Issue Date: 
Thursday, October 31, 2019

Joint Ventures and B-BBEE

By Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.

Government Entities must use the Preferential Procurement Point System to calculate which tender response will be awarded the tender and if you do not have a good B-BBEE Score and if it is a close race, you are going to lose out with a low B-BBEE Score.

On 1 May 2015, the Amended B-BBEE Codes of Good Practice came into effect.  These Amended Codes place a lot of emphasis on Ownership and have a major impact on the B-BBEE Scores of all businesses that participate in B-BBEE in South Africa.  If your company is not going to score any points on Ownership you are also going to struggle to achieve a good B-BBEE Level.  This will negatively impact your tender response. 

Joint Ventures can be a great tool to use to increase B-BBEE Scores by joining forces with Black Owned companies thus increasing your Ownership. If you have the correct Joint Venture partner, with a good B-BBEE score, the overall score that you will achieve in the Preferential Procurement Point System can be much higher than going into the tender alone.

When bidding through a Joint Venture, the Joint Ventures must submit a Consolidated B-BBEE certificate if it is not an incorporated entity when responding to tenders.  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.  You apply for a Consolidated B-BBEE certificate at your B-BBEE Verification Agency who will issue the Consolidated B-BBEE certificate after combining the Joint Venture partners’ B-BBEE Certificates – this should not be a tedious task and it should not take long at all.

The Consolidated B-BBEE certificate must be tender specific – in other words it must contain the name and number of the tender that you are responding to.

To learn more about this and many other tender conditions attend our “Become a Tender Expert” 2-Day workshops presented in Johannesburg, Pretoria, Durban, Port Elizabeth, and Cape Town.  Book and pay online at https://howtotender.co.za/tender-expert-form/

Contact us at wernervr@howtotender.co.za should you require more information.

You can also purchase a Tender Manual (Handbook) on our website https://howtotender.co.za/ which is a step by step guide how to respond to a South African Tender.  It includes examples of completed SBD forms.

Title Closing Date Tender No.
PNQ4 IT HARDWARE. 2021-05-20 10:00 PNQ4 IT HARDWARE
PNQ4 HARDWARE 2021-05-20 10:00 PNQ4 HARDWARE
PNQ4ELECTRICAL 2021-05-20 10:00 PNQ4ELECTRICAL
Supply , Delivery and Off-Loading of Toilet Paper and Hand Towels as From 01 July 2021 – 30 June 2024 2021-05-31 12:00 B/SM 94/21
Sampling and Testing of Potable and Waste Samples in The Stellenbosch Municipal Area for a Contract Period Ending 30 June 2024 2021-06-07 12:00 BSM 100/21
Additions and alterations for Community Development Offices in 21 Simonsberg Street, Stellenbosch 2021-06-07 12:00 B/SM 99/21
Provision of travel management services to the Buffalo City Metropolitan Development Agency Soc Ltd (BCMDA) for a period of 3 years 2021-06-14 12:00 BID 3 OF 2021
Underwriting & Management of Municipal Short Term Insurance & Risk Portfolio: Contract period: 1 July 2021 to 30 June 2022 2021-06-02 12:00 B/SM 102/21
Provision Of Professional Services for the Design, Tender Documentation and Contract Supervision For New Cells and Associated Infrastructure at The Stellenbosch Landfill 2021-06-14 12:00 BSM 98/21
Supply and Delivery Of 100w Lamps: 7258 2021-05-19 11:00 None
Supply and Delivery of Strapping: 10786 2021-05-19 11:00 None
Supply and Delivery of Advanced Multi-Meter. 2021-05-20 11:00 None
Supply and Delivery Of Frl 95 – 240 Mech Sc (5351) 2021-05-20 11:00 11657916
Supply and Delivery of Pole Mount Dome Miniature Circuit Breaker Cover Item: 540 2021-05-24 11:00 None
Tenders are invited for SANA CALIBRATION FOR TESTO SAVERIS 2 DATA LOGGER WIFI SYSTEM. 2021-05-20 11:00 CSQ04212236
Tenders are Invited for the Repair and Replace GC and GC-MS lines as per Specification, available at SCM:Acquisitions, Harrower Road Port Elizabeth. 2021-05-20 11:00 CSQ04212247
Tenders are invited for the Renovation of Extraction System for Chemical Woods as per Specifications, available at SCM: Acquisitions, Harrower Road, Port Elizabeth. 2021-05-20 11:00 CSQ04212247
Tenders are invited for Supply and Delivery of Laboratory Glassware as per Specification, Available at SCM: Acquisitions, Harrower Road, Port Elizabeth. 2021-05-20 11:00 GQ04212772
Tenders are invited for the Purchasing of Microbiological Laboratory Media as per Specification, Available at SCM: Acquisitions, Harrower Road, Port Elizabeth. 2021-05-20 11:00 GQ04212772
Request for Expression of Interest – Air Conditioning Consultancy Firm 2021-05-25 16:00 ADB/EOI/RDGS/2021/0076

Pages

Who is the bidder or his or her representative?

By Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.

In Organ of State tenders, the Standard Bidding Document 4 – Declaration of Inters – ask in paragraph 2.1 the following: “Full name of bidder or his or her representative... Read More

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