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.
Below is an easy-to-read overview of document requirements for cidb registration in South Africa, highlighting differences between Grade 1 and the higher Grades (2–9). Please note that requirements can change; always verify with the official cidb website or a cidb Provincial Office.
1. TABLE 1: Contractor Grading Designations
Contractor Grading Designation | Range of Tender Values Less than or equal to |
1 | R200 000 |
2 | R650 000 |
3 | R2 000 000 |
4 | R4 000 000 |
5 | R6 500 000 |
6 | R13 000 000 |
7 | R40 000 000 |
8 | R 130 000 000 |
9 | No limirt |
Construction Industry Development Regulations, 2004 (as amended) as at 14 November 2008.
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”):
- CE – Civil Engineering Works
- GB – General Building Works
- EB – Electrical Engineering Works (Building)
- EP – Electrical Engineering Works (Infrastructure)
- ME – Mechanical Engineering Works
- SW – Specialist Works (with multiple subcategories, such as: SF for Fire Prevention, SG for Glazing, SH for Landscaping, etc.)
Note: Specialist Works (SW) has further subdivisions depending on specific trades, but many companies simply register under the main “SW” category if they do specialized trades.
3. Grade 1 Requirements
Registering for Grade 1 is the simplest and most common entry point for new or emerging contractors, check out this tender opportunity for grade 1 and 2 here. The basic documentation often includes:
- 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
- Tax Compliance (sub-regulation 7.4.e);
- A valid SARS Tax Clearance Certificate (TCC) or Tax Compliance Status (TCS) PIN
- Banking & Financial Details (sub-regulation 7.4.a);
- Proof of payment for the cidb administration fee
- Completed cidb Application Forms including the signed declaration(s) (sub-regulation 7.1);
- Ensure all fields are filled out accurately
- Sign where required
- 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 record, financial capacity, and technical capabilities. Requirements include everything from Grade 1 plus additional documentation:
- 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
- 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
- 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
- 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
4. General Tips & Best Practices
- Keep Records Organized: Have a well-structured file with all registration documents, project references, and financial statements.
- Stay Compliant: Renew your Tax Clearance and B-BBEE Certificate (if applicable) annually or as required.
- Update Changes: If your business information changes (ownership, address, banking, etc.), update cidb to maintain a valid registration.
- Multiple Classes of Works: If you register under more than one class (e.g., GB + CE), ensure you provide evidence relevant to each class.
5. Conclusion
- Grade 1 registration: Basic business documents (registration, IDs, tax compliance, bank account) and no work experience required.
- Grades 2–9 registration: Additional emphasis on financial statements, track record, and technical capacity.
Always check the latest requirements on the cidb website or consult a cidb Provincial Office for detailed guidelines and application forms. This ensures you have the correct and up-to-date information for your grade level.
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