If you want to become a licensed contractor, someone who has passed the state exam for all contractors, each state has its own set of rules and requirements. Regardless of your status in your previous state, expect to have to take the state exam to become a licensed contractor if you move to another state.
A fine can be imposed on an unlicensed contractor who accepts more than minimal work. He may also discover that they are unable to pursue a construction contract for non-payment. The majority of customers will not hire unlicensed contractors because they are not protected by state law and lose their right to sue for poor work.
To become a licensed contractor, you must first meet the minimum requirements, then register your business, and finally pass the written exam. Before you can become a licensed contractor, you must meet certain minimum requirements. Although the requirements differ by state, there are a few items that are universally required.
All applicants must be 18 years old and hold a high school diploma or its equivalent. They must be citizens of the United States or have legal status in the country. Applicants must have legally registered their businesses, and proof of financial resources to operate a business may be required. Reference letters and proof of relevant experience or education are also required.
A business license form must be submitted to the state business office to register your business. They will need the company name, primary business address, types of services offered, and contact information for the owner. The cost of registering a business is a one-time fee. A state license bond is required in many states for all contractor businesses. A licensed contract must also show proof of liability and workers’ compensation insurance.
Typically, the licensed contractor exam is a multiple-choice test. The length of the test varies by state, but it usually lasts between one and two hours. The exam’s goal is to ensure that all contractors have a basic understanding of business and the trades.
The exam itself is designed to cover all skilled trades and has a wide range of specialties. Choose the area in which you want to focus your business and take the exam. People who want to work as general contractors may have to take more than one exam. A licensed plumber who wants to start a general contractor business is a good example. Both a plumber’s license and a general contractor’s license will be required. This is only required if they intend to complete the work on their own.