Can a company after getting a tender from Govt pass it to it’s franchisee? Suppose, A is a manufacturing unit based in Gujarat. B is a franchisee of company A. Now say A got a tender from Assam Govt to install some machinery. Can A pass this work to B, if so who will get payment from Assam Govt post completion of work?
Yes A can pass it to its franchisee and it is called sub contracting and A will get the payment from government since A has done the bidding.
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