Issue Date: 
Monday, March 24, 2014

Start-ups

By Werner van Rooyen

www.how2tender.com

24 March 2014

In the tender process it is essential that an enterprise has some experience of the supply that it wants to tender on. In fact, the better the enterprise is with its supply the better its changes of being awarded a tender.

The question that now arise is: where do startup enterprises fit in? Or, can a startup enterprise win a tender? The answers to these questions are for the Organ of State that has issued the tender, to decide. But, there are definitely some things that a startup can do to ensure that it subscribe to the minimum requirements of a tender.

The minimum requirements that any enterprise must have are:

  • A tax clearance certificate.
  • A B-BBEE certificate.
  • Company registration documents.
  • Bank account detail.

The reason for this is that the Organ of State must verify that an enterprise is legit. The Preferential Procurement Policy Framework Act necessitate Organs of State to comply with these minimum requirements. It is also crucial for an enterprise to have some kind of B-BBEE credentials because the enterprise`s B-BBEE score is used in the Standard Bidding Document 6.1 to calculate the enterprise`s Preferential Points. Without these points it will be difficult for an enterprise to get pass the evaluation stadium of any tender process, not even to mention the adjudication stadium. No points will result in no tender.

If by some chance the technical criteria of a tender are not that important, a startup enterprise might just be able to make it through the first round of evaluation. Usually the enterprise must score between 70 to 75 points on the technical criteria to advance to the next phase of evaluation. This is exactly where startup enterprises fail. The entrepreneur does not realize that if you want to tender you must have some expertise of the supply you want to deliver. This little point in the tender process is much enterprise`s downfall.

So how does an enterprise, especially a startup enterprise, overcome this problem? The logical answer would be to join forces with an enterprise that has the necessary expertise and that comply with the technical criteria of a specific tender. Finding enterprises that will go into a joint venture can be difficult but if the startup enterprise can bring some special skills to the joint venture it will be easier to find a partner.

The Government is set on developing SMME`s. This is good news for startup enterprises! It means that when an Organ of State has a large tender that it has to award, it might award some or part of the tender to SMME`s, meaning startup enterprises. This means that your startup enterprise might just be the lucky one to score that big tender and for that you will need a Tender Manual to guide you through the tender process.

If you want to learn more about the tender process and how to complete a tender correctly and hopefully successfully, please visit our website at www.how2tender.com to find out more.

Until the next time - happy tendering.

Don`t delay, get educated today!

Brand new Preferential Procurement Regulations 2017 for Tenders

The brand new Preferential Procurement Regulations 2017, has been finalized and was gazetted on 20 January 2017. There are some interesting changes and challenges that we will discuss during the coming months. This is the official media release from National Treasury:

The regulations were initially promulgated in 2001 and revised in 2011 thus making this the second revision since the initial promulgation.

The revision of the Preferential Procurement Regulations of 2011 was largely influenced by the need... Read More

Free Keyword search

Search all tender notices for FREE!

No subscription or registration required!

You can also search by the reference of the the tender.

Advanced search

Search by Issuer, Region or Sector, individually, or using any combination of the three.