# Regulatory Compliance Category > BEE and Employment Equity Forum > [Question] BEE - who what where, and how?

## Jacques#1

Quick question......Business doing less than R5mil a year, cc, employed 1, how do you get the BEE certificate, who do you call and whats the cost +/-?

----------


## sterne.law@gmail.com

you are automatically exempt and are a level 4 contributor or 100% BEE compliant. Get an audited set of financials or affidavit form your accounting officer. Unfortunately you still need an accredited agency to issue the certificate, cost from R1000 - R2500.

----------

Jacques#1 (07-Apr-10)

----------


## IanF

You just type up one which you and your accounting officer sign. Here is mine I got the wording from Econobee, I can't say if the wording is still valid but it works for me.

----------

AndyD (06-Apr-10), Jacques#1 (07-Apr-10)

----------


## Jacques#1

.........across to your customers, who invariably still do not understand how BEE operates.

The following documents are included in your EME Document Pack

Summary BEE Policy
EME Certificate
EME Exemption Statement
Exempt Micro Enterprise (EME)
Exemption Statement to Customers Regarding Procurement
Summary of the B-BBEE Codes of Good Practice as approved by cabinet in
December 2006
Booklet â B-BBEE and how to create a BEE Scorecard

so, it's no longer free, it costs R750.....I'm sure I'll find all the forms on the net.  I believe I only need the things I made red, the rest are all info docs...will this then be good enough, especially to tender to say a minucipality....government body?

----------


## murdock

please let us know if you get awarded any goverment tenders with this type of bee status.

i found when you sub contracting to big companies who require your services they insist you have some type bee status...getting goverment or municiple tenders like washing street signs....mmm i might be wrong.

----------


## Jacques#1

> please let us know if you get awarded any goverment tenders with this type of bee status.
> 
> i found when you sub contracting to big companies who require your services they insist you have some type bee status...getting goverment or municiple tenders like washing street signs....mmm i might be wrong.


Why I say government, is if it passes that test, its good to go, it will pass anywhere else.  Yip, I don't disagree with you.....you have to be a connection of a chana in goverment to get a tender...if you know what i mean.  But larger corporations is becoming more G@tvol of the larger contractors, and they are starting to use smaller contractors, I know this because I've got a few friends working for large corporates.  The main problem is the big boys gets the entire tender, if they stuff up, they stuff up the entire project.  Having 20? smaller contractors sounds hectic, but reduces the risk of the project being late or incorrect.  You basically manage 20 smaller sections of the project and if one is late 19 is still on time???  This is as I understand it?  And yes, I will wash the street signs as some brothers of brothers in the government is doing as we speak, for R200 a streetsign, or whatever ridiculous amount they are scamming of us... :Thumbup:

----------


## Jacques#1

> .........across to your customers, who invariably still do not understand how BEE operates.
> 
> The following documents are included in your EME Document Pack
> 
> Summary BEE Policy
> EME Certificate
> EME Exemption Statement
> Exempt Micro Enterprise (EME)
> Exemption Statement to Customers Regarding Procurement
> ...


What I am asking, if I do these certificates myself, will it be legal?

----------


## sterne.law@gmail.com

Prior to 2010 there was no LEGAL requirement for a BBBEE certificate to be verified. That meant anyone could do it. The onus was on the person doing business with you to verify your status. Thus the affidavit route for eme and start ups was acceptable. As of this year only certified/verified certificates issued by one of the 26 Verification agencies is accepted.
This being said, however, *I am not 100%* certain that this certification is extended to start ups and EME enterprises.
Also be aware with EME that your scorecard is 100% but if you have black ownership (50%) it improves to 115%

----------


## Jacques#1

> Prior to 2010 there was no LEGAL requirement for a BBBEE certificate to be verified. That meant anyone could do it. The onus was on the person doing business with you to verify your status. Thus the affidavit route for eme and start ups was acceptable. As of this year only certified/verified certificates issued by one of the 26 Verification agencies is accepted.
> This being said, however, *I am not 100%* certain that this certification is extended to start ups and EME enterprises.
> Also be aware with EME that your scorecard is 100% but if you have black ownership (50%) it improves to 115%


okayyyyy :Confused: .......so....how would i find out?  I do have a start up business, regitrations, websites, advertising, initial capital layouts specifically for operation, does weigh heavy on the pocket, and I just don't have the money to spend on things like this that pops up on a daily baisi.  I do try to do things myself if possible, yes, it does interfere with my main business and expertise, but I don't work at midnight, so I tend to tackle these things at that time......

----------


## IanF

> .so, it's no longer free, it costs R750.....I'm sure I'll find all the forms on the net.  I believe I only need the things I made red, the rest are all info docs...will this then be good enough, especially to tender to say a minucipality....government body?


Jacques
It cost me R500, they still refer to 2006 codes so mine should be valid. On my invoices I Print "We are classified as an Exempt Micro Enterprise(EME). EMEs are automatically allocated a level 4 BEE score. Any procurement from us can be claimed at the rate of 100% of any qualifying spend with us."
Then if more is wanted I gives copies of the exemption certificate.

----------


## Jacques#1

> Jacques
> It cost me R500, they still refer to 2006 codes so mine should be valid. On my invoices I Print "We are classified as an Exempt Micro Enterprise(EME). EMEs are automatically allocated a level 4 BEE score. Any procurement from us can be claimed at the rate of 100% of any qualifying spend with us."
> Then if more is wanted I gives copies of the exemption certificate.


Thanks, mind if i plagiarize a bit for my invoices?

----------


## IanF

Jacques
I have no problem with that.

----------


## sterne.law@gmail.com

I have spoke to dept of trade and industry -
Start ups and exempt enterprises need not get a verified certificate per se. The letter from the auditor is sufficient. So take IanF letetr and go get those tenders. :Big Grin:

----------

Jacques#1 (07-Apr-10)

----------


## Jacques#1

> I have spoke to dept of trade and industry -
> Start ups and exempt enterprises need not get a verified certificate per se. The letter from the auditor is sufficient. So take IanF letetr and go get those tenders.


Sweet, thanks cuz!!! :Thumbup:

----------


## murdock

> you are automatically exempt and are a level 4 contributor or 100% BEE compliant. Get an audited set of financials or affidavit form your accounting officer. Unfortunately you still need an accredited agency to issue the certificate, cost from R1000 - R2500.


i contacted my accountant and he gave me a number of a company (one of the 24 registered ones) who handles this type of thing...for about R750 inc malemas vip protection cut they will issue you with a certificate which i valid for a year.

it might pay to get a certificate just to put on your office wall to make it look all proffessional and all then for next year just get the letter from your accountant.

thank for the info guys...if only i knew this 10 years ago when i lost all my contracts...and the one i lost a month ago for the same reason.

the contact number for the people who do it...0861505555. the lady was very helpful

----------


## Jacques#1

I take it you do more than 5mil than murdock?  Cause Sterne says you can do it yourself, Ive alreasy finished typing mine, and sent it off to my accountant to sign.  :Stick Out Tongue: :

----------


## murdock

since i started my bussiness in 1991 till now maybe but not per year...i was thinking of getting a certificate just so it looks good in my office  :Big Grin:  then every year after that get a letter from my accountant.

i think it depends on the people you are dealing with...some of the big companies i deal with would be impressed with a certificate and it could help for future contracts...just my thought on it.

i could also start sending a copy with all my quotes and invoices...make my company look more proffessional.

----------


## sterne.law@gmail.com

Hey some of the certificates are really impressive!!!

Most companies are looking for the proof in order to do their calculation in the procurement element of their scorecard. Generally the person doing their certificate will approach all the suppliers to confirm the money spent with them and proof of the level, so the fancy element may not be such an issue.

When starting their are so many costs so taking the cheapest route is often best. however one may find that 100% level is not proving a competitive advantage and a better rating is required. Then budget for that each month or pay it over to the agency each month so that by the year end the cash flow is eased.

Alternatively nothing stops you in a few months from upgrading to the fancy certificate.

PS: I sometimes feel to register a company called Doctorate of Whatever - then hang that big fancy thing up and people will think i have a doctorate in whatever field I chose..ha ha

----------


## Dave A

As far as I know, a previous discussion on EMEs and appropriate evidence still stands. It's only QSEs and upward that require certificates from an accredited verification agency if they want to claim a BEE status. A letter from your auditor/accountant with the correct wording does the trick for EME's.

If you really want an EME certificate, why not get one from the DTI? It works out at R285.00 as I recall. It's nothing fancy, but who would argue a certicate issued from the department itself  :Wink:

----------

Jacques#1 (08-Apr-10)

----------


## murdock

while filling out my bee eme declaration  form...i found some small print at the bottom of the page...

"black people" includes africans...coloureds...indian...and chinese persons...who are south african citizens...by birth or by descent or who were naturalised prior to the commencement of the interim constitution in 1993.

now my question is white children born after 1994 are they classified as south afircans or are they also gona be discrimnated against like the rest of us? and why are all white south africans being discrimanted against...my children had nothing to do with appartheid...it is like saying that because juluis malema is a racist calling all whites imperialists...all blacks are raciests.

we all need to move on and unite as one country with one leader who has everyones interest at heart.

if there are farm workers being abused then the goverment needs to step in and take legal action and make sure that it is addressed in a humane manner.

there is no need to act like savages and kill each other.

i believe the majority of people in this country want a better life for "ALL" the people of this country...and it is only a few who dont who are destablising the reform process.

i also believe there is no need to be singing songs like kill the boer...just like there is no need to call black people the  k word  in the new south africa...imagine if all the whites starting using that word when refering to black people it would cause an uproar...we all have to sacrifice parts of our history like our old flag...road names...jobs...to make way for a united country where we can all live in peace.

you notice the first thing that went up at the memorial...the old south african flag...clearly indicating people holding onto the past...what should have happened was a new south african flag with all race groups condeming the brutal murder not chanting hero...this country has a long way to go.

----------


## Jacques#1

you know what may work....If the inernational community is given undeniable evidence of all the things happening here.  I have spoken to numerous internationals, and they believe that everything is fine.  When telling them what happens here on a daily basis you must see the shock on their faces.  No imagine a Barak Obama or a Queen mother giving Zuma a call:  "hey cuz, whats all this racial rubbish I'm hearing about u oakes over in SA?"  "if you don't do something I'll sanction you, and you can kiss your R10mil house adious"

That should get some action?

----------


## sterne.law@gmail.com

This is confirmed - Start ups and exempt enterprises DO NOT need a verified certificate.

----------

Dave A (08-Apr-10)

----------


## murdock

> you know what may work....If the inernational community is given undeniable evidence of all the things happening here.  I have spoken to numerous internationals, and they believe that everything is fine.  When telling them what happens here on a daily basis you must see the shock on their faces.  No imagine a Barak Obama or a Queen mother giving Zuma a call:  "hey cuz, whats all this racial rubbish I'm hearing about u oakes over in SA?"  "if you don't do something I'll sanction you, and you can kiss your R10mil house adious"
> 
> That should get some action?


not really the chinese will step in with pleasure...remeber they need space to live clean air and water...to  dump waste...and they are clssified as blacks in this country...so they get 115 % bbbeeee...so they are better off and are classified higher in this country than white people...makes you think...mmmmmmmm.

----------


## Jacques#1

> not really the chinese will step in with pleasure...remeber they need space to live clean air and water...to  dump waste...and they are clssified as blacks in this country...so they get 115 % bbbeeee...so they are better off and are classified higher in this country than white people...makes you think...mmmmmmmm.


 :Rofl:  probably tru

----------


## Jacques#1

Thanks Dave...The DTI thing is even free, and you get all the snazzy BBBEEE numbers etc.  You only pay the R285 if you advertise with them to use your status for advertisement on their site. :Thumbup:

----------


## murdock

busy with mine...from dti..just waiting for accountant to give paper work...got my number.

how long did it take to get a certificate?

----------


## Dave A

> how long did it take to get a certificate?


It was pretty quick - a couple of working days at most. They email it to you. From there you can print it, email it on etc.

----------

