An IMPIC alvará class sets the maximum project value that a company's title allows it to undertake. Class 1 covers work up to €200,000, class 4 up to €1,600,000, and class 9 work above €19,000,000. But the class is only part of the answer: Portugal has different titles for private and public works, and a certificate is not the same as an alvará.
When assessing a quote, start by comparing the total project value with the title's class. Then check whether the company holds an alvará or certificate for private or public works. That combination, rather than the word “active” on its own, defines the scope of the qualification.
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See the title type, class, current status and, where applicable, categories and subcategories.
Check an IMPIC alvará or certificate →IMPIC alvará class values
The current limits were set by Portaria n.º 212/2022. The class must cover the value of the work the company is taking on.
| Class | Maximum project value |
|---|---|
| 1 | €200,000 |
| 2 | €400,000 |
| 3 | €800,000 |
| 4 | €1,600,000 |
| 5 | €3,200,000 |
| 6 | €6,400,000 |
| 7 | €12,500,000 |
| 8 | €19,000,000 |
| 9 | Above €19,000,000 |
For example, a total quote of €260,000 already exceeds the class 1 limit. The relevant title would need to reach at least class 2. Always compare the class with the overall value of the work that the company undertakes in the contract.
What classes 1 and 4 mean in practice
A company with a class 1 alvará can undertake work up to €200,000. At class 4, the limit rises to €1,600,000. The class is not a quality rating. It is the administrative ceiling on the project value allowed by the title.
To obtain or retain an alvará in classes 3 to 8, a company must show equity equal to at least 10% of the class limit, a general liquidity ratio of at least 100%, and financial autonomy of at least 5%. For class 4, that means minimum equity of €160,000. Classes 1 and 2 are exempt from this financial-capacity requirement, but remain subject to the other conditions for their title. These rules appear in the current IMPIC guidance and Lei n.º 41/2015.
There are four titles, not just two
“Alvará” and “certificate” are only half of the distinction. Portuguese law also separates private works from public works:
Private-works alvará
This title allows the company to undertake private works within its class limit. IMPIC checks commercial fitness, economic and financial capacity from class 3 upwards, and workplace accident insurance. The title does not list categories or subcategories. Technical qualifications required for each project still apply, but they are not a general technical-capacity condition of this alvará.
Public-works alvará
This title qualifies the company in the classes, categories and subcategories listed on it. It requires commercial fitness, technical capacity, economic and financial capacity from class 3 upwards, and workplace accident insurance. A public-works alvará also allows the holder to undertake private works within its authorised class.
Private-works certificate
This title allows private works up to €40,000 excluding VAT. It requires commercial fitness and workplace accident insurance. It has no classes, categories or subcategories.
Public-works certificate
This title allows public works up to €40,000 excluding VAT, and only within the subcategories permitted for this title. It requires commercial fitness, technical capacity and workplace accident insurance. It also permits private works within the same limit.
You can confirm the four regimes and their conditions on IMPIC's national company guidance and in articles 6, 7, 23, 24 and 25 of Lei n.º 41/2015.
Classes, categories and subcategories are different
- Class: sets the value limit.
- Category: groups a broad area of public works.
- Subcategory: identifies a type of work within that area.
Public-works alvarás use five categories: buildings and built heritage; roads, urbanisation and other infrastructure; hydraulic works; electrical and mechanical installations; and other works. Within them are specific subcategories such as concrete structures, water and sewer networks, or electrical installations. The full list is available in the official IMPIC documentation.
This distinction prevents a common mistake: looking for categories on a private-works alvará. That title shows a class. Categories and subcategories belong to the public-works title framework.
What an IMPIC title proves, and what it does not
A valid alvará or certificate proves that the company holds an administrative qualification with a defined scope and limits. These titles have no fixed expiry date, but IMPIC checks them annually and may alter or cancel them.
The title does not, by itself, guarantee workmanship, current solvency, on-time delivery, or the absence of court and insolvency proceedings. The IMPIC lookup should therefore be the start of a contractor check, not the end.
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How to check before hiring
- Confirm the title type. Check whether it is for private or public works, and whether it is an alvará or certificate.
- Compare the value. The class or certificate limit must cover the work the company is taking on.
- Check the current status. Make sure the title is valid when you make the decision.
- For public works, read the scope. Check the categories and subcategories, not only the class.
- Complete the assessment. Review other company signals beyond the IMPIC title.
For the lookup process, read how to check an IMPIC alvará. If you already have the result, use the guide to understand each field.
Frequently asked questions
What is the value limit for a class 1 alvará?
Class 1 allows work up to €200,000. If the total value undertaken by the company exceeds this limit, it needs a higher class.
What is the class 4 value and what are its requirements?
Class 4 allows work up to €1,600,000. Its economic and financial conditions include minimum equity of €160,000, general liquidity of at least 100%, and financial autonomy of at least 5%, alongside the other conditions for the relevant alvará type.
Does a private-works alvará have categories?
No. A private-works alvará is granted by class and does not list categories or subcategories. Those elements apply to public-works titles.
What is the difference between an alvará and a certificate?
An alvará uses classes and can cover higher-value work. A certificate covers work up to €40,000 excluding VAT. In both cases, you must distinguish a private-works title from a public-works title.
Does a public-works alvará allow private works?
Yes. Lei n.º 41/2015 allows the holder to undertake private works within the authorised class.
Does a valid IMPIC title mean the company is reliable?
Not necessarily. It confirms an administrative qualification and its scope, but does not guarantee workmanship, solvency, on-time delivery or the absence of proceedings.
Official sources: Lei n.º 41/2015, Portaria n.º 212/2022, and IMPIC guidance for national companies. Information checked on 16 August 2026.
Note: this article is informational and does not replace legal advice for a specific project or contract.