Issue Date: 
Monday, September 1, 2014

Must my business be registered in order to tender?

By Werner van Rooyen

www.how2tender.com

1 September 2014

Once, a very anxious business owner phoned me and asked if I could supply him with a CK number. I was amused by this and first asked why he asked me for such a number and secondly what did he need a CK number for? He said that because he had bought my Tender Manual he thought that may be I can help him with a CK number. Also, at the briefing session of the tender which he was responding to, the person in charge of the tender said that if the responders to this tender didn`t have a CK number their tender responses would be disqualified!

Obviously I was flattered by the compliment that this person thought I could help him with everything regarding his tender response but I was really confused why all responders to this specific tender needed a CK number. Now for those of you that do not know what a CK number is, it is the general term that is given for a Close Corporation registration number; all Close Corporation numbers started with the prefix CK followed by some numbers. The ridiculousness of this statement - that all responders must provide a CK number - just proved how little this official new about business in general in South Africa.

This brings us to the question - must I have a registered business to respond to tenders in South Africa. The short answer is simply no; you don`t need a registered business to respond to a tender.

In South Africa you can do business via various entities. The most popular of course is a private company or (Pty) Ltd as it is commonly known. In 1984 the South African Government of the time thought it good to give an alternative to the private company in the form of a close corporation. The idea behind the close corporation was to make it easier for entrepreneurs to have access to a legal business entity. The close corporation as a legal entity was very popular in the 1980`s and 1990`s. It became less popular as business owners realized that it didn`t provide sufficient security against them personally and eventually close corporation registrations were stopped in 2011. Close corporations that are still in existence can still operate but no new ones are allowed to register.

The fact of the matter is that if you respond to public sector tenders you are allowed to respond in your own name. The standard bidding documents makes provision for this. Just remember that you will still need all the compulsory documents to respond to the tender albeit in your own name.

Then there is the question of experience; the Evaluation Committee members may think that you lack experience if you do not respond in the name of a legal entity. And as we all know, experience counts when you respond to a tender.

Until next time, keep on responding to those tenders and if you need an edge visit our website atwww.how2tender.com for more information or buy our Tender Manual.

Title Closing Date Tender No.
Manual Blood Pressure Machine - Aneroid - 61 Units 2017-10-30 11:00 ZNQ 799 / 17- 18
Haemoglobin Metre - 47 Units 2017-10-30 11:00 ZNQ 800 / 17- 18
Supply and install Dcp 5 Kg Fire Extinguisher With Signage - 18 Units 2017-11-30 11:00 ZNQ 802 / 17- 18
Build Waste Area at Pholela Chc x Once Off 2017-10-31 11:00 130/ 17/ 18 PCHC
Supply and deliver domestic double door fridge metallic finish 170 L (16 units) 2017-11-01 11:00 ZNQ 212/ 2017/ 2018
Supply and deliver office desks with lockable drawers oak finish (04 desks) filling cabinet lockable steel (06 units) stationery cupboard with 4 drawer (03 units) t wo compartment locker (steel) for frame display (01 units 2017-11-01 11:00 ZNQ 213/ 2017/ 2018
Supply and deliver wardrobe double sided door with 3 drawer inside with centre mirror 135 cm width 2017-11-01 11:00 ZNQ 216/ 2017/ 2018
Supply and deliver double bed size (39 cm +28 cm x152 cm length )10 yrs guarantee (67 height &length) (specification on the document) 42 units 2017-11-01 11:00 ZNQ 317/ 2017/ 2018
Supply and deliver office chairs high back tilt swivel with armrest fabric maroon in colour (06 units) 2017-11-01 11:00 ZNQ 214/ 2017/ 2018
Supply and deliver vaccine fridge, lockable sliding door, maintains temperature for 72 hours after power failure (12 units) 2017-11-01 11:00 NKA 92/ 2017/ 2018
Supply and deliver two seater sofas leather finish ( 05 units) 2017-11-01 11:00 ZNQ 210/ 2017/ 2018
Supply and Install Bulk Filling Cabinet 2017-11-10 11:00 ZNQ 173/ 10/ 17
Supply of Office Furniture 2017-10-27 11:00 70/ 09/ 2017/ 18
Supply: 1 Unit -Food Waste Disposer/Macerator - 3hp 2.2kw - (Supply And Install) 2017-11-08 11:00 348/ 17
Window curtain rails : 6M X 8, 5B2 X 7, 5F X4 (specification attached) - Total = 19 2017-11-01 11:00 196/ 10/ 17
Window curtains colour blue: B x 68, C x 68,E x 68,H x 68,G ward x 36, D ward x 36 2017-11-01 11:00 199/ 10/ 17
Supply and deliver abdominal Swabs 450mm x370 mm x 6 Ply x 36g Large Abdominal Swabs Sterile x-Ray Detectable with Blue Loos Double Packaging Box of 48 Pkts 5’s Per Pouches 2017-11-03 11:00 ZNQ 704 OF 2017/ 18
Supply and deliver of Ventilator - Basic Transport 2017-10-27 11:00 ZNQ 626 OF 2017 / 18
Swabs Gauze Absorb Non Sterile 100mmx100mmx8ply X 2 000 Pkts Per Month For 6 Months. 2017-10-31 11:00 ZNQ02/ 17
Supply, Delivery, Installation, Demonstration and Commissioning of an Ultrasound Unit for use in Paarl Regional Hospital 2017-11-17 11:00 WCGHCC024/ 2017

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Functionality and Tenders

In all competitive bids (tenders) you as the bidder will have to respond to Functionality. You will need to score a set minimum number of points, measured as a percentage, on Functionality of a competitive bid (tender) in order to advance to the next phase of evaluation in the tender process.

Usually Organs of State evaluate competitive bids (tenders) as follows:

  • The tender response is evaluated on Functionality where the bidder must score points out of a maximum of 100 points.
  • A threshold of between 65 to 75 out of 100 points... Read More
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