B-BBEE categories

B-BBEE Categories Explained

At Verification Partners, we help organisations determine the appropriate B-BBEE category for their business and guide them through the relevant verification requirements under the B-BBEE Codes of Good Practice. Understanding your category is the first crucial step in establishing your B-BBEE status and ensuring compliance.

1. Exempt Micro Enterprises (EMEs)

An Exempt Micro Enterprise (EME) is a business with an annual turnover of less than R10 million. EMEs are not required to undergo a full scorecard verification; instead, they confirm their status by demonstrating that their revenue is below the applicable threshold.

EMEs receive an automatic B-BBEE Level 4 recognition. However, if an EME is 51% or more Black-owned, it qualifies for an automatic Level 2 rating, and if it is 100% Black-owned, it achieves an automatic Level 1 status.
EMEs typically provide a sworn affidavit (or equivalent documentation) to confirm their status — a full verification audit is not necessary under the amended Codes.
EME thresholds may vary between sector codes. Transport codes do not provide for an affidavit.

2. Qualifying Small Enterprises (QSEs)

Qualifying Small Enterprises (QSEs) are entities with an annual turnover between R10 million and R50 million. Unlike EMEs, QSEs are evaluated against the QSE scorecard, which includes all five standard B-BBEE elements.

A QSE can also qualify for an automatic Level 2 status if it is at least 51% Black-owned, or Level 1 if it is 100% Black-owned. If a QSE does not meet these ownership thresholds, it must undergo a complete scorecard verification to determine its B-BBEE level.

3. Large (Generic) Enterprises

Enterprises with an annual turnover greater than R50 million are classified as Generic (large) enterprises. These businesses must undergo a full verification against the Generic scorecard, which assesses performance across all five B-BBEE elements:

  • Ownership

  • Management Control

  • Skills Development

  • Enterprise & Supplier Development

  • Socio-Economic Development

The points achieved across these elements determine the final B-BBEE level awarded.

How Your Category Influences Verification

The B-BBEE category assigned to your business affects both the verification approach and the type of documentation required:

  • EMEs rely on revenue confirmation and ownership evidence to determine an automatic level.

  • QSEs and Generic entities must submit a full set of supporting evidence suitable for a structured verification audit.

  • Verification Partners assesses the relevant documentation objectively and issues a B-BBEE certificate that reflects your compliance under the applicable Codes.

Your B-BBEE status, as reflected on your certificate, is valid for 12 months and must be renewed annually to maintain compliance.

What the Scorecard Measures

Regardless of category (where applicable), a company’s B-BBEE compliance is measured against five key elements of the scorecard:

  • Ownership – Black shareholding and economic interest

  • Management Control – Representation of Black individuals in executive and board positions

  • Skills Development – Training and advancement of Black employees

  • Enterprise & Supplier Development – Development of Black-owned suppliers and beneficiaries

  • Socio-Economic Development – Contributions to community upliftment and economic inclusion

Next Steps

Verification Partners works with you to confirm your business category and guide you through the most efficient and compliant verification route. Whether you are an EME seeking affidavit support or a larger enterprise preparing for a full audit, we ensure the process is transparent, accurate, and aligned with national standards.

Contact us to determine your B-BBEE category and start your verification journey.