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7/30/2019 Preferential Procurement 3
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Challenges and constraints
2
Lack of training Lack of skill
Lack of information
Lack of networking
Lack of resources
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Proposed interventions
3
Practical hands-on training Weekly sessions
Formation of consortia by SMMEs
Formation of joint ventures
Formation of partnerships
Monitoring and evaluation of submitted tenders
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The Process
4
Identification of tenders Request for tender documents
Identification of suppliers
Request for quotations
Compliance –Tax clearance certificates Pricing of document
Calculation of preference points
Completion of document
Submission of tender
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BID PRICE POINTS
5
90/10 90 points based on lowest responsive bid prices
in excess of R1m
80/20
80 points based on lowest responsive bid pricesup to R1m
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BID PRICE POINTS
6
90/1090 points
R1m
0
80 points
80/20
Formula Ps = 80/90 1- Pt – PminPmin
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BBBEE ADJUSTED PIONTS
7
BBBEE Status level ofContributor
Number ofPoints
80/20
Number ofPoints
90/10
1 20 10
2 18 9
3 16 8
4 12 5
5 8 4
6 6 3
7 4 2
8 2 1
Non Compliant contributor 0 0
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POINTS ALLOCATION
8
BIDDER PRICE PRICEPOINTS
BBBEECONTRIBUTOR LEVEL
BBBEEPOINTS
TOTALPOINTS
A
B
C
D
E
F
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BBBEE LEVELS POINTS
9
CONTRIBUTION LEVEL QUALIFICATION
Level One Contributor ≥ 100 points
Level Two Contributor ≥ 85 points but < 100 points
Level Three Contributor ≥ 75 points but < 85 points
Level Four Contributor ≥ 65 points but < 75 points
Level Five Contributor ≥ 55 points but < 65 points
Level Six Contributor ≥ 45 points but < 55 points
Level Seven Contributor ≥ 40 points but < 45 points
Level Eight Contributor ≥ 30 points but < 40 points
Non Compliant Contributor < 30 points
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SITES FOR TENDERS
10
www.treasury.gov.za –freewww.tenderscan.co.za – subscription
www.tradeworld.net – subscription
www.dailytenders.co.za – subscription
www.onlinetenders.co.za – subscription
www.info.gov.za/documents/tenders/index.htm -free
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SITES FOR SUPPLIERS
11
www.safindit.co.za www.findsa.co.za
www.sayellow.co.za
www.easyinfo.co.za
www.sabs.co.za www.specifile.co.za
www.kellysearch.com
www.africatrade.co.za
www.infomine-africa.com
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EXERCISE 1
12
Company A responds to a tender to supply hospitalequipment and receives a quotation of R750 000excluding value added tax. Calculate the price ifthe company adds mark up of 10% and valueadded tax of 14%
Cost price =R750 000,00
Mark up 10% = R 75 000,00
Total price (exc)= R825 000,00
VAT = R115 500,00Total price (incl) = R940 500,00
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EXERCISE 2
13
Company B responds to a tender to supply farmingequipment and receives a quotation for R969 000including value added tax. Calculate the price if thecompany adds mark up of 15% and value added tax of14%.
Cost Price = R 969 000,00Less Vat (Input) = R 119 000,00
= R 850 000,00
Mark Up 15% = R 127 500,00
Total = R 977 500,00
Add Vat (Output) = R 136 850,00
Total price =R 1 114 350,00
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Vat Payable
14
Vat payable = Output tax less Input taxFormula = Price x rate/ 100 + rateOutput = R 1114350,00 x 14
114R 136 850,00
Input = R 969 000,00 x 14114
R 119 000,00Vat payable = R 136 850,00 - R 119 000,00
R 17 850
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Tools required
15
Laptop Access to internet – 3G data card
Data projector
Training venue
Will to learn
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16
Thank You
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Sello & [email protected]
www.facebook.com/tender.opportunities
Mobile : 0847976212 Fax : 0865152849f