Issue Date: 
Thursday, January 31, 2019

Must my business be registered in order to tender?

By Werner van Rooyen

www.howtotender.co.za

31 January 2019

Once, a very anxious business owner phoned me and asked if I can supply him with a CK number. I was amused by this and first asked why he asked me for such a number and secondly for what did he need a CK number for? He said that because of my Tender Manual that he bought, he thought that maybe I can help him with a CK number. Also, at the briefing session of the tender that he was responding to, the person in charge of the tender said that if the responders to this tender didn't have a CK number their tender responses would be disqualified!

Obviously I was flattered by the compliment that this person thought I could help him with everything regarding his tender response but I was really confused why all responders to this specific tender needed a CK number. Now, for those of you that do not know what a CK number is, it is the general term that is given for a Close Corporation registration number; all Close Corporation numbers started with the prefix CK followed by some numbers. The ridiculousness of this statement – that all responders must provide a CK number – just proved how little this official new about general business in South Africa.

This brings us to the question - must I have a Registered Business to respond to tenders in South Africa. The short answer is simply no; you don't need a Registered Business to respond to a tender.

In South Africa you can do business in various forms of entities. The most popular of course is a Private Company or (Pty) Ltd as it is commonly known. In 1984 the South African Government of the time thought it good to give an alternative to the Private Company in the form of a Close Corporation. The idea behind the Close Corporation was to make it easier for entrepreneurs to have access to a legal business entity. The Close Corporation as a legal entity was very popular in the 1980's and 1990's. It became less popular as business owners realized that it didn't provide sufficient security against them personally and eventually Close Corporation registrations were stopped in 2011. Close Corporations that are still in existence can still operate but no new ones are allowed to register.

The fact of the matter is that if you respond to Public Sector tenders you are allowed to respond in your own name. The Standard Bidding Documents makes provision for this. Just remember that you will still need all the compulsory documents to respond to the tender albeit in your own name.

Then there is the question of experience; the Evaluation Committee members may think that you lack experience if you do not respond in the name of a Legal Entity. And as we all know, experience counts when you respond to a tender.

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 www.howtotender.co.za. Please contact Estelle at Estelle@howtotender.co.za should you require more information.

This article was written by Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.

Title Closing Date Tender No.
RFI Tests At Large Anechoic Chambers 2019-11-08 11:00 NRF SARAO RFI 001 2019
Appointment of a panel of service providers that will provide printing services to NRF|SAASTA for a period of 36 months (3 years) 2019-11-15 11:00 NRF/ SAASTA/ 07/ 2019- 2020
Request For Proposals: Appointment of a Suitable Service Provider to Implement The Women Empowerment Programme for a period of two (02) years 2019-11-08 11:00 NHBRC 20/ 2019
The objective of this tender is to procure an Internal Audit Services for three (3) years 2019-11-07 12:00 RFP008/ 2019
Supply, Delivery, Registration of Fleet and Installation of Vehicle Tracking System for a Period of Three Years 2019-10-31 11:00 LNW 17/ 19/ 20
Provision of Vehicle Tracking Services for a Period of Three Years (Rental Basis) 2019-10-31 11:00 LNW 28/ 18/ 19
The Development of Standard Operating Procedures for Supply Chain Management, Human Resources Management and Policy Development 2019-11-08 11:00 GT/ OoP/ 068/ 2019
Request for proposals for appointment of a service provider to offer Capacity Building Programme on Business Financial Literacy to SMMEs in all nine provinces. 2019-11-11 11:00 NDT0030/ 19
The Department of The Premier Wishes to Invite Suitably Qualified Service Providers to Conduct Comprehensive Lifestyle Audits and Analysis of Business Interests of The 11 Members of The Executive Council (Cabinet) and Their Spouses’/ Life Partners 2019-11-08 11:00 FMA 0009- 2019/ 20
Appointment of a Service Provider for the Feasibility Study, Complete Design and Construction Monitoring for Makhathini Cotton GIN at Jozini Local Municipality within Umkhanyakude District Municipality In KwaZuluNatal 2019-11-08 11:00 SS- KZN 7/ 1/ 6/ 3 (725) 000R
Appointment of a Professional Service Provider in Consortium / Multi-Disciplinary Consisting of Architectural, Civil and Structural, Mechanical, Electrical and Quantity Surveying Services for the Project: Development of Infrastructure and External Services for Carmel Estate Farmer Production Support Unit (FPSU) in Mogale City Local Municipality, West Rand District In Gauteng Province. 2019-11-11 11:00 5/ 2/ 2/ 1 CRDP- 0002 (2019/ 2020)
Appointment of a service provider to undertake impact assessment and awareness drive of the Public Works and Infrastructure green building policy. 2019-11-12 11:00 H19/ 003GS
Professional Services for the detail Assessment,rehabilitation design,contract documentation and site supervision of respective bridges in the Vereeniging and Benoni regions within the Gauteng province. 2019-11-18 11:00 DRT 19/ 02/ 2019
Construction of Road K46 (P79/1) Phase 2 Between Pwv 5 and N14 (P158/2) (Diepsloot) 2019-11-19 11:00 DRT 17/ 12/ 2018
Land Ports of Entry: Oshoek, Nerston, Waverly and Josefsdal: Appointment of a service provider/s for the maintenance and repairs of building, civil, mechanical,electrical infrastructure and installations at the four Ports of Entry for a period of 36 months 2019-11-12 11:00 H19/ 021 AI
Appointment of a Contractor for Land Ports Of Entry: Kopfontein, Swarkopfontein and Derdepoort: Appointment of a service provider for the maintenance and repairs of building, civil, mechanical, electrical infrastructure and installations for a period of 36 months 2019-11-11 11:00 H 19/ 022 AI
Western Cape: Dept of Justice & Constitutional Development: Magistrate’s Offices: Install boreholes, water tanks and pumps: Multi disciplinary Consultant: Civil, Mechanical & Electrical Engineer 2019-11-08 11:00 CPTC007/ 19
Appointment of a service provider to render security service for period of 12 months. 2019-11-18 12:00 SCC 78/ 2019
Appointment of an OEM Accredited Kofax Service Provider (S) for the Implementation, Maintenance and Support of Kofax Scanning Solution for a period of three (3) Years 2019-11-15 11:00 RFB 2019 09
Supply and delivery of 111 units x 8 seater stainless steel top dining room tables with epoxy powder coated mild steel tube fixed chairs: Ekuhlengeni Hospital 2019-11-07 11:00 ZNB 9563/ 2019- H

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8 things you must know about Joint Ventures

By Werner van Rooyen

31 January 2019

One of the most popular types of business arrangements that are being used by South Africans, in the Tender environment, is Joint Ventures.

There are eight things that you must know about Joint Ventures:

  1. Definition

A Joint Venture is a strategic cooperation where two or... Read More

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