An enterprise with an annual Total Revenue of R10 Million or less qualifies as an Exempted Micro-Enterprise (EME). An EME is deemed to have an automatic B-BBEE Status of “Level Four Contributor” with a B-BBEE recognition level of 100%.

Despite the above, the amended Codes of Good Practice have provided for enhanced B-BBEE recognition levels for an EME where:

• • an EME, which is at least 100% black owned qualifies for elevation to “Level One Contributor” with a B-BBEE recognition level of 135%; OR
• • an EME, which is at least 51% Black owned qualifies for elevation to “Level Two Contributor” with a B-BBEE recognition level of 125%

However, an EME is allowed to be measured in terms of the Qualifying Small Enterprise scorecard if it wishes to maximise its points and move to a higher level.