With November marking Global Entrepreneurship Month, which places attention on how people build and sustain small enterprises in challenging economic conditions, it’s fitting to look at how ride hail drivers operate as micro-entrepreneurs within the wider gig economy.
South Africa’s economy relies heavily on individuals who create their own income streams, often falling outside of formal employment. Digital platforms, as such, have become one of the fastest-growing ways for people to do this, especially in transport and delivery work. In fact, research estimates that about 3.9 million South Africans participate in platform or gig work, which makes it a significant part of the country’s economic activity.
Drivers as microbusiness owners
Many gig workers in South Africa already operate with the mindset of small-business owners. Their vehicles carry running costs, require maintenance schedules and need to generate consistent revenue to stay viable. Drivers track daily earnings, compare them with fuel and service expenses and adjust their working patterns to maintain margins. This kind of activity mirrors the fundamentals of running a sole-proprietor enterprise.
Within this environment, inDrive’s promotional period, allowing drivers to keep 99% of their fare income between 1 November and 31 December, strengthens the economics of this model. It gives drivers a broader share of each fare and more space to manage their income in line with their business decisions.
Ashif Black, inDrive’s Country Representative in South Africa, says the intention is to support this entrepreneurial approach. “Drivers make operational decisions every day. They choose when to work, where to work and how to price through negotiation. Their choices resemble those of any micro-entrepreneur aiming for sustainable margins.”
He notes that higher take-home earnings often translate into reinvestment. “When drivers keep more of what they earn, they are able to maintain and improve their vehicles, which strengthens the long-term stability of their business.”
The ability to negotiate fares and work flexibly allows drivers to shape their margins in the same way a small-business owner would. A reduced commission structure also means that the platform operates as a partner rather than a gatekeeper, giving drivers more control over financial outcomes.
Modern ride-hailing platforms, in addition to connecting drivers and passengers, provide a form of digital infrastructure that entrepreneurs would otherwise have to build themselves. Through the inDrive app, drivers access tools for fare negotiation, digital payments, rating systems and data on peak demand and routes. These functions serve as a low-cost operational base, reducing barriers that usually deter new business owners, such as the need for capital, formal premises or administrative systems.
Black notes that this model has opened the door for more people to participate in income-earning activity. “These app-based tools lower the barrier to entry. You don’t need a storefront or large capital. With a smartphone and a vehicle, you can start building and growing.”
Many drivers, he adds, take advantage of this by diversifying their earnings, switching between rides, deliveries or courier tasks as demand shifts throughout the day.
Economic significance and job creation
Gig work has become one of the most accessible entry points into the South African economy. For many, it provides a first income, a supplementary income or a transition into more stable earning patterns. With unemployment at 32.9%, the economic value of low-barrier micro-enterprise cannot be overstated.
inDrive’s focus on driver autonomy strengthens this dynamic by giving participants more control over how they earn and how much of that income they retain. The result is a form of micro-enterprise that grows from the ground up, supported by the tools and flexibility that digital platforms provide.
For many drivers, this approach offers a practical way to build independent income in a difficult labour market, reflecting the changing shape of work and the entrepreneurial ways people are adapting across the country.
