EME vs QSE: Which One Are You, and What It Means for Tenders
EME and QSE explained for South African tenders: the turnover bands, when a sworn affidavit is enough versus a full B-BBEE verification, and the levels each can reach.
Two of the most useful letters in South African tendering are EME and QSE. They decide whether you need an expensive B-BBEE verification or just a free affidavit — and many small businesses get this wrong and bid as non-compliant for no reason.
EME — Exempted Micro Enterprise
If your annual turnover is under R10 million you are an EME. You do not need a verification agency: a sworn affidavit (free at a police station or commissioner of oaths) is your B-BBEE proof. An EME is automatically B-BBEE Level 4, Level 2 if it is 51% black-owned, and Level 1 if 100% black-owned.
QSE — Qualifying Small Enterprise
Turnover between R10 million and R50 million makes you a QSE. A QSE that is at least 51% black-owned can also use a sworn affidavit (Level 2, or Level 1 at 100% black-owned). Below 51% black ownership, a QSE needs a full scorecard verification across the B-BBEE elements.
Above R50 million
Generic (large) enterprises always need a full verified B-BBEE certificate from a SANAS-accredited agency.
A caution on sector codes
Some sectors (construction, ICT, tourism and others) have their own B-BBEE sector codes with different thresholds and rules. If you operate under a sector code, confirm your EME/QSE thresholds against that code rather than the generic ones.
Frequently asked questions
What is the difference between an EME and a QSE?+
An EME (Exempted Micro Enterprise) has turnover under R10 million; a QSE (Qualifying Small Enterprise) is R10–R50 million. Both can often use a free sworn affidavit instead of a verification, depending on black ownership.
Does an EME need a B-BBEE certificate?+
No. An EME uses a free sworn affidavit as proof — automatically Level 4, Level 2 at 51% black ownership, or Level 1 at 100% black ownership.
When does a QSE need a full B-BBEE verification?+
When it is less than 51% black-owned. A QSE that is 51%+ black-owned can use a sworn affidavit (Level 2, or Level 1 at 100%).
What does EME and QSE mean?+
EME stands for Exempted Micro Enterprise — annual turnover of R10 million or less. QSE stands for Qualifying Small Enterprise — turnover between R10 million and R50 million. Above R50 million is a Generic enterprise.
What is a QSE certificate?+
A QSE that is less than 51% black-owned must obtain a B-BBEE verification certificate from an accredited agency. A QSE that is 51% or more black-owned can use a sworn affidavit instead. The certificate confirms your B-BBEE level for tender scoring.
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