Transformation

B-BBEE

Broad-Based Black Economic Empowerment: a B-BBEE level you can stand behind, and the records to prove it at verification.
Status + Scorecard13 controls51 questionsEME to Generic

The requirements

B-BBEE is measured under the Codes of Good Practice issued in terms of the B-BBEE Act 53 of 2003. Your level decides how much of a customer's spend with you counts toward their own scorecard, and it is asked for in tenders. Turnover sets the category: an Exempted Micro-Enterprise up to R10 million, a Qualifying Small Enterprise up to R50 million, and a Generic entity above that, with gazetted Sector Codes setting their own thresholds. Encircle assesses B-BBEE in two parts. B-BBEE Status applies to every organisation that claims a level and covers the certificate or affidavit, the ownership behind it, and fronting. B-BBEE Scorecard adds the five scorecard elements for QSEs below 51% black ownership and for Generic entities.

Classification & Certificate
Your category worked out from the latest turnover, the Code you are measured under, and a certificate or sworn affidavit of the type your category requires, less than 12 months old
Ownership & Fronting
A securities register that supports the black ownership you claim, voting rights and economic benefit that follow the shares, an annual check for fronting indicators, and a record of anything from the B-BBEE Commission
Certificate Custody
One named person holds the current certificate or affidavit, tracks its expiry, and makes sure no expired version reaches a customer or a tender
Strategy & Verification File
A B-BBEE strategy the governing body approved, with a target per element and an accountable executive, and a verification file that links every claimed point to its evidence
Ownership, Management Control & Skills
The ownership calculation with indirect holdings traced through, board and management profiles reconciled to your Employment Equity report, and skills spend recorded against the leviable amount
Procurement, ESD & SED
Spend classified by each supplier's recognition level with a current certificate behind it, enterprise and supplier development backed by signed agreements, and socio-economic contributions confirmed by their beneficiaries

Mapped in Encircle

This framework contributes to the following governance domains in your Encircle score:

D04 ComplianceD07 StakeholdersD10 PeopleD11 AssuranceD05 EthicsD01 StrategyD02 LeadershipD03 Risk
How Encircle maps this framework

B-BBEE Status is the short assessment every organisation that claims a level takes, and it is what a customer checking its suppliers needs to see. Organisations measured on the full scorecard take B-BBEE Scorecard as well, which works through the verification file element by element. Your certificate's expiry is tracked so renewal starts in time, and every gap becomes an assigned remediation task.

Your B-BBEE readiness score

Encircle tells you when your B-BBEE claim is defensible: the level you state is backed by a current certificate or affidavit and the ownership records behind it and, where you are measured on the scorecard, a verification file that ties every point to evidence. Verification is done by a SANAS-accredited verification agency, or by sworn affidavit where your category allows it. Encircle does not verify or issue certificates.

Ready to track your B-BBEE readiness?

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