How to Find 'Request for Quotation' (RFQ) Opportunities Under R200k

For many small businesses in South Africa, a multi-million rand tender is too large and risky. The 'sweet spot' is often found in the <strong>Request for Quotation (RFQ)</strong> market. These are smaller orders, typically under R200,000 (though thresholds vary by municipality), that don't go through a formal 'advertised' tender process. Instead, officials invite a few companies to quote. This guide explains how to get your name on that invitation list.

RFQ vs. Formal Tender: What's the Difference?

The main difference is the 'advertisement' phase. Large tenders are advertised for at least 21 days in the Government Tender Bulletin. RFQs are 'informal' processes where the department pulls names from their database and asks for quotes. The turnaround time is often very fast—sometimes only 2 or 3 days.

1. The Power of the CSD (Central Supplier Database)

National Treasury's <strong>CSD</strong> is the primary tool for RFQs. When an official needs 50 boxes of paper or a small office repair, they log into the CSD and search for suppliers by <strong>Commodity Code</strong> and <strong>Location</strong>.

• <strong>Tip:</strong> Ensure you have selected the correct 'Commodity Codes' (UNSPSC) for what you sell.
• <strong>Tip:</strong> List all the municipalities and districts where you can realistically deliver.

2. Registering on Municipal 'E-Tenders' Portals

While the CSD is national, many municipalities (like Cape Town or eThekwini) have their own <strong>Supplier Portals</strong> specifically for RFQs. You must register on these individual portals to see their daily 'Notice Board' for small orders.

3. The '3-Quote' Rule and How to Exploit It

Internal government rules typically require officials to get at least three quotes for any small purchase. If they can't find enough compliant suppliers on the CSD, they look elsewhere. By visiting local supply chain management (SCM) offices and introducing your company profile, you increase the chance of being the 'third quote' that gets called.

The RFQ Success Formula

Conclusion

The RFQ market is the lifeblood of small business growth in South Africa. While individually these orders are smaller, the volume and frequency make them a highly profitable strategy for SMMEs. By optimizing your CSD profile, registering on local municipal portals, and maintaining a 'ready to quote' mindset, you can build a thriving business that feeds on the constant heartbeat of small-scale government procurement.