Licensing Guides
State Contracting License: How to Become a General Contractor in Virginia
General, VA
Table of Contents
Why Do You Need a Contractor License in Virginia?
How Can You Get a Contractor License in Virginia?
Types of Contractor Licenses in Virginia
What Are the Requirements of a Virginia Contractor License?
How Long Does It Take to Get a Contractor License in Virginia?
How Much Does It Cost to Get a Contractor License in Virginia?
Virginia Contractor License Training Programs and Schools
Does Virginia Reciprocate Contractor Licenses?
Do I Need to Renew my Contractor License in Virginia?
Are There Any Penalties for Contracting Without a License in Virginia?
We all need a place to live and work, and those buildings require upkeep and repair. They are often the biggest investments we make in our lives, and keeping them in good condition is essential. We count on professionals to know how to fix damage to or wear and tear on our homes and businesses. General contractors are typically the experts we rely on to help us with these repairs, and we need these men and women to know what they’re doing.
Many states require contractors to be licensed. Others simply require solid insurance to back up the essential work they perform. There are 520,900 construction managers and 1,599,800 construction laborers and helpers nationwide, according to the Bureau of Labor Statistics (BLS). Virginia employs 7,350 managers and 26,510 laborers and helpers. The national number for managers is projected to grow 9% from 2023 to 2033 and 8% for laborers and helpers. In Virginia, according to CareerOneStop, the U.S. Department of Labor’s job search website, the projected growth rate for laborers is higher than the national number at 13%; for managers, it’s slightly higher at 16%. If you’re thinking about becoming a contractor or you want a job in the field, you need to know the requirements in your state or local jurisdiction. This guide will help you determine what you need before you get started.
Why Do You Need a Contractor License in Virginia?
A contractor license is necessary to perform most work legally in the state of Virginia.
Specifically, a Class A license is required for a contractor business that performs or manages construction, removal, repair, or improvements of a single contract of $120,000 or more, or the total value of projects in a 12-month period is $750,000 or more.
A Class B license is for a business that performs or manages construction, removal, repair, or improvements of a single contract of $10,000 or more but less than $120,000, or the total value of projects in a 12-month period is $150,000 or more but less than $750,000.
A Class C license is for a business that performs or manages construction, removal, repair, or improvements of a single contract of $1,000 but no more than $10,000, or the total value of projects in a 12-month period is no more than $150,000.
Virginia contractors can also add license classifications and specialties to their credentials.
License classifications include:
Commercial Building Contractors (CBC): This classification covers construction, remodeling, repair, improvement, removal, or demolition of commercial, institutional, and governmental buildings or structures, including multi-family housing contracts. It includes several specialties, including roofing contracting, but does not include electrical, plumbing, HVAC, or gas fitting services.
Residential Building Contractor (RBC): This classification covers the construction, remodeling, repair, improvement, removal, or demolition of residential buildings or structures. It includes several specialties, including roofing contracting, but does not include work by electricians, plumbers, HVAC, or gas fitters.
Examples of license specialties include:
Home Improvement Contracting (HIC)
Roofing Contracting
Asbestos Contracting
Water Well Contracting
The Virginia Department of Professional and Occupational Regulation (DPOR) issues all licenses in the state of Virginia. The bottom line is you need to be licensed to do any kind of initial residential or commercial construction, repair, or maintenance work valuing more than $1,000 in the state of Virginia. Whether you obtain Class A, B, or C depends on the value of work you complete. For commercial projects, you must add the Commercial Building Contractor classification, or Residential Building Contractor for residential work.
How Can You Get a Contractor License in Virginia?
There is a process for getting your license. It is all spelled out on the state website. The process for each classification is roughly the same.
You must be at least 18 years of age. You must have either a Social Security number or an individual taxpayer identification number.
In Virginia, contractor licenses are issued to business entities, not to individuals, so you need to create a sole proprietorship, limited liability company (LLC), partnership, or corporation and register with the Virginia State Corporation Commission and the Virginia Department of Taxation.
Contracting business owners need to designate a qualified individual for each classification or specialty. The qualifying individual must obtain the following work experience to apply for licensure:
Class A contractor: 5 years of experience
Class B contractor: 3 years of experience
Class C contractor: 2 years of experience
An experience verification form must be submitted for each qualified individual. The state also requires new contractor applicants to complete an approved eight-hour pre-license course. The course is a basic business course covering relevant regulations, statutes, and requirements for business owners.
Applicants can obtain the necessary experience by working directly under a licensed contractor, tradesman, engineer, architect, or building inspector. Another option is to complete an apprenticeship. Both the Associated Builders and Contractors of Virginia and the Virginia Department of Labor and Industry (DOLI) provide resources for apprentices.
Applicants need to meet financial requirements and demonstrate a minimum net worth by providing a completed financial statement form with supporting documentation, a CPA review or audit, or a surety bond.
Finally, applicants must pass the required exams and pay all applicable fees.
Types of Contractor Licenses in Virginia
There are three classifications for General Contractors in Virginia
A Class A license allows the holder to legally perform or manage construction, removal, repair, or improvements of a single contract of $120,000 or more, or the total value of projects in a 12-month period is $750,000 or more.
A Class B license allows the holder to legally perform or manage construction, removal, repair, or improvements of a single contract of $10,000 or more but less than $120,000, or the total value of projects in a 12-month period is $150,000 or more but less than $750,000.
A Class C license allows the holder to legally perform or manage construction, removal, repair, or improvements of a single contract of $1,000 but no more than $10,000, or the total value of projects in a 12-month period is no more than $150,000.
Virginia contractors can also add specialties to their credentials.
Residential Building Contractor
The Commercial Building Contractor license covers construction, remodeling, repair, improvement, removal, or demolition of commercial, institutional, and governmental buildings or structures, including multi-family housing contracts. It includes several specialties, including roofing contracting, but does not include electrical, plumbing, HVAC, or gas fitting services.
The Residential Building Contractor license covers the construction, remodeling, repair, improvement, removal, or demolition of residential buildings or structures. It includes several specialties, including roofing contracting, but does not include work by electricians, plumbers, HVAC, or gas fitters.
Getting a general contractor license
There are three classifications that would suffice for a general contractor in Virginia. They are Class A Contractor, Class B Contractor, and Class C Contractor. Further, contractors need to choose either a Residential or Commercial classification, and if necessary, a specialty classification.
APPLY FOR LICENSE: Once you’ve fulfilled the work experience requirements, you may complete the contractor license application. You are essentially applying to sit for the exam. To get started, download the license application as a PDF and fill it out digitally. Include a check for the application fee made out to the Treasurer of Virginia and mail the application to the Department of Professional and Occupational Regulation.
PAY APPLICATION PROCESSING FEE: The initial licensing fee is $385 for the Class A license, $370 for the Class B license, and $235 for the Class C license. You must submit this payment and all required documents along with your license application, mailed to DPOR Headquarters in Richmond. You can find the step-by-step guide here along with the mailing address for where to send all of the forms.
TAKE LICENSING EXAM: The state contracts with PSI to manage licensing exams. For Class A and B license applicants, a business chooses a designated full-time employee or a member of responsible management to take the Contractor Business Exam. In addition to the business exam, qualified individuals seeking a specialty licensure must also successfully complete the Contractor Specialty Exam. PSI administers exams at multiple testing centers located across Virginia.
COMPLETE CRIMINAL BACKGROUND CHECK: Instead of performing a traditional background check, the license application asks candidates to specify if they have ever been subject to disciplinary action by the state, convicted of any felony, or convicted of a “non-marijuana misdemeanor” within the last three years. If you answer “yes” to any of these questions, you must complete a supplemental form included within the application.
PROVIDE PROOF OF CONTRACTOR BOND: Class B applicants must provide proof of a net worth of at least $15,000. Class A applicants must provide proof of at least $45,000. Applicants must provide a financial statement, CPA audit, or surety bond.
Getting a specialty license
When applicable, the qualified individual must obtain a specialty license classification. These are specialty contractor licenses in specific trades including HVAC, plumbing, electrical, carpentry, and drywall that would supplement a general contractor’s knowledge and allow him/her to bid on projects that require those license classifications without having to hire an appropriately licensed specialty contractor as a subcontractor. The DPOR board requires the applicant to pass a trade-specific examination.
You can also consult our guides to getting your HVAC license, plumbing license, or electrical license in Virginia.
What Are the Requirements of a Virginia Contractor License?
The requirements for licensure as a contractor in Virginia are all intended to demonstrate that an individual who will be serving the public is properly prepared to do the job right. To that end, there are age, knowledge/experience, and financial prerequisites.
You must be at least 18 years of age.
You must have either a Social Security number or an individual taxpayer identification number.
Obtain the required work experience needed for licensure: Class A-5 years, Class B-3 years, Class C-2 years.
Register your sole proprietorship, limited liability company (LLC), partnership, or corporation with the Virginia State Corporation Commission and the Virginia Department of Taxation.
Choose your contractor license class and specialty.
Identify the members of responsible management.
Identify qualified individuals.
Identify a designated employee.
Complete the pre-license education course.
Complete the application process by mail and pay the application fee.
How Long Does It Take to Get a Contractor License in Virginia?
It will take a minimum of 2 years to qualify for a Class C license in Virginia, while the Class B license requires 3 years, and the Class A license requires 5 years of experience. If you start as an apprentice, you will be working and accumulating the necessary experience while earning money the whole time.
According to the DPOR, “Applications are processed on a first in, first out basis, and the average processing time for most applications is approximately 30 days, but can be more or less depending on a number of factors. If your application is complete and you have met all of the eligibility requirements, the license will be issued at the initial review and will be mailed to you. If your application is incomplete, then a letter will be sent to you outlining what was missing and what we need to finish the review and issue your license.”
What Business Owners Need to Know
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How Much Does It Cost to Get a Contractor License in Virginia?
The initial licensing fee is $385 for the Class A license, $370 for the Class B license, and $235 for the Class C license. Fees for the contractor exam include: $40 for one portion, $72 for two portions, and $85 for three portions. The specialty exam is $85.
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Virginia Contractor License Training Programs and Schools
There are no specific educational requirements outside of meeting the 8-hour pre-license course, but all contractor license classifications require between 2-5 years of work experience.
There are training programs throughout the state that can help you prepare for a career in construction. If you choose to start your career path at a college or university, you can pursue a degree in construction management or construction engineering. There are many higher education options throughout the Old Dominion State that offer these types of programs.
Each of the following schools offers a Construction Management Bachelor of Science or Associate of Applied Science degree.
There are also many Virginia Community Colleges and trade schools throughout the state that offer Construction Management programs and Associate degree and certificate options.
Does Virginia Reciprocate Contractor Licenses?
No. While the board of contractors permits license reciprocity for other trades, such as electricians and plumbers, the board doesn’t allow reciprocity agreements with any other state for general contracting.
Do I Need to Renew my Contractor License in Virginia?
To keep your state-issued active license current, Virginia requires you to renew your license every two years. Renewal fees are due with the renewal application.
Renewal fees include:
Class A license: $240
Class B license: $225
Class C license: $195
Are There Any Penalties for Contracting Without a License in Virginia?
Yes. There are fines and misdemeanor charges for contracting without a license. In Virginia, it’s considered a prohibited act to perform any type of contracting work or bid on projects without a license. Penalties for performing unlicensed work include fines up to $500 per day in addition to criminal charges.
National Certifications
Other certifications can help you demonstrate your proficiency to potential employers and clients. There are many professional organizations that offer certification. These certifications are not required but can add to your marketability and therefore increase your opportunity to make more money.
Some of the top construction certifications are:
Occupational Safety and Health Administration (OSHA) Safety Certificate
Construction Management Association of America Certified Construction Manager (CCM)
National Association of Safety Professionals (NASP) Certified Safety Manager (CSM) certification
National Center for Construction Education & Research (NCCER)
Continuing Education
Though Virginia does not require continuing education to renew your license, you will want to stay informed about emerging technology in the industry. There are many ways to keep yourself current in regard to the technology put to use in construction, roofing, energy and environmental designs, efficiency standards and more. For example, distributors want you to know about their company’s latest offerings and will often hold training sessions about new and changing equipment and parts. Another option is the Associated General Contractors of America (AGC) which provides continuing education courses.
Resources
You can stay up to date on contracting industry news several ways:
Check top blogs, including ServiceTitan’s blog.
Read about the latest industry trends, and discover ideas on how to grow your business.
Listen to top podcasts like ServiceTitan’s “Toolbox for the Trades” podcast.
ServiceTitan is a comprehensive business software solution built specifically to help service companies streamline their operations, boost revenue, and achieve growth. Our award-winning, cloud-based platform is trusted by more than 100,000 contractors across the country.
Ready to learn more about what ServiceTitan can do for your business? Contact our team to schedule a demo today.
