Here’s how to apply and win Government Tenders in South Africa and exactly how our Expert Company Services can make the entire process faster and easier.
If you’re considering applying for Government Tenders, here’s why you should and how to make sure you submit an application that ticks all the required marks.
Should my business apply for Government Tenders?
We talked to Tender Expert and How2Tender Director, Wynand Cronjé, to explain why the Government can be the ideal client to help grow your business.
“The bulk of Tender contracts are for periods of 2 to 3 years, which means companies delivering as per their bid proposal have sustainable contracts upon which to grow their businesses,” explains , the director of How2Tender.
“As the largest procurer of goods and services in South-Africa with a budget of roughly R1.56 trillion, the Government can be a very lucrative client.”
Are Government Tenders corrupt?
Many businesses have a common misconception that all Government Tenders are corrupt, says Cronjé.
“The bulk of tenders are awarded fairly and according to the preferential procurement act which factors in technical compliance, pricing and B-BBEE.”
“The key is to ensure you deliver compliant and effective bid responses. Educating yourself in this regard is crucial,” says Cronjé.
Simply follow the 6 steps below. In addition, we’ve added some helpful tips regarding the services we offer. We offer a wide range of Company Services to make life easier for South African entrepreneurs like you.
Step 1: Find Government Tenders relevant to your business
The first thing you need to do is find a Tenders or a RFQ that fits your business. Tenders and RFQ’s are advertised in various places, ranging from newspapers to websites.
You can find the Government’s weekly Tender bulletins right HERE, unfortunately it’s usually over 200 pages long.
Consequently, the easiest way to find the right Tenders and RFQ’s is probably Tender notification services.
A Tender notification service notifies you whenever there’s a new Tender available in your area that’s relevant to your business.
We offer three services that include a Tender Leads and Notification Service:
- A Monthly Tender Subscription Service
- A Once-off Industry Starter Package (which includes PTY Company registration)
- A Once-off Industry Starter Package (if you already have a registered PTY Company)
Step 2: Ensure your business can complete the job
Winning a Tender means two things: firstly, that the Government has chosen you as the most promising supplier and secondly, that you’re going to take on the Government as one of your clients.
Consequently you have to make sure you have the staff, the cash flow, the skills and the equipment to deliver the services the Government needs at the proposed rate and within the proposed timeframe – just like with any other client.
Luckily, if you don’t have the cash flow needed for a 2 to 3 year contract, there are funds and loans available from multiple institutions for Tenders.
- We offer a Tender Funding tool that connects you with over 300 funding options available, and assists you in finding the best loan / funding opportunities for your business, in South Africa.
- Our Business Plan service empowers your business with a plan of action to direct your Company and to assure potential funders and loaners of your Company’s competency.
Step 3: Register on the Central Supplier Database (CSD)
Your business has to be registered on the Central Supplier Database (CSD) in order to apply for Government Tenders.
The CSD is the Government’s list of approved suppliers. To get your business on this list, you have to complete an online registration on the National Treasury’s website where you’ll be required to provide your details along with compulsory Company documentation (also see step 4).
Once submitted, the Government will asses your documentation and add you if everything is in order.
Step 4: Get the required Company Documentation in order
Very often Companies apply for Government Tenders without complying with the list of requirements or without submitting the necessary documentation. Consequently will result in being eliminated before you even get a chance to compete with the other applicants.
Make sure you read the Tender Document thoughtfully and make sure you get all the required Company documentation in order.
We’ve employed a team of experts that know exactly what documentation you need for the Tenders in your industry, whether it’s be Construction, Security, Cleaning or other industries:
- Standard Tender Package
- Industry Starter Package (which includes PTY Company registration)
- Industry Starter Package (if you already have a registered PTY Company)
If you only need specific documents, call our TOLL FREE number, 0800 007 269, right now for a FREE consultation.
Step 5: Fill out your first Tender Application before the deadline
First of all, make sure you submit your application well before the closing date to avoid having an incomplete application, by the time of the deadline.
Allow yourself enough time to research what good Tender responses look like and how competitive your pricing can realistically be.
Our Tender Subscription Service includes guidance on your first Tender application.
Step 6: Repeat the process until you reach Tender success!
Now that you’ve completed your first Tender application, the trick is mastering your Government Tender applications.
As a result of great, competitive Tender responses you’ll be paving your way to Tender success soon enough!
Our Tender Subscription Service includes an hour consultation every month to assist you with future applications.
If you win a Tender within the first 12 months, we’ll sponsor your first year (R6000+)! Therefore we’ll return whatever you’ve paid in Tender License Subscription fees already.