10 ways to do Enterprise Development | SA-Tenders.co.za
Issue Date: 
Monday, September 21, 2015

10 ways to do Enterprise Development

Enterprise Development is one of the most current buzz phrases in South Africa at the moment. Everybody from Government to Large Corporates to SMME’s must either perform Enterprise Development or must be the beneficiary of Enterprise Development.

According to the Stellenbosch Business School, Enterprise Development is defined as “the act of investing time and capital in helping people establish, expand or improve businesses. Enterprise development helps people to earn a living; it helps them out of poverty; and it leads to long-term economic growth for themselves, their families and their communities.”

Enterprise Development is a Priority Element on the Amended B-BBEE Codes of Good Practice that came into effect on 1 May 2015. If your business does not achieve a subminimum of 40% for Enterprise Development then your business’ B-BBEE Score will drop a level - in other words if your business achieved a Level 4 but you do not achieve 40% in Enterprise Development your business is going to be discounted one Level to a Level 5.

Fortunately there are many ways to comply with Enterprise development and because it is very easy to calculate how much your business has to spend (1% of Net Profit After Tax or NPAT for short), it is fairly easy to score the maximum available points on your B-BBEE Score Card. Just remember that there needs to be proper recordkeeping of all the Enterprise Development spend that you do.

Also very important to remember is that both Large Businesses as well as Qualifying Small Enterprises (QSE’s) must comply with this element.

10 ways to spend Enterprise Development are:

  1. Provision of training or mentoring by suitably qualified entities or individuals to SMME’s which will assist the SMME’s to increase their operational or financial capacity; A Good example of this is How2Tender.com’s Enterprise Development package!
  2. Investments in beneficiary entities (SMME’s);
  3. Loans made to beneficiary entities;
  4. Guarantees given or security provided on behalf of beneficiaries;
  5. Direct costs incurred by a measured entity in assisting and hastening development of beneficiary entities;
  6. Contributions made to settling service costs relating to the operational or financial capacity or efficiency levels of beneficiary entities;
  7. Relaxed security requirements or absence of security requirements for beneficiary entities unable to provide security for loans;
  8. Settlement of accounts with beneficiary entities over a shorter period of time in relation to the measured entity's normal payment period, provided the shorter period is no longer than 15 days;
  9. Providing training or mentoring to beneficiary communities by a measured entity;
  10. Payments made by the measured entity to suitably qualified and experienced third parties to perform Enterprise Development on the measured entity's behalf.

Enterprise Development must not be confused with Supplier Development. Any money spend on Enterprise Development cannot be claimed as Supplier Development as well.

How2Tender.com’s B-BBEE seminars and How-to-Tender workshops provide much insight into the Amended B-BBEE Codes of Good Practice as well as how to use B-BBEE to your advantage when you want to tender and much more. Please visit our website for more details www.how2tender.com or email werner@how2tender.com should you need any assistance in this regard.

Happy tendering

Title Closing Date Tender No.
NW405 - J B Marks – Potchefstroom Local Office Accommodation 2018-06-08 11:00 IEC/ NW- 01/ 2018
EC443 - Mbizana Local Office Accommodation 2018-06-08 11:00 IEC/ EC- 03/ 2018
Appointment of a panel of service providers for the supply of Ethernet Layer 2 services (Wireless connectivity services) to Sentech SOC (Ltd) for a period of Three (3) years with and optional extension of two (2) years). 2018-06-19 12:00 SENT/005/2018-19
Northern Cape: Victoria West Provisioning of office Accommodation for the Department of Social Development 2018-06-18 11:00 DRPW038/ 2017
Northern Cape: Loeriesfontein Provisioning of office Accommodation for the Department of Social Development 2018-06-18 11:00 DRPW002/ 2018
Cleaning services at SABC Bloemfontein offices. 2018-06-19 12:00 RFP/LOG/2018/36
Placement or outright purchase of film coverslipper analyser for NHLS Braamfontein, Doctor Goerge Mukhari Hospital, Chris Hani Baragwanath Hospital and NIOH for a period of three years 2018-06-11 11:00 RFB031/ 18/ 19
Placement of Haemoglobinopathy Analyser for Groote Schuur Hospital. 2018-06-20 11:00 RFB 014-18-19
Northern Cape: Nieuwoudtville Provisioning of Office Accommodation for the Department of Social Development 2018-06-18 11:00 DRPW004/ 2018
Northern Cape: Frazerburg Provisioning of Office Accommodation for the Department of Social Development 2018-06-18 11:00 DRPW003/ 2018
Placement of haemoglobinopathy analyser for Groote Schuur Hospital. 2018-06-20 11:00 RFB 014/ 18/ 19
General Building Maintenance. 2018-06-20 11:00 COR-A46/2017/2018
Secunda: Dol: Acquisition of office Accommodation Measuring Approximately 192.50sqm and no Parking Bays 2018-06-20 11:00 NST18/ 019
Supply abdominal swabs size: 370 x 450mm x 4ply sterile case of 48 x 5 SABS approved as per specification 2018-05-28 11:00 ZNQ 74/ 18- 19
Amersfoort: Dol: Acquisition of office Accommodation Measuring Approximately 115.20sqm And 02 Parking Bays 2018-06-20 11:00 NST18/ 020
The appointment of a professional service provider(s) to assist with organisational strategy review, policy alignment, business process mapping, business continuity management including annual reporting methodology for the organisation. 2018-06-21 12:00 RE-ADVERT ERW201706/TNDR-009
Supply swabs gauze absorbent size: 100 x 100 x 8ply non-sterile SABS approved as per specification 2018-05-28 11:00 ZNQ 119/ 18- 19
SECUNDA: SAPS: Acquisition of office Accommodation Measuring Approximately 1455.88sqm and 14 Parking Bays 2018-06-20 11:00 NST18/ 017
Supply and deliver toxicoligy kits x 30 kits 2018-05-25 11:00 09/ 2018/ 19
Supply, Planning, Installation and Support of Point to Multipoint Microwave Equipment to Sentech SOC (Ltd) for a period of Five (5) years with the option to renew for an additional two (2) years. 2018-06-21 12:00 SENT/006/2017-18

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Tender adjudication process

The SBD/WCBD6.1 document must form part of all bids invited.  It contains general information and serves as a claim form for preference points for Broad -Based Black Economic Empowerment (B -BBEE) Status Level of Contribution, and explains how tenders or bids are decided.

The document says:

  • The bidder obtaining the highest number of points will be awarded the contract.
  • Preference points shall be calculated after prices have been brought to a comparative basis.
  • Points scored will be rounded off to two decimal places... Read More
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