STUDENT TRAVEL tripping BCom graduate Matthew Slater is on the road to success with his student transport business When entrepreneur Matthew Slater first thought of starting a shuttle service for students at Grahamstown's Rhodes University in 2004, he never dreamed that a little more than five years later he would head up a company with an annual turnover of Rl,5m, about 650 members each year — and an endorsement from the university as the campus transport mode of choice.

"It's there to make students' lives easier and to ensure they get through varsity safely," says Slater. "And it really isn't expensive in terms of annual fees," he explains.

"For 2009 it will cost a student R2 200 to sign up to Rhode Trip for the year. This offers the student unlimited lifts in Grahamstown every evening. We drive through campus every 20 minutes on a set route and stop outside the main entertainment area on campus every half hour after 11pm."

Each student who signs up receives a special membership card and annual fees can either be debited to members' student accounts or paid directly into the Rhode Trip banking account.

Starting the business as a student, however, was not easy. Says BCom graduate Slater: "I struggled to finish my third year when I was writing the business plan and I actually ended up carrying two credits, which I completed in my first year of business." Slater's start-up costs were also substantial, particularly for a student. "It cost me approximately Rl00 000 for deposits on vehicles, CB radio systems, sound systems, office equipment, driver training, permits, insurance and vehicle branding," he explains.

"I was lucky enough to have Standard Bank approve my business plan, and they offered me close to R500 000 in finance, a portion of which I used to get the business going."

In addition, the company faces ongoing challenges, including "drastic fuel price fluctuations, major vehicle repairs and no support from other universities for expansion", says Slater.

Nonetheless, he encourages aspiring entrepreneurs to pursue their dreams. "Make sure you are passionate and never give up or listen to negative comments, while making sure to remain both cautious and realistic," he advises. "Perseverance is defined by the snail that made it to [Noah's] Ark!"

Today, Slater's business employs 15 people: seven drivers, two managers and six coordinators for an evening call centre. It is creating jobs for others that Slater considers his greatest success.

His seven drivers, all from previously disadvantaged backgrounds, have worked for him for four years now. "I have helped them to buy cars and to better the lives of their families," he says.

Slater has big aspirations for Rhode Trip. He plans to take the business model to other campuses — and even, perhaps, overseas. "The model can be adapted to suit any campus, any size.

Stellenbosch University has a proposal from me; I have an investor with over Rim to get Road Trip Maties off the ground and all we need is for the university to allow us to charge to student accounts and send brochures to the parents every year. My dream is to franchise this concept onto all small campuses in SA, and I will do it if I get the same support from other universities as Rhodes has given Rhode Trip."

Story By: Lexi Fincham

FINANCIAL MAIL, FM Campus 13 Feb 2009 Page 4

ALL ABOUT SLATER

• He started his first business - buying sweets in bulk and selling them to his classmates - at the tender age of seven.

• He recently ran a business called Postman Matt, which provided a postal delivery service from post box addresses to residences and businesses in Johannesburg.

• He owns a live music venue in Johannesburg, which serves as more of a hobby than another potential career avenue.

• To overcome some of the challenges faced by Rhode Trip, he has personally designed some in-house systems and processes so he can oversee the business from a distance.?

• During the day, Rhode Trip provides airport transfers to and from Port Elizabeth.