Block exemption regulations for small, micro and medium-sized businesses
The purpose of the Regulation, Gazette Number 50746, Regulation 2538 dated 03 June 2024, is to exempt a category of agreements or practices among SMMEs contained in the Schedule from the application of sections 4(1) and 5(1) of the Act to enable collaboration among SMMEs that otherwise would contravene the Competition Act No. 89 of […]
Enterprise and Supplier Development – an overview
Enterprise Development (ED) and Supplier Development (SD) is one of the three priority elements of the Broad-Based Black Economic Empowerment (B-BBEE) Scorecard. The aim is to strengthen local procurement, enhance local supplier development programmes and increase financial support towards black entities. The measured entity (ME) is required to achieve a 40% sub-minimum on the total […]
EMEs, QSEs and Start-up Enterprises
This article discusses the basics of EMEs, QSEs and Start-up Enterprises from a generic sector type aspect. What is an Exempted Micro-Enterprise? It is an enterprise with an annual Total Revenue of R10 Million or less. An EME is deemed to have a B-BBEE Status of “Level Four Contributor” having a B-BBEE recognition level of […]
Leniency Programmes and Reporting of Major B-BBEE transactions
On 01 April 2022, the annual B-BBEE Commission’s Conference was held. The conference included a presentation “Outcomes of the Impact Assessment Study on the Mandate of the B-BBEE Commission”. The main points of contention from the presentation is that adherence to the B-BBEE Act with respect to reporting of major transactions was still lacking. The […]
Public Interest Score
The Companies Act, No. 71 of 2008 and the Companies Regulations, 2011 brought forth a new concept of the public interest score (PI Score). Each company is required to calculate a PI Score annually. This calculation should be done for each company individually and not at a consolidated group level. The PI Score helps: Determining […]
“Liquor Licences” and B-BBEE
Are you aware that B-BBEE compliance is part of the requirements when applying for a” Liquor Licence”? Below are some extracts from the Department of Trade and Industry’s website regarding application requirements. “HOW TO APPLY FOR A MANUFACTURING AND/OR DISTRIBUTION LICENCE” INSTRUCTION C: B-BBEE AND COMBATING ALCOHOL ABUSE The applicant needs to indicate their commitment […]
Draft Amended Tourism Sector Charter
In this article, we focus on the Amended Sector Code for the Tourism Sector which was gazetted on 27 September 2019 (Gazette Number 42725). In the Gazette the Tourism B-BBEE Charter Council has requested public feedback by no later than 30 November 2019. Following the issuing of the amended Generic Codes of Good Practice on […]
Socio-Economic Development
In this article we focus on the basic criteria of the Socio-Economic Development Element within the scope of the B-BBEE Act, Number 53 of 2003. Socio-economic development is the fifth element that an entity is measured on. Socio-Economic Development (SED) contributions are any monetary or non-monetary contribution implemented for individuals (natural individual or group of […]
AARTO’S POINTS DEMERIT SYSTEM— ROAD TRAFFIC INFRINGEMENTS
Government published a new Gazette, Number 42648 on 19 August 2019 as Act Number 4 of 2019 titled “Administrative Adjudication of Road Traffic Offences Amendment Act, 2019” more commonly known as the AARTO Act. The purpose of the published Amended Act is: To amend the Administrative Adjudication of Road Traffic Offences Act, 1998, so as […]
The Tourism Sector Code within the B-BBEE Act
In this article we focus on the basic criteria of the Tourism Sector Charter within the scope of the B-BBEE Act, Number 53 of 2003. The amended sector code was gazetted on 20 November 2015. The amended charter is extensive in detail and contains criteria vastly different to that of other sector charters. The Amended […]