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BONUS POINTS BASED ON TIMING AND CREATING AN ECOSYSTEM
Enterprise Development and Supplier Development were designed to complement one another. Under the General Amended B-BBEE Codes of Good Practice, the aim is for an organisation to develop a Beneficiary through Enterprise Development, then procure a good or service from them, and then elevate them to a Supplier Development Beneficiary. Bonus Points are available for such a successful elevation and creates an ecosystem of sustainable impact. To achieve the Bonus Points on off
Newsletter Editor
6 days ago1 min read


WHAT IS THE DEFINITION OF “BLACK PEOPLE”?
Although the Definition of Black People has been in existence for some time now, we often find that it is still not clear for many. There is often a confusion around certain race groups or the way the person has obtained South African citizenship. The definition of “Black People” as per the B-BBEE Act is as follows: “Black People” is a generic term which means Africans, Coloureds and Indians- (a) who are citizens of the Republic of South Africa by birth or descent; or (b)
Newsletter Editor
6 days ago1 min read


WHO HAS THE RIGHT TO SIGN A SWORN AFFIDAVIT?
The Author or Deponent of a Sworn Affidavit must be a duly represented registered Director, Owner, Member or Shareholder of an organisation. This individual also needs to understand the contents of what they are declaring and ensure that there is no misrepresentation in any form. Where an organisation has foreign shareholders, the same principle applies. A Sworn Affidavit is Invalid if anyone other than the above acts as a Deponent. Certificate Collection Services are av
Newsletter Editor
Nov 101 min read


WHY EVIDENCE QUALITY DETERMINES YOUR B-BBEE RATING
SANAS accredited B-BBEE Rating Agencies evaluate compliance based on verifiable evidence, not declarations or statements. Each claim must be backed by traceable data for certain elements, such as payroll records, training invoices, or latest supplier B-BBEE Statuses valid for the Financial Year End being verified. Common B-BBEE Verification challenges include mismatched initiatives for different Financial Years, missing supporting documentation, and incorrect classification
Newsletter Editor
Nov 101 min read


EXCLUDING VAT AS A PART OF AN ORGANISATIONS TOTAL MEASURED PROCUREMENT SPEND
VAT is a Total Measured Procurement Spend (TMPS) exclusion as per Clause 6.1 of Statement 400 of the Amended Generic Codes of Good Practice : “6.1 Taxation: any amount payable to any person representing a lawful tax or levy imposed by an organ of state authorised to impose such a tax or levy, including rates imposed by a municipality or other local government." Therefore, to confirm that VAT is an exclusion from an organisation’s TMPS, it must be recorded as such in its
Newsletter Editor
Nov 41 min read


CROSS-SECTOR PROCUREMENT
The Construction B-BBEE Sector Codes of Good Practice differs from others as it does not incorporate Enterprise Development as an element. Therefore, what happens if an organisation is measured on the Amended General B-BBEE Codes of Good Practice, but its Enterprise Development Beneficiary is subject to the Construction B-BBEE Sector Codes of Good Practice? There is no cross-implementation in Amended General B-BBEE Codes of Good Practice and Sector B-BBEE Codes of Good Prac
Newsletter Editor
Nov 41 min read


SECTION 10 OF THE B-BBEE ACT
As per the B-BBEE Act, Section 10, Paragraph 1 – Status of Codes of Good Practice states the following: 1. Every organ of state and public entity must apply any relevant code of good practice issued in terms of this Act in- a) Determining qualification criteria for the issuing of licences, concessions or other authorisations in respect of economic activity in terms of any law; b) Developing and implementing a preferential procurement policy; c) Determining qualificat
Newsletter Editor
Oct 281 min read


FSTC – REPORTING NOTICE 01 OF 2025
The Financial Sector Transformation Council (FSTC) issued a Formal Notice calling for the submission of B-BBEE Reports for the issue date between 01 January 2025 and 31 December 2025. Submission Platform: All reports should be submitted electronically via email to reporting@fstc.org.za with the subject: FSTC 2025 Reporting – (name of entity). Submission Deadline: All required documentation must be submitted no later than the close of business on Friday, 27 February 2026.Sho
Newsletter Editor
Oct 281 min read


THE BALANCED B-BBEE SCORECARD
The Balanced Broad-Based Black Economic Empowerment (B-BBEE) Scorecard remains one of South Africa’s most critical levers for sustainable and inclusive economic transformation. More than a compliance tool, it represents a strategic framework that challenges corporate leaders to redefine value creation, not only in financial terms but through measurable social and economic impact. Its impact is visible in the evolution of South Africa’s business landscape: an expanding base
Newsletter Editor
Oct 231 min read


SALARY RECOGNITION FOR BURSARIES
An organisation may not claim the salary for an employee Bursar as part of its Bursary Programme. However, as per 2.1.1.2 of the Skills Development Scorecard under Statement 300 of the Amended General B-BBEE Codes of Good Practice , an organisation may claim a stipend for an unemployed Bursar. 2.1.1.2 refers: “Skills Development Expenditure on bursaries for ‘Black’ Students at Higher Education Institutions”. Based on prior behaviour, this principle results in organisatio
Newsletter Editor
Oct 231 min read


IS THERE A PRESCRIBED FORMAT FOR SWORN AFFIDAVITS?
The Department of Trade, Industry and Competition ( the dtic ) provides Sworn Affidavit templates for EMEs and relevant QSEs with at least 51% Black Ownership or more under the Amended General B-BBEE Codes of Good Practice. These Sworn Affidavits address all the information necessary for a B-BBEE Verification. However, as per Statement 000 of the Amended General B-BBEE Codes of Good Practice, only a Sworn Affidavit is required, so if a personalised Sworn Affidavit that cont
Newsletter Editor
Oct 231 min read


WHAT IS THE DEFINITION OF A BLACK NEW ENTRANT?
Many may not be familiar with the formal definition of a Black New Entrant as it only features under the Ownership Scorecard. As per Schedule 1 of the Amended General B-BBEE Codes of Good Practice , “Black New Entrants” means: Black participants who hold rights of ownership in a Measured Entity and who, before holding the Equity Instrument in the Measured Entity, have not held equity instruments in any Entity which has a total value of more than R50,000,000.00 measured us
Newsletter Editor
Oct 161 min read


QUARTERLY INDUSTRY NORM STATISTICS PUBLISHED
Statistics South Africa is the source used to determine the Net Profit After Tax (NPAT) for calculating the targets for Enterprise Development, Supplier Development and Socio-Economic Development. The latest statistics were published during September 2025. The statistics in this version will be for the 2 nd quarter of 2025. Any B-BBEE Verification from hereon would most commonly apply the latest Industry Norms published by Statistics South Africa. For example, if a B-B
Newsletter Editor
Oct 161 min read


RULES WHEN CALCULATING MANDATED INVESTMENTS
The following rules apply when calculating Mandated Investments for under Statement 100 of the Amended General B-BBEE Codes of Good...
Newsletter Editor
Oct 91 min read


HOW TO VERIFY THAT A B-BBEE RATING AGENCY IS ACCREDITED TO MEASURED A SPECIFIC CODE OF GOOD PRACTICE?
The SANAS Website publishes information on all accredited B-BBEE Rating Agencies, which, apart from the contact details, includes: o ...
Newsletter Editor
Oct 92 min read


THE SUPPLIER DEVELOPMENT SHORTFALL
It is fair to surmise that the points earned on Supplier Development, especially since Enterprise & Supplier Development is a Priority...
Newsletter Editor
Oct 11 min read


ABOVE AND BEYOND SUB-MINIMUM
More than any other element under the Amended General B-BBEE Codes of Good Practice, Enterprise & Supplier Development was carefully...
Newsletter Editor
Oct 11 min read


UNINCORPORATED JOINT VENTURES
Statement 000, Clause 7 of the Amended General B-BBEE Codes of Good Practice makes the following references: “7. Eligibility of Joint...
Newsletter Editor
Sep 252 min read


THIRD-PARTY PAYMENT INTERVENTION
The rule of thumb in claiming Broad-Based Black Economic Empowerment (B-BBEE) points is to follow the money directly to the end...
Newsletter Editor
Sep 251 min read


CONTINUED CONSEQUENCE OR ONCE EMPOWERED, ALWAYS EMPOWERED
Incorporating the Continuing Consequence Principle of the Ownership Scorecard allows organisations to score under the Ownership points...
Newsletter Editor
Sep 171 min read
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