With our world as we know it being forced to move over to remote or electronic means of conducting and continuing with business over the last eighteen months, it is evident that the world has also subsequently become expectant of absolutely everything else to happen quicker as well.
This is a blessing and a curse for most companies as some processes are sped up when we can find an alternative electronic means of conducting the same process rather than doing so manually. Should we apply our minds to these types of electronic processes, we may astonish ourselves with what technology could do for any company. SEESA BEE has, for example, moved over to a completely paperless system. (Yes, even with all the documentation required for BEE verifications.)
However, the con of this electronic world is that suppliers, tenders or anybody entering into a business transaction now often place unreasonable and unrealistic deadlines on a company wishing to enter into this business transaction/ contract. Therefore, for discussion, we will be referring to the, sometimes unrealistic, deadlines some business transitions require in terms of having a valid and SANAS accredited BEE certificate.
Most projects are dependant of this aforementioned BEE certificate before any project/ tender could be granted. On average, this is no more than one to two months a company will be notified of the requirement of a specific BEE level for the required business transaction. This, from a professional point of view, is simply not enough time to ensure that the company has reached the desired level, and subsequently have ensured that a full profile has been submitted to any SANAS Accredited BEE verification agency. The accredited agency will then issues the BEE Certificate after verification.
This is why SEESA provides an ongoing BEE service that includes, but is not limited to, compiling a full BEE profile that we submit to the accredited verification agency once completed. With our assistance and guidance, we advise that companies plan to submit the complete BEE profile at least eight (8) weeks before the required date of issue of this BEE Certificate or the expiration date of the current certificate. The verification agency then verifies these documents and calculations and conduct on-site interviews to verify the required information. This is the reason why they have set out a clear timeline that this verification process will take between four to eight (4 -8) weeks.
How can we speed up the process?
- With the SEESA BEE Electronic calculator, we are able to do the calculations quicker, leaving less room for human error with such important calculations.
- SEESA BEE ProFile, allows the company to drop all the documents required under your confidential share folder, firstly to act as a barrier against possible threats in a safer way than what it would have been if these documents were sent via email. This also allows the legal advisor to be in a position to inform the company well in advance which documents would still be required for submission of the BEE Profile. This prevents any undue delay when BEE Certificate is required, as the profile would already have been created. It would simply be a matter of adding the last information required. This information can then also be sent to the verification agency much quicker, and in a more efficient manner.
SANAS has made it a further requirement that all companies seeking a BEE rating can only be rated on the last financial period which has passed. This requirement has resulted in a set of financial statements only being valid, in terms of the scope of a B-BBEE verification, for 12 months.
However, as mentioned, SEESA can attempt to speed up the process as far as possible. However, it is evident that we need the client/ responsible person’s assistance in this process. If all the documents are not received timeously, the verification agency will not be able to commence with the verification timeously and the timeline would subsequently get delayed.
What do I do if I missed these timelines?
- Firstly, it is of utmost importance to plan accordingly to stay within this advised time frame. However, your designated SEESA BEE Legal advisor will remind you of these timelines throughout the year.
- However, should any project or requirement place an unrealistic deadline for the requirement of the BEE Certificates, the company will always be able to have the file classified as urgent. Once this file is deemed f urgent, there will be an urgency fee involved to have this profile prioritised. However, this amount can range between R5 000 –R6 000; therefore, this measure should only be left as a last resort. However, even in the abovementioned scenario, it would still be required that all the information is included in the BEE Verification profile. No exceptions to this requirement can be made, regardless of the urgency fee paid.
Therefore, the means of approaching BEE in an electron manner is safer, quicker and more accurate. This electronic means of conducting BEE-related business is the most efficient way of ensuring the BEE profile remains up to date and is the easiest way of receiving the BEE Certificate as soon as possible.
Contact your SEESA BEE Legal Advisor to assist your business with any B-BBEE Certificate related queries you might have alternatively, SMS the word “SEESA” to 45776 for an expert legal advisor to contact you.
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About the author
Tinita Gerber is a Labour and BEE legal advisor with qualified training in the Consumer Protection and POPI department. She started working at SEESA in February 2019. She conducted her studies at the North West University of Potchefstroom.
Resources
SEESA BEE – Memo 10 of 2021 – Timeous Submissions of VP (20 July 2021)