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.
For rendering of security (guarding) services at the national museum (nm), no: 36 Aliwal Street, Bloemfontein and Oliewenhuis Art Museum, no 16 Harry Smith Street, Bloemfontein for a period of thirty six (36) months. 2017-11-13 12:00 NMSE/ 2017/ 001
Supply and Delivery of Cartridges for Tswelopele Correctional Centre :Supply Chain: Period: ONCE-OFF :Area Commissioner :Kimberley Management Area:Department of Correctional Centre:Free state and Northern Cape Region: 2017-11-20 11:00 KBY 02/ 2017
Supply 11 x Disclaimer with prohibited sign for 11 clinics 11 x services board for 11 clinics 2017-10-30 11:00 ZNQ 401/ 17/ 18
Supply, Delivery and Offloading of Coal Peas for a period of 02 years to the following Management areas: Johannesburg, Leeuwkop 2017-11-22 11:00 GTC 11/ 2017
Supply lounge suite 3 piece 2017-10-30 11:00 Supply lounge suite 3 piece
Cape Town: 1 & 3 Dorp Street and 4 Leeuwen Street: General cleaning of office space for a period of 36 months 2017-11-22 11:00 S091/ 17
Paarl: EMDC West Coast Winelands: General cleaning of office space for a period of 36 months. 2017-11-22 11:00 S088/ 17
Supply, Delivery and Offloading of Coal Peas for a period of 01 year to the following Management areas: Baviaanspoort, Zonderwater, Kgosi Mampuru II 2017-11-21 11:00 GTC 9/ 2017
George: Rensburghof Building: General cleaning of office space for a period of 36 months. 2017-11-22 11:00 S089/ 17
George: York Park Building: St John Street: General cleaning of office space for a period of 36 months. 2017-11-22 11:00 S087/ 17
Supply and install fire hose and reel 2017-10-30 11:00 ZNQ 402/ 17/ 18
The provision of recess external high pressure cleaning/touch-up painting services: Cape Town: Parliament Complex: SONA 2018 2017-11-10 11:00 CPT 1010/ 17
Bp Cuffs( Adults) 2017-11-03 11:00 ZNQ 94/ 17- 18
Supply, Delivery and Offloading of Coal Peas for a period of 01 year to the following Management areas: Boksburg, Modderbee. 2017-11-22 11:00 GTC 10/ 2017
Supply & delivery of otodynamics otoport lite 2017-10-27 11:00 ZNQ 278/ 17/ 18
Justice: Mtubatuba Magistrate Court: Provisioning of Cleaning and Hygiene Services for a Period of 24 Months. 2017-11-13 11:00 DBN17/ 10/ 02
Supply & deliver Crepe Bandage, type 2 knitted: Size 75mm 2017-10-27 11:00 ZNQ 229/ 17- 18
Supply and delivery of mild steel angles, reinforcing steel, bright steel bars, channel iron and square tubing for a period of 36 months (3 years): Department of Correctional Services 2017-11-20 11:00 DCS13/ 2017
Supply Bandage Plaster of Paris with leno weave base cloth. 2017-10-27 11:00 ZNQ 203 / 17- 18
Provision for security service for the College three sites 2017-11-10 11:00 INGWE/ 006/ 2017

Pages

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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