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See below FAQs about BEE

1.Where do I start once I've registered?

The help section contains complete video tutorials that will guide you step by step through the process.

2. What are sector turnover thresholds?

In general, entities with a turnover less than R5 million qualify as Exempt Micro Enterprises in terms of the Old Codes (2007) and less than R10 million in terms of the Amended Codes of 2013.   These turnovers differ for some of the sector codes.  Entities with larger turnovers are Qualifying Small Enterprises (QSEs) and are not exempt from Verification unless they are 51% Black Owned in which case they may provide a sworn affidavit.

3. Who can Issue EME B-BBEE Certificates?

a. For EME entities measureable in terms of the old generic codes or an old sector code any registered Accounting Officer, SANAS accredited agency, or IRBA approved auditor including ACSA, CIBM, CIMA, CSSA, IAC, IRBA, SAIBA, SAICA, SAIPA members. b. For EME entities measureable in terms of the Amended Codes no certificates may be issued unless a certificate is obtained from the CIPC when registering new businesses or filing ones annual returns. Sworn Affidavits is sufficient evidence of and EME or 51% Black Owned QSE’s B-BBEE Status. c. An EME affidavit template is available free of charge on the web-site of the Dti. However the template provides no guidance with respect to the terms used and neither does it accommodate the thresholds of the different amended sector codes. In this regard our online platform provides easy to follow guidance to ensure that your client do not inadvertently misrepresent their B-BBEE status.

4. Who can Issue QSE and Generic B-BBEE Certificates?

Only SANAS accredited verification agencies may issue certificates for QSE’s that are not black owned and Generic entities.

5. What are the BEE Status Levels for EMEs in terms of the Amended Codes?

• Less that 51% Black Owned = Level Four Contributor with 100% Recognition Level
• At least 51% Black Owned = Level Two Contributor with 110% Recognition Level
• 100% Black Owned = Level One Contributor with 110% Recognition Level

6. How often does an entity’s BEE status have to be attested to?

A B-BBEE certificate is valid for 12 months from date of issue. A sworn affidavit is valid for 12 months from the date of signature by the Commissioner of Oaths.

7. Revised BEE Codes – Updated Information

1. How will Sector Code companies be verified if their financial year-end is post 30 April 2015?
The DTI issued a notice of clarification on the 5th of May which stated that the transitional period for the alignment of the Sector Codes was extended to the end of October 2015.

Once a Sector Code is gazetted in terms of section 9(1) of the Act the new Sector Code will however be applicable to all companies in that sector who have a financial year end that post dates the effective date of the particular Sector Code. Companies in the sector that have a financial period that ended prior to the effective date of the Sector Code will for one final time be able to be measured in terms of the old Sector Code

Those Sector Codes that were not aligned and ready for gazette by the end of October were consideration for repeal by the Minister. ON the 16th of February 2016 the Minister gazette a notice expressing his intention to repeal the Construction Sector Code and the CA Sector Code. Entities that were formerly measurable in terms of these sector codes worth with is now measureable in terms of the Amended Codes until such time as an Amended Sector Code is approved by the Minister for these sectors.

2. Does the EME turnover (R10m) bracket apply to Sector Code companies?
The R10 million turnover threshold for EME’s only apply to companies measureable in terms of the general Amended Codes and those measurable in terms of an Amended Sector Code that adopts it.
The Amended Sector Codes often have different thresholds for determining qualification as an EME, QSE or Large enterprise than that prescribed by the general Amended Codes.

3. Who would qualify as a Supplier Development beneficiary? Do they need to be a supplier of mine?
EMEs or QSEs that are at least 51% Black Owned who are value adding Suppliers to the Measured Entity will qualify as beneficiaries under Supplier Development. The entity therefore need to be a supplier of the measured entity.

4. Will I receive automatic Empowering Supplier Status if I have Value Adding status? If not, what is the difference?
Only certificates issued under the old dispensation (including Sector Codes) and EMEs have automatic Empowering Supplier Status. It is not at all dependent on Value-Adding Supplier status, as the two concepts have completely different definitions.
Value Adding Supplier is defined only in the old codes as “… an entity registered as a vendor under the Value Added Tax Act of 1991, whose NPBT summed with its total labour cost exceeds 25% of the value of its total revenue.”
Empowering Supplier is a new concept of the Amended Codes, and is describes as a B-BBEE compliant entity which is a good citizen South African entity, compliant with all regulatory requirements of the country and a Generic should meet 3, while a QSE should meet at least 1, of the criteria set out in the codes. There are 5 possible criteria that could be met (4 of which are contained in the Amended Codes gazette no. 36928, and a fifth criterion was added by gazette no. 38765 on 6 May 2015). Generic Entities and QSEs must be verified in terms of meeting the conditions to be recognised as an Empowering Supplier.

5. Will national or domestic EAP stats apply in determining the EE and SD targets?
Should more than 50% of the staff of the Measured Entity be situated in a particular province, the EAP statistic for that province should be considered, following the precedent set by the findings of Solidarity vs Department of Correctional Services and 3 others (C368/2012 & C968/2012), ; in other cases (for example where the dominant province cannot be determined) the overall demographic representation of black people as defined in the Regulations of the Employment Equity Act and the Commission of Employment Equity Report would suggest that the National demographic should be applied.

6. Under which sub-elements of the priority elements does the 40% sub-minimum apply?
The 40% sub-minimums needed to avoid discounting of the final recognition level apply to the following elements as follows:
Ownership: 40% of the net value calculation; the Measured Entity needs to score at least 3.20 points under the Net Value indicator.
Skills Development : 40% of the total weighting points available for scoring, excluding bonus points; the Measured Entity needs to score at least 8 points (without bonus points) for Skills Development
Enterprise and Supplier Development: the 40% of total weighting points applies to each of the sub-categories, namely: Preferential Procurement, Supplier Development and Enterprise 

Development; the Measured Entity needs to score at least 10 points for Preferential Procurement, 4 points for Supplier Development and 2 points for Enterprise Development (excluding any bonus points).

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