Expert B-BBEE Consultants in South Africa

Broad-Based Black Economic Empowerment (B-BBEE) is defined by the government as “an integrated and coherent socio-economic process that directly contributes to the economic transformation of South Africa and brings about significant increases in the number of black people that manage, own and control the country’s economy as well as significant decreases in income inequalities.” In simpler terms, B-BBEE aims to transform the South African economic landscape by enabling greater access for black South Africans.

In legal terms, ‘black people’ according to the B-BBEE Act is “a generic term which means Africans, Coloured and Indians, including only natural persons who are citizens of the Republic of South Africa by birth or descent; or are citizens of the Republic of South Africa by naturalization:

a) Occurring before the commencement date of the Constitution of the Republic of South Africa Act of 1993; or

b) Occurring after the commencement date of the Constitution of the Republic of South Africa Act of 1993; but who, without the Apartheid policy would have qualified for naturalization before then.”

The Government now also added second-generation South African Chinese to this definition.

Any business starting the process of obtaining a B-BBEE Certificate will soon realize that it is hard work and the process is tedious, but it does not have to be that way. At LearnMe, we handle the entire process to ensure your company reaps all the benefits that come with having a B-BBEE certificate. It can give you an edge over competitors and assist with business growth.

If your focus is conducting business with government sectors and public entities, a B-BBEE Certificate is your key to tender. The higher the level of your B-BBEE Certificate, the better chances you have of winning the tenders.

If your focus is more on big industry names or large companies, your certificate will allow you to participate as a supplier, as these companies are encouraged to do business with smaller B-BBEE-compliant companies.

Having a B-BBEE Certificate will show that you care and that you are committed to making a positive difference in society.

The B-BBEE scorecard measures a company’s B-BBEE compliance and is divided into several elements, including ownership, management control, skills development, enterprise and supplier development, and socio-economic development. Each element has a set of criteria that contribute to the overall score, which determines the company’s B-BBEE level. Higher levels indicate better compliance and provide greater benefits in terms of business opportunities and government tenders.

BBB-EE verification is the process of assessing a company’s B-BBEE compliance against the B-BBEE scorecard criteria. This involves reviewing documentation, conducting audits, and ensuring that all claims made by the company are accurate and meet the requirements of the B-BBEE codes. Successful verification results in the issuance of a B-BBEE certificate, which is essential for businesses seeking to benefit from B-BBEE policies.

Learnerships are structured training programs that combine theoretical learning with practical work experience. They are designed to enhance skills development and contribute significantly to a company’s B-BBEE score, particularly in the skills development element of the scorecard. Implementing learnerships can help businesses improve their B-BBEE rating while also investing in the development of their workforce.

Ownership is a critical element of the B-BBEE scorecard and refers to the percentage of the business owned by black South Africans. Achieving a favorable ownership score can significantly impact the overall B-BBEE rating. It involves complex transactions and legal arrangements, which is why expert guidance from B-BBEE consultants like LearnMe is essential to ensure compliance and maximize points.