November News: B-BBEE Updates and Our Big Move!
We’ve got some exciting updates for you this month, plus some important insights on B-BBEE compliance and fronting practices to keep you in the know!
Getting Real About B-BBEE Compliance
As a distinguished B-BBEE practitioner put it, “Fronting practices are deceptive actions that sidestep the purpose of the B-BBEE Act. While they may look like true B-BBEE initiatives, they actually block real transformation.” Fronting can take many forms, including:
Blocking Black Participation – Preventing Black employees from taking part in meaningful roles
- Withholding Benefits – Claiming compliance while not passing on the real benefits to Black beneficiaries
- Misleading Partnerships – Forming or colluding in “B-BBEE partnerships” without offering genuine economic benefits
The consequences? Businesses found guilty of fronting can face penalties, loss of state contracts, and even prison time for responsible individuals. (read this article about a group of directors that have been arrested for fronting).
Authentic transformation is at the heart of B-BBEE, and that is where we come in—helping you ensure compliance, protect your business, and promote meaningful change.
Heads-Up for ICT Sector Clients
If you’re in the ICT sector, don’t forget that annual contribution fees are due by December 1, 2024:
| ICT Generic Entities (Turnover > R50M): 0.015% of NPAT or R2,500, whichever is higher |
| ICT QSEs (Turnover > R10M and < R50M): R1,250 |
| ICT EMEs (Turnover < R10M): R650 |
We’ve Moved to Our New Home!
EconoBEE has a brand-new, permanent home! Our new space is designed to give us room to grow, serve you better, and create more impact. Feel free to stop by and check out the new place! We’re located at 25 Loots Road, Blairgowrie, Randburg.
Let’s Connect and Keep Things Compliant!
When B-BBEE gets too hectic, EconoBEE is always around the corner. Drop us a line, and let’s talk about keeping your business strong, compliant, and ready for the future.
Warm regards,
ECONOBEE TEAM
