Custom Bulk Bags (CBB) has been given an updated broad-based black economic empowerment (B-BBEE) accreditation of Level 2 in the most recent assessment. A Level 2 B-BBEE certification brings certain benefits to our customers, suppliers and business partners. Our bulk bags are sold to numerous industries, including mining, agriculture, chemicals and construction, so businesses in these sectors can unlock certain benefits when they work with CBB.
B-BBEE was a reform that was implemented by the South African government in 2003. The aim was to distribute wealth more equally across a wider range of demographics, especially those from previously disadvantaged communities. The system measures equity ownership of companies, as well as non-white representation in management positions.
Businesses are given a B-BBEE score based on various factors. These scores range from ‘Non-compliant’ and Level 8 (the lowest) to Level 1 (the highest). The better the accreditation, the more benefits a business receives, including a preference for government tenders and funding.
How the B-BBEE score is assigned
Since this system is points-based, there are five factors that assessors consider when assigning accreditation. These include:
- Percentage ownership (25 points) – What percentage of the total business owners are non-white?
- Management control (19 points) – What percentage of the management structure is made up of non-whites?
- Skills development (25 points) – What training and skills development opportunities does the company offer to all of its employees?
- Enterprise and supplier development (44 points) – Does the business support enterprises and suppliers that are majority black-owned?
- Socio-economic development (5 points) – Does the business contribute to the socio-economic development of its employees and surrounding community?
An independent panel of assessors will assign points based on the above criteria. The following points determine the B-BBEE accreditation:
- 100+ points – Level 1
- 85 to 99 points – Level 2
- 75 to 84 points – Level 3
- 65 to 74 points – Level 4
- 55 to 64 points – Level 5
- 45 to 54 points – Level 6
- 40 to 44 points – Level 7
- 30 to 39 points – Level 8
- Less than 30 points – Non-compliant
Custom Bulk Bags a Level 2 B-BBEE contributor
Black ownership equates to 69,13% at CBB – of which 39,31% are black females. Similarly, non-whites make up a large portion of our management structure. CBB is owned by Deneb Investments Limited, which is a subsidiary of Hosken Consolidated Investments (HCI). The B-BBEE accreditation awarded to our parent companies also has a positive impact on our rating.
As a Level 2 contributor, CBB has no doubt that industry transformation has a beneficial impact on our society. The skills development, training and knowledge sharing that comes from B-BBEE initiatives help to empower employees and make South Africa a better society in general. For more information about our bulk bags, please contact us today.
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Custom Bulk Bags is a leading South African manufacturer of woven polypropylene bags for various industries, such as mining, chemicals and food. We are able to produce over 3.5-million bulk bags per year, keeping our customers in stock at all times. Our bags adhere to the highest levels of quality as a result of our stringent in-house testing and quality control programmes.
Custom Bulk Bags holds ISO 9001 certification and we currently have a number of UN-certified designs. We are a Level 2 B-BBEE manufacturer and supplier and fall under the ownership structure of Deneb Investments Limited. For more information on our products, contact sales@custombulkbags.co.za. Follow us on Facebook for our latest news and industry insights.
