A QSE that is more than 51% Black Owned qualifies for Enhanced Recognition, which means that an Affidavit is the only B-BBEE Credential they have to present. Paragraph 5 of Statement 000 published in Gazette #42496 makes the following allowance for Enhanced Recognition:
5. ELIGIBILITY AS A QUALIFYING SMALL ENTERPRISE (QSE)
5.1 A Measured Entity with an annual Total Revenue of between R10 million and R50 million qualifies as a Qualifying Small Enterprise.
5.2 A QSE must comply with all of the elements of B-BBEE for the purposes of measurement.
5.3 Enhanced B-BBEE recognition level for QSE:
5.3.1 Despite paragraph 5.2 above, a Qualifying Small Enterprise which is 100% Black Owned, measured using the flow-through principle, qualifies for elevation to a “B-BBEE Level One Contributor” having a B-BBEE recognition level of 135%.
5.3.2 Despite paragraph 5.2 above, a Qualifying Small Enterprise which is at least 51% Black Owned, measured using the flow-through principle, qualifies for elevation to a “B-BBEE Level Two Contributor” having a B-BBEE recognition level of 125%.
5.3.3 A Black Owned QSE in terms of paragraph 5.3. above, is only required to obtain a sworn affidavit on an annual basis, confirming the following:
5.3.3.1 Annual Total Revenue of between R10 million and R50 million; and
5.3.3.2 Level of Black ownership.
5.4 Despite paragraph 5.3 a black-owned QSE may be measured in terms of the QSE scorecard should it so choose.
5.5 Any misrepresentation in terms of Para 5.3 above constitutes a criminal offence as set out in the B-BBEE Act as amended.
QSE Services are available to members with any queries relating to the above.