It is always important for a business to keep their B-BBEE up to date, not only by having a valid B-BBEE Certificate but also by doing the necessary financial planning and budgeting for the renewal of the B-BBEE certificate.
Most entities have a February financial year-end which means that they are in the middle of the current financial year. Keeping this in mind it is important to plan and ensure that the correct amounts spend on the following B-BBEE elements:
- Skills Development;
- Enterprise & Supplier Development
- Socio-Economic Development
By spending throughout your financial year on these elements it will alleviate the financial pressure in February especially seeing as December and January are usually quiet months for businesses. It is also easier to just top up the amount still require that having to spend the full amounts all at once.
With Procurement it is also important to request B-BBEE Certificates from your suppliers. Should they not have a certificate they will have enough time to obtain one. It is, however, important to put pressure on your suppliers and inform them how important it is for them to also comply with B-BBEE as it has a direct influence on your companies B-BBEE points.
Please do not wait with the planning and spending till the last minute, but rather be pro-active with these elements. Should you have any enquiries regarding any of the abovementioned please contact your SEESA BEE Legal Advisor.