
Hiring a contractor without a license might cost less, but it could result in repairs, fines, and even legal fees. Always verify a contractor’s license, bonding, and liability insurance. We’ve outlined the risks of unlicensed contractors here.
Build credibility, increase revenue, and impress homeowners with a contractors license
Most states require licenses for major work to avoid legal penalties like heavy fines, non-payment, or potential imprisonment.
Every state has unique regulations, with some managing licenses at the state level while others defer to local municipalities.
Applicants typically must pass trade, law, and business exams while providing verifiable evidence of their relevant construction experience.
Licensed contractors must generally carry liability insurance and workers' compensation while submitting financial statements or securing surety bonds.
Earning a license builds professional credibility and allows contractors to access a lucrative career with high median salaries.
With a median salary of approximately $98,000 for residential general contractors and an average of $105,000 across the broader industry, a career as a general contractor remains highly lucrative. However, fulfilling your state's specific licensing requirements is essential to legally access these high-paying projects and officially build your business.
Getting your contractors license allows you to bid for higher-paying projects and projects that require permits. It also builds the trust necessary to succeed on professional networks; once you have your credentials, you can sign up for an Angi Pro account to showcase your license to thousands of potential customers.
Build room additions
Remove load-bearing walls
Do high-end kitchen and bathroom remodels
Oversee new construction projects
Doing this work without a license or a permit means serious repercussions if you get caught, including hefty fines, grounds for non-payment, and even imprisonment.
Licensing requirements vary from state to state. And no two are alike. Some licenses and certifications are granted by the state and others are issued by your local government.
No matter who regulates licensing requirements, here’s what the majority of licensing and registration boards require you to do:
Hold a state license or a certificate
Register your business with your local or county government
Pass business, trade, and law exams
Pass a criminal background check
Carry liability insurance and workers' compensation insurance
Submit financial statements or a bond
Provide evidence of construction-related work experience

Now let’s delve into the requirements for each state.
Alabama
State license required: Yes
Registration fee: $300 (Renewed annually)
Thresholds: Required for residential projects over $10,000, commercial over $50,000, and swimming pools over $5,000.
Register at: Alabama Licensing Board for General Contractors (Commercial) or Home Builders Licensure Board (Residential).
Note: Financial statements must show a minimum net worth (typically $10,000+).
State license required: Yes
Registration fee: $250
Testing: Pass the Alaska Craftsman Home Program (ACHP) or equivalent for residential endorsement.
Register at: Alaska Department of Commerce, Community, and Economic Development.
State license required: Yes
Registration fee: $279 – $580 (Dependent on classification/assessment fees)
Testing: Pass the Arizona Statues and Rules (ASB) exam and the specific trade exam.
Register at: Arizona Registrar of Contractors (ROC).
State license required: Yes
Registration fee: $100
Thresholds: Commercial projects > $50,000; Residential > $2,000.
Register at: Arkansas Contractors Licensing Board.
State license required: Yes
Registration fee: $450 (Initial Application); $200 (Initial License Fee) — Fees have increased since 2024.
Threshold: Projects over $500.
Register at: Contractors State License Board (CSLB).
Bond: As of 2026, the contractor bond requirement remains $25,000 (increased from $15,000 in previous years).
State license required: No (Local level only)
Note: State only licenses Electricians and Plumbers. All general contracting is handled by cities (e.g., Denver, Colorado Springs).
State license required: Yes (Registration)
Registration fee: $220 (Home Improvement); $500 (New Home Construction)
Register at: Connecticut Department of Consumer Protection.
State license required: Yes
Registration fee: $75
Requirement: All contractors must register with the Division of Revenue and provide proof of workers' comp.
State license required: Yes
Registration fee: $209 – $309 (Varies by cycle)
Register at: Florida Department of Business and Professional Regulation (DBPR).
Note: Certified licenses allow work statewide; Registered licenses are local only.
State license required: Yes
Threshold: Residential projects > $2,500.
Requirement: Proof of net worth ($25k for Residential; $150k for General).
Register at: Georgia Secretary of State (Professional Licensing Boards).
State license required: Yes
Registration fee: $494 – $663
Requirement: 4 years of supervisory experience in the last 10 years.
Register at: DCCA Professional and Vocational Licensing.
State license required: No (Registration only)
Registration fee: $50
Register at: Idaho Division of Occupational and Professional Licenses.
State license required: No (Except Plumbing/Roofing)
Note: General contracting is regulated heavily at the municipal level (e.g., Chicago requires a specific city license).
State license required: No (Except Plumbing)
Note: Local counties/cities handle licensing. Indianapolis (Marion County) has strict local requirements.
State license required: Yes (Registration)
Registration fee: $50
Register at: Iowa Division of Labor.
State license required: No
Note: Regulated by local jurisdictions (e.g., Johnson County has a robust licensing program).
State license required: No (Except Specialty)
Note: Local level regulation for General Contractors.
State license required: Yes
Thresholds: Commercial > $50k; Residential > $75k; Home Improvement $7.5k – $75k.
Register at: Louisiana State Licensing Board for Contractors (LSLBC).
State license required: No
Note: No state license for GCs, but home improvement contracts over $3,000 must be in writing by law.
State license required: Yes
Register at: Maryland Home Improvement Commission (MHIC).
Requirement: 2 years experience and financial solvency.
State license required: Yes
Types: Construction Supervisor License (CSL) and Home Improvement Contractor (HIC) registration.
Register at: Office of Public Safety and Inspections.
State license required: Yes
Threshold: Projects over $600.
Register at: Michigan LARA (Bureau of Construction Codes).
State license required: Yes
Threshold: Gross receipts > $15,000.
Register at: Minnesota Department of Labor and Industry.
State license required: Yes
Threshold: Residential > $50k; Commercial > $50k.
Register at: Mississippi State Board of Contractors (MSBOC).
State license required: No
Note: Regulation occurs at the city/county level.
State license required: Yes (Registration)
Registration fee: $70
Register at: Montana Department of Labor and Industry.
State license required: Yes (Registration)
Registration fee: $40
Register at: Nebraska Department of Labor.
State license required: Yes
Requirement: Financial statement and bond ($1,000 – $500,000) based on monetary limit.
Register at: Nevada State Contractors Board.
State license required: No (Except Specialty)
Note: Check local city ordinances.
State license required: Yes (Registration)
Registration fee: $110
Register at: NJ Division of Consumer Affairs.
State license required: Yes
Requirement: 2–4 years of experience depending on classification.
Register at: New Mexico Regulation and Licensing Department.
State license required: No
Note: Licensing is strictly local. NYC, Nassau, and Suffolk counties have very rigorous requirements.
State license required: Yes
Threshold: Projects over $30,000.
Register at: NC Licensing Board for General Contractors.
State license required: Yes
Threshold: Projects over $4,000.
Register at: North Dakota Secretary of State.
State license required: No (Except Specialty)
Note: State licenses HVAC, Plumbing, and Electrical only.
State license required: No (Except Specialty)
Note: GCs must register at the local level.
State license required: Yes
Requirement: 16-hour pre-license training and exam.
Register at: Oregon Construction Contractors Board (CCB).
State license required: No (Registration only)
Register at: PA Office of Attorney General (Home Improvement Contractor registration).
State license required: Yes
Requirement: 5 hours of continuing education for renewals.
Register at: RI Contractors' Registration and Licensing Board.
State license required: Yes
Note: Separate boards for Residential Builders and Commercial (General) Contractors.
Register at: SC Department of Labor, Licensing and Regulation (LLR).
State license required: No
Note: Local municipal requirements apply.
State license required: Yes
Threshold: Projects > $25,000.
Register at: Tennessee Board for Licensing Contractors.
State license required: No (Except Specialty)
Note: Texas does not license General Contractors at the state level. Check local city permits.
State license required: Yes
Requirement: 25-hour pre-licensure course.
Register at: Utah Division of Professional Licensing (DOPL).
State license required: No
Note: Local level regulation.
State license required: Yes
Classes: A (unlimited), B (<$120k/project), C (<$10k/project).
Register at: Virginia Board for Contractors (DPOR).
State license required: No (Registration only)
Registration fee: $118
Register at: Washington State Dept of Labor & Industries (L&I).
State license required: Yes
Registration fee: $600 – $1,200+ (Varies by category)
Register at: Department of Licensing and Consumer Protection (DLCP). Note: Name updated from DCRA.
State license required: Yes
Threshold: Projects over $5,000 (Residential) or $25,000 (Commercial). Thresholds updated for 2026.
Register at: WV Contractor Licensing Board.
State license required: Yes
Requirement: Dwelling Contractor Qualifier Certification.
Register at: Wisconsin Dept of Safety and Professional Services.
State license required: No
Note: Handled at the city/county level.
In 2026, it is increasingly difficult to bypass experience requirements due to stricter consumer protection laws. However:
Kansas/Wyoming: Still primarily local, meaning entry is easier if the local municipality has fewer requirements.
The RMO/RP Model: In states like California, you can hire a Responsible Managing Officer (RMO) who has the experience to qualify the license for you.
Apprenticeships: Many states now allow 2 years of education to count toward 1–2 years of the experience requirement.
Flawless finish and exceptional service. Custom Paint Jobs LLC is the only choice for me.
Visited my home for estimate same day that I called. Painted on Saturday. Great job. Good price!
Window Depot did an amazing job on my deck. I wasnt sure what I wanted to do, but their composite decking was affordable and will last a long time. I am excited to have family over, and I am no longer embarrassed by my backyard. Jeff and the ground crew were polite, respectful, and caring for...
The guys did an outstanding job and we had a great experience with CarifaTile. I appreciated that Joe reviewed the quotes with me and set expectations prior to the install. The crews showed up as scheduled and always left the areas clean upon leaving the house. We will definitely use...
Beginning with the estimate, Larry and Peyton were super helpful in getting my new condo's interior re-painted. Not only was the job well done, but also done in a super timely manner as promised.
BJ Trim Carpentry rescued me in the middle of a do-it-yourself project. I found I needed more expertise than I had...and more TOOLS! BJ Trim Carpentry responded quickly and completed what I needed expertly, politely and with a little humor!
This brownstone is historical and the carpentry work is very detailed. I was very happy to secure a company in NY and living in OH to complete the request. Wood work on this brownstone has been existing since approximately 1888 and West side did a GREAT JOB. I will not be able to...
We had a great experience with Mark Rodgers Construction. We were in the process of seeking out estimates for possible foundation work for our front porch. Mark came out himself to provide the estimate. Turned out that the company deals mainly with concrete, so we wouldn't be getting an...
Overall this experience was incredible! I looked on Angies List for a cleaning service because I was planning a holiday party and wanted to make sure we found a reliable, thorough and efficient cleaning service to make sure everything was perfect for the party since we had co-workers and...
From beginning to end our experience with Joe was very good. He was professional and prompt in his estimate for the job and worked hard to meet our schedule so that he could remove our old backsplash the day before our new countertops were removed and return shortly after they were removed to...
From average costs to expert advice, get all the answers you need to get your job done.

Hiring a contractor without a license might cost less, but it could result in repairs, fines, and even legal fees. Always verify a contractor’s license, bonding, and liability insurance. We’ve outlined the risks of unlicensed contractors here.

Whether you’re remodeling or fixing damage, you want to hire a contractor you feel good about and trust. Here’s what to ask before hiring a contractor.

Protect yourself when hiring a concrete contractor by asking if they’re licensed and bonded. Read on to find out everything you need to know before hiring a pro.

Looking to join the construction industry? Becoming a contractor is a challenging and rewarding career choice. Find out what skills and experience you’ll need to become a successful contractor and how much you can expect to make.

Whether you're remodeling your kitchen or need your driveway resealed, hiring the right contractor for your home project is crucial. This guide shows you how to find a contractor who'll do the job right, on time, and on budget.

Reputable contractors have the licenses and insurances in place. Here’s what to know about a contractor liability release form and when not to sign.