10 Principles When Pricing Your Tender

Many people ask the question "how must we work out our tender price?", but there is no simple answer, because every tender is different, e.g. a tender for the supply of furniture will have a different pricing structure than a tender for the supply of food for a government function. So, to provide individual pricing techniques would be very difficult.

In general, there are these ten points that must be dealt with when calculating price:

The 3 Principles of Tenders in South Africa

Tenders in South Africa are based on three principles:

1.    Functionality
2.    Price
3.    B-BBEE 

Functionality

Tenders and Pricing

By Werner van Rooyen

www.how2tender.com

17 March 2014

One of the most important parts of any tender is pricing.

All tender documents will tell you that it is not necessarily the lowest bid that will win the tender and that there are also other factors that influence the final decision. This might be true but be assured that you will lose more tenders than you will win if you have the highest price. Make sure you price your tender correct.

2 items that determine tender pricing

Article by Werner van Rooyen

www.howtotender.co.za

31 January 2019

Many bidders that respond to tenders struggle when it comes to calculating a price for a specific tender. One of the reasons for this is that a large number of Small Business Owners are usually new to the tender process and therefore they lack the necessary experience to price their bids correctly.

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Title Closing Date Tender No.
Removal of Existing Boundary Fence, Supply and Erect New Clearview (or Equal – Must Be Approved), Anti-Climb Security Fence, Pedestrian and Drive Gates at Lere La Tshepe Campus 2019-03-15 10:00 LERE- FENCE- 2019
Removal of Existing Boundary Fence, Supply and Erect New Clearview (Or Equal – Must Be Approved), anti-Climb Security Fence, Pedestrian and Drive Gates at Bonamelo Campus 2019-03-15 10:00 BON- FENCE- 2019
Structural Repairs, Internal and External Repairs and Renovations, Plumbing and Electrical Repairs and Renovations to the Classroom Block at the Bethlehem Campus Heritage Building. 2019-03-15 10:00 BETH- OLDBLOCK- 2019
Construction of New Male and Female Ablution Facilities Including Water Storage Facilities, Grey Water Treatment Facilities and Electrical Installation at Lere La Tshepe Campus. 2019-03-15 10:00 LERE- ABLUTION- 2019
Structural Repairs and Foundation Repair to External Classroom Walls at Itemoheleng Campus 2019-03-15 10:00 ITEM- WALLS- 2019
Roof Structure and Roof Sheeting Repairs and Replacement, Where Necessary, Including Waterproofing at Lere La Tshepe Campus 2019-03-15 10:00 LERE- ROOF- 2019
Repairs Including Structural, Roof and Internal Changes to Fire Damaged Office Building – Central Office 2019-03-15 10:00 CENT- BUILDING- 2019
Supply and Establishment of Park Homes: Chwezi Clinic 2019-03-14 11:00 ZNB 9505/ 2018- H
Maintenance and operation of the Air Conditioners: Natalia Building: 3 year contract 2019-03-15 11:00 ZNB 5480/ 2018- H
Construction of New Educational Facilities and Demolition of Old Structures at Sophatisana Secondary School 2019-03-11 12:00 CDC/ 59/ 19
Renewal of Nintex Licenses, Including Support and Maintenance for Period of Twelve (12) ,Months for South African Social Security Agency (Sassa). 2019-03-11 11:00 RFB 1816/ 2018
Procurement of an Integrated IT Operations Network Troubleshooting Tool Including Maintenance and Support Services 2019-03-18 11:00 RFP 35- 2018
Appointment of a Contractor to Conduct Various Construction Projects, Including Installation of Bird Netting, Installation of Foot Baths and Vehicle Tyre Baths, Renovations to Enclosure Wire Roofs; and Modification To Small Mammal Enclosures, at the National Zoological Garden In Pretoria 2019-03-05 11:00 SANBI NZG: 326/ 2019
Appointment of a Contractor for the Design and Construction a New Animal Quarantine Facility at the National Zoological Garden In Pretoria. 2019-03-05 11:00 SANBI NZG: 329/ 2019
Appointment of a Contractor for the Design and Construction of a Masonary Boundary Wall, Covered Staff Parking and to Conduct Remedial Work at Food and Beverage Outlets at the National Zoological Garden In Pretoria. 2019-03-05 11:00 SANBI NZG: 328/ 2019
Appointment of a Contractor for the Design, Installation and Commissioning of an Incinerator at the National Zoological Garden In Pretoria. 2019-03-04 11:00 SANBI NZG: 322/ 2019
Appointment of a Contractor for the Design, Supply and Installation of Mechanical Equipment, Including Pumps, Stand By Generators and HVAC at the National Zoological Garden In Pretoria. 2019-03-04 11:00 SANBI NZG: 323/ 2019
Procurement of Cleaning and Hygiene services to SITA Durban building for a period of 36 Months 2019-03-08 11:00 RFB 1866/ 2018
Invitation to tender for Rental Office Space for Seda’s Tshwane Branch Office in Pretoria for a period of Three (3) or Five (5) years 2019-03-08 12:00 RFP/ T 14- 2018/ 19
Invitation to tender for Rental Office Space for Seda’s Gauteng Provincial Office in Johannesburg for a period of Three (3) or Five (5) years 2019-03-08 12:00 RFP/ T 13- 2018/ 19

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Tender Knowledge

By Werner van Rooyen

www.howtotender.co.za

31 January 2019

Sometimes I am surprised at how little business people in South Africa know about Tenders and the Tender Process. Simple things like terminology and general tender information are difficult for people to comprehend not to mention the Standard Bidding Documents and Tender Pricing.

Unbelievably there are still Entrepreneurs that thinks to respond to tenders are an actual business? You will find that these Entrepreneurs would... Read More

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