The Regulations require that every company calculate its ‘public interest score’ for each financial year.
In terms of this requirement every company must calculate its ‘public interest score’ for each financial year, calculated as the sum of the following:
- a number of points equal to the average of employees of the company during the financial year (“employee”, has the meaning set out in the Labour Relations Act, 1995);
- one point for every R 1 million (or portion thereof) in third party liability of the company, at the financial year end;
- one point for every R1 million (or portion thereof) in turnover during the financial year; and
- one point for every individual who, at the end of
- the financial year, is known by the company —
- in the case of a profit company, to directly or indirectly have a beneficial interest in any of the company’s issued securities; or
- in the case of a non-profit company, to be a member of the company, or a member of an association that is a member of the company.
The company’s public interest score will be used to determine whether or not certain companies will require audited financial statements, which financial reporting standards should apply, and who may conduct an independent review for those companies that are not subject to the audit requirement.