Your thoughts please???

Question

My uncle has a well established construction company in the Free State, he took on a BEE partner and basically distributed 26% of the shares to this fool free of charge.
The BEE partner over the last 3 years has enriched himself taking a massive monthly salary and receiving yearly dividends.
Late last year, my uncle found out that the BEE partner had started his own company and was tendering for government contracts in that company.
My uncle paid him out for his shares, sent him packing and found a new partner.
Last week the old BEE partner filed for bankrupsy and came begging my uncle to give him another chance. He has apparently not made bond repayments on his house, paid his credit cards or basic utility bills for 3 months now.
I know for a fact that this is not an isolated incident and is common with these greedy thug BEE partners.
What do you think?

Answer 1

I think this is one reason why many companies want BEE partners that are silent. They get their shares and their dividends but don't really have a say in the day-to-day running of the company.

The company got where it is without them and the only reason they are needed now is because of government policies. No matter how they try to explain it away, BEE and affirmative action is simply economical colonization.

Answer 2

Well Raging for starters there is no way your uncle needs to take his ex partner back. Business in not run on sentimentality or the color of your skin.

Its about the way you think and if you think you can make a better living setting up your own business when you are already involved in a perfectly good one and you go "play away" and get caught out doing that you don't deserve to be allowed back.

Your language is interesting though, if the man had been white and done the same thing would you also call him a thug? He is just a foolish man who is now going to loose everything he has built up. Hard lesson learned.

Answer 3

The problem is not the fact that the partner was BEE, the problem is that he was to greedy. By opening his own company he thought he would be making more money.

Just for the record, the BEE rating for small and medium size enterprises does not depend on whether the company has black ownership or not.
The Company gets rated on different criteria such as:
1. Ownership (shareholding)
2. Management
3. Employment Equity (who employed)
4. Skills Development (are training given to previously disadvantaged)
5. Preferential Procurement (BEE rating of suppliers)
6. Enterprise Development (are you helping to set up or develop business for previously disadvantaged people)
7. Residual Element

Out of these seven point you can choose the 5 you scored the highest in and they will be used to calculate your BEE rating.

Answer 4

Your uncle can tell his former BEE partner he can take a hike.
If he wants in on the company again he'll have to buy shares like every possible shareholder of another race would. Paying for shares would prove that he's serious about business this time around.

Answer 5

There's too much ******** going on in SA. None of it can stand the test of time. Only one thing can consistently yield success and keep doing so: WORK (with a good pinch of savvy).
Many South Africans who think the backlash of history in SA will automatically make them rich are fools. With freedom comes responsibility, and many (including your uncle's former partner) needs to learn that means rolling up those sleeves and WORK for what they want.

Answer 6

bru, i somehow dont think that this has anything to do with balck or white.

it goes about thieving rat b@stard partners.

your uncle just got burnt by a darkie. it could have also been a white guy.

i'm the racist in this forum, and i reckon that business is business, and your uncle should tell his ex partner to p!ss off., no matter the colour of the guy's skin...

Answer 7

I think that the old BEE needs to be evicted from the hive !!!

Answer 8

This guy got what he deserved, bee stinks as far as i am concerned