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A Tennessee contractors license is required BEFORE bidding or offering a price, for projects $25,000 and up (includes materials and labor), as a prime (general) contractor; and also subcontractors performing electrical, mechanical, plumbing, HVAC, roofing and masonry are also required to be licensed as a contractor,
In Tennessee, if you are doing construction work for $25,000.00 or more, and you fall under the definition of contractor, you must have a contractors license.
A homeowner of the residential property may perform work themselves ( individual use), without a contractors license, as long as the residential structure is not open to the public; or for sale, lease or rent).
Anyone hired by the property owner is required to be licensed if they perform $25,000 or more of the work, as these contractors would be considered prime contractors since they are contracting directly with the owner.
Can a homeowner build his/her own house? Yes. Pursuant to TCA 62-6-103, an owner of property may construct a single residence once every two years for his/her own use, as long as it is not for resale, lease or rent without being a licensed contractor.
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RMO License One of the most common ways that individuals with no experience can have access to a contractor license is through an RMO or RME. RMO stands for Responsible Managing Officer.
Youll need to show proof of experience, proof of insurance and a financial statement. Youll also need to pass a trade exam, as well as a business and law exam. General contractors are licensed by the TN Department of Licensing and Insurance, Board for Licensing Contractors.
Application Fee - $250.00 and issued for two (2) years. License Approval - It takes approximately 4 to 6 weeks to be granted a license (do NOT contract, bid or offer prior to obtaining a license). Board review and approval is required.
Everyone applying for a general contractor license in Tennessee will have to take and pass the states Business and Law exam. Additionally, depending on what sort of license classification you are applying for, you might also need to take a particular trade exam. Each of these exams costs $55.
A standard business license is needed from your county and/or municipal clerk if your gross receipts are $10,000 or more.

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