Having a BEE certificate as a business owner in South Africa is important. The certificate is a mark of legitimacy and declares many important details about your business that people will want to be aware of. Many people look for B-BBEE certified businesses in particular when seeking out services. If you’re unaware of how to become B-BBEE certified, here’s all you need to know:
Working with A SANAS or IRBA Accredited Verification Agency
Unless the B-BBEE certificate is issued by either a South African National Accreditation System (SANAS) or Independent Regulatory Body for Auditor (IRBA) accredited verification agency, it cannot be considered a valid one.
You have to begin your application process with either of the aforementioned certified agencies. Many of these have options near you, and various businesses will link to you a SANAS verified site.
Understand the Annual Turnover Of Your Company
It’s important to know about your company’s annual turnover before you get B-BBEE certified. BEE classifies companies into different groups based on their annual turnover. They are as follows:
This tier is for recently formed or incorporated businesses, those that have been working for less than a year. You won’t be considered as a new entity if it’s a continuation or extension of an already existing business.
Exempted Micro-Enterprises (EMEs)
The most common applicants involve Exempted Micro-Enterprises (EMEs), which are those companies that have less than an R10 million annual turnover.
Qualifying Small Enterprises (QSEs)
Qualifying Small Enterprises (QSEs) are businesses that have an annual turnover exceeding R10 million but less than R50 million.
Businesses that make more than R50 million in their annual turnover are counted as large enterprises.
Knowing What BEE Certificate Is Right for You
Once you’ve figured out what you qualify for based on your annual turnover, you’ll know what type of BEE testimonial is required. If a company’s annual turnover is not R10 million, you simply need a BEE Affidavit, which does the same job as a testimonial. You are required to have a Commissioner of Oaths verify and sign it for you. The alternative, in this case, would be a CIPC certificate.
But if the annual turnover of your business exceeds R10 million, you’ll be required to work with a SANAS accredited verification agency to continue with the process.
B-BBEE certification is something that most businesses seek, but because of how complicated the procedure can be for many, they don’t end up getting it. At ANM Auditors, we have a decent amount of experience helping companies, linking them with SANAS verified agencies and educating them on the matter. Once they’re all set up, we also offer them our business payroll services, VAT accounting services, tax preparation services, business accounting services, and company registration services in South Africa to help them do their best and aim for success.
Whether you’re a small business or a large entity, we can cater our services according to your operations. Get in touch with us today.