CIPC Updates B-BBEE Registration Platform for EMEs

Posted 18 June 2025 Written by Acts Online
Category CIPC

Brought to you by SA Accounting Academy: The Companies and Intellectual Property Commission (CIPC) has implemented technical updates to its Broad-Based Black Economic Empowerment (B-BBEE) registration platforms for Exempted Micro Enterprises (EMEs).

In terms of the Amended Codes of Good Practice issued under Section 9 of the Broad-Based Black Economic Empowerment Act, No. 53 of 2003, the CIPC provides B-BBEE certificates only to EMEs, defined as entities with an annual turnover (actual or projected) of R10 million or less. These enhancements, effective from 6 June 2025, were developed in collaboration with the Department of Trade, Industry and Competition (the dtic).

Key Platform Enhancements

The updated registration system introduces several new data fields and regulatory requirements designed to align with specific industry standards and reporting obligations:

  • Sector Charter Councils: Integration of Sector Charter Councils to monitor sector-specific B-BBEE Codes. Measured entities are now required to submit certificates, reports, or affidavits to these councils to track sustainable transformation.
  • Standard Industrial Classification (SIC) Codes: The use of SIC codes to determine which specific B-BBEE Sector Code of Good Practice applies to a business, ensuring relevant targets and compliance requirements are met.
  • Ownership Distinctions: The platform now distinguishes between South African Black individuals and permanent non-South African Black individuals for ownership calculations.
  • Co-operatives: The introduction of B-BBEE certificates specifically for Co-operatives.

EMEs are automatically assigned a Level 4 (100% B-BBEE procurement recognition) status but may qualify for Level 2 (51% black ownership) or Level 1 (100% black ownership) status. Entities that cannot apply via the automated CIPC system—for instance, those with at least one foreign director or member—must complete a sworn affidavit. Once stamped by a commissioner of oaths, this affidavit serves as the official B-BBEE certificate.

The CIPC warns that applying for a B-BBEE certificate or affidavit using incorrect information constitutes a criminal offence and may result in legal action by the BEE Commission.

Click here to download CIPC Notice 25 of 2025.

What this means for you, your business, or your clients

  • For yourself: You must ensure that the Standard Industrial Classification (SIC) codes selected during the registration process accurately reflect the professional services or industry activities to avoid applying the incorrect Sector Code.
  • For your business: If your firm qualifies as an EME but has foreign directors, you must bypass the automated CIPC certificate generation and instead utilize the manual sworn affidavit process to remain compliant.
  • For your clients: Advise clients that the BEE Commission is empowered to take legal action for the submission of incorrect ownership data; clients must verify the South African residency status of black shareholders before declaring ownership levels.

Originally published at https://accountingacademy.co.za/news/read/cipc-enhancements-to-the-b-bbee-certificate-affidavit-for-emes

The views expressed herein are those of the author and do not necessarily reflect those of Acts Online. Acts Online accepts no responsibility for the accuracy, completeness or fairness of the article, nor does the information contained herein constitute advice, legal or otherwise.