Ownership type transaction permitted by the BEE codes.
Understand the Context
The correct Strategic Partner is crucial for success.
These investors add value to your business by stimulating growth, introducing new markets, or keeping existing clients.
at Denali we have experience in finding and selecting through our own networks the correct partner for you.
- Our aim is not only to maximise the BEE scoring but also make sure the “fit” for the organisation is correct.
- Arrange the BEE to maximise BEE points
- Provide insight into the BEE party for competence and capacity to give your business the attention it deserves.
- Structure deal for correct BEE investor
- Funding structures for BEE investor
Sale of Assets
The sale of assets provides indirect ownership options to attaining BBBEE ownership. Indirect equity and other forms of ownership are recognisable under the equity ownership element of the B-BBEE Codes if they contribute towards increasing the number of “Blacks” who manage, own and control the economic assets and resources in South Africa.
For a measured business to earn ownership points from indirect equity and other forms of ownership contributions, it is required to abide by certain specific rules
Sale of assets involves selling of an asset, separately identifiable business unit at less than market value to a black owned entity. The company is then able to claim the value of the asset relative to total company valuation.
Broad Based or Employee Share Trusts
Can provide indirect ownership per current legislation
However, trusts are in danger of being excluded from Ownership in the scorecard
We will unwind your current BEE trust at no charge.
Determine a more robust structure within the spirit of the codes to provide real black ownership.
Other services include;
- Corporate Finance Advisory
- Due diligence
- Financial Modelling
- Capital Raising
Equity Equivalent programmes
DTI program where company grants up to 25% of its value to an imitative that meets governments short skills or black business development requirements
The process requires Ministerial approval.
At Denali we:
- Provide a credible valuation of your business
- Develop a implementation path
- Make regular feedback available to your international holding company to achieve internal agreement
- Engage DTI