What is BEE (Broad-Based Black Economic Empowerment)?
BBBEE (Broad-Based Black Economic Empowerment) is South Africa's legislative framework designed to address the economic inequalities of apartheid. It is governed by the BBBEE Act 53 of 2003 and the Codes of Good Practice.
Most government contracts, corporate procurement, and licensing requirements demand BEE compliance.
What is an EME (Exempt Micro-Enterprise)?
An Exempt Micro-Enterprise (EME) is a company with annual turnover under R10 million. These small businesses are exempted from full BEE scorecard verification and automatically qualify for BEE status via a sworn affidavit.
EME BEE Status Levels:
| Ownership | BEE Level |
|---|
|---|---|
| 51%+ Black owned EME | Level 1 (135% procurement recognition) |
|---|---|
| Less than 51% Black owned EME | Level 2 (125% procurement recognition) |
This means a 51% Black-owned EME automatically achieves Level 1 BEE — the highest possible score — just by completing a sworn affidavit!
What is a Qualifying Small Enterprise (QSE)?
A QSE has annual turnover between R10 million and R50 million. QSEs also have simplified BEE requirements:
| Ownership | BEE Level |
|---|
|---|---|
| 51%+ Black owned QSE | Level 1 |
|---|---|
| 30%–50.99% Black owned QSE | Level 2 |
QSEs complete an affidavit or a simplified scorecard (not a full audit).
What is a BEE Affidavit?
A BEE affidavit is a sworn statement signed before a Commissioner of Oaths (e.g., SAPS member, notary public) confirming:
- •Your company's annual turnover
- •The percentage of Black ownership
- •Director/shareholder information
The affidavit replaces the need for a costly BEE verification certificate from an accredited verification agency.
Who Can Issue a BEE Affidavit?
The affidavit must be sworn before a Commissioner of Oaths:
- •SAPS (South African Police Service) member
- •Notary public or attorney
- •Bank branch manager
Documents Needed for a BEE Affidavit
- •✅ Company registration certificate (CoR14.3)
- •✅ Latest financial statements or management accounts
- •✅ ID documents of all directors/shareholders
- •✅ Proof of Black ownership percentage
- •✅ Completed BEE affidavit template
How Long is a BEE Affidavit Valid?
A BEE sworn affidavit is valid for 12 months from the date of signing. You must renew it annually.
Common Uses of a BEE Certificate
- •Government tender submissions
- •Corporate supplier registration
- •Municipal compliance
- •Sector-specific licensing
- •SEDA/NYDA grant applications
Get Your BEE Affidavit with Amashad
Amashad prepares compliant BEE affidavit templates for EMEs and QSEs. Request a quote today and get your Level 1 BEE status sorted.