Who qualifies as a QSE?
A Qualifying Small Enterprise (QSE) is a business with an annual turnover between R10 million and R50 million.
What are the B-BBEE requirements for QSEs?
QSEs must be rated against the five elements of the B-BBEE scorecard unless they are at least 51% Black-owned or 100% Black-owned, in which case they may use a simplified affidavit process.
If
Black Ownership is:
- 51% or more: Automatically qualify for Level 2 with an affidavit
- 100%: Automatically qualify for Level 1 with an affidavit
- Less than 51%: Must undergo full B-BBEE verification
Scorecard Elements for Full Verification
If not majority Black-owned, QSEs are scored on the following elements:
- Ownership
- Management Control
- Skills Development
- Enterprise & Supplier Development
- Socio-Economic Development
You are required to comply with all five elements, and priority elements must be met (Ownership, Skills Development, and Enterprise & Supplier Development).
What documents are required?
- Annual Financial Statements
- Company registration documents
- ID copies and ownership records
- Payroll and employee breakdowns
- Training records and supplier spend data
- Evidence for development and social contributions
HIAC will guide you through the documentation checklist and verification process.
Affidavit or Verification Certificate?
- 51%+ Black-owned QSEs can submit a B-BBEE affidavit
- Less than 51% Black-owned QSEs must undergo formal verification and receive a certificate