Who can register with CIDB?
Any company in the construction business is likely to be required to register with the CIDB. So, who can register?
CIDB stands for Construction Industry Development Board and has various grades of registration and various classifications of type of work that are separately registerable.
Registration at Grade 1 is open to any company upon payment of the registration fee and submission of an application. Each of the many different classes of work, for example General building, Asphalt works, Road marking etc. must be registered separately and the fee is R450 in each case.
Grade 1 companies will be restricted as to the size of contract for which they can tender.
In order to progress from one grade to the next, a company must prove –
(1) The largest contract (in Rands) completed during the last 5 years
(2) The best annual turnover
(3) The available capital
Other companies can contribute to available capital by agreement to sponsor the applicant
Each of the above conditions has a minimum acceptance level depending upon the grade applied for.
If a company has already reached a grade and its business is then transferred to another company, the CIDB registration grade can be transferred to the second company.
CIDB registration is an essential requirement for many construction tenders especially those for Government Departments.