AFRICA’S LARGEST SOCIAL ENTREPRENEUR PRESENTS A DEVELOPMENTAL SOLUTION TO A BLACK ECONOMIC EMPOWERMENT PROBLEM

VERY LOW COST

MINIMAL CASH FLOW IMPLICATIONS

About The Bright Future Foundation

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Reputable Company

The Bright Future Foundation was born out of the World Bank Group in 2004 to attract non-World Bank funding for development projects. Since 2007, it has been led by its current managing director, Geoff Hopkins, who was an Operations Officer in the WBG’s SME department.

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Established Track Record

The Bright Future Foundation has raised and disbursed over R300 million for development projects. Major donors include The United States Agency for International Development (USAID), as well as the Dutch government, Coca-Cola and Oprah’s Angel’s Network.

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Highest Standards

USAID’s auditor, Deloitte, rated The Bright Future Foundation as the agency’s best South African performer in terms of financial management and corporate governance.

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Optimal Black Economic Empowerment Solution

The Bright Future Foundation uses a holistic approach to assist companies across one or more of all the Black Economic Empowerment priority areas – Ownership, Skills and Procurement. By making full use of existing tax incentives, The Bright Future Foundation can ensure that any company can become fully Black Economic Empowerment compliant not only at a very low cost, but, crucially in these times, with minimal cash flow implications.

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Efficient Help For Black South African Youth

For the past three years, The Bright Future Foundation has been assisting South African companies with their Black Economic Empowerment issues and using the money raised to provide training to unemployed Black South African youth, mainly in the rural areas, and also to create jobs by helping Black youth establish their own SMEs.

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Audited Legal Solution

The Bright Future Foundation’s Ownership solution is backed by multiple legal opinions.
It has been run past the DTI, and its clients have been successfully audited by four separate leading SANAS accredited ratings agencies.

The Bright Future Foundation’s beneficiaries are 100% black African unemployed youth. More than two thirds of our beneficiaries are women and all of our beneficiaries are based in the rural areas. The Bright Future Foundation sees itself as a “pure play” social entrepreneur in that on the one hand companies cannot fulfil their Black Economic Empowerment obligations any more cheaply or efficiently, so companies can work with The Foundation on an entirely commercial basis if they so wish. On the other hand, the latest World Bank research indicates that the impact of The Bright Future Foundation’s work means that companies can be reassured they are supporting the best possible developmental project.

Years Established

in annual profits for development projects

Black youth owned smes created every year

Would you like to meet your Black Economic Empowerment obligations in the most efficient and effective way?

Do you want to provide training, jobs and, above all, hope to South Africa’s
unemployed black youth in the rural areas where skills and opportunities are so desperately needed?

find out how today

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Employee Tax Incentive

Claim Employee Tax Incentive (ETI) of R1,500 per month as a reduction in the company’s monthly PAYE bill. As companies have to pay PAYE whether or not they are making a profit, this solution also works for companies that are making an assessed loss.

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Deduction For The Training

Claim s11(a) deduction for the training

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Deduction For The Amounts Donated

Claim s18A deduction for the amounts donated to The Bright Future Foundation

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Deduction In The SME Creation Section

Claim s12H deduction of R80,000 per able-bodied learner and R120,000 per person with a disability enrolled in the SME creation section of the solution

The Cheapest And Most Efficient Way To Fulfil Your Black Economic Empowerment Obligations

In the current economic crisis, most South African companies are looking for any way to cut costs. For many, conserving cash is also of critical importance. This is likely to be made worse by the fact that companies that apply for discretionary grants from SETAs are unlikely to be awarded any funding. At the same time, however, companies are also looking for ways to stand out from the crowd and continue to contribute to the development of the country as a whole.

The Bright Future Foundation has developed a solution that allows companies to claim all their Ownership and Skills Broad-Based Black Economic Empowerment points at a very low cost and, crucially in these times, with minimal cash flow implications. The solution works whether the company is making a profit or not, but if the company is profitable, substantial deductions are also available.

This very low cost, minimal cash flow solution should enable any generic company to become at least a Level 4 (fully compliant) supplier while any QSE (Qualifying Small Enterprise, which is a company with a turnover between 10 and 50 million Rand) or EME (Exempted Micro Enterprise, which is a company with a turnover of less than 10 million Rand) will be able to become a Level 2 Designated Group owned supplier. This will enable these companies to stand out to their customers and clients in these difficult times.

Finally, the Foundation either provides training to unemployed black youth, mainly in the rural areas, or helps black youth there to set up their own SMEs.

By using the Foundation’s very low cost, minimal cash flow solution, companies are not only helping themselves, they are making a substantial contribution to getting the country back on its feet.