Docstoc

About BEE Certification or Verification

Document Sample
About BEE Certification or Verification Powered By Docstoc
					                        About BEE Certification or Verification

BEE, or Black Economic Empowerment, was created by the South African government to create
equality by introducing black, colored and Indian individuals to participate fairly in the
economy. BEE is a solution to the injustice of apartheid, and the disadvantaged community as a
result of it. With BEE, the individuals who were previously at a disadvantage as a result of
apartheid are now given a fair chance at participation in the corporate world. BEE is all about
creating equality and harmony, in a just manner for all. This act is in effect for black, colored and
Indian people who are South African citizens by birth or descent, or who were at least
naturalized before 1993.

The BEE act was brought into play in 2003, in order to ensure the Department of Trade and
Industry would issue Codes of Good Practice that motivate and enforce the equality of all
workers and contributors to the economy.

The BEE act, detailing the structures for scorecards and the rules associated with claiming BEE
points. People are able to obtain BEE points for their scorecard by buying from a company with
a valid BEE certificate. The scorecard is another way for the government to keep track of how
high each company's BEE rating is. Depending on the size of your company, and the company
turnover, you will receive a different BEE rating. The company turnover is the amount of money
your company makes in a year. If your company produces less than R5 million per year, you will
be liable for a BEE Exemption Certificate. This means that you do not have to worry about your
company's BEE rating and compliance. The reason for this is because the aim of the Act is to
have equality for all races participating in the economy, but companies that do not earn as much
as that will not be seen as a big enough contributor to the economy. It will also be more difficult
for a company of a smaller size to incorporate the BEE rules. If you have a larger company,
which turns over more than R5 million a year, you will need to get a BEE scorecard to measure
how well you are doing with regards to your BEE points and compliance.

For more about BEE, there are many websites on the internet offering detailed information. You
can also find out on the internet about obtaining a BEE certificate and scorecard. There are
companies which will assist you in the process of obtaining your BEE certificate, and helping
you check whether your ratings are up to scratch. It is very important that your business is BEE
compliant in order for it to be a thriving, beneficial part of the economy. If your company is BEE
compliant, you will receive the rewards, and if not, you risk defying the laws and regulations that
have now been put into place, and, as a result, your business will suffer.

				
DOCUMENT INFO
Description: BEE, or Black Economic Empowerment, was created by the South African government to create equality by introducing black, colored and Indian individuals to participate fairly in the economy.