What is an RFQ? RFQ vs RFP vs Tender, Explained

When you start looking at government work you'll see three terms used almost interchangeably — RFQ, RFP and tender — and they are not the same thing. Knowing which one you're looking at tells you how much paperwork to expect and how the winner is chosen. Here's the plain-English version.

What is an RFQ (Request for Quotation)?

An RFQ is a Request for Quotation. The government already knows exactly what it wants — a defined quantity of a defined thing — and is simply asking suppliers for a price. RFQs are used for lower-value, straightforward purchases, so they're quicker and lighter on paperwork than a full tender. For a small business, RFQs are often the easiest way in: the requirements are simpler and the decision usually comes down to price plus basic compliance (CSD registration and tax compliance).

What is an RFP (Request for Proposal)?

An RFP is a Request for Proposal. Here the government describes a problem or need and asks suppliers to propose how they'd solve it — not just at what price. RFPs are used where the solution isn't fixed (consulting, IT systems, professional services), so your methodology, experience and team matter alongside price. Expect more paperwork and a functionality/quality score, not just the lowest price.

RFQ vs RFP vs tender — the quick version

RFQ — "give us a price for this exact thing." Low value, fast, price-driven.
RFP — "tell us how you'd solve this." Solution and quality matter, not just price.
Tender / bid — the formal, higher-value process with full SBD forms and a structured evaluation. "Tender" is really the umbrella term; RFQs and RFPs are types of procurement within it.

Whichever you're responding to, the entry requirements are the same: be registered on the CSD and be tax compliant. Larger ones add B-BBEE and, for construction, CIDB grading.

Knowing the rules isn't the same as winning

Understanding the paperwork is step one. Winning the bid is step two — and it's where most businesses lose. The Tender Ready SA toolkit hands you the exact system: the returnable-documents checklist that stops you being disqualified, how to price to win, and the dreaded SBD forms decoded in plain English. For R399, once.

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Frequently asked questions

What is an RFQ?

An RFQ (Request for Quotation) is the government asking suppliers for a price on a clearly defined, usually lower-value purchase. It's lighter on paperwork than a full tender and the decision is largely price-driven, which makes RFQs a common entry point for small businesses.

What is the difference between an RFQ and an RFP?

An RFQ asks for a price on something already fully specified. An RFP (Request for Proposal) asks you to propose how you'd solve a need — so your method, experience and quality are scored alongside price. RFPs are used for less clear-cut work like consulting or IT.

Is an RFQ the same as a tender?

Not exactly. 'Tender' is the umbrella term for government procurement. An RFQ is a lighter, lower-value type of tender focused on price, while formal high-value tenders involve full SBD forms and structured evaluation.

Do I need CSD registration for an RFQ?

Yes. Even for a small RFQ you must be registered on the Central Supplier Database and tax compliant with SARS — those are the baseline for any government purchase.