BEE Verification Companies

BEE verification companies are useful for outsourcing your company’s BEE certification. BEE is becoming an unavoidable factor in business and is an issue that needs to be addressed for the benefit of your company. Make use of a SANAS-accredited verification agency like Integra Scores to take care of your BEE scorecard.

Black Economic Empowerment

Black Economic Empowerment (BEE) is a program instituted by the South African government. It aims to increase the number of black individuals making an active contribution to the South African economy. BEE is being attained through the establishment of the BEE scorecard. While BEE is not law, companies that choose to implement BEE are offered rewards for doing so in the form of government incentives and opportunities to conduct business that non-compliant companies do not enjoy.

Micro Enterprise

For the purposes of BEE, businesses are divided into:

Micro Exempt Enterprises (EME)
Qualifying Small Enterprises (QSE)
Generic Enterprises

Micro Enterprises are also known as EMEs or Exempted Micro Enterprises. They are either:

Companies with an annual turnover of less than R5 million
Companies in their first year of start up

EMEs are automatically exempt from being evaluated against the seven elements of BEE and are regarded as fully BEE compliant with a scorecard rating of 4. These businesses must have their status verified by acquiring an Exempt Certificate.

Qualifying Small Enterprise

Qualifying small enterprises are small to medium sized businesses with a turnover of between R5 million and R35 million. These businesses are required to fulfil four of the seven elements of BEE to obtain BEE compliancy. The four elements are chosen by the company.

Generic Enterprise

Generic enterprises are companies with a turnover greater than R35 million. These companies are required to fulfil all seven of the BEE elements in order to be BEE compliant.

Annual TurnoverThe annual turnover of a business determines its classification as an enterprise and therefore how it’s rated.

The enterprise classifications are:

Exempt Micro Enterprise (EME)
Qualifying Small Enterprise (QSE)
Generic Enterprise

Enterprise annual turnovers:

EMEs have an annual turnover of under R5 million
QSEs have an annual turnover of R5 million to R35m million
Generic Enterprises have an annual turnover of greater than R35 million

BEE Scorecard

The BEE scorecard has 7 elements against which enterprises are measured. They are:

Ownership
Management
Employment Equity
Skills Development
Preferential Procurement
Enterprise Development
Socio-Economic Development

Each element (also known as a pillar) is worth a particular percentage towards BEE compliance. The percentages are:
GENERIC QSE

• Ownership
• Management
• Employment Equity
• Skills Development
• Preferential Procurement
• Enterprise Development
• Socio-Economic Development

20%
10%
15%
15%
20%
15%
5%

25%
25%
25%
25%
25%
25%
25%

While EMEs are exempted from being measured against the scorecard, and generic enterprises are expected to fulfil all of them, QSEs can choose four of the pillars.

It’s important to understand that because each pillar has specific requirements and each company has unique dynamics, the process of establishing what success has been achieved for particular pillars is quite complex. In addition, those results have to be converted into points, and those points into the company’s final BEE contribution score. The procedure can become complicated, and this is why BEE verification companies are so useful. They manage your BEE verification from beginning to end.

Take advantage of the great services offered by BEE verification companies and let Integra Scores make your BEE compliance work for you!