How to spot a PO/RFQ scam easy

How to spot a PO/RFQ scam easy?

SCAM ALERT
We seen many PO SCAMS to know, most SMMEs can not believe scammers can be this good, well they are, but there is an easy to spot PO/RFQ scam, just read and learn the easy technique.

Please share this with other SMMEs and help them avoid losing their hard earned money!

Spot a Request For Quotation("RFQ")/Purchase Order Scam/Fraud Easy!

How to spot a RFQ/purchase order scam easy?

SMMEs are getting scammed by fraudsters on a daily basis in South Africa. Pay attention to the email address from which the request for quotation("RFQ")/purchase order comes from. An SMME recently contacted MarketDirect Purchase Order Funding (Click To Apply For Funding) service seeking funding for a purchase order "awarded" by Steve Biko Academic Hospital, we simply saw very easily that it is a scam Request For Quotation("RFQ") and Purchase Order by looking at the email address from where it is coming from, just by analysing the email address from which the RFQ and PO came from.

STEP 1: Copy into your internet browser the part after the "@" sign, you lend at government website if not it is scam.

Scam Request For Quotation (RFQ)

STEP 2: We copied and pasted "doh-govza.org" into our internet browser and have a look below where that took us, clearly that is not a government website:

PO/RFQ scam website domain not government

CONCLUSION:

The scammers/fraudsters have no website, the website shown above clearly is not of government but it is a service where the scammers/fraudsters registered their website domain, "doh-govza.org", and is not like any of the real department of health website which usually end with " .gov.za " for instance "health.gov.za".

There you have it! A simple test to see if the Request For Quotation (RFQ) or Purchase Order(PO) you receive via email is scam or real, simply take the part after "@" symbol of an email address the RFQ is coming from and put it on your internet web browser it should lead you to a real government website!

A contractor registered under the contractor grading designation shown in Column 1 of Table 8 below is deemed capable of undertaking contracts within the tender value range specified in Table 1 for the corresponding class of construction works associated with that category of registration.

1. TABLE 1: Contractor Grading Designations


Contractor Grading Designation


Range of Tender Values Less than or equal to

1
R500 000
2
R1,000,000
3
R3,000,000
4
R6,000,000
5
R10,000,000
6
R20,000,000
7
R60,000,000
8
R200,000,000
9
No limit
As at 22 April 2025.

2. CIDB Classes of Works (Category Suffixes)

Each cidb-registered contractor is classified according to the type of construction work they are competent to perform. Below are the main classes of works (sometimes called “category suffixes”):

CodeDescription
GBGeneral Building
CECivil Engineering
MEMechanical Engineering
EBElectrical Engineering (Building)
EPElectrical Engineering (Infrastructure)
SWSteel Security Fencing or Burglar Proofing
SHSpecialised Works: Building
SFFire Prevention & Protection Systems
SKLandscaping, Irrigation and Horticulture
SLTimber Building and Structures
SMWaterproofing, Roofing and Glazing
SNWater Supply and Drainage
SOBuilding Excavations, Earthworks
SQAccess Control, Lifts and Escalators
SEDemolition
SCCorrosion Protection
SGGlazing
SIInterior and Shopfitting
SNPlumbing and Drainage
SSStructures
STStructural Steelwork
SUCeilings, Partitions & Drywalling
SYRoad Markings
SZOther (Specialised)

3. Grade 1 Requirements

Registering for Grade 1 is the simplest and most common entry point for new or emerging contractors. The basic documentation often includes:

  1. Identification & Business Details (sub-regulation 7.4.d);

    • Individuals: Valid South African ID (or passport if foreign national)
    • Companies (Close Corporations, Pty Ltd, etc.):
      • Company registration documents (CIPC)
      • Share certificates (if applicable)
      • Company directors’/members’ IDs
  2. Tax Compliance (sub-regulation 7.4.e);

    • A valid SARS Tax Clearance Certificate (TCC) or Tax Compliance Status (TCS) PIN
  3. Banking & Financial Details (sub-regulation 7.4.a);

    • Proof of payment for the cidb administration fee
  4. Completed cidb Application Forms including the signed declaration(s) (sub-regulation 7.1);

    • Ensure all fields are filled out accurately
    • Sign where required
  5. Valid electrical contractor’s certificate issued by the Department of Labour if the application is for Electrical Engineering works (EB)) (sub-regulation 7.4.i.).

Important Note:

  • No prior construction experience is required for Grade 1.
  • You do not typically need to submit financial statements or a track record of completed projects at this level.
  • The primary focus is ensuring the business is legally registered and tax-compliant.

4. Requirements for Grades 2–9

As you move beyond Grade 1, cidb registration focuses more on a contractor’s track recordfinancial capacity, and technical capabilities. Requirements include everything from Grade 1 plus additional documentation:

  1. Work Experience / Track Record (sub-regulation 7.4.l);

    • Evidence of completed projects or contracts (relevant to the class of works you’re applying for)
    • Client references and Completion Certificates (or appointment letters)
    • Project value(s) to demonstrate your capacity
  2. Financial Statements / Audited Accounts (sub-regulation 7.4.b);

    • Latest audited or independently reviewed financial statements
    • Potentially, a letter from a professional accountant confirming your financial standing
  3. B-BBEE Compliance (if applicable)

    • While not strictly required for cidb grading itself, many public and private clients will request a valid B-BBEE Certificate or sworn affidavit for preferential procurement
  4. Higher cidb Fee Structure

    • Application and annual fees increase with higher grades (due to higher project-value thresholds)
    • Proof of payment for the correct fee for your grade
Do you want to register a company? Click or pay here 

OR

Are you looking for checked or verified business opportunities like RFQs and tenders? Please learn about TolaTenderPro by clicking here.