Scorecards

The Minister of Trade and Industry (Mandisi Mpahlwa) gazetted the following broad-based BEE (BBBEE) codes of good practice on the 9th of February 2007, under section 9 of the BBBEE Act. These codes are binding on the government and certain state-owned enterprises from this date.

- Exempt Micro Enterprises (EMEs) -enterprises whose annual turnover falls below R5 million per year. These enterprises are exempt from any form of BBBEE and are automatically level 4 contributors - i.e. you can claim R1 for every R1 spent with them.

- Qualifying Small Enterprises (QSEs) -enterprises whose annual turnover falls between R5 million and R35 million.

- Start-up Enterprises -a recently formed or incorporated enterprise that has existed for less than one year. These enterprises are measured as EMEs for the first year following their formation or incorporation.

Procurement recognition level:

Contribution LevelBBBEE score rangeRecognition level
Level One Contributor> 100 pointsR1.35/R1 spent
Level Two Contributor> 85 points but < 100 pointsR1.25/R1 spent
Level Three Contributor> 75 points but < 85 pointsR1.10/R1 spent
Level Four Contributor> 65 points but < 75 pointsR1/R1 spent
Level Five Contributor> 55 points but < 65 pointsR0.80/R1 spent
Level Six Contributor> 45 points but < 55 pointsR0.60/R1 spent
Level Seven Contributor> 40 points but < 45 pointsR0.50/R1 spent
Level Eight Contributor> 30 points but < 40 pointsR0.10/R1 spent
Non-Compliant Contributor< 30 pointsR0/R1 spent