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What are the Arizona Contractor License Requirements? Complete the state application. Complete and pass the Arizona Trade and Business Management Exams. Obtain a FEIN also known as a Federal Tax ID Number. Obtain your Arizona Contractor License Bond.
Construction laws are different in every state, but in Arizona, you must hold a contractor's license to perform any work valued at over $1,000. Likewise, if the work requires any local building permits, a contractor is required to be licensed.
The Registrar is now able to waive experience requirements and instead accept either (a) the applicant's passing of an appropriate trade examination (not more than two years prior to application for consideration of waiver of experience) or (b) a nationally recognized certification, valid at the time of application to
Exam and Experience Requirements The ROC requires that a party has at least four years of experience in the trade to get a license. They must also pass the Business Management Exam (BME) and Trade Exam with at least a 70% score. A Surety Bond All contractors need a contractor's bond.
The minimum penalty for contracting without a license as a first offense is a fine of $1,000 plus an 83% surcharge. A.R.S. § 32-1164(B). In most cases, an unlicensed contractor will simply face a fine, but jail time is not out of the question if the perpetrator is a repeat offender or the facts are egregious.
Any business which contracts or offers to contract to build, alter, repair, add to, subtract from, improve, move, wreck or demolish any building, highway, road, railroad, excavation or other structure, development or improvement, or to do any part of the work must be a licensed contractor.
License Fees New License ApplicationClassificationApplication FeeLicense FeeGeneral Commercial (A, B-1, B-2)$200$580Specialty Commercial (C)$100$480General Residential (B, B-3, B-4, B-5, B-6, B-10)$180$3203 more rows
What are the steps to getting a contractor license in Arizona? Identify a Qualifying Party who meets minimum requirements. Pass examinations. Submit to background checks. Form a legal entity. Obtain a bond. Pay required fees. Provide Government issued identification. Complete and submit application.
Handyman Exemption As stated above, Arizona requires a license for any project over $1,000. If the labor and costs are less than $1,000, you may fall under the minor work exception.