Issue Date: 
Friday, July 27, 2018

How can a start-up business win a tender?

In the tender process, it is essential that an enterprise be knowledgeable of the supply it wants to bid for. In fact, the more knowledge the enterprise has of its supply, the better its odds are of being awarded a tender.

The question is ‘where or how do start-up enterprises gain experience?’ or, ‘can a start-up enterprise win a tender?’ The simple answer is yes, start-up enterprises can win tenders.

Organs of State have identified certain industry sectors such as cleaning, grass cutting, security and a few others where they will try and award tenders to start-up enterprises. Furthermore, the new Preferential Procurement Regulations 2017, have got three specific Regulations that Organs of State can apply, to the advantage of designated groups, through sub-contracting 30% of a tender to Small, Medium and Micro Enterprises (SMME’s).

An alternative to overcome the lack of experience would be to go into a Joint Venture. Collaborate with an enterprise that has the necessary expertise and that complies with the Functionality of a specific tender. Finding enterprises to go into a joint venture with can be difficult but if a start-up enterprise can bring unique skills or Black Ownership to a joint venture, it will be easier to find a joint venture partner.

It is practical to start a business in something that you have experience in, so we advise start-up entrepreneurs to use their experience, gained through studying or working in a specific sector, in their tender responses. Use personnel references and ask the supplier/s that you dealt with in your previous job/s to be your references.

The Preferential Procurement Policy Framework Act dictates that Organs of State enforce certain minimum requirements when awarding tenders, in order to verify that an enterprise is legally operating and is tax compliant.

The minimum requirements any enterprise must met in order to respond to tenders are:

  • Being tax compliant;
  • Be registered on the Central Supplier Database;
  • Have an B-BBEE certificate or an EME Affidavit (in the case of a startup);
  • A Fixed address;
  • Bank account;

If you want to learn more about the tender process and how to complete a tender correctly and hopefully successfully, we advise that you attend one of our tender courses. For more information on the tender courses please email Werner at werner@how2tender.com.

This article was written by Werner van Rooyen, Director of HowToTender which specializes in tender consulting and tender training. (04/05/2018)

Title Closing Date Tender No.
Discretionary Grant Advert 2nd Funding Window 2019/2020 2019-06-18 11:00 RFQ/ SASSETA/ 201920120
Cape Town: parliamentary precinct: official office accommodation: provide integrated facilities management services.(2019-2024) appointment of consultants: quantity serverying, electrical & mechanical engineers, civil & structural engineers, health and safety agent. 2019-06-14 11:00 CPTC 004/ 19
Appointment of Board Secretariat Services until 31 March 2020 2019-06-14 11:00 RFP/ SASSETA/ 201920113
Provisioning of Productivity Study/ Assessment and other related services to the RTMC 2019-06-18 11:00 RTMC BID 03/ 2019/ 20
Provision of Security services to the RTMC Midrand offices 2019-06-17 11:00 RTMC BID 01/ 2019/ 20
Cape Town: Provision of integrated facilities management services for parliamentary residential accommodation for a five year period (2019-2024): Appointment of consultants: quantity surveying, electrical & mechanical engineers, civil & structural engineers, health & safety agent. 2019-06-14 11:00 CPTC003/ 19
Appointment of a panel of service providers to provide fraud risk management services to the NYDA for a period of three (3) years. 2019-06-19 11:00 NYDA2019/ 01/ IA
Appointment of a Panel of Service Providers for the National Treasury to Source the Services of Editors for Publications for a period of three Years 2019-06-14 11:00 NT005- 2019
24 months term contract for transportation of members of parliament and sessional officials in the three parliamentary villages. 2019-06-14 11:00 CPTSC 01/ 19
Appointment of a Service Provider to Implement an On-Going Solution for The Management of Emolument Attachment Orders Granted Against Public Servants and a Capacity Building Programme for a Period of 24 Months 2019-06-14 11:00 NT004- 2019
Appointment of a Decor Service Provider for The World Economic Forum on Africa Mokete 2019 to Be Hosted at ICC In Cape Town. 2019-06-14 11:00 NT003- 2019
Repair and maintenance of Generators at Limpopo High Court for 24 months 2019-06-18 11:00 PLK19/ 07
Appointment of a service provider for rendering of co-sourced internal audit services for the National Lotteries Commission for a period of three (3) years 2019-06-26 11:00 NLC/ 2019- 10
Repair and maintenance of HVAC System at Limpopo High Court for 24 months 2019-06-18 11:00 PLK19/ 06
Appointment of Service provider for Events Management (Golden Shield Heritage Awards) 2019-06-26 11:00 NHC/ 01/ 2019/ 20
Repair and maintenance of lifts at Limpopo High Court for 24 months 2019-06-18 11:00 PLK19/ 05
Bloemfontein Sandf: Tempe 1 Sa Tank Regiment: Upgrading of Facility/ Infrastructure (Kitchen) and Replacement of Kitchen Equipment: (Architectural Services) 2019-06-18 11:00 BL19- 009
Bloemfontein Sandf: De Brug Mobilisation Centre: Upgrading of Facility/ Infrastructure (Kitchen) and Replacement of Kitchen Equipment: (Architectural Services) 2019-06-18 11:00 BL19- 010
Postmasburg Magistrate Court: Provisioning of cleaning services for 36 months. (1208.14m²) 2019-06-14 11:00 PF17/ 2019
Olifantshoek Magistrate Court: Provisioning of cleaning services for 36 months. (531.00m²) 2019-06-14 11:00 PF18/ 2019

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10 things to remember when you tender

By Werner van Rooyen

31 January 2019

There are many things that you as a small business owner must remember when you respond to a tender and sometimes responding to a tender can be overwhelming. Experience has taught me that there are some important things to remember when responding to a Tender and there are some less important things to remember when responding to a Tender.

Here are ten of the important things to remember when responding to a Tender. Please remember that all ten of these items mention here are equal... Read More

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