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The benefits for small businesses

Broad - Based Black Economic Empowerment (B-BBEE) is a socio - economic process that directly contributes to the economic transformation of South Africa, by increasing the number of black people that manage, own and control the country’s economy, and diminishing income inequalities.

If your turnover is less than R5 million then you will need to get a broad - based black economic empowerment (B-BBEE) certificate.

If your annual turnover is less than R5 million, then your organisation qualifies as an Exempted Micro Enterprise (EME) and will automatically obtain a Level 4 (100% B-BBEE compliance recognition) status. Should your organisation be more than 50% black owned, and you are able to provide proof of this, then you can obtain a Level 3 (110% compliance recognition) status.

What are the benefits in receiving a B-BBEE Certificate? It provides a competitive edge independent of your organisation's size, large companies are encouraged to invest in smaller companies, your organisation assists in unemployment and poverty in the long term, your organisation will be able to apply for tenders and, and you will be able to showcase your B-BBEE level in your marketing material.

Date: 17th February 2014
Legislation: B-BBEE Act No.53 of 2003



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