B-BBEE Status

Black Broad Based Economic Empowerment (B-BBEE)

In terms of the B-BBEE Codes of Good Practice, SMMEs are classified as enterprises with a turnover of R50 million and below, per annum. The Codes define two types in the SMME category in terms of the Codes as applicable from 1 May 2015, namely:

Qualifying Small Enterprises (QSEs) = enterprises with an annual revenue of between R10 and R50 million per annum

Exempted Micro Enterprises (EMEs) = enterprises with an annual revenue of below R10 million per annum

B-BBEE for SMMEs refers to any form of business support that larger enterprises provide to start-up, black owned and black women-owned enterprises to help them grow. As per the B-BBEE Codes of Good Practice, such supports are encouraged through Enterprise Development (ED) and Preferential Procurement (PP) element.

As an SME, Treehouse Consulting CC ( is classified as an Exempted Micro Enterprise (EME), with Level 4 Contributorship or 100% B-BBEE compliance.

EMEs and QSEs do not need a certificate from a BBBEE verification agent to confirm their BBBEE status.  An affidavit certifying its total annual income as being below the threshold and its level of black ownership is sufficient in terms of B-BBEE  legislation and the amendments to the Codes which come into effect from 1 May 2015.