Minister Stella Ndabeni publishes draft regulations on thresholds for classification of small enterprises

The Minister of Small Business Development, Stella Tembisa Ndabeni, has published draft regulations in Government Gazette No. 53348 of 15 September 2025, inviting public comment on the proposed criteria for determining the classification of micro, small, and medium enterprises (MSMEs) across different sectors.

The draft regulations align with the international Standard Industrial Classification (SIC) codes and will remain open for public input until Monday, 27 October 2025.

In terms of the National Small Enterprise Amendment Act, 2024 (Act 21 of 2024), the thresholds will replace the definition schedule to the principal Act, the National Small Enterprise Act 102 of 1996 (as amended).

The proposed thresholds are grounded in evidence-based data obtained from the National Treasury and the South African Revenue Service (SARS).
They aim to:

• Provide guidance for the alignment of statistics and data collection on MSMEs.
• Enhance data available for policy and programme development.
• Enable better targeted support interventions and measurement of impact.
• Improve overall development of micro, small, and medium enterprises.

The draft thresholds have been developed in consultation with, and are supported by, key stakeholders including Statistics South Africa, SARS, National Treasury, the Department of Labour and Employment, the Department of Trade, Industry and Competition, and the Department of Agriculture.

Members of the public and stakeholders are encouraged to submit written comments on the draft regulations to:
Mr. Sibusiso Bhila at sbhila@dsbd.gov.za

Enquiries:
Siphe Macanda
Head of Communications
Cell: 082 355 2399
E-mail: SMacanda@dsbd.gov.za

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