“How lengthy does it take to get a contractor’s license?” That’s a query we get every now and then. Hopefully, this put up may help information you thru the method.
In Tennessee, each contractor engaged on tasks larger than $25,000 is required to have a legitimate license. Failing to observe the regulation while you construct right here can result in fairly stiff penalties and loads of complications.
There are a number of steps to getting a Tennessee contractor’s license. How lengthy it finally takes is admittedly as much as you and the way ready you might be. (Trace: partnering with a superb CPA agency from the start makes it go quite a bit sooner!)
How Lengthy Does It Take to Get a Contractor’s License?
In response to the Tennessee Contractor Board, after you have submitted your software, it takes “roughly 4-6 weeks” to obtain your license. (As a reminder, don’t contract, bid, or make any gives to purchasers earlier than receiving your license!)
Nevertheless, that timeframe doesn’t consider how lengthy it might take you to finish your software and assemble the entire mandatory info. Relying on how easily it goes, that might take you one other 2-3 weeks.
It’s protected to imagine that you could be be ready 2-3 months from while you first start the method of making use of in your Tennessee contractor’s license. Because you gained’t have the ability to generate income as a contractor throughout that point, you’ll need to make sure that you both have ample financial savings to hold you thru or one other supply of revenue.
How Lengthy Is a Contractor’s License Good For?
When you obtain your TN contractor’s license, it’s good for two years. At that time, you’ll both have to renew it or “retire” it.
Most contractors who intend to maintain working their enterprise will merely select to resume it (extra on that course of in a minute). Nevertheless, if there’s a cause you should take a break from working as a contractor however you continue to wish to have your license accessible, you’ll be able to “retire” it anyplace between 1-7 years. The price for that’s $25 per yr.
For instance, a full-time licensed contractor who additionally serves within the Nationwide Guard might get referred to as into obligation and deployed abroad for an prolonged interval. In that state of affairs, it might be advantageous to easily park that license till they will begin constructing once more.
Methods to Get a Contractor’s License in TN
We detailed the steps concerned in easy methods to get a contractor’s license in TN in our final put up, TN Contractor’s License Renewal Made Simple (And 5 Errors to Keep away from). For evaluate, although, right here they’re once more:
- Take and go the contractor’s examination
- Put together an authorized monetary assertion
- Submit letters of advice
- Present proof of insurance coverage
- Register your LLC, Company, or Partnership with the state
- Full your software
- Pay the price
- Anticipate it to be reviewed and (hopefully) authorized
The Tennessee Board for Contractors meets each different month to look at and approve/deny license functions. (Here’s a hyperlink to a calendar exhibiting upcoming conferences.)
After the Board seems over your software, they might need to interview you in particular person. In case your license request is for a specialised class inside the business, you aren’t in a position to record at the least 3 years of expertise in your software, or you could have a felony conviction in your report you’ll be able to anticipate to be scheduled for an interview.
These are casual conferences that usually solely final half an hour or so. It’s merely a time for them to ask you questions on your expertise and decide firsthand whether or not or not you appear certified to do the work you might be desirous to do. It’s additionally a superb alternative so that you can get recommendation from them since they characterize a few years of expertise of their fields.
Many instances, interviews are waived. Nevertheless, you aren’t legally in a position to carry out any work beneath that license till the Board formally meets and points you a license quantity.
Methods to Renew a TN Contractor’s License On-line
Renewing your contractor’s license on the finish of two years is barely simpler than the preliminary technique of making use of for it. Nevertheless, there are just a few vital issues to remember:
- As soon as your license expires, you could have 12 months to resume it. Ensure to get it accomplished earlier than then or you’ll have to begin the complete course of from scratch.
- You probably have been actively working within the business throughout the earlier 2 years, you don’t want to retake the contractor’s examination. Nevertheless, if there was a niche, you could have to take a brand new one.
- Renewal kinds usually are not mechanically despatched when your license is about to run out. As a substitute, you’ll obtain a discover that it’s time to renew. It’s then as much as you to go surfing–here’s a hyperlink to the PDF–and full the renewal software at the least 30 days earlier than your present license expires.
- The price to resume your TN contractor’s license is $200.
- There’s a grace interval of seven days after your license expires to have your renewal software postmarked. Nevertheless, there may be not a grace interval beneath which you will carry out any work as a contractor and not using a license. You’re breaking the regulation when you do.
Tennessee Contractors Depend on CRS CPA
Our workforce of enterprise advisers and contract accountants has been serving to TN contractors keep licensed and authorized for over 40 years. We all know how vital it’s to your enterprise to get these functions accomplished proper, and we’ve what it takes to get it accomplished shortly.
In spite of everything, the earlier you get your contractor’s license…the earlier you may get to work. Schedule a name with us, and allow us to get to be just right for you!