More about the new B-BBEE Codes
Lots of people have written about the new Codes and what is wrong with them. Here’s a short summary of stuff that you may find useful –
1) If you belong to a sector, you must use the sector codes and there aren’t any new ones so you’ll continue to use the old ones until directed otherwise. This is almost certainly to your advantage except for the turnover limits which are softer in the general Codes.
2) If you’re a QSE under the new codes (<R50m turnover) and are not majority black owned, then you should now be complying with the new codes as any B-BBEE audits carried out after 1 May 2015 will be looking back over the past year and that’s the year you’re in already. Problem is the DTI haven’t issued the QSE scorecard yet, so how do you know what to comply with? Well, you don’t! Of course if you’re majority black owned, no probs, you’re automatically level 1 or 2 so who cares anyway?
3) If you’re in your first year of trading now, you get your exemption automatically. What happens if, before that first year of trade expires, you request a new certificate? Well, you’re still in your first year of trade, so you still qualify as an EME with automatic exemption. You get your second certificate and it is valid for another year. This is clearly ridiculous, but do it anyway!
4) Here’s a checklist for you –