Issue Date: 
Monday, April 14, 2014

Tenders and Joint Ventures

By Werner van Rooyen

www.how2tender.com

14 April 2014

Do not under estimate the power of Joint Ventures because many tenders have been awarded to Joint Ventures and many more tenders will be awarded to Joint Ventures.

The advantage of having a Joint Venture when you bid for a contract is that you combine the skills sets of the participants involved in the Joint Venture. Another advantage is that you minimize your risk and exposure towards the bid and the participants also share the profits as well as the costs in the Joint Venture.

A Joint Venture can be described as a business enterprise where two or more participants come together to share there expertise in order to win a specific contract for a set period of time. A Joint Venture is a separate entity and is not part of the individual participant`s own enterprises. Therefor a Joint Venture must have its own set of rules by which it is managed and this is called a Joint Venture Agreement.

A Joint Venture agreement must include some minimum rights and duties. This includes:

  • The way the profit or loss will be shared by the participants;
  • The duties of each participant towards the Joint Venture;
  • The reason the Joint Venture has been established;
  • The start and end date of the Joint Venture;
  • The persons who will be the representatives of the Joint Venture;

If you want a copy of a Standard Joint Venture Agreement visit our website www.how2tender.com, where you can buy a JV Agreement online. When it comes to tenders in South Africa, you must remember to include your duly signed Joint Venture Agreement in your proposal. If you do not comply with this rule, your tender can be disqualified.

Another very important thing to remember, when bidding through a Joint Venture, is to include a consolidated B-BBEE certificate. This means that you will have to obtain a new B-BBEE certificate for the Joint Venture which consolidates each participant`s B-BBEE status level.

Remember then if you want to bid for a specific tender and you do not possess all the necessary skills, recourses, infrastructure or capital you can always look for partners who can join forces with you through Joint Ventures. Joint Ventures can bring you the success you always wanted without being trapped in a never ending partnership or shareholding scenario.

Please visit our website at www.how2tender.com to find out more about Joint Ventures and the Tender Process. Our second edition of our Tender Manual: A practical guide on how to tender is now available.
Until the next time - happy tendering.

Don`t delay, get educated today!

Title Closing Date Tender No.
The South African National Roads Agency SOC Limited (SANRAL) invites tenders from qualified Bidder/s to enter into an agreement for Database Administration and Managed Services (Oracle, Microsoft Mssql and Mongodb). 2019-07-10 14:00 NRA 58000/ 2019/ ORAMSSQL/ R
The RAF hereby invites experienced, suitably qualified service providers for Enterprise Project Portfolio Management (EPPM) Solution for a period of five (5) years. 2019-07-16 11:00 RAF/ 2019/ 00016
Appointment of a Service Provider to Provide Travel Management Services to Public Protector South Africa (Ppsa): Head Office Over a Period of Three (3) Years 2019-07-12 11:00 PPSA 001/ 2019
Provision of Technical Advisory Services to National Treasury: Intergovernmental Relations for The Cities Support Programme (Csp) to Enable Streamlined Online Reporting By Eight Metropolitan Municipalities Local Government Monitoring, Evaluation And Reporting Specialist 2019-07-05 11:00 GTAC 010- 2019
Data Centre Hosting Services for a period of 36 months 2019-07-19 11:00 SCMN001/ 2019
Appointment of a Service Provider to Conduct an Implementation Evaluation of The Sector Infrustructure Programme. 2019-07-05 11:00 SD02/ 2019
Appointment of aService Provider for Rendering of Travel Management Services to Dsd In Terms of Air Travel, Accommodation, Car Rental, Shuttle Services and Parking at The O R Tambo International Airport. 2019-07-05 11:00 SD03/ 2019
The appointment an event management company to provide event management services to National Film and Video Foundation. 2019-07-08 11:00 RFT 02 2019- 2020
Placement of automated serology / immunology analysers for Braamfontein for a period of five (5) years. 2019-07-15 11:00 RFB 022/ 19/ 20
Appointment of Panel of Experts to Assist The Department In Specialist IPTN-Related Fields for The Period of 36 Months. 2019-07-12 11:00 DOT/ 02/ 2019/ PT
Appointment of a Service Provider to Assist The Department With The Review of Legislation And Streamlining The Legislative Mandates of Road Traffic Management Corporation, The Cross Border Road Transport Agency, The South African National Roads Agency Limited, The Road Traffic Infringement Agency and The Road Accident Fund. Further More to Align all Those Legislation With The National Road Traffic Act. 2019-07-12 11:00 DOT/ 03/ 2019/ RT
Placement of automated serology / immunology analysers for Braamfontein for a period of five (5) years 2019-07-15 11:00 RFB 023/ 19/ 20
Provision of Office Accommodation: Ladysmith Local Office for a leased period of 5 years.(Leases ranging from seven to ten years will also be considered).The office space required should be a minimum of 300m² with six (6) parking bays. 2019-07-19 11:00 08/ 2019
Supply and delivery of promotional items nationally for a period of five (5) years. 2019-07-16 11:00 RFB006/ 19/ 20
Establishment of an INSETA Research Chair (RC) and Centre of Excellence (CoE) for research in Kwazulu Natal and Western Cape. 2019-07-10 11:00 Skills/ 2019/ 01
Appointment of a service provider for the supply, delivery and commissioning of one (1) gas chromatograph with flame ionization detector for the analytical services south laboratory in Stellenbosch. 2019-07-04 11:00 4.4.12.2/ 5/ 19
Thermo Scientific Nalgene Analytical test filter funnels 250 mL (0.45μm Cellulose nitrate filter membrane) (Case of 50).......x1; GE Whatman Binder free Glass microfiber filters, Grade 93-AH Circles (1.5μm particle retention size and 47mm membrane diameter) Pack of 100.........x2; GE Whatman Binder free Glass microfiber filters, Grade 93-AH Circles (0.7μm particle retention size and 47mm membrane diameter) Pack of 100.........x2; GE Whatman Binder free Glass microfiber filters, Grade 93-AH Circles (1.0μm particle retention size and 47mm membrane diameter) Pack of 100.........x2; Polyethersulfone membrane filters (0.2μm particle retention size and 47mm membrane diameter) Pack of 100........x2; Polyethersulfone membrane filters (0.45μm particle retention size and 47mm membrane diameter) Pack of 100......x2 2019-06-21 11:00 RFQ000337
Invitrogen: RNAlater Tissue Collection: RNA Stabilization Solution (250mL)...........x4; Invitrogen: Superoxide Dismutase (SOD) Colorimetric Activity Kit [Cat # EIASODC 192 tests]........x2; Invitrogen: Glutathione Colorimetric Detection Kit [Cat # EIAGSHC 384 tests]..........x1; Invitrogen: Catalase Colorimetric Activity Kit [Cat # EIACATC 192 tests]........x2 2019-06-21 11:00 RFQ000336
Appointment of service provider to deliver regulatory examinations (RE-5) workshops as well as to support candidates preparing to write examinations. 2019-07-09 11:00 ETQA/ 2019/ 01
Department of Agriculture requires supply, delivery and installation of a vacuum infiltration tissue processor 2019-07-15 11:00 BID 858 - 2019/ 2020

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Tenders and VAT

By Werner van Rooyen

31 January 2019

One question that gets raised during each HowtoTender Workshop is must my business (or I) be registered for Value Added Tax (VAT) in order for me to respond to a tender? Or, must I register my business for VAT?

The answer according to the VAT Act, 1991 (Act No. 89 of 1991) is simple:

  • If your turnover is more than R1 million per annum then you have to register your business (or yourself in the case of a sole proprietor) for VAT.
  • There are commodities that are exempt from VAT and if you... Read More
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