Issue Date: 
Friday, July 27, 2018

How can a start-up business win a tender?

In the tender process, it is essential that an enterprise be knowledgeable of the supply it wants to bid for. In fact, the more knowledge the enterprise has of its supply, the better its odds are of being awarded a tender.

The question is ‘where or how do start-up enterprises gain experience?’ or, ‘can a start-up enterprise win a tender?’ The simple answer is yes, start-up enterprises can win tenders.

Organs of State have identified certain industry sectors such as cleaning, grass cutting, security and a few others where they will try and award tenders to start-up enterprises. Furthermore, the new Preferential Procurement Regulations 2017, have got three specific Regulations that Organs of State can apply, to the advantage of designated groups, through sub-contracting 30% of a tender to Small, Medium and Micro Enterprises (SMME’s).

An alternative to overcome the lack of experience would be to go into a Joint Venture. Collaborate with an enterprise that has the necessary expertise and that complies with the Functionality of a specific tender. Finding enterprises to go into a joint venture with can be difficult but if a start-up enterprise can bring unique skills or Black Ownership to a joint venture, it will be easier to find a joint venture partner.

It is practical to start a business in something that you have experience in, so we advise start-up entrepreneurs to use their experience, gained through studying or working in a specific sector, in their tender responses. Use personnel references and ask the supplier/s that you dealt with in your previous job/s to be your references.

The Preferential Procurement Policy Framework Act dictates that Organs of State enforce certain minimum requirements when awarding tenders, in order to verify that an enterprise is legally operating and is tax compliant.

The minimum requirements any enterprise must met in order to respond to tenders are:

  • Being tax compliant;
  • Be registered on the Central Supplier Database;
  • Have an B-BBEE certificate or an EME Affidavit (in the case of a startup);
  • A Fixed address;
  • Bank account;

If you want to learn more about the tender process and how to complete a tender correctly and hopefully successfully, we advise that you attend one of our tender courses. For more information on the tender courses please email Werner at werner@how2tender.com.

This article was written by Werner van Rooyen, Director of HowToTender which specializes in tender consulting and tender training. (04/05/2018)

Title Closing Date Tender No.
Development of a training programme and to train 100 TVET College Lecturers in 9 provinces to offer INSETA qualifications and also lead to certification for College of Insurance 2019-03-12 11:00 ETQA/ 2018/ 11
Appointment of a centralized Marking Centre Services for final external examination scripts (FISA) 2019-03-12 11:00 ETQA/ 2018/ 12
Request to Procure an Integrated Business & IT Service Continuity Solution With Fully Integrated Offsite Data Backup & Protection for a Period of five (5) years. 2019-03-18 11:00 ICASA 01/ 2019
Supply and delivery of Gelport Laparoscopic System and woundprotector/retractor to theatre for laparoscopic surgery for Groote Schuur Hospital over a one (1) year period. 2019-03-15 11:00 GSH: PT95/ 2018
Provision for a service provider to Design, Edit and Print GMA’s Integrated Annual Reports for the 2018/19, 2019/20 and 2020/21 Financial Years 2019-03-08 11:00 GMA/ 008/ 18
Automation of Annual Financial Statements (AFS) For GPG Departments 2019-03-08 11:00 GT/ GPT/ 016/ 2019
Appointment of a service provider to develop, implement and maintain an automated price data collection system for the Gauteng Provincial Government. 2019-03-08 11:00 GT/ GPT/ 015/ 2019
Supply and delivery of disposable prefilled humidifier sterile water bottles for Groote Schuur Hospital over a one (1) year period. 2019-03-15 11:00 GSH: PT52/ 2018
Specification for Automated Supplier Statement Reconciliation System for a Period of Thirty Six (36) Months 2019-03-08 11:00 GT/ GPT/ 013/ 201
Development of Office layout and design, supply and installation of office furniture for the Finance and Accounting Services Sector Education and Training Authority (Fasset) office. 2019-03-08 11:00 FAS/ LT/ SCM/ OFFI_FURNIT/ CON1091
Appointment of the Team of Technical advisors (legal, Financial and Eco-Tourism) to assist with the evaluation of expression of interest proposals 2019-03-15 11:00 EKZNW 14/ 2019
Provisioning of Hosted Digital Voice Communication system ( Voip) 2019-03-18 12:00 KZNLA 09/ 2018/ 19
Terms of Reference to appoint a service provider to conduct research in research organizations as an ETD subsector for the purpose of 2020/21 Sector Skills Plan (SSP) update 2019-03-12 11:00 SCMU: 31 - 2018/ 19
Terms of Reference to appoint a service provider to conduct research in early childhood development as an ETD subsector for the purpose of 2020/21 Sector Skills Plan (SSP) update 2019-03-12 11:00 SCMU: 30 - 2018/ 19
Terms of Reference to appoint a service provider to conduct research in libraries and archives as an ETD subsector for the purpose of 2020/21 Sector Skills Plan (SSP) update 2019-03-12 11:00 SCMU: 32 - 2018/ 19
Terms of Reference for the appointment of a service provider to supply ETDP SETA with servers for its provincial offices 2019-03-11 11:00 SCMU: 28 - 2018/ 19
Appointment of Panel of Legal services providers for a period of three (03) years. 2019-03-18 12:00 KZNLA 08/ 2018/ 19
DTPC hereby invites proposals from suitably experienced and competent service providers to provide leased managed printing services for a period of three (3) years. 2019-03-11 11:00 DTP/ RFP/ 27/ CEO/ 10/ 2018
Bids for manufacturing, branding, supply and delivery of groundBREAKER[Gb] Gear for New LoveLife Trust 2019-03-06 12:00 LL2019/006
DTPC requires the services of a suitably qualified service provider to provide the design, supply, maintenance and support for a period of three (3) years 2019-03-11 11:00 DTP/ RFP/ 33/ CEO/ 11/ 2018

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The 8 steps in the Tender Adjudication process

By W van Rooyen

www.howtotender.co.za

31 January 2019

It is important to understand the Adjudication process when one responds to a Tender or Request for Proposal. If you have these 8 steps under control when responding to tenders, changes are good that you will proceed to the next round.

Here are 8 steps in the adjudication process that Organs of State will most often follow in determining which bidder will win the tender:

  1. Opening... Read More
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