How To Get a Contractors License in Florida

So you’ve decided to start your own construction company or contracting business in Florida.

Kudos to you for taking this big leap and choosing to enter a lucrative industry! 

But before you start building dream properties in the Sunshine State, there’s one thing you need to take care of: acquiring a contractor’s license.

This simple guide will help you get off on the right foot. We’ll walk you through everything you need to know to navigate the requirements so you can start your business as soon as possible.

Let’s jump in!

Source: Florida Swimming Pool Association

Jump to:

• Types of Contractor Licenses in Florida

• The Difference Between Registration and Certification

• What Happens If You Operate Without a License?

• Do You Need a Contractor License Bond?

• Licensing Requirements for Contractors in the State of Florida

• How To Get Your License for Your Contracting Business

• Reasons Your Application Could Be Denied

• Is It Time To Get Your License?

   

   

Types of Contractor Licenses in Florida

The first thing you need to do is determine the type of contractor’s license you need. 

Here is a list of the different license classifications to help you figure out which one applies to your business.

General

A general contractor’s license is the most sought-after in Florida because it gives a business the ability to contract for any construction project under the state’s licensing laws. 

With this type of license, you can build, repair, alter, remodel, or improve any type of structure or building regardless of size or number of stories. 

Building

This type of license allows contractors to build commercial buildings and single-dwelling or multiple-dwelling residential buildings which do not exceed three stories in height. 

The three-story limitation applies to new construction and structural work, which means a contractor with this license may also repair, remodel, or renovate any commercial or residential building regardless of height. 

Residential

This type of license lets contractors build, remodel, repair, or improve one-family, two-family, or three-family residences that do not exceed two habitable stories. 

Sheet Metal

This type of license is for contractors engaged in the sheet metal trade. It allows a contractor to do the following services:

• Manufacturing
• Fabrication
• Assembling
• Handling
• Erection
• Installation
• Dismantling
• Conditioning
• Adjustment
• Insulation
• Alteration
• Repair
• Servicing.

A sheet metal contractor in Florida may also work with other materials, including but not limited to, fiberglass. 

Roofing

This type of license lets contractors maintain, repair, alter, extend, or design roofing systems. It also allows contractors to use materials and items in the installation, maintenance, extension, and alteration of all kinds of roofing, waterproofing, and coating. 

This also covers required roof-deck attachments and any repair or replacement of wood roof sheathing or fascia. 

Air Conditioning

There are two main types of HVAC licenses in Florida:

• Class A License: This allows an HVAC contractor to install, maintain, and repair heating and cooling systems of any size. The contractor may also perform services anywhere in the state.
• Class B License: This allows an HVAC contractor to install, maintain, and repair air conditioning units with heating capacities below 500,000 BTUs and cooling capabilities of less than 25 tons. The contractor may also perform services anywhere in the state.

The Difference Between Registration and Certification

Contractor license types in Florida fall into two main categories:

• Certified contractor license: This allows the contractor to work anywhere in the state.
• Registered contractor license: This limits the contractor to work on projects at the local level (cities and counties).

What Happens If You Operate Without a License?

You may face hefty fines and jail time if you contract without a license in Florida. 

The state generally charges unlicensed contracting as a first-degree misdemeanor. Those found guilty of contracting without a license may face up to one year in jail or 12 months of probation, and a $1,000 fine.

If you have previously been convicted of contracting without a contractor license, you will be charged with a third-degree felony. Penalties include up to five years in prison or five years of probation, and a $5,000 fine. 

Do You Need a Contractor License Bond?

If you’re a contractor in Florida with a credit score below 660, you’ll need to get a contractor license bond to prove your financial responsibility.

Several cities and counties also have their own requirements when it comes to obtaining a contractor license bond. It’s best to check with your local area to find out the bond amounts necessary for each contractor license type.

Source: Bond Exchange

Simply put, the bond is a type of guarantee that the contractor will comply with relevant laws and regulations and work to the highest standards of ethics and professionalism. The bond protects the public from financial loss if the contractor violates state laws.

The amount of your Florida contractor license bond will vary depending on where you work and the type of construction you’ll perform.

Division I contractors are required to post a $20,000 bond, while Division II contractors need either a $10,000 or $5,000 bond.

Division I contractors who complete a board-approved financial responsibility course will only be required to file a $10,000 surety bond, while Division II contractors who complete the same course will only need to obtain a $5,000 surety bond.

Your bond cost is a small percentage of the bond amount you have to post and is generally based on your credit score and your record as a contractor. Contractors with a high credit score can expect to pay between 1% and 3% of the bond total, while those with lower scores may be required to pay a higher premium. 

Licensing Requirements for Contractors in the State of Florida

The Florida Construction Industry Licensing Board oversees the licensing process. It operates under the Department of Business and Professional Regulation (DBPR).

Here is an overview of the requirements you’ll need to fulfill to get a contractor license in the state.

Proven Contracting Experience

You need to prove that you have at least four years of industry experience, which includes a minimum of one year of supervisory experience, to be eligible for a contractor’s license.

Alternatively, you can also show that you completed two years of education or vocational training and two years of working experience to meet this requirement. Military training and experience may also count.

Note that some license types require further evidence of specialized experiences, so it’s best to check the regulations. 

You must also pass the Florida State Construction Examination to apply for your contractor license.

Financial Stability

You’ll need to submit personal and business credit reports to demonstrate financial responsibility and stability. You must have a credit score of 660 or higher to meet this requirement. If your score is below 660, you need to take out a surety bond. 

Proof of Age

You need to be at least 18 years old to qualify for a contractor’s license. You’ll be asked to provide your Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).

Insurance

You also need to prove that you have the right type of insurance coverage to get your Florida contractor’s license.

There are two main types of insurance coverage you need to be eligible for a license:

Workers Compensation Insurance

You must obtain workers’ compensation insurance if you’re hiring employees. This insurance coverage protects your business from financial loss by paying out employees who sustain injuries while doing their job.

You can do this through the Florida workers’ compensation system. 

Property Damage Insurance

You also need to take out liability insurance and property damage insurance to protect your business from paying out any damages to people and property during a project. 

The amount of coverage will vary depending on the type of license. At least $300,000 in liability insurance and at least $50,000 in property damage insurance are required for a general and building contractor license. 

For all other license types, a minimum of $100,000 in liability insurance and $25,000 in property damage are required. 

Established Business Entity

You need to register your business in the state before you can apply for a contractor’s license.

If you’re setting up a limited liability company (LLC), corporation, or partnership, you must register with the Florida Divisions of Corporations.

If you’re establishing a sole proprietorship or smaller business, you need to register with the Florida Department of Revenue. 

How To Get Your License for Your Contracting Business

Follow these steps to become a contractor in Florida:

1. Meet the Above Requirements

You need to determine the license type for your business, pass the Florida State Construction Examination, obtain all the necessary documents, and fulfill the requirements above to apply for a contractor’s license. 

2. Fill Out the Application Online

Once you’ve completed all the requirements, you can go to the Construction Industry Licensing Board’s website to access and complete the relevant application forms for your license type. 

3. Pay Any Application Fee

f you’re getting a registered contractor license, you need to pay the following application fees:

• $309 - when applying between May 1 of an odd year and August 31 of an even year
• $209 - when applying between September 1 of an even year and April 30 of an odd year

If you’re getting a certified contractor license, you need to pay the following application fees:

• $249 - when applying between May 1 of an even year and August 31 of an odd year
• $149 - when applying between September 1 of an odd year and April 30 of an even year

4. Wait 30-45 Business Days for a Response From the State

The Florida State Licensing Board reviews applications in the order they are received. Waiting times can vary but you can expect to know the status of your application within 30 to 45 business days. 

5. Renew Your License When Necessary

You need to renew your Florida contractor license every two years. To do this, you need to complete 14 hours of continuing education credits and pay the renewal fees.

You can renew your license online via the Department of Business and Professional Regulation’s Online Services.

Certified contractors must renew their licenses by August 31 of every even numbered year, while registered contractors must renew by the same date but for odd-numbered years

Reasons Your Application Could Be Denied

Here are some of the most common reasons an application for a contractor license in Florida could be denied:

• Incomplete application
• Failure to prove the required experience
• Failure to prove financial responsibility
• Discrepancies and errors in supporting documents
• Wrong insurance coverage
• Criminal history that relates to the practice of contracting

Is It Time To Get Your License?

Getting a contractor’s license in Florida can be overwhelming — with all the paperwork and requirements — but it’s worth it in the long run. 

A license will not only help you avoid penalties but will also open opportunities for you to build trust with clients and grow your construction business.

Take your time completing all the requirements and documentation. Follow this easy to use guide so you can thrive in this lucrative and satisfying industry.