Legal matters

Proposed changes to the current B-BBEE Codes of Good Practice

The B-BBEE Codes of Good Conduct gazetted during February 2007 stipulated that all measured enterprises’ B-BBEE compliance must be measured. Two sets of targets were identified in the B-BBEE Codes: 0 – 5 years targets (more relaxed) and 6 – 10 years targets. The 6 – 10 years targets came into effect on 9 February 2012. Revised B-BBEE Codes: Business Partners submitted comments with the DTI In October the Department of Trade and Industry ...
More

Choosing a legal entity for your business

One of the first and most important decisions an entrepreneur has to make is what type of legal entity to register his business under. There are many factors to consider and all the pros and cons must be weighed, as the wrong choice could be a costly mistake. "The business format will depend very much on the nature and size of the business, and should suit the entrepreneur's individual needs," says Nazeem Martin, MD of Business Partners, South Af...
More

Beware of your labour relations matters

Whether you are operating a small business or a large business, there are laws that regulate your relationship with employees. As an entrepreneur you need to be fully aware of these. For those looking to get into business for the first time you need to acquaint yourself with the regulations of three bodies that regulate wages as well as the terms and conditions of employment. These are the Sectoral Determination (SD), Wage Determination (WD) and...
More

What to look for in a lease agreement

When you are renting premises for your business, know exactly what the conditions of your lease agreement are to avoid getting caught out by hidden clauses or an unscrupulous landlord. Finding the appropriate space and location for your business is an important step towards realizing your dream of owning your own enterprise, but as with any contract, make sure you understand the contents of your lease agreement before you sign it. While it's vit...
More

What is Intellectual Property?

When you've invented a new product, provide a unique service or provide information that you have developed, be sure to protect your intellectual property, so that other unscrupulous parties do not make profits off your hard work. Intellectual property is basically any creation of the human mind, such as an invention, a specific brand name, books, etc. Intellectual property rights, which include patents, trademarks and designs, are the legal fram...
More

How does the New Companies Act impact small and medium enterprises?

Published with kind permission from the Department of Trade and Industries (DTI) In November 2010 the new companies act came into effect. Small and medium enterprises would do well to take note of this new act. The main features of the Companies Act, 2008, which came into effect in November 2010, are as follows: It has been modernised and brought into line with international best practices. This applies in particular to public companies, commun...
More

Tax rules for micro businesses

Turnover tax was introduced by SARS as a simplified tax system for small businesses. It applies to micro businesses only and taxes them according to turnover and, courtesy of Section 48A and the Sixth Schedule to the Income Tax Act, it reduces your Vat and income tax obligations. By definition, a micro business is a sole proprietor, company or close corporation with an annual turnover of R1 million or less. Turnover Tax is optional, meaning that ...
More

Handling grievances in the workplace

Ideally, grievances in the workplace should be approached with discretion and professionalism in accordance with certain general principles. However there are numerous managers, supervisors and heads of departments who are not equipped to handle these issues in the manner in which they ought to be dealt with. What is the proper procedure that needs to be followed, when is the presence of an independent chairperson necessary, and what happens if t...
More