Issue Date: 
Monday, March 16, 2015

Consortiums Versus Joint Ventures

It is common business practice to form a Joint Venture when one respond to a tender, especially if you do not have all the expertise required by the specific tender. But Joint Ventures can be complicated to form and to find the correct partner for the Joint Venture can be challenging. There is an alternative option. You could go into a consortium when responding to a tender.

A consortium is an association of two or more individuals, companies or organisations with the objective of participating in a common activity, such as responding to a tender, or pooling their resources to achieve a common goal. Within the consortium, each participant retains their separate legal status and the consortium's control over each participant is generally limited to activities involving the joint endeavour, particularly the division of profits. A consortium is formed by contract.

A Joint Venture can be described as a business enterprise where two or more participants come together to share their 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 enterprise. Therefor a Joint Venture must have its own set of rules by which it is managed and this is called a Joint Venture Agreement.

The key reasons to form a joint venture or consortium may be that it will provide your company with new opportunities to respond to a tender or request for proposal and secure tenders which would not otherwise be available to you due to your company's size and scale.

Before entering into either a joint venture or consortium agreement, all parties need to understand what they want from the relationship. Both joint ventures and consortiums have risks and benefits: the most important thing is to take account of what your objective is in entering into the relationship and then to weigh up which one is more appropriate to help you win a tender.

To learn more about this and many other tender conditions please attend one of our How-to-Tender workshops. 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 (Pty) Ltd. which specializes in tender consulting and tender training.

Title Closing Date Tender No.
Moletjie East RWS- Phase 13 2019-04-23 10:00 PM113/2018
Appointment of Seven (07) Service Providers for Routine Road Maintenance per Cluster in Polokwane Municipal Area Plus Two (02) Backup Service Providers for all clusters (Multi Year)(3 YEARS) 2019-04-24 10:00 PM118/2018
Appointment of Seven (07) Service Providers for Regravelling of Roads per Cluster in Polokwane Municipal Area Plus Two (02) Backup Service Providers for all clusters (Multi Year)(3 YEARS) 2019-04-24 10:00 PM119/2018
Transport of Green Waste from Sedgefield to Old Place Garden Refuse Site 2019-03-26 12:00 371/2018/19
Provision of accredited contract administration and management training for the municipal environment 2019-03-26 12:00 369/2018/2019
Preferred service providers for technical services (specialised bulk water systems) for COEGA Development Corporation (PTY) Ltd 2019-04-08 12:00 CDC/ 70/ 19
Preferred service providers for technical services (electrical low voltage reticulations) for COEGA Development Corporation (PTY) Ltd 2019-04-08 12:00 CDC/ 115/ 19
Preferred service providers for technical services (emergency power (generators and UPS’s)) for COEGA Development Corporation (PTY) Ltd 2019-04-08 12:00 CDC/ 122/ 19
Preferred service providers for technical services (plumbing) for COEGA Development Corporation (PTY) Ltd. 2019-04-08 12:00 CDC/ 113/ 19
Preferred service providers for technical services (electrical medium voltage reticulations) for COEGA Development Corporation (PTY) Ltd (CDC) 2019-04-08 12:00 CDC/ 67/ 19
Call for expression of interest: Supply and delivery of perishable provisions and groceries, pest control services and disposal of waste food at seven (7) management areas 2019-03-29 11:00 REFERENCE NUMBER 1/ 2019
Outright purchase or placement for cassette printers with 2D barcode scanners for the anatomical pathology laboratory, Charlotte Maxeke Hospital for a period of five (5) years. 2019-04-04 11:00 RFB 165/ 18/ 19
Placement and maintenance of fully automated fluorescent slide processor and fluorescent microscope for a period of five(5) years at Tswane Hospital 2019-04-05 11:00 RFB 166/ 18/ 19
Placement and maintenance of Luminex immune based system of tissue typing and antibody screen for a period of five(5) years at Tswane hospital 2019-04-05 11:00 RFB 167/ 18/ 19
Procure a pathogen identification system for public health laboratory, infection services laboratory for a period of five (5) years at Charlotte Maxeke Hospital 2019-04-04 11:00 RFB 160/ 18/ 19
Bid for the supply and delivery of theatre consumables to all hospitals/institutions under the control of the Department of Health, Western Cape Government for a three year period 2019-04-12 11:00 WCGHCC041/ 2018
Supply and delivery of one optical fibre reflectometer to characterise optical fibre networks and photonic subsystems used for radio astronomy applications including all test peripherals required by the reflectometer, calibration, and routine servicing support. The contract is for a period of five years 2019-04-05 11:00 NRF SARAO SKRF 001 2019
(Re-advertisement) Supply, delivery and commissioning of electrical equipment and panels for NQF level 3, 4 & trade test 2019-04-12 11:00 LEPTVETCOL2019/ 001
Supply, delivery, installation, commissioning and training of a variable energy 70MEV H- cyclotron and associated beam lines for isotope production and the provision of spare parts at iThemba Labs, Cape Town, South Africa. 2019-05-10 11:00 NRF/ iThemba LABS/ 2019 - 20: 01
The South African National Roads Agency SOC Limited (SANRAL) invites tenders for the appointment of a Service Provider for the provision of Consulting Engineering Services for the Special Maintenance of Structures and Drainage on an ad-hoc basis on the National Route network in the Western and Northern Cape. 2019-04-12 14:00 X005- 021- 2018/ 1F

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The 8 steps in the Tender Adjudication process

By W van Rooyen

www.howtotender.co.za

31 January 2019

It is important to understand the Adjudication process when one responds to a Tender or Request for Proposal. If you have these 8 steps under control when responding to tenders, changes are good that you will proceed to the next round.

Here are 8 steps in the adjudication process that Organs of State will most often follow in determining which bidder will win the tender:

  1. Opening... Read More
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