SA Elderly Couple Build Double-Storey House Selling 3,000 Fat Cakes a Day
- An elderly couple sells 3,000 fat cakes daily outside the Carlton Centre in downtown Johannesburg
- The couple earns around R1,000 in daily profit and is building a double-storey house in Meadowlands
- Informal economy expert GG Alcock used their story to highlight how South Africa's system leaves millions behind
- Briefly News spoke to property expert Rajesperi Naidoo about how people can use a small business to work towards owning a home, even when they do not earn a regular salary
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Source: Getty Images
An elderly couple running a fat cake stall, also known as magwinya, outside one of Johannesburg's most recognisable landmarks is quietly building a life most formal employees would envy — one vetkoek at a time.
The husband and wife set up on Von Wielligh Street, just outside the Carlton Centre in the Johannesburg CBD, where they sell amagwinya for R1.50 each to the thousands of commuters and workers who pass through daily. By the end of each day, they move roughly 3,000 units and walk away with a profit of around R1,000.
With that income, the couple is building a double-storey house in Meadowlands, Soweto, paying cash.
The woman who works but has no job
Informal economy expert GG Alcock came across the couple and was struck by something the woman said when he asked whether they had formal work or were registered as a business. Alcock said on the Pat on Brands podcast:
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"She said she works but does not have a job. She considers having work as having a payslip."
That single exchange captures a much larger problem, according to Alcock. South Africa's economic framework does not count people like this couple as employed, because they lack payslips and formal registration. Their thriving daily business, built on hard work and consistent demand, exists entirely outside official economic statistics.
Source: Getty Images
A system that leaves millions out
Alcock argued that this is not a failing of the entrepreneurs themselves, but of a government unwilling to extend services and infrastructure to informal traders in inner cities and townships. He said:
"To work is to have a payslip in South Africa. We have built a society that thinks that way and leaves these people out."
Without formal recognition, informal traders cannot access bank financing, modern payment systems, or industrial facilities that could help them scale. In some cases, Alcock noted, the grey area is exploited by people who claim social grants despite running functioning businesses, because the state has no mechanism to verify informal income.
He said the Johannesburg couple perfectly illustrates the paradox. They run a successful operation, support themselves, and are investing in property, yet on paper they are counted among the unemployed.
Alcock believes the solution lies not in chasing tech startups, but in recognising and growing the millions of small businesses already operating in South Africa's informal economy. He said:
"We have millions of businesses and entrepreneurs in this space. It is about scaling these businesses and growing them."
His work through Kasinomics Unleashed is focused on doing exactly that: changing how South Africa defines, measures, and supports work beyond the payslip.
Speaking to Briefly News writer Nerissa Naidoo, Rajesperi Naidoo explained how people can turn small, steady earnings into a property investment:
“I think this couple's story shows that you don't have to earn a big salary to start working towards owning a home. Sometimes, it starts with a small business, being consistent and learning how to manage the money you make. For example, if you sell food every day, you can put a portion of your profits aside for building materials instead of spending everything you earn. People can keep a record of their daily income and expenses so they know exactly how much they are making and what they can afford to save."
She went on to say:
"I've seen how people can start with very little and slowly improve their living conditions when they have a clear goal. The important thing is to be patient and not rush into building before you can afford the next step. You can start by buying materials little by little, but you must also make sure you have a proper building plan, use qualified builders and follow the necessary rules. A house does not have to be completed in one year. What matters is having a realistic plan and making steady progress without putting yourself under too much financial pressure.”
More Briefly News stories on small business
- Pretoria-based Lindiwe Shibambo went from working as a domestic worker to building Maid4U, a R50 million business bringing structure and dignity to the sector.
- See inside the new Pantry at Fourways Mall in Johannesburg, where a bakery, ice cream bar, imported groceries, home décor and a restaurant have shoppers buzzing.
- At 22, a Soweto entrepreneur built Revive Day Spa from a back room, overcame hardship and created jobs for young women, inspiring praise across South Africa.
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Source: Briefly News
Tendani Mungoni Tendani Mungoni is a Human Interest Writer at Briefly News (joined in 2026). She is a Film and Television graduate from the University of the Witwatersrand (2020). Mungoni began her journalism career as a Multimedia Journalist at Media24’s YOU Magazine. She was a Writer at TheSoul Publishing and Music in Africa. To reach her, contact: tendani.mungoni@briefly.co.za
Rajesperi Venilla Naidoo (Entrepreneur and Business Owner) Rajesperi Venilla Naidoo is a seasoned entrepreneur with ranging experience in various industries. She's held CEO positions in multiple companies, including Naleli Transport and Sugar and Spice, and is mainly involved in property development in the commercial property industry.
