CIDB Contractor Grades & Financial Limits 2026 [Full Table]

If you’re a contractor in South Africa, your CIDB grade determines which projects you can tender for. Each grade has specific financial limits — the maximum contract value you can tender for — and understanding these limits is essential for planning your business growth and identifying tender opportunities.

Yet many contractors don’t have a clear reference for CIDB grade financial limits, making it difficult to know which tenders they’re eligible for or what grade they need to target for growth. This comprehensive guide provides a complete 2026 reference table of CIDB contractor grades and financial limits, explains how grades affect tendering, and shows how construction management software can help track grade compliance.

Understanding CIDB Contractor Grades

The Construction Industry Development Board (CIDB) grades contractors from Grade 1 (smallest capacity) to Grade 9 (unlimited capacity). Each grade represents:

• Financial capacity — Your ability to handle projects of a certain value
• Track record — Your demonstrated capability to complete projects successfully
• Business systems — Your systems and processes for managing projects
• Professional capability — Your team’s qualifications and experience

Your CIDB grade appears on your registration certificate as something like “CE 3” (Civil Engineering Grade 3) or “GB 5” (General Building Grade 5). You can have different grades for different work categories.

For a comprehensive explanation of how CIDB grading works, see our guide to CIDB grading explained.

Complete CIDB Grades and Financial Limits Table (2026)

This table provides the complete financial limits for each CIDB grade as of 2026. These limits represent the maximum contract value you can tender for at each grade level.

Grade	Maximum Contract Value (ZAR)	Typical Project Scope	Typical Contractor Profile
Grade 1	Up to R200,000	Small renovations, minor repairs, small fit-outs	New contractors, small-scale operators, part-time contractors
Grade 2	Up to R650,000	Small residential builds, medium renovations, small commercial projects	Established small contractors with some track record
Grade 3	Up to R2 million	Large residential, small commercial buildings, medium civil works	Established contractors ready for larger residential work
Grade 4	Up to R4 million	Medium commercial buildings, multi-unit residential, medium infrastructure	Established contractors ready for commercial projects
Grade 5	Up to R6.5 million	Large commercial buildings, significant residential developments, medium infrastructure	Mid-market contractors with professional teams
Grade 6	Up to R13 million	Large commercial developments, major infrastructure projects, large-scale residential	Established contractors with professional teams
Grade 7	Up to R40 million	Major infrastructure projects, large commercial developments, provincial infrastructure	Large contractors with enterprise capabilities
Grade 8	Up to R130 million	Mega infrastructure projects, major provincial and national projects	Major contractors with significant financial resources
Grade 9	Unlimited	Largest projects in South Africa, multi-billion rand projects	Largest contractors with unlimited or near-unlimited capacity

Important notes:

• These financial limits are approximate and may be adjusted by the CIDB. Always check current limits on the CIDB website (cidb.org.za) or your registration certificate.

• Financial limits apply per contract — you can have multiple contracts simultaneously as long as each individual contract doesn’t exceed your grade limit.

• Your grade may vary by work category. For example, you might be Grade 4 GB (General Building) but only Grade 2 EB (Electrical Engineering).

• Financial limits are in South African Rand (ZAR) and are subject to periodic review by the CIDB.

Detailed Breakdown by Grade

Here’s a detailed breakdown of each grade, its financial limits, typical work, and requirements.

Grade 1: Up to R200,000

Financial limit: Up to R200,000 per contract

Typical work:

• Residential renovations under R200,000
• Small commercial fit-outs
• Minor repairs and maintenance
• Small-scale landscaping
• Small extensions

Who it’s for: New contractors entering the industry, small-scale operators, part-time contractors, and those starting their construction business.

Requirements:

• Basic business registration (sole proprietor, partnership, or company)
• Tax clearance certificate
• Basic financial capacity (typically minimal requirements)
• No formal track record required for initial registration

Upgrade path: Complete at least one project successfully and demonstrate financial capacity up to R650,000 to move to Grade 2.

Grade 2: Up to R650,000

Financial limit: Up to R650,000 per contract

Typical work:

• Small residential houses (up to R650,000)
• Medium-sized renovations
• Small commercial buildings
• Small civil works (minor road repairs, small retaining walls)
• Small infrastructure projects

Who it’s for: Established small contractors with some track record, those who’ve outgrown Grade 1 work.

Requirements:

• Completed at least one Grade 1 project successfully
• Financial capacity to handle R650,000 contracts
• Basic business systems and processes
• Tax clearance and B-BBEE certificate (for public sector work)

Upgrade path: Complete multiple Grade 2 projects successfully, build financial capacity, and demonstrate capability for R2 million projects to move to Grade 3.

Grade 3: Up to R2 Million

Financial limit: Up to R2 million per contract

Typical work:

• Large residential houses and complexes
• Small to medium commercial buildings
• Medium civil works (road upgrades, small bridges)
• Multi-unit residential developments (small scale)
• Infrastructure upgrades

Who it’s for: Established contractors ready for larger residential and small commercial work.

Requirements:

• Successful completion of Grade 2 projects
• Financial capacity for R2 million contracts
• Demonstrated track record
• Proper business systems (accounting, project management)
• B-BBEE compliance

Upgrade path: Build a portfolio of successful R2 million projects, increase financial capacity, and develop systems for larger-scale work to move to Grade 4.

Grade 4: Up to R4 Million

Financial limit: Up to R4 million per contract

Typical work:

• Medium commercial buildings
• Multi-unit residential developments
• Medium civil engineering projects
• Infrastructure upgrades
• Municipal infrastructure work

Who it’s for: Established contractors ready for commercial and larger residential projects.

Requirements:

• Track record of successful Grade 3 projects
• Financial capacity for R4 million contracts
• Established business systems and processes
• Qualified personnel (site managers, quantity surveyors)
• B-BBEE compliance

Upgrade path: Complete multiple Grade 4 projects, build financial capacity to R6.5 million, and develop capabilities for larger-scale work to move to Grade 5.

Grade 5: Up to R6.5 Million

Financial limit: Up to R6.5 million per contract

Typical work:

• Large commercial buildings
• Significant residential developments
• Medium infrastructure projects
• Municipal infrastructure work
• Renewable energy projects (small to medium scale)

Who it’s for: Established mid-market contractors with professional teams and systems.

Requirements:

• Successful Grade 4 project track record
• Financial capacity for R6.5 million contracts
• Professional team (engineers, QSs, project managers)
• Comprehensive business systems
• Strong B-BBEE rating

Upgrade path: Build track record on R6.5 million projects, increase financial capacity, and develop capabilities for R13 million work to move to Grade 6.

Grade 6: Up to R13 Million

Financial limit: Up to R13 million per contract

Typical work:

• Large commercial developments
• Major infrastructure projects
• Large-scale residential developments
• Municipal and provincial infrastructure
• Renewable energy projects (medium to large scale)

Who it’s for: Established contractors with professional teams, strong financial capacity, and proven track records.

Requirements:

• Track record of successful Grade 5 projects
• Financial capacity for R13 million contracts
• Professional engineering and management team
• ISO certification (often required)
• Strong B-BBEE rating
• Comprehensive quality and safety systems

Upgrade path: Complete multiple large projects successfully, build financial capacity to R40 million, and develop enterprise-level capabilities to move to Grade 7.

Grade 7: Up to R40 Million

Financial limit: Up to R40 million per contract

Typical work:

• Major infrastructure projects
• Large commercial developments
• Provincial and national infrastructure
• Complex multi-disciplinary projects
• Large renewable energy projects

Who it’s for: Large established contractors with enterprise capabilities and significant financial resources.

Requirements:

• Successful Grade 6 project track record
• Financial capacity for R40 million contracts
• Full professional team (engineers, QSs, project managers, safety officers)
• ISO certification
• Enterprise-level business systems
• Strong B-BBEE rating
• Demonstrated capability for complex projects

Upgrade path: Build track record on R40 million projects, increase financial capacity to R130 million, and develop capabilities for mega-projects to move to Grade 8.

Grade 8: Up to R130 Million

Financial limit: Up to R130 million per contract

Typical work:

• Mega infrastructure projects
• Major provincial and national projects
• Large-scale developments
• Complex engineering projects
• National infrastructure programmes

Who it’s for: Major contractors with significant financial resources, enterprise capabilities, and proven track records on large projects.

Requirements:

• Track record of successful Grade 7 projects
• Financial capacity for R130 million contracts
• Full professional team with senior expertise
• Multiple ISO certifications
• Enterprise-level systems and processes
• Strong B-BBEE rating
• Proven capability for mega-projects

Upgrade path: Complete multiple mega-projects successfully, build unlimited financial capacity, and demonstrate capability for the largest projects in the country to move to Grade 9.

Grade 9: Unlimited

Financial limit: Unlimited

Typical work:

• Largest infrastructure projects in South Africa
• Mega developments
• National infrastructure programmes
• Complex multi-billion rand projects
• International projects

Who it’s for: The largest contractors in South Africa with unlimited or near-unlimited financial capacity.

Requirements:

• Successful track record on Grade 8 projects
• Unlimited financial capacity (or very substantial capacity)
• Full professional team with senior expertise
• Multiple ISO certifications
• Enterprise-level systems and processes
• Strong B-BBEE rating
• Proven capability for the largest projects

Understanding Work Categories

CIDB grades are assigned by work category. You can have different grades for different categories. The main work categories are:

CE — Civil Engineering

Typical work:

• Roads and highways
• Bridges and structures
• Dams and water infrastructure
• Earthworks and excavations
• Drainage systems

Financial limits: Same as general grades (Grade 1 up to R200,000, Grade 2 up to R650,000, etc.)

GB — General Building

Typical work:

• Residential buildings
• Commercial buildings
• Industrial buildings
• Building renovations
• Fit-outs and refurbishments

Financial limits: Same as general grades (Grade 1 up to R200,000, Grade 2 up to R650,000, etc.)

ME — Mechanical Engineering

Typical work:

• HVAC systems
• Mechanical installations
• Plumbing systems
• Mechanical equipment installation

Financial limits: Same as general grades (Grade 1 up to R200,000, Grade 2 up to R650,000, etc.)

EB — Electrical Engineering

Typical work:

• Electrical installations
• Power systems
• Lighting systems
• Electrical infrastructure

Financial limits: Same as general grades (Grade 1 up to R200,000, Grade 2 up to R650,000, etc.)

EP — Engineering Projects

Typical work:

• Multi-disciplinary engineering projects
• Complex engineering works
• Integrated engineering systems

Financial limits: Same as general grades (Grade 1 up to R200,000, Grade 2 up to R650,000, etc.)

SB — Specialised Building

Typical work:

• Swimming pools
• Landscaping
• Specialised construction
• Niche building works

Financial limits: Same as general grades (Grade 1 up to R200,000, Grade 2 up to R650,000, etc.)

How Grades Affect Tendering

Your CIDB grade directly affects which tenders you can submit. Understanding this relationship is crucial for business planning.

Tender Eligibility

Public sector tenders specify minimum CIDB grade requirements. For example:

• A R5 million municipal building project might require Grade 5 GB (General Building)
• A R15 million road project might require Grade 6 CE (Civil Engineering)
• A R50 million infrastructure project might require Grade 7 or higher

You cannot tender for a project if your CIDB grade is below the specified minimum — your tender will be disqualified before any technical or financial evaluation.

Reading Tender Documents

When reviewing tender documents, look for:

• Minimum CIDB grade required — Usually stated clearly in the tender notice or tender documents
• Work category — The tender will specify the category (GB, CE, ME, etc.) and grade required
• Joint venture requirements — Some projects allow joint ventures, where contractors combine their grades (subject to CIDB rules)

Joint Ventures and CIDB Grading

Joint ventures can combine CIDB grades under certain conditions:

• The combined grade is typically calculated based on the partners’ individual grades and financial contributions
• All partners must be registered with the CIDB
• The joint venture must be registered separately with the CIDB
• There are specific rules about how grades combine — check CIDB guidelines

Joint ventures are complex and require careful legal and financial structuring. Consult with a construction law attorney or CIDB advisor before entering a joint venture.

Financial Requirements Per Grade

Each CIDB grade has minimum financial capacity requirements. The CIDB assesses your financial capacity based on:

• Net worth — Your business’s net assets
• Working capital — Your ability to fund ongoing operations
• Project financing — Your ability to secure project financing if needed

Financial Documentation Required

To achieve or upgrade to each grade, you’ll need to provide:

• Audited financial statements — For companies, this means annual audited financials. For sole proprietors or partnerships, you may need certified financial statements
• Bank statements — Recent bank statements showing your financial capacity
• Proof of assets — Equipment, property, or other assets that demonstrate capacity
• Credit reports — Credit reports showing your financial standing

Financial Capacity Guidelines

While exact requirements vary, general guidelines include:

• Grade 1–2: Minimal financial requirements, basic business registration sufficient
• Grade 3–4: Moderate financial capacity, some working capital required
• Grade 5–6: Significant financial capacity, substantial working capital required
• Grade 7–8: Large financial capacity, enterprise-level financial resources required
• Grade 9: Unlimited or near-unlimited financial capacity

The CIDB assesses financial capacity holistically, considering net worth, working capital, and ability to secure project financing.

How to Upgrade Your CIDB Grade

Upgrading your CIDB grade isn’t automatic — you need to apply for an upgrade and demonstrate that you meet the requirements for the next grade.

Step 1: Meet the Financial Requirements

Provide audited financial statements, bank statements, and proof of assets demonstrating financial capacity for the target grade.

Step 2: Build Your Track Record

Demonstrate successful completion of projects at your current grade level:

• Project completion certificates — From clients confirming successful completion
• Payment certificates — Showing you’ve been paid for completed work
• References — From clients, consultants, or suppliers
• Project documentation — Evidence of your capability to manage projects

The CIDB typically requires multiple successful projects at your current grade before you can upgrade.

Step 3: Develop Your Capabilities

Higher grades require more sophisticated capabilities:

• Professional team — Qualified engineers, quantity surveyors, project managers
• Business systems — Proper accounting, project management, quality control, safety systems
• Certifications — ISO certifications may be required for higher grades
• B-BBEE compliance — Strong B-BBEE rating becomes increasingly important

Step 4: Submit Your Upgrade Application

Complete the upgrade application form, gather supporting documents, pay the upgrade fee, and submit your application through the CIDB portal.

Step 5: Wait for Assessment

The CIDB will assess your application, which typically takes 4–8 weeks. They may request additional information or clarification.

For detailed guidance on the upgrade process, see our guide to CIDB grading explained.

How Wakha Tracks Grade Compliance Per Project

Managing CIDB grade compliance across multiple projects is complex. Wakha Construction & Property Development Management Software includes CIDB compliance workflows to simplify this.

CIDB Grade Tracking

Wakha helps you track your CIDB registration details:

• Current grade and work categories — Track your current CIDB grade for each work category
• Financial limits per grade — See financial limits for each grade automatically
• Upgrade requirements and progress — Track progress toward upgrade requirements
• Expiry dates and renewal reminders — Get reminders for CIDB registration renewal

Project-Level Grade Compliance

Wakha helps ensure grade compliance for each project:

• Tender grade requirements — Record minimum CIDB grade requirements for each tender
• Grade eligibility checking — Automatically check if your grade meets tender requirements
• Project value tracking — Track project values against your grade limits
• Compliance alerts — Get alerts when project values approach or exceed grade limits

Contractor Compliance Checking

When managing projects with sub-contractors, Wakha helps ensure compliance:

• Sub-contractor CIDB grades — Record and track sub-contractors’ CIDB grades
• Grade requirement verification — Verify sub-contractors’ grades meet project requirements
• CIDB registration expiry tracking — Track CIDB registration expiry dates for sub-contractors
• Automated compliance checking — Automated compliance checking before awarding work
• Alerts — Get alerts when contractor grades don’t meet requirements

Upgrade Planning

Wakha helps you plan and prepare for CIDB upgrades:

• Project completion tracking — Track project completion to build track record
• Financial capacity monitoring — Monitor financial capacity against upgrade requirements
• Project documentation — Document project successes for upgrade applications
• Upgrade timeline planning — Plan upgrade timelines based on project pipeline

Tender Management Integration

Wakha integrates CIDB requirements into your tender process:

• Grade requirement checking — Check CIDB grade requirements before preparing tenders
• Eligibility verification — Verify your eligibility automatically
• Tender outcome tracking — Track tender outcomes and grade requirements
• Upgrade planning — Plan upgrades based on tender opportunities

Wakha starts from R2,499 per month and includes CIDB compliance workflows as part of its construction management features. Learn more about Wakha or contact us to see how it can help manage your CIDB compliance.

Frequently Asked Questions

What is the maximum contract value for Grade 5 contractors?

Grade 5 contractors can tender for contracts up to R6.5 million. This applies per contract — you can have multiple Grade 5 contracts simultaneously as long as each individual contract doesn’t exceed R6.5 million.

Can I tender for a R10 million project if I’m Grade 5?

No. Grade 5 contractors can only tender for contracts up to R6.5 million. To tender for a R10 million project, you would need to upgrade to Grade 6 (which allows contracts up to R13 million) or higher.

Do financial limits apply per project or total portfolio?

Financial limits apply per contract. You can have multiple contracts simultaneously as long as each individual contract doesn’t exceed your grade limit. However, the CIDB may consider your total portfolio when assessing your financial capacity for upgrades.

How often do CIDB financial limits change?

CIDB financial limits are reviewed periodically and may be adjusted. Always check current limits on the CIDB website (cidb.org.za) or your registration certificate. The limits in this guide are accurate as of 2026 but may be updated by the CIDB.

Can I have different grades for different work categories?

Yes. You can have different CIDB grades for different work categories. For example, you might be Grade 4 GB (General Building) but only Grade 2 EB (Electrical Engineering) if you’re primarily a building contractor who occasionally does electrical work. Each category is graded separately based on your track record and capacity in that specific area.

What happens if I tender for a project above my CIDB grade?

Your tender will be disqualified immediately. Public sector clients check CIDB grades as part of the initial eligibility screening, before any technical or financial evaluation. Tendering above your grade wastes time and resources — always check the minimum grade requirement first.

How do I check my current CIDB grade and financial limits?

You can check your CIDB grade on your registration certificate, or by searching the CIDB Register of Contractors online at cidb.org.za. Your grade and financial limits are also listed on any tender documents you submit. Wakha can help track your CIDB grade and financial limits automatically.

What financial capacity do I need for Grade 6?

Grade 6 requires significant financial capacity — typically substantial net worth, working capital, and ability to secure project financing for R13 million contracts. Exact requirements vary, but you’ll need to demonstrate financial capacity through audited financial statements, bank statements, and proof of assets. The CIDB assesses financial capacity holistically.

Conclusion

Understanding CIDB contractor grades and financial limits is essential for planning your business growth and identifying tender opportunities. Each grade has specific financial limits — the maximum contract value you can tender for — and these limits determine which projects you’re eligible for.

The CIDB grading system creates a clear progression path from Grade 1 (up to R200,000) to Grade 9 (unlimited). Each grade has specific financial limits, requirements, and typical work scopes. Understanding these limits helps you:

• Identify tender opportunities — Know which tenders you’re eligible for based on your grade
• Plan business growth — Understand what grade you need to target for growth
• Avoid disqualification — Ensure you don’t waste time tendering for projects above your grade
• Plan upgrades — Understand financial capacity and track record requirements for upgrades

Managing CIDB grade compliance across multiple projects is complex. Construction management software like Wakha can help track your CIDB grade, verify compliance for each project, check sub-contractor compliance, and plan upgrades systematically.

Whether you’re a new contractor starting at Grade 1 or an established contractor planning your next upgrade, understanding CIDB grades and financial limits helps you make informed decisions about your business growth and tender opportunities.

Learn more about Wakha’s CIDB compliance features or contact us to see how it can support your construction business.

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