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Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)

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Information and Communication Technology (ICT) Charter

ICT Sector Code for Black Economic Empowerment

Code Series 800: ICT Codes of Good Practice for Qualifying Small Enterprises (QSE's)

1. Statement 800: The Framework for QSEs and exempted Micro-enterprises


1.1 Objectives of this statement
1.1.1 The objectives of this statement are to: specify the Elements of B-BBEE measurable under the Qualifying Small Enterprise (QSE) Scorecard; specify the QSE Scorecard; specify the principles in the Statements (100 - 700) applicable to Qualifying Small Enterprises.


1.2 Eligibility as a QSE
1.2.1 Any enterprise with an annual Total Revenue of between R5 million and R35 million qualifies as a QSE, if its qualification does not result from circumvention of the ICT Codes.


1.3 The QSE Scorecard
1.3.1 The following table represents the QSE Scorecard and contains the Elements of the scorecard and the weightings for each element:




Code Series 800




25 points


Management control

25 points


Employment equity

25 points


Skills development

25 points


Preferential procurement

25 points


Enterprise Development

25 points


Socio-Economic Development Contributions

25 points



1.3.2 A QSE must select any four of the seven Elements of B-BBEE for the purposes of measurement under the QSE Scorecard. If a QSE does not make a selection, its four best element scores will be used for the purpose of measurement.
1.3.3 A QSE will be scored in proportion to the extent that it meets the compliance targets for those four elements.
1.3.4 The Weighting points in respect of any element in the scorecard represent the maximum number of points possible for each of the criteria.
1.3.5 Wherever a Standard Valuation Method applies to measuring an indicator, the same standard should apply, as far as reasonably possible, in all other applicable calculations in this statement.
1.3.6 The Adjusted Recognition for Gender must be used for the purposes of calculating the Employment Equity, Skills Development and Management Control element of the QSE scorecard.
1.3.7 The B-BBEE compliance of a QSE must be determined in accordance with code 000.
1.3.8 Any matter concerning the application of the QSE scorecard that is not dealt with explicitly in this scorecard must be dealt with in terms of ICT Codes 100-700.
1.4 Transitional period
1.4.1 The ICT Sector Code shall come into effect from the date of gazette. Entities in the ICT Sector shall apply the ICT Sector Code for measurement of their B-BBEE status.