that are paid at or below the IRS rate are generally not taxable for the employee, and businesses can deduct these expenses as business costs. This makes mileage reimbursement not only beneficial for employees but also advantageous for companies that want to lower their taxable income.
However, it’s crucial that businesses accurately track the miles employees drive for work and ensure the reimbursement aligns with the current mileage reimbursement rates. Failing to do so could result in inaccuracies in tax filings, leading to penalties or audits.
3. Staying Compliant with IRS Regulations
Compliance is another major reason why businesses need to pay attention to the current mileage reimbursement rates. The IRS has specific rules in place that dictate how businesses should handle mileage reimbursement. For example, reimbursements that exceed the IRS rate can be considered taxable income for employees, which could create additional tax obligations.
By reimbursing employees at the 2024 rate of 65.5 cents per mile, businesses can avoid these complications and ensure that they are following IRS guidelines. Keeping accurate records of mileage, using the approved rates, and maintaining clear reimbursement policies are essential for staying compliant and minimizing tax risks.
How Are Current Mileage Reimbursement Rates Determined?
The IRS sets the mileage reimbursement rate by taking into account various factors that affect the cost of operating a vehicle. These factors include:

Fuel Prices: Fluctuations in gas prices play a significant role in determining the rate. As fuel costs rise or fall, the IRS adjusts the rate accordingly.
Vehicle Maintenance Costs: Wear and tear on a vehicle, along with routine maintenance like oil changes and tire replacements, are also factored into the mileage rate.
Insurance and Registration Costs: The costs of maintaining insurance and renewing vehicle registration are considered as part of the overall cost of owning and operating a vehicle.
Depreciation: As vehicles age and accumulate mileage, their value depreciates. The IRS includes this depreciation in its calculations for mileage reimbursement.

Each year, the IRS assesses these factors and adjusts the rate to ensure it accurately reflects the true costs incurred by employees driving for work.
How Current Mileage Reimbursement Rates Impact Business Finances in 2024
Mileage reimbursement rates directly impact a company’s operating expenses, especially if it has many employees who drive frequently for work. Here’s how the current mileage reimbursement rates can affect your business’s finances:
1. Budgeting for Employee Travel Expenses
If your business relies on employees to travel regularly, it’s important to account for the cost of mileage reimbursement in your budget. By understanding the current mileage reimbursement rate of 65.5 cents per mile, you can estimate how much you’ll need to reimburse employees for their travel.
For example, if an employee drives 1,000 miles for work in a month, your business would need to reimburse them $655 for that travel. Multiply that by the number of employees and the number of miles driven, and you can see how mileage reimbursement can become a significant line item in your business’s budget.
Accurately budgeting for these expenses will help your business plan for the year ahead and ensure that you’re not caught off guard by unexpected costs.
2. Managing Cash Flow
When it comes to managing cash flow, understanding your business’s reimbursement obligations is essential. Mileage reimbursement is an ongoing expense for companies with mobile employees, and paying attention to the current rates ensures you have enough cash on hand to meet these obligations.
For businesses that have tight margins or operate on a lean budget, it’s important to monitor the miles employees are driving and ensure that reimbursements are being handled efficiently.
3. Reducing Taxable Income
Mileage reimbursements are deductible business expenses, meaning that businesses can reduce their taxable income by the amount they reimburse employees for business-related travel. As long as your business reimburses employees at or below the IRS-approved rate, you can deduct these costs and lower your tax liability.
For example, if your business reimburses $10,000 in mileage expenses over the course of the year, you can deduct this amount from your total income, lowering the amount of taxes you owe.
Tips for Maximizing the Benefits of Mileage Reimbursement
To get the most out of mileage reimbursement programs and ensure that your business remains compliant and efficient, here are a few tips:
1. Implement a Mileage Tracking System
One of the most effective ways to manage mileage reimbursement is by implementing a mileage tracking system. Automated tracking tools like Everlance can help employees accurately record their miles, reducing errors and ensuring timely reimbursements. These systems also generate reports that can be easily submitted to the IRS for tax deductions.
2. Establish Clear Reimbursement Policies
It’s important for businesses to have clear and consistent mileage reimbursement policies in place. Employees should understand which types of travel qualify for reimbursement, how to track their miles, and how to submit their reimbursement requests. Having a formal policy will reduce confusion and ensure that everyone is on the same page.
3. Stay Informed About Rate Changes
The IRS updates mileage reimbursement rates each year, so it’s important for businesses to stay informed about any changes. By adjusting your reimbursement practices to reflect the most current rates, you can ensure compliance and fair compensation for your employees. The rate for 2024 is 65.5 cents per mile, but this could change in subsequent years based on economic conditions.
4. Monitor Business Mileage Regularly
To avoid unexpected reimbursement costs, regularly monitor the amount of business mileage employees are logging. This can help you identify any potential areas where you can reduce travel or optimize routes to minimize costs.
Conclusion
Understanding the current mileage reimbursement rates is essential for businesses that rely on employees to drive for work. In 2024, the IRS has set the rate at 65.5 cents per mile, reflecting the costs of operating a vehicle for business purposes. This rate impacts everything from employee compensation to tax deductions and legal compliance.
By reimbursing employees at the correct rate, businesses can ensure fair compensation, maintain IRS compliance, and take advantage of tax benefits. To streamline the process, consider implementing a mileage tracking system and establishing clear reimbursement policies that align with the latest IRS guidelines.
By staying informed and proactive, businesses can minimize costs and ensure that both employers and employees benefit from effective mileage reimbursement programs in 2024 and beyond.