What about tendering together with another business?
Working together we can do a Tender Joint Venture, isn’t?
This is called a joint venture (JV). When two businesses form a joint venture (a partnership between two business) they each contribute to the project and share the profit. In this way two (or more) small businesses may be able to win a large tender that neither would have been able to take on alone.
Use the following guidelines when selecting a tender joint venture (JV):
- Choose you partner very carefully. Like any partnership, a tender joint venture (JV) thrives on mutual trust and collapses when partners become suspicious of the others motives, agendas and ethics
- Enter into negotiations early
- Rather involve two or more smaller tender joint venture (JV) partners than one other firm that is much bigger than you are; and
- Draw up a formal tender joint venture (JV) agreement and state all expectations clearly, including usually vague notions such as the one partner empowering the other with skills.