CIDB grade and class

Registered grade per class of works

6GB by Year 5

The lower of financial and works capability; both must move

Largest single completed contract

Contract value completed and registered on the Register of Projects

At the top of the current grade band

Works capability; a hundred small contracts do not move it

Available capital

Net asset value plus retained income plus shareholder loans

R7.16m by Year 5

Financial capability; distributing profit reduces the grade

Gross margin at final account

Final account value less final cost, over final account

18.7% by Year 5

One point is R520 000; estimating accuracy is survival

Debtor days

Trade debtors ÷ turnover × 365

54 days blended by Year 5

Ten days is R1.42m; public runs at 68 and private at 38

Retention outstanding

Retention receivable at year end

R2.86m by Year 5

R5.20m is withheld in the year; the balance is what remains unreleased

Facility utilisation

Drawn ÷ facility limit

Below 90%

Advanced at 85% of certified, undisputed certificates

Register of Projects

Projects registered ÷ contracts awarded

100%, without exception

An unregistered project earns no grading credit whatever its value

Contracts loss-making at final account

Count

Zero

A gate condition before every grade step

Public order book against facility

Public work in progress ÷ facility and cash

Fundable through a 90-day delay

Concentration in public work is where cash crises start