Key BEE compliance measurement principles
- Compliance is measured at the time of measurement – initiatives not yet implemented are not taken into account.
- Substance takes precedence over legal form.
- BEE status misrepresentation may lead to disqualification of the scorecard.
- Initiatives to split enterprise into two or more entities – for instance, EME (Exempt Micro enterprise), QSE (Qualifying Small Enterprise) and start-ups may lead to disqualification of the scorecard – for example, to form a separate, BEE-compliant “fronting” company.
- Any BEE status representation must be supported by suitable documentation or evidence.
- Where a Standard Valuation Method is used, it must be consistently applied.