In terms of the New Codes of Good Practice on Broad-Based Black Economic Empowerment (B-BBEE), the compliance requirements for B-BBEE varies according to the size of your entity, as measured by your annual turnover.
Turnover Thresholds for Exempted Micro Enterprises:
Your registered company is B-BBEE exempted if its turnover is below R10 million (increased from R5 million). It is classified as an Exempted Micro Enterprise (EME).
Turnover Thresholds for Qualifying Small Enterprises:
Your registered company is B-BBEE classified as Qualifying Small Enterprise or QSE if it has turn-over threshold of R10 – R50 million.
Turnover Thresholds for Generic Enterprise
If your registered company has a turnover of R50 million or more, that makes your registered company a Generic enterprise and, together with QSEs that have less than 51% black ownership, subject to all aspects of the new Codes.
Assessments of B-BBEE Elements are as follow:
There are five assessment elements (see table below) for Generics and QSEs to qualify from: