Sub-contractors versus Consortiums and Joint Ventures

5 reasons why Joint Ventures fail

Joint ventures are collaborative arrangements where two or more businesses decide to collaborate for a common purpose such as bidding for a tender.

There are many examples of successful Joint Ventures, such as  Sony-Ericsson, Virgin Mobile India Limited, Nokia (Siemens AG and Nokia Corp), Cadbury Schweppes PLC Carlyle Group Joint Venture and Chery Jaguar Land Rover Automotive Company. They  are all well-known and are very lucrative. But having a Joint Venture does not guarantee success.

5 rules to remember when bidding through a Joint Venture

By Werner van Rooyen

5 October 2015

If you want to bid for a specific tender and do not have all the necessary skills, recourses, infrastructure or capital you can always look for partners with whom you can join forces through Joint Ventures. A JV can bring you the success you want without being trapped in a never ending partnership or shareholding scenario.

Joint Ventures - important tool in the Tender Process

By Werner van Rooyen

14 September 2015

On 1 May 2015 the Amended B-BBEE Codes of Good Practice came into effect. These Amended Codes have a major impact on the B-BBEE Scores of all businesses that participate in B-BBEE in South Africa. The bottom line is that the B-BBEE scoring levels have changed drastically. If a company does not have any sort of Black Ownership it is going to be very difficult to achieve a decent B-BBEE Score.

Tenders and Joint Ventures

By Werner van Rooyen

14 April 2014

Do not under estimate the power of Joint Ventures because many tenders have been awarded to Joint Ventures and many more tenders will be awarded to Joint Ventures.

8 things you must know about Joint Ventures

By Werner van Rooyen

6 October 2014

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 more people and/or companies agree to contribute goods, services and/or capital to a common commercial enterprise for the purpose of a specific tender or request for proposal.

10 Strategies to apply for Joint Ventures Partners

By W van Rooyen 

10 November 2014

Joint Ventures can be very lucrative business relationships. In previous articles about Joint Ventures we have talked about the eight things you must know about Joint Ventures as well as how Tenders and Joint Ventures work.

Today we concentrate on the ten strategies that any entrepreneur should apply when choosing Joint Ventures partners.

10 features of a good Joint Venture Agreement

By W van Rooyen

19 January 2015

A Joint Venture is a good business idea to compete for tenders if one does not have all the necessary expertise that are required for a specific tender. The thing to remember though is that you must have a solid Joint Venture Agreement in place for your Joint Venture. A good, rock solid Joint Venture Agreement will protect the participants to the Joint Venture.

Consortiums versus Joint Ventures

By Werner van Rooyen

16 March 2015

It is common business practice to form a Joint Venture when one responds to a tender, especially if you do not have all the expertise required for 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.


Title Closing Date Tender No.
Appointment of a Maximum of two (2) Service Providers for the Supply, Delivery and Off-Loading of Lime and Sludge Thickening Polyelectrolyte as and when required for a period of thirty six (36) months 2018-04-19 12:00 BS12/02/2018
Consultants for the Investigation, Design, Supervision and Monitoring of Rietkuil Reservoir and Bulk Supply Pipe Lines in Steve Tshwete Local Municipality 2018-04-18 12:00 BS04/02/2018
Repair of light vehicle and trucks. 2018-04-18 11:00 67/2017/2018
Supply and delivery of cleaning chemicals, equipment and accessories. 2018-04-18 11:00 65/2017/2018
Supply and delivery of traffic road marking paints. 2018-04-18 11:00 77/2017/2018
Panel of Maximum Three (03) Mechanical Contractors to Provide Services for Repair and Maintenance of Plant and Equipment at the Water and Wastewater Treatment Works as and when required for a period of thirty six (36) months. 2018-04-24 12:00 BS06/02/2018
Supply, repair, fitting of tyres, wheel alignment and balancing. 2018-04-18 11:00 73/2017/2018
Supply and delivery of sanitary bins, air fresheners and dispensers. 2018-04-18 11:00 74/2017/2018
Supply and delivery of stationery. 2018-04-18 11:00 76/2017/2018
Request for the Civil Engineering Professional Service Providers for the Design, Supervision and Monitoring of Construction of a Outfall Sewer Line From German Development to Eastdene 2018-04-05 12:00 BS10/03/2018
Recruitment Engagement and Registration of Disaster Management Volunteers 2017/2018. 2018-04-17 11:00 COMM-36/2017/2018
Panel of a maximum of three (3) civil contractors for supply, delivery, erection and commissioning of ventilated improved toilets within MP313 rural areas for a period of 36 months as and when required 2018-04-19 12:00 BS04/03/2018
Provision of Employee Wellness Service. 2018-04-17 11:00 COR-A29/2017/2018
Proposal to invite black empowered enterprises, especially women owned to supply building and construction material on an "as when required basis" 2018-04-19 11:00 RFP065/2018
Proposals for design and supply of tables and chairs for municipal council chambers. 2018-04-19 12:00 2018/01/24/CCF
The Supply and Delivery of Wet Rations, bread and rolls to the Department of Defence (Maluti area). 2018-07-05 11:00 SPSC- B- 080- 2017
The Supply and Delivery of Wet Rations, various Meat (fresh and frozen) to the Department of Defence (Maluti area). 2018-07-05 11:00 SPSC- B- 079- 2017
The appointment of a service provider for the supply and delivery of perfusion and cardiothoracic surgery requirements to Groote Schuur - Tygerberg- and Red Cross War Memorial Children’s Hospital for a period of three (3) years. 2018-04-20 11:00 TBH514/2017
The Supply and Delivery of Wet Rations, various Dairy Products to the Department of Defence (Maluti area). 2018-07-05 11:00 SPSC- B- 083- 2017
Appointment of a Panel of Maximum Seven (7) Consulting Engineers for the Provision Of Professional Services, Planning, Design And Implementation of Civil Engineering Projects for a period of 36 months as and when required 2018-04-24 12:00 BS06/03/2018


Tender adjudication process

The SBD/WCBD6.1 document must form part of all bids invited.  It contains general information and serves as a claim form for preference points for Broad -Based Black Economic Empowerment (B -BBEE) Status Level of Contribution, and explains how tenders or bids are decided.

The document says:

  • The bidder obtaining the highest number of points will be awarded the contract.
  • Preference points shall be calculated after prices have been brought to a comparative basis.
  • Points scored will be rounded off to two decimal places... Read More
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