Category: Knowledge and Resources Centre

Procurement – imports

The new codes have changed the way imports are handled. Previously certain imports were exempt but you could only reduce your preferential procurement by a maximum of 25% of your total procurement. The final codes are more lenient: They give a long list of excluded imports, and amongst others are...

bee codes published, gazetted

BEE Codes have been Gazetted

The dti has managed to get the Codes of Good Practice gazetted. This is very good news and quite exciting for all businesses (especially those involved). The dti did say that the codes would be out in the early parts of 2007 which they have done. The issuing of the...

Summarized BEE Scorecard

New Page 1 3rd January 2007 Summarized Codes of Good Practice for Broad Based Black Economic Empowerment Based on codes approved by cabinet – December 2006 BEE Element  Generic Scorecard Small Enterprise Scorecard Ownership 20 plus 3 bonus  points 25 plus 3 bonus points Management 10 plus 1 bonus point...

The Codes of Good Practice

Government has approved the Broad Based BEE Codes of Good Practice. They will be gazetted early 2007  The latest Codes of Good Practice we are currently working with are those issued by the minister in November and December 2005. However we do have a copy of the latest BEE Scorecard....

Final AgriBEE Charter

The AgriBEE has been released and approved by the minister of agriculture. It was also approved by cabinet on 6th December 2006. The plans are that it will be gazetted early in 2007. Downloads – with acknowledgment to PMG. Please download the following documents.  Transformation Charter for Agriculture Indicative AgriQSE...

fears about new codes

Salient features of the final codes

7th December 2006 We are still awaiting confirmed details of the final codes, but reports are the following: 1) EMEs – The threshold has been increased to R5 million per annum. If your business has a turnover of less than R5 million you will automatically be exempted from all forms...

Cabinet approves the BBBEE Codes

7th December 2006 “Cabinet meeting approved the Codes of Good Practice on Broad-Based Black Economic Empowerment (BBBEE). Mr Lionel October will now present a statement on the codes.”  In terms of the Act the minister of Trade and Industry must gazette the codes before it becomes law. This should happen...

How to become BEE Compliant

By now you have probably received many letters from customers asking you for your organization’s Broad-based Black Economic Empowerment (BBBEE) status. It is not difficult to become BEE Compliant. Follow our 4 phase process: Education: The first phase of BEE is education – you need to learn what BEE is...

Who is affected by BEE?

Looking purely from a business viewpoint, most businesses will be affected in some way or another. The act itself is only binding on Government, not business. This means that a business cannot and will not be prosecuted for failing to adhere to the act, as there are no requirements for...

Why do I need a BEE Scorecard?

Are you getting pressure from your customers for your BEE Score? Are they asking for a BEE profile? If so, then, in order to satisfy customer requests you will need to start building up a BEE profile and scorecard. If not, then you don’t need a scorecard now, but it...

BBBEE Scorecard

What is the BEE Scorecard?

The basics of the BEE scorecard Government needed a way to asses companies BEE status. They wanted to know if a company was black or non-black. The most obvious is “are you owned by a black person”. This is a narrow based. The B-BBEE (Broad Based BEE) Scorecard are guidelines...

BEE Verification - Rating Agencies

What is a Rating Agency?

A rating agency is a company that can help you to calculate your BEE score as per the act. The dti/SANAS is going to ACCREDIT rating agencies sometime in the early to middle of 2007 (subject to the finalisation of the Codes). Until that happens, there are no officially accredited...

What are the Charters?

The dti has produced a document called “The Draft Codes of Good Practice” This document itemises the various aspects and elements of BEE, as set up and still to be approved by the stakeholders. The Act , however makes allowances for industries to set up their own BEE codes. Since...

BEE is working

I’ve recently returned from a trip to Hazyview in Mpumalanga to help an organisation with BBBEE consulting. I was very impressed with the growth in the area. Hazyview, as well as Nelspruit, is growing – building operations are evident throughout the town/city. I remembered Hazyview as a small “one-horse” town....

Rating agencies vs Consultants

The Differences between Ratings Agencies and Consultants by Keith Levenstein – 13th September 2006 A ratings agency is one that will rate your company and produce a BEE scorecard. The Codes talk about “accredited” ratings agencies – i.e. agencies that have been accredited by SANAS (SA National Accreditation System). SANAS...

Points to levels table

BEE Scorecard – points to level rating table Contribution Level Qualification Level 1 Contributor ≥ 100 points Level 2 Contributor ≥ 85 points but < 100 points Level 3 Contributor ≥ 75 points but < 85 points Level 4 Contributor ≥ 65 points but < 75 points Level 5 Contributor...

How can BEE help me?

I recently had the opportunity of speaking at the Jo’burg Small Business Week. During the presentation a black lady asked me a question: “?I want to go into business – how can BEE help me? “ I found this an interesting question and gave the following response: “The Codes do...

OWNERSHIP IS ONE TO CONSIDER

OWNERSHIP IS ONE TO CONSIDER by Cathy Bryant    In order to bring certainty to a market place where “BEE deals” were being concluded with great fanfare but with very little economic flow-through into the economy to benefit people previously excluded from the economy, the Department of Trade and Industry...

Enterprise Development

Enterprise Development is worth 10 points on the generic scorecard and 20 points on the QSE scorecard. Enterprise develoment refers to your company assisting a black owned company with a high BEE score is some way. What form can this assistance take? Assistance can take the form of a monetary...

History of the Codes of Good Practice

The BBBEE act (act 53 of 2003) mandated he minister of trade and industry to set up a body that would create a methodology of identifying BEE complaincy. It would also identify an objective measure of that compliancy. The task group has published various drafts of this methodology – called...

Charters and how they work

The BBBEE act allows industries to set up their own industry charters to use instead of the Codes of Good Practice. The act recognises that certain industries are sufficiently different to warrant a different scorecard. Ther first industry to produce a charter was the mining industry. The financial services industry...