The intention of this element is to assist “black” owned companies to grow their businesses with the ultimate goal of becoming financially and operationally independent.
The full description of the elements is:
Paragraph 3.2.1 of the BBBEE Code Series 600 Measurement of Enterprise & Supplier Development Element states; Enterprise & Supplier Development Contributions consist of monetary and non- monetary, recoverable or non-recoverable contributions actually initiated and implemented in favour of beneficiary entities by a measured Entity with the specific objective of assisting or accelerating the development, sustainability and ultimate financial and operational independence of the beneficiary.
The government is attempting to improve the chances of success for BBBEE businesses through the Enterprise Development. The objective is to grow the economy as a whole but in particular to promote and develop black entrepreneurs.
It is therefore important to note that the minimum requirement is for the beneficiary to maintain 51% black ownership and be in possession of a valid BBBEE Affidavit.
We assist clients by:
- Advising them on how much they need to contribute
- Drawing up the necessary agreements in order to comply with the documentation requirements
- Find suitable beneficiaries
- Ensure that their contributions reach the nominated beneficiaries
Let us assist you with your Enterprise & Supplier Development initiatives.