Consortium Agreement
Professional Legal Agreements for Joint Projects & Tenders
Every company in South Africa is required to disclose its beneficial owners to the Companies and Intellectual Property Commission (CIPC). A beneficial owner is the natural person who ultimately owns or exercises effective control over a company, whether directly or indirectly.
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Why You Need a Proper Consortium Agreement
When two or more companies decide to work together on a tender, project or contract, a clear written Consortium Agreement is essential. Without one, misunderstandings about roles, responsibilities, profit sharing, decision-making and liability can quickly lead to disputes.
A well-drafted Consortium Agreement protects all parties, defines how the collaboration will work, and is often required by clients, tender boards and main contractors before they will accept a joint bid.
SACorpReg prepares clear, practical and professionally drafted Consortium Agreements tailored to South African business and tender requirements.
FAQ
Frequency Asked Question
It is a written contract between two or more companies that decide to work together on a specific project or tender while remaining separate legal entities.
Not exactly. A consortium is usually project-specific and the parties remain independent. A joint venture often involves creating a new entity. We can advise which structure suits your situation.
Standard turnaround is 3–7 working days after we receive all required information. Urgent drafting is available at an additional fee.
Details of all parties, the purpose of the consortium, each party’s role and contribution, profit-sharing arrangements, and any special conditions you want included.
Yes. Many consortiums are formed partly for B-BBEE reasons. We can clearly record how B-BBEE credentials, skills and resources will be combined and presented.
Yes. Once finalised, every member of the consortium should sign the same document so that everyone is bound by the same terms.=
Yes. We offer a review and customisation service if you have received a draft from another member of the consortium or from a client.
Yes. Once properly signed by all parties, it becomes a legally binding contract under South African law.