Tennessee General Contractor License Requirements

Official classification: Contractor License, BC (Building Construction) classification · Issued by the Tennessee Board for Licensing Contractors (Department of Commerce & Insurance).

🏗️ General ContractorTN ✔ Verified 2026-09-30

In Tennessee, general contractors must hold the Contractor License, BC (Building Construction) classification, issued by the Tennessee Board for Licensing Contractors (Department of Commerce & Insurance), and no state surety bond is required. Full requirements — experience, exams, fees, insurance, renewal and reciprocity — are detailed below.

How to become a licensed general contractor in Tennessee

Follow these steps to earn your Contractor License, BC (Building Construction) classification. Every figure is verified against the Tennessee Board for Licensing Contractors (Department of Commerce & Insurance); full detail for each step is further down the page.

Build the required experience. Tennessee sets no fixed statutory number of years; the Board weighs experience with the financial statement to set the monetary limit. Passing the BC trade exam is the core competency requirement. Exception: for the Restricted Residential Limited License (BC-A/r), work under $125,000, the Board waives both the BC-A trade exam and the Business and Law exam for applicants who complete a Limited License course at a Tennessee community college or vocational school. There is no 10% monetary tolerance and no joint ventures under BC-A/r; raising the limit requires the exams and a reviewed financial statement.
Pass the Building (BC) trade exam and Tennessee Business and Law exam exams. Providers, passing scores and fees are in the Exams section below.
Check the insurance rules. Liability: General liability insurance required (proof at application and each renewal); no fixed minimum dollar amount is published for the full Contractor license. Property damage: Covered under the general liability policy. Workers' compensation: Required if you have employees; a certificate of coverage or an approved exemption is required at renewal.
Clear the background check. No statewide fingerprint-based background check for the Contractor license.
Meet the credit / financial requirement. Monetary-limit financial statement required: the limit is the lesser of 10x net worth or 10x working capital. A self-prepared statement is accepted for monetary limits up to $1,500,000; above $1,500,000 a CPA/LPA reviewed statement is required (acceptable up to $3,000,000) and an audited statement above $3,000,000. An unlimited license requires an audited statement and $300,000+ in both working capital and net worth.
Submit your application and fees. Apply through the Tennessee Board for Licensing Contractors (Department of Commerce & Insurance) — $250 (application and initial license; Tenn. Comp. R. & Regs. 0680-01-.20) application fee, plus a Included in the application fee license fee. Processing time: Variable; the Board reviews applications at its scheduled meetings.
Keep the license active. Renewal: Every 2 years. Continuing education: 8 hours of Board-approved Residential Continuing Education every 2 years before renewal for residential licensees classified BC-A, BC-A/r or BC-A,b(sm), earned by the license's Qualifying Agent (Tenn. Comp. R. & Regs. 0680-09-.02, in effect since January 1, 2020). None for the BC, BC-B or BC-C classifications.

For the general path in every state, see the General Contractor guide →

Tennessee general contractor license lookup

To confirm a general contractor is properly licensed in Tennessee — or to check the status of your own license — search the issuing agency's official license database. The record shows whether the license is active and in good standing.

Verify a license now: Search the official search.cloud.commerce.tn.gov database →

License types

Contractor License - BC (Building Construction) — Required before bidding or contracting any building project where the total cost is $25,000 or more. The BC classification covers residential, commercial and industrial building. Subtypes include BC-A (residential) and BC-A/r (limited residential).

Requirements at a glance

Experience required	Tennessee sets no fixed statutory number of years; the Board weighs experience with the financial statement to set the monetary limit. Passing the BC trade exam is the core competency requirement. Exception: for the Restricted Residential Limited License (BC-A/r), work under $125,000, the Board waives both the BC-A trade exam and the Business and Law exam for applicants who complete a Limited License course at a Tennessee community college or vocational school. There is no 10% monetary tolerance and no joint ventures under BC-A/r; raising the limit requires the exams and a reviewed financial statement.
Application fee	$250 (application and initial license; Tenn. Comp. R. & Regs. 0680-01-.20)
License fee	Included in the application fee
Renewal fee	$200
Renewal period	Every 2 years
Continuing education	8 hours of Board-approved Residential Continuing Education every 2 years before renewal for residential licensees classified BC-A, BC-A/r or BC-A,b(sm), earned by the license's Qualifying Agent (Tenn. Comp. R. & Regs. 0680-09-.02, in effect since January 1, 2020). None for the BC, BC-B or BC-C classifications.
Bond required	No statewide contractor surety bond is required for the full Contractor license. (A $10,000 surety bond applies only to the separate Home Improvement license in certain counties.)
Liability insurance	General liability insurance required (proof at application and each renewal); no fixed minimum dollar amount is published for the full Contractor license
Property damage	Covered under the general liability policy
Workers' comp	Required if you have employees; a certificate of coverage or an approved exemption is required at renewal
Background check	No statewide fingerprint-based background check for the Contractor license.
Credit requirement	Monetary-limit financial statement required: the limit is the lesser of 10x net worth or 10x working capital. A self-prepared statement is accepted for monetary limits up to $1,500,000; above $1,500,000 a CPA/LPA reviewed statement is required (acceptable up to $3,000,000) and an audited statement above $3,000,000. An unlimited license requires an audited statement and $300,000+ in both working capital and net worth.
Reciprocity	Tennessee's trade-exam waiver for Building (BC) applies with Alabama, Arkansas, Louisiana, Mississippi, North Carolina and West Virginia, and with South Carolina for commercial work only. Tennessee also accepts the NASCLA National Commercial exam. The waiver covers only the trade exam, not the Business and Law exam, and does not replace a Tennessee license. · compare all states
Processing time	Variable; the Board reviews applications at its scheduled meetings.

What a Tennessee general contractor license costs

Application fee	$250 (application and initial license; Tenn. Comp. R. & Regs. 0680-01-.20).
License fee	Included in the application fee.
Building (BC) trade exam	$53 per exam, whether a first attempt or a retake.
Tennessee Business and Law exam	$53.
Surety bond	No statewide contractor surety bond is required for the full Contractor license. (A $10,000 surety bond applies only to the separate Home Improvement license in certain counties.).
Renewal fee	$200.
Renewal period	Every 2 years.

Exams

Building (BC) trade exam	Provider: Prov (took over from PSI on July 1, 2026) · Passing: 73% (the Board's published passing standard for every contractor exam) · Fee: $53 per exam, whether a first attempt or a retake
Tennessee Business and Law exam	Provider: Prov (took over from PSI on July 1, 2026) · Passing: 73% · Fee: $53

Renewing a Tennessee general contractor license

The Contractor License, BC (Building Construction) classification renews on a fixed cycle set by the Tennessee Board for Licensing Contractors (Department of Commerce & Insurance). Finish the continuing-education requirement before you file — boards generally will not process a renewal without it. Late and lapsed renewals are handled differently by every board, so check the renewal page linked below before the deadline passes.

Renewal period	Every 2 years
Renewal fee	$200
Continuing education	8 hours of Board-approved Residential Continuing Education every 2 years before renewal for residential licensees classified BC-A, BC-A/r or BC-A,b(sm), earned by the license's Qualifying Agent (Tenn. Comp. R. & Regs. 0680-09-.02, in effect since January 1, 2020). None for the BC, BC-B or BC-C classifications.
Where to renew	Tennessee Board for Licensing Contractors (Department of Commerce & Insurance)

Tennessee Home Improvement license ($3,000–$24,999 projects)

Working on smaller residential remodels? In nine Tennessee counties a separate Home Improvement license from the Tennessee Board for Licensing Contractors is required for residential remodeling projects priced from $3,000 to $24,999 — at $25,000 and above you need the full Contractor (BC) license described on this page. Home improvement work is defined in T.C.A. § 62-6-501(4)(A) and covers repair, replacement, remodeling, alterations and additions, including driveways, swimming pools, porches, garages, landscaping, fences, roofing and painting.

Where it applies	Only the 9 adopting counties: Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford and Shelby
Project range	$3,000–$24,999 (residential remodeling)
Surety bond	$10,000 — or a cash or property bond, or an irrevocable letter of credit
Insurance	Proof of general liability and workers' compensation coverage required
Exam	None listed by the Board for this license
Application fee	$250 initial application, filed online at core.tn.gov
Other requirements	Photo ID and Social Security number; corporate registration with the TN Secretary of State if operating as a corporation, partnership or LLC; experience performing remodeling work

Full guide, with bond alternatives, county rules and FAQs: Tennessee Home Improvement Contractor license. Figures verified against the Board's Home Improvement Contractor page on 2026-07-07.

BC-A, BC-b and BC-B: the Building Construction subclassifications

Tennessee's contractor license uses classification codes, and the Building Construction family causes the most confusion. BC covers building work; the letters after it set whether you may build residential, commercial, or both. Note that your dollar cap (the monetary limit) is set separately by your financial statement — not by the subclassification.

BC-A (Residential) — construction, remodeling, repair or improvement of one- to four-family residences not exceeding three stories, plus accessory structures (the statutory definition of a residential contractor in T.C.A. § 62-6-102).
BC-A/r (Limited Residential) — residential work under $125,000. Both the BC-A trade exam and the Business & Law exam are waived for applicants who complete a Board-approved Limited License course at a Tennessee community college or vocational school; no 10% monetary tolerance and no joint ventures.
BC-b (Small Commercial) — small commercial building work, commonly issued in combination with residential as BC-A,b.
BC-B (Commercial) — what searchers often call a “General B” license: buildings for use and occupancy by the general public, including residential buildings of more than four units or more than three stories.
BC (full Building Construction) — residential, commercial and industrial building without subclass restriction.

Mechanical trades are separate classifications of the same license — HVAC, refrigeration and gas piping fall under CMC-C; see our Tennessee HVAC license guide. Roofing is building category 21 under BC — see the Tennessee roofing guide.

Frequently asked questions

How much does a Tennessee general contractor license cost?

Application: $250 (application and initial license; Tenn. Comp. R. & Regs. 0680-01-.20). License: Included in the application fee. Renewal: $200.

How do I look up a general contractor license in Tennessee?

Search the official license database at search.cloud.commerce.tn.gov. The record shows whether the license is active and in good standing.

Do general contractors in Tennessee need a surety bond?

No statewide contractor surety bond is required for the full Contractor license. (A $10,000 surety bond applies only to the separate Home Improvement license in certain counties.)

What experience is required for a Tennessee general contractor license?

Tennessee sets no fixed statutory number of years; the Board weighs experience with the financial statement to set the monetary limit. Passing the BC trade exam is the core competency requirement. Exception: for the Restricted Residential Limited License (BC-A/r), work under $125,000, the Board waives both the BC-A trade exam and the Business and Law exam for applicants who complete a Limited License course at a Tennessee community college or vocational school. There is no 10% monetary tolerance and no joint ventures under BC-A/r; raising the limit requires the exams and a reviewed financial statement.

Is insurance required for general contractors in Tennessee?

Liability: General liability insurance required (proof at application and each renewal); no fixed minimum dollar amount is published for the full Contractor license. Property damage: Covered under the general liability policy. Workers' compensation: Required if you have employees; a certificate of coverage or an approved exemption is required at renewal.

How long does it take to get a Tennessee general contractor license?

Processing time: Variable; the Board reviews applications at its scheduled meetings.

Is a background check required for general contractors in Tennessee?

Background check: No statewide fingerprint-based background check for the Contractor license.

Is there a credit or financial requirement for a Tennessee general contractor license?

Credit requirement: Monetary-limit financial statement required: the limit is the lesser of 10x net worth or 10x working capital. A self-prepared statement is accepted for monetary limits up to $1,500,000; above $1,500,000 a CPA/LPA reviewed statement is required (acceptable up to $3,000,000) and an audited statement above $3,000,000. An unlimited license requires an audited statement and $300,000+ in both working capital and net worth.

How often must a Tennessee general contractor license be renewed?

Every 2 years. Continuing education: 8 hours of Board-approved Residential Continuing Education every 2 years before renewal for residential licensees classified BC-A, BC-A/r or BC-A,b(sm), earned by the license's Qualifying Agent (Tenn. Comp. R. & Regs. 0680-09-.02, in effect since January 1, 2020). None for the BC, BC-B or BC-C classifications.

Do you need a contractor license in Tennessee?

Yes, for any project of $25,000 or more, and the license is required before you bid, not just before you build. Residential remodeling projects of $3,000 to $24,999 require the separate Home Improvement license in nine counties (detailed above). Below $3,000 no state license applies, though local permits may.

What is a BC-B or 'General B' license in Tennessee?

BC-B is the commercial subclassification of the Building Construction (BC) contractor license: buildings for use and occupancy by the general public, including residential projects of more than four units or more than three stories. There is no separate 'General B' license, and your dollar limit comes from your financial statement, not from the subclassification.

What is the Tennessee Board for Licensing Contractors?

The state agency, part of the Department of Commerce & Insurance, that issues, renews and disciplines contractor licenses. You can verify any Tennessee contractor license through the state's search at search.cloud.commerce.tn.gov.

How do I apply for a Tennessee contractor license?

Submit the $250 application to the Board for Licensing Contractors with a financial statement (which sets your monetary limit as the lesser of 10x working capital or 10x net worth), proof of general liability insurance, and pass the PSI trade exam plus the Tennessee Business and Law exam. The Board approves applications at its scheduled meetings, so allow time for the next meeting in your planning.

Does Tennessee have a separate mechanical license?

Mechanical work is licensed by the same Board under its own classifications rather than a separate license: HVAC, refrigeration and gas piping fall under the CMC-C classification. See our Tennessee HVAC license page for the full requirements.

Fees and rules change frequently (often annually). This page was last verified on 2026-09-30 — always confirm current requirements directly with the Tennessee Board for Licensing Contractors (Department of Commerce & Insurance) before applying. This is not legal advice.