Real B-BBEE, real impact!
Broad-Based Black Economic Empowerment (B-BBEE) is a transformation initiative that redresses economic inequalities by giving South African citizens privileges previously not available to them, and to achieve sustainable development and prosperity.
By working closely together, the Imvula Education Empowerment Fund can help you achieve an almost perfect score on your B-BBEE scorecard: a one-stop shop broad-based empowerment partnership with one hundred times the social return for every Rand invested. You can sustainably educate poverty away through your B-BBEE.
Imvula can assist your company to attain as many as 101 points out of a potential 118 points on the revised B-BBEE codes.
Imvula offers a prime broad-based BEE ownership opportunity, with an unmatched social return to companies operating in South Africa.
- Black-owned and controlled by designated black unemployed beneficiaries.
- A 100% broad-based black-owned BEE Trust.
- Governance and structure meet all DTI requirements of broad-based ownership schemes, as well as all new requirements of at least 50% of fiduciaries are independent, at least 50% of fiduciaries are black, and at least 25% of Trustees are women; the Chairperson is independent.
- Measurable empowerment through education and entrepreneurship.
- 56% of beneficiaries are black women students.
- National representation.
- Black representation for your Board available without ‘interfering’ with management of your company.
- A one-stop shop solution which can assist companies with all aspects of their B-BBEE scorecard: Ownership; SED; Enterprise and Supplier Development; Skills Development; Empowering Supplier Training; Black Board Membership; Disabled employees; etc.
- Lowest cost; hassle-free; free consulting; assist with B-BBEE rating.
- Values-based education for ethical leadership.
|BBBEE Scorecard element
||Scorecrad element detail
||Can we help
||How we can partner with you
||Voting rights and economic entitlement of black shareholders.
||10-51% of ownership
||Imvula holds an ownership stake in your company, earning dividends.
||Black participation at Board – executive level and senior, middle and junior management levels, and employment of black disabled staff.
||Senior MI student representatives sit on the board of your company with exercisable voting rights. Assistance with disabled staff.
|Skills Development (SD)
||Expenditure on black people (employees and non-employees) for Learning Programmes, with a focus on learnership, internship and apprenticeship programmes.
||6% of payroll amount of company
|| [20+5]/25 points
||Expenditure from your company receives full recognition for learning programmes for black people. This includes Bursaries; Internships; Call centre learnerships (with NQF qualifications); Bonus points for hiring interns and learners.
|Enterprise (ED) & Supplier Development (SD)
||Contributions, graduation of enterprise development beneficiaries to the supplier development level, and jobs created in the ED/SD beneficiary directly as a result of ESD initiatives.
||1% of NPATProcurement of BPO services
||ESD: Your contributions to Invincible Outsourcing (‘IO’), our in-house call centre, receive full recognition. This includes: grants (monetary or ‘in kind’), interest-free and low-interest loans, short-term payments and professional services. Preferential procurement: Procurement of services from IO is recognised as preferential procurement spend – IO is a 100% black and 56.8% female owned company.
|Socio-Economic Development (SED)
||Corporate social investment (‘CSI’) to enables businesses to actively address critical needs to reduce both poverty, living conditions and skills within rural communities, having a broad-based benefit.
||1% of NPAT
||Your CSI contributions to MI will be recognised as SED spend (with corresponding tax benefits) – MI is a non-profit Trust with SARS Sections 18A Tax exemption status. Contributions include grants (monetary or ‘in kind’) or professional services.
Ownership (Priority element)
B-BBEE ownership opportunity
The Imvula Education Empowerment Fund offers a prime B-BBEE ownership opportunity, with an unmatched social return to companies operating in South Africa.
The aim of broad-based ownership is to accelerate transformation and realise the country’s full potential by distributing wealth across a broad spectrum of previously disadvantaged South Africans and by bringing the black majority into the economic mainstream. Under the revised B-BBEE codes, ownership is one of three priority elements. This means that companies must meet the minimum thresholds (40% of target) of these priority elements.
With Imvula you can achieve a perfect score on ownership and social impact and, in the process, receive broad-based empowerment ownership with one hundred times the social return for every Rand invested. You can sustainably educate poverty away.
- The Imvula Education Empowerment Fund is a 100% broad-based black-owned BEE investment vehicle that is black owned and controlled, with black South African MI students as beneficiaries.
- An equity deal with Imvula will increase black equity through our broad-based scheme.
- Equity would support students of the Maharishi Institute.
- Ownership deals can be financed in a variety of ways: either vendor-financing (with or without interest), cash, third party debt financing, or part-donation.
Imvula’s ownership offering
Imvula is a 100% broad-based black-owned BEE Trust, offering a prime broad-based BEE ownership opportunity, with an unmatched social return to companies operating in South Africa. Imvula is black-owned and controlled by designated black unemployed beneficiaries.
Governance and structure meet all new and broad-based ownership schemes as per DTI requirements: at least 50% of fiduciaries are independent, at least 50% of fiduciaries are black, and at least 25% of Trustees are women; the Chairperson is independent
We have national representation, 56% of our beneficiaries are black women students, and we are able to provide you with black representation for your Board without ‘interfering’ with the management of your company, while offering our students work experience.
In addition, partnering with Imvula will achieve a full score towards ownership points for economic interest and voting rights of black people, black women, and a black broad-based designated group.
We have concluded successful partnership deals in the Trust, which include FleishmanHillard SA (30%), Trialogue (25%), Mortimer Harvey (25.1%), Idea Engineers (25%), Net Media Planet (20%), and Matador (13%).
Empowerment you can quantify
A 10% yield on R100 million endowment fund will finance the student loans of 1,000 BBA students every year, who will ultimately earn salaries over their working lives of R6 billion.
Over ten years this will contribute up to R60 billion into the hands of the historically disadvantaged. If we own a stake in your company, you own a stake in South Africa’s future.
Ownership points earned when partnering with Imvula
||How Imvula can help
|Exercisable voting rights in the entity in the hands of black people
||Imvula will place the requisite number of black board members to ensure full points.
|Exercisable voting rights in the entity in the hands of black women
||Imvula will place the requisite number of black female board members to ensure full points.
|Economic interest in the entity to which black people are entitled
||Assuming Imvula owns 25% equity.
|Economic interest in the entity to which black women are entitled
||Assuming Imvula owns 25% equity, full points are achieved as >50% of beneficiaries are black females.
|Economic interest of black natural people in the entity
||100% of Imvula recipient are black beneficiaries of a broad-based ownership scheme, therefore scoring full points (note the beneficiaries are all youth which are also one of the black designated groups).
||While Imvula is 2
||If Imvula’s ownership shares are paid for within the allocated time period, you score full points.
||Total potential points
Enterprise (ED) and Supplier Development (SD)
(Pty) Ltd is a 100% black-owned registered business (2010/017696/07) that is classified as an Emerging Micro Enterprise (EME) in B-BBEE terms. It operates primarily as a contact centre business that provides practical work experience to the students studying at the Maharishi Institute
. This ensures that they are extremely marketable on graduation.
By investing in the development of Invincible Outsourcing, part of the Imvula Education Empowerment Trust, you are:
- Building a contact centre business and related outsourcing that will give practical work experience and training to thousands of unemployed black individuals over time.
- Building a Broad-Based BEE consulting business that will focus on achieving the highest levels of BEE to ensure you never lose business opportunities.
- Providing a job that funds students through university, thereby building high-level careers and creating a stable middle class, with measurable quantifiable impact.
Over and above ticking the boxes on your scorecard, every Rand is leveraged one hundred times in terms of social impact, leading to long-term reduction in poverty in South Africa.
There are various ways our ED and SD offerings can provide for your company:
1. Becoming a client of Invincible Outsourcing means that you would be purchasing services from us in one or more of the following areas:
- Inbound or outbound call centre services.
- Data capturing, data cleaning, back office administration.
- Broad-Based Black Economic Empowerment consulting.
- Staff training.
2. Enabling Invincible Outsourcing to become self-sufficient by:
- Appointing more internal B-BBEE consultants.
- Purchasing equipment and scaling the operation.
- Appointing Business Development staff.
- Investing in staff capacity building.
3. Donations and long-term:
- Donations and long-term unsecured interest-free loans have a benefit factor of 100% and professional services rendered at no cost have a benefit factor of 80%.
- Donations in the form of time and knowledge sharing are counted, where necessary, for the strategic importance of the organisation’s progress.
Skills Development (SD) – Priority element
Skills Development (SD) is an important element of B-BBEE as this is how we change the future of South Africa one person at a time.
Imvula can dramatically reduce the true cash cost of SD, as all aspects of your Skills Development can be managed through the Imvula Group. These include finding a Skills Development Facilitator (SDF), developing a skills plan, designing training, delivering accredited training, managing learnerships, internships, and apprenticeships, training disabled individuals on behalf of the company, getting company programmes accredited, and managing a company’s entire skills development requirements to attain full points on the scorecard.
Skills Development points can be achieved by funding bursaries, internships and learnerships, all of which can be done for students who are currently studying at the Maharishi Institute.
Our mechanics for Skills Development
Socio-Economic Development (SED)
SED is the Corporate Social Investment (CSI) aspect of your B-BBEE scorecard. It contributes towards initiatives that bring about socio-economic transformation. SED points can be scored by supporting qualifying Socio-Economic Development Beneficiaries through activities such as monetary grants, discounts, assisting with overheads, the provision of professional services and the provision of products and equipment.
You can achieve your full SED score annually in as little as 24 hours with Imvula. SED donations made to Imvula are directed 100% towards the Maharishi Institute, which is providing young black South Africans with a tertiary education in the Johannesburg CBD.
For your SED donation, you will receive a full income tax exemption as Imvula is a registered Section 18A beneficiary.
Imvula’s Socio-Economic offering
Imvula will agree with you on how your funds can be allocated.
Funding student bursaries are of the utmost importance to us and this will be done through the Student Education Bursary Fund. Purchasing equipment, installing IT systems, and other systems infrastructure are equally important, and funds will be used to ensure our campus is running optimally and with the latest equipment, wherever possible.
1. Determine your donation amount
- Calculate 1% of NPAT (Net Profit After Tax)
- (Example 1: Co. ABC: R100m revenue. R12m NPAT, 1% = R120,000)
- (Example 2: Co. XYZ: R10m revenue. R1.2 NPAT. 1% = R12,000)
- Via EFT to Imvula in the name of the Maharishi Education for Invincibility Trust
||Maharishi Education for Invincibility Trust
||Standard Bank of South Africa
3. Send Proof of Payment (POP)
4. Within 2 working days you will be issued with:
- A certified letter of proof of receipt of funds, and the amount and date received, to submit to your empowerment rating agency.
- A section 18A income tax certificate to submit to SARS for tax exemption on your donation.
- Donations in the form of knowledge or experience are counted, where necessary, for the organisation’s progress.
Each Rand of your procurement spend with Invincible Outsourcing (IO) can count towards the maximum possible points, as IO is 100% black-owned and a Level 1. In addition, it is investing in a black-owned ‘designated group’ small business with 52% black women ownership.
However, we will also assist you in becoming an ‘Empowering Supplier’, as set out in the revised B-BBEE codes by working together on a procurement strategy. By making significant strategic decisions, your company can improve its procurement score.
Starting by calculating your current procurement score and analysing what is driving a high or low score, we will collect B-BBEE scorecards from all of your suppliers through our call centre, Invincible Outsourcing. Our unique offering is to contact your Level 5, 6, 7, 8 and non-compliant suppliers to aid them with their transformation. Where needed, we will connect your company with an up to date database to find replacements for black suppliers. We provide a one-stop shop solution to your suppliers to get them to a Level 4 or above.
- Provide us with a list of all your suppliers in South Africa.
- Sign the introductory letter to your list of non-compliant suppliers for us to engage with them.
- We will collect all of their scorecards and collate them into a database.
- We will calculate your overall integrated procurement score.
- We will continuously work on your supplier list to improve their B-BBEE rating.
- We will issue you with an invoice for services purchased, along with our B-BBEE scorecard.