BEE is not a required part of the law, but businesses willingly becoming compliant to it are reaping the rewards. This is even more so in the case of liaising with a BEE consulting company. These companies make it so much easier for businesses to adapt to these rules and to be productive contributors to bringing economic stability to all South Africans. Although BEE is more than just righting the imbalances between those who were afforded privileges in the past and those who were not, this still does remain a high priority of its aim. A business will be considered as black owned if more than 51 percent of the business is owned or even operated in a management position by black individuals. This does extend to those working their way up the ladder as well. BEE consulting promotes training programmes within a company and some companies are even on hand to help put the strategy that they come up with into action.
Attaining a good BEE score is a process. It cannot be done once off or at the very last second. This will be expensive to pull off and anyway, a company’s BEE status must always be updated, that is 4 times a year. This could be human resource development or easier access to finance to black people. Further emphasis is placed on hiring women and disabled people. Hiring these individuals and mentoring them does not only have an advantage in gaining BEE points. It does make up 1/5th of the total score and makes a grand difference to the final tally but businesses are also encouraged to do so because of the tax benefits. Each person employed as part of a training contract allows for the business to claim back some of their money on tax rebates. A small portion of the BEE point’s code has to do with a firms charitable contributions. A BEE consulting firm can help with finding the right organizations for the business to partner with.
This should be something along the lines of the industry that the business is associated with. Once again, the BEE consulting firm will ensure that the total amount of points will be gained instead of losing out due to fine details. This is the BEE code with the lowest amount of points but every point does count in adding up to be a level one contributor. The level number is so important, and not just to show that the company has made great strides in transforming to equalize the country but is also a say in how they will be performing business. When other businesses are looking for suppliers or partners, they will likely go with the one with the highest BEE score. This is because they can then add this to their procurement factor on their BEE score. BEE consulting aids in ensuring the business is partnered with the right people. So while BEE or even hiring a BEE consulting firm is not required by law, the ripple lines could ensure that non BEE companies could miss out on contracts and sales down the road.