town house 04-08-10.jpgThe Harare City Council has admitted to its failure to properly manage and license businesses operating in the city amid revelations that the local authority is losing over $6 million annually in potential revenue.

The Harare City Council is reportedly losing around US$6 million every year due to its failure to properly licence businesses operating in the CBD.

Harare City Council spokesperson, Mr. Leslie Gwindi admitted that council has failed to address the issue of licensing which has seen between 55 to 65% of businesses operating in the capital illegally.

The mushrooming of many small to medium business entities in the capital has seen businesses trying to maximise floor space and unscrupulous individuals and companies have partitioned buildings for subletting purposes, resulting in what have become known as cubicle shops.

Meanwhile, Council has launched a joint operation with the Zimbabwe Republic Police to clamp down on unregistered operators.

Under the operation launched in December, the city fathers have threatened to shut down businesses without proper registration.