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 2026-06-18

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 (BC-A/r is exempt from the Business and Law exam).
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	None required by the Board
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 CPA/LPA compilation is accepted up to $1,500,000, a reviewed statement up to $3,000,000, and an audited statement above that. An unlimited license requires an audited statement and $300,000+ in both working capital and net worth.
Reciprocity	Tennessee has trade-exam (exam-waiver) reciprocity agreements with several states — commonly Alabama, Arkansas, Georgia, Louisiana, Mississippi, North Carolina and South Carolina — but coverage varies by classification; confirm the current agreement with the Board.
Processing time	Variable; the Board reviews applications at its scheduled meetings.

Exams

Building (BC) trade exam	Provider: PSI Passing: Not officially published by the Board Fee: Set by PSI (exam vendor), subject to Board approval — recently about $57 per exam
Tennessee Business and Law exam	Provider: PSI Passing: Not officially published by the Board Fee: Set by PSI (exam vendor), subject to Board approval — recently about $57

Local / municipal notes

In 9 counties (Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford, Shelby) a separate Home Improvement license is required for residential remodeling from $3,000 to under $25,000.

Fees and rules change frequently (often annually). This page was last verified on 2026-06-18 — always confirm current requirements directly with the Tennessee Board for Licensing Contractors (Department of Commerce & Insurance) before applying. This is not legal advice.