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.
To Appoint a Law Firm to Provide Legal Services in Labour Relations Law And Related Litigation for Emfuleni Local Municipality 2019-03-08 11:00 COGTA 4/ 2/ 2- 2018/ RFP/ 03
Appointment of a Service Provider to be subcontracted by DAFF to conduct the analysis of following drug residue in aquaculture finfish for the period of 12 Month 2019-02-22 11:00 RFQ 000317
Box Files 2019-03-08 11:00 10398710
Document Storage Boxes 2019-03-08 11:00 10398742
Appointment of a Service Provider to be subcontracted by DAFF to provide maintenance plan for Liquid Chlomatography - Mass Spectrometry (LCMS) Matchine that is used for biotoxin testing on shellfish 2019-02-22 11:00 RFQ 000316
SCMU 17 – 2018/19: Supply & delivery of beef breeding animals for Joe Gqabi District Municipality for Livestock Commercialisation Project. 2019-03-08 11:00 SCMU 17 – 2018/19
SCMU 16 – 2018/19: Supply & delivery of beef breeding animals for Chris Hani District Municipality for Livestock Commercialisation Project. 2019-03-08 11:00 SCMU 16 – 2018/19
Appointment of a Preffered List of Suppliers to Conduct Airborne Magnetic Gradiometer and Radiometric Surveys for the Council for Geoscience for a period of three years 2019-03-15 11:00 CGS- 2018- 049A
SCMU 15 – 2018/19: Supply & delivery of beef breeding animals for Sarah Baartman Municipality for Livestock Commercialisation Project. 2019-03-08 11:00 SCMU 15 – 2018/19
Appointment of a Panel of Attorneys 2019-03-11 11:00 CGE18/ 2018/ 19
SCMU 14 – 2018/19: Supply & delivery of beef breeding animals for Amathole District Municipality for Livestock Commercialisation Project. 2019-03-08 11:00 SCMU 14 – 2018/19
Appointment of a Security Service Provider to Provide Gaurding Services at Mitchells Plain Cape Town for a Period of Two (02) years with an Option To Renew 2019-03-11 11:00 33/ FIN/ 2019
Bid Specification: Maintenance of Security & OHS Systems for Cape Town Regional Office for a Five (5) Years Period. 2019-03-20 11:00 RAF/ 2019/ 00004
Procurement of Water stops for the Raising of Clanwilliam Dam. 2019-03-20 11:00 DWS02- 0219WTE
Cleaning and clearing of vacant properties Framework Agreement for a period of three (3) years 2019-03-19 11:00 S115/ 18
Western Cape: Framework Contract for General Cleaning of Office Space over a period of thirty six (36) months 2019-03-20 11:00 S116/ 18
NDPW: Randfontein Magistrate Court, c/o Pollock & Sutherland street: Rendering of cleaning services for a period of 24 months (EPWP) 2019-03-12 11:00 JHB.18/ 54
The Procurement and hire, supply and delivery of Formwork to Clanwilliam for 52 months. 2019-03-20 11:00 DWS01- 0219WTE
Specialist Electrical and Mechanical Contractor to Provide Electrical and Mechanical Infrastructure Support, Critical Repairs and Material for a Period of 36 Months to SITA Pretoria Sites 2019-03-07 11:00 RFB 1886- 2018
SANParks invite prospective bidders to submit offers for the Upgrade of Seer Reticulation at the Veterinary Wild Services in Kimberley, Northern Cape Province Contractors who have a contractor grading designation equal to or higher than 3CE class of construction work and Joint Ventures are eligible to submit tenders. 2019-03-12 11:00 CI- KY- 0005/ 1

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Tender Site Visits

By Werner van Rooyen

www.howtotender.co.za

31 January 2019

If you are so fortunate to have reached the stage where Organs of State or Private Sector Companies want to do a site visit, you must know that you are in the final stage in winning that tender that you have responded to.

But what must you do to prepare for a site visit?

The first thing is to ensure that your place of business is in excellent order. Be sure everything is clean and neat. A clean workshop or office is a pre-... Read More

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