As South Africans build side hustles to supplement their incomes, banks are racing to capture the growing gig economy, with FNB this week unveiling the solopreneur account to support small businesses.
The side hustle economy is booming and banks are getting in on the action, as young people join the informal economy out of necessity.
FNB said this week the bulk of side hustlers being informal traders and retailers including market traders and food vendors followed by personal service side hustles like hairdressers, and skilled or artisan trade such as plumbers.
“In terms of the self-employed client base, not just ‘side hustles’, we see self-employed customers pushing boundaries with a stronghold in traditional industries, showing stability and leveraging their professional skills and qualifications. This is likely due to low supply of employment opportunities for those with tertiary qualifications,“ it said.
FNB said there was an estimated 4-million self‑employed people, with the informal sector accounting for more than 21% of total employment while research also shows that 1.5-million South Africans already earn independently, often through freelance, contract or hybrid income models.
Many individuals begin their entrepreneurial journeys informally, often managing both personal and business activity through a single account. We built solopreneur to bring those worlds together, giving customers the tools to manage, grow, and formalise their finances as they scale
— Sizwe Nxedlana, CEO of FNB Private Banking and Wealth Management,
FNB CEO Lytania Johnson said with people having multiple income streams, the traditional divide between personal and business finances becomes less relevant, yet conventional banking still treats them separately.
“For independent earners, navigating multiple accounts, systems, and tools creates unnecessary friction — from splitting transactions to tracking income. Customers live and earn through a single identity; their banking should work the same way,” Johnson said.
FNB rival Capitec is also zooming in on the gig economy after launching the entrepreneur account in December with the focus on the sole proprietor and informal enterprise segment that are an “underserved but economically significant sector of the South African economy”.
Capitec’s mission to capture the gig economy comes as the group sets out to build its business bank of choice for small and medium-sized enterprises (SMEs).
Sizwe Nxedlana, CEO of FNB Private Banking and Wealth Management, said more South Africans were earning outside conventional employment through project‑based or entrepreneurial work.
“Many individuals begin their entrepreneurial journeys informally, often managing both personal and business activity through a single account. We built solopreneur to bring those worlds together, giving customers the tools to manage, grow, and formalise their finances as they scale,” he said.
The gig economy is already a fundamental part of South Africa’s economic fabric. The question now is whether the financial ecosystem will evolve fast enough to truly support it
— Mitchan Adams, Aions Ventures CEO
The solopreneur account is unique in that it helps customers build and grow their businesses, compared to other banking solutions that help customers transact and access credit. It gives customers access to a personal account, a credit card, a business account and merchant payment solutions.
FNB said the side hustle segment was an under‑served market and this was a clear trend, where just over 54% of its private bank clients are self‑employed.
“Solopreneur is designed to support these customers at different stages of their journey, from informal earning through to more formalised businesses, rather than targeting a single number upfront,“ the bank said.
Commenting on the gig economy, Mitchan Adams, CEO of Aions Ventures, said gig work isn’t just “side income” but the early stage of entrepreneurship, a fact often overlooked.
“It’s where people start building income streams, testing skills and, in some cases, laying the foundation for scalable businesses,“ he said.
Adams said while products like solopreneur accounts from FNB are a step in the right direction, particularly in lowering the barrier to entry for individuals operating outside traditional structures, the real opportunity goes beyond just accounts.
“The gig economy is already a fundamental part of South Africa’s economic fabric. The question now is whether the financial ecosystem will evolve fast enough to truly support it.”
Business Times
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