AboutB-BBEE PAGE

ABOUT B-BBEE

The Amended Codes of Good Practice, gazette No 36928 has come into effect on the 1st May 2015. B-BBEE verifications conducted using the financial year ending on or before 30 April 2015 can be verified using the old Codes of Good Practice, gazette No 29617 and B-BBEE verifications conducted using the financial year ending on or after the 1st May 2015 can be verified using the Amended Codes of Good Practice, gazette No 36928 with the exception of the Sector Codes.

CategoryPreceding CodesRevised Codes
EME’sR0 – R5mR0 – R10m
QSE’sR5m – R35mR10m – R50m
Generic> R35m> R50m

TURNOVER THRESHOLDS

B-BBEE SCORECARD

PRECEDING CODESREVISED CODES
OwnershipOwnership
Management ControlManagement Control
Employment EquitySkills Development
Skills DevelopmentEnterprise & Supplier Development
Preferential ProcurementSocio-Economic Development
Enterprise Development 
Socio-Economic Development 

 

*A QSE will now have to comply with Ownership as a compulsory element and can elect either Skills Development or Enterprise & Supplier Development. The significance of this is that these three priority elements have a 40% sub-minimum requirement for points obtained*

 Exempt Micro Enterprises

  • 100% Black owned = Level 1
  • 50,1% to 99% Black owned = Level
  • ≤ 50% Black owned = Level 4

For Black Owned Exempted entities sworn affidavit confirming:

  • Annual total revenue is less than R10 million
  • Level of Black Ownership

 

Qualifying Small Enterprises

Turnover between R10 million to R 50 million per annum

Measure all 5 elements

Comply with at least 2 priority of the following elements:

  • Ownership (compulsory) and
  • Enterprise and Supplier Development or Skills Development

*Entities which do not meet priority element thresholds the overall score will be discounted by 1 level.*

Enhanced recognition for black owned QSE’s:

  • 100% Black owned = Level 1
  • 51% or more black owned = Level 2

Qualifying Black Owned QSE Requirements:

Sworn affidavit confirming:

  • Annual total revenue is less than R50 million
  • Level of black ownership

Generics

  • Turnover = or more than R50 million per annum
  • Measure all 5 elements
  • Have to comply with priority elements, Ownership, Skills Development and Enterprise and Supplier Development.

* Entities who do not meet priority element thresholds the overall score will be discounted by 1 level *

B-BBEE RECOGNITION LEVELS

 Preceding B-BBEE ScorecardRevised B-BBEE Scorecard
B-BBEE StatusB-BBEE PointsB-BBEE RecognitionB-BBEE PointB-BBEE Recognition
Level One>=100135%>=100135%
Level Two>=85 & < 100125%>=95 & < 100125%
Level Three>=75 & < 85110%>=90 & < 95110%
Level Four>=65 & < 75100%>=80 & < 90100%
Level Five>=55 & < 6580%>=75 & < 8080%
Level Six>=45 & < 5560%>=70 & < 7560%
Level Seven>=50 & < 4550%>=55 & < 7050%
Level Eight>=30 & < 4010%>=40 & < 5510%
Non-Compliant<300%<400%