Nevada contractor license requirements

Licenses and registrations

Classification B - General Building (including B-2 Residential and Small Commercial, B-7 Residential Remodeling)

General building contractors. B-2 covers residential and small commercial work; B-7 covers residential remodeling.

• When it applies: A license is required for construction or alteration of any value, except repair or maintenance under $1,000 including labor and materials that needs no building permit, is not plumbing, electrical, refrigeration, heating or air-conditioning work, and is not part of a larger project of $500 or more (NRS 624.031).
• Good to know: Every license has a monetary limit, the maximum contract amount on a single site or subdivision for a single client. Contracts written above the limit are invalid.

Classification C - Specialty Contractors

Specialty trades such as plumbing, electrical, carpentry, painting and concrete (42 subclassifications).

• When it applies: Same as above.
• Good to know: Subclass names and codes are in NAC Chapter 624.

Classification A - General Engineering and AB - General Building and General Engineering

Engineering-type contractors; AB is for applicants qualified in both A and B.

What you need to qualify

• Exams: Business and Law (CMS) exam plus a trade exam for the requested classification, unless a waiver applies. Exams are given by PSI. Three attempts per exam; after three failures the application is void.
• Experience: The qualifier needs at least four full years of experience as a journeyman, supervising employee or contractor within the 15 years before applying. Accredited training can count for up to 3 years.
• Insurance: Proof of industrial insurance (workers' compensation) is required for licensure, renewal and activation unless the contractor is exempt and signs an exemption affidavit.
• Bond: A license bond set by the Board at approval, from $1,000 to $500,000. Surety bonds must come from a company rated A or better; cash bonds carry a $200 biennial administrative fee. Residential pool and spa contractors may also need a consumer protection bond of $10,000 to $400,000.
• Financial: A financial statement and Bank Verification Form are required. Up to a $25,000 limit, a Board form or software balance sheet with affidavit is accepted; over $25,000 to under $500,000 requires a compiled CPA statement (or reviewed/audited); $500,000 to under $1,000,000 requires a compiled statement with full disclosures (or reviewed/audited); $1,000,000 or more requires a reviewed or audited CPA statement.
• Also required: Criminal background checks are part of the application. Licensure by endorsement is available for some out-of-state licensees.

Fees, renewal and continuing education

• Fees: Application fee: $300.00 (non-refundable). Biennial license fee: $600.00, paid after approval. Residential Recovery Fund assessment, payable every two years with renewal: $200.00 (limit up to $1,000,000), $500.00 (over $1,000,000 but limited), $1,000.00 (unlimited).
• Renewal: Licenses are issued for two years.

Contracts and homeowner protections

The Residential Recovery Fund pays owner-occupants of single-family homes up to $40,000 per claim for damages caused by a licensed residential contractor; homeowners who hire unlicensed contractors are excluded. The Board advises written contracts with the license number, monetary limit, price, scope, dates and a Residential Recovery Fund notice. For pools and spas, contracts must meet NAC 624.6958, and the Board advises paying no more than 10% or $1,000, whichever is less, to start the project. A contract with an unlicensed contractor is null and void by law.

Electrical, plumbing and HVAC work

The Nevada State Contractors Board also licenses plumbing, electrical and other specialty trades as Classification C subclassifications. Refrigeration, heating and air-conditioning work is excluded from the under-$1,000 exemption.

Working without a license

Acting as a contractor or bidding without an active license is unlawful under NRS 624.700. The Board lists a first offense as a misdemeanor, a second offense as a gross misdemeanor and a third offense as a Class E felony. Courts must fine $250 to $1,000 for each violation of a Board cease and desist order (NRS 624.212).

What to confirm with the state

We couldn't confirm these on an official page when we checked. Ask the licensing office before you rely on them:

• Specific fine and jail amounts for unlicensed contracting under NRS 624.700
• The statutory deposit or down payment limit for residential work other than pools and spas (NRS 624.940).
• Separate renewal fee amount and any continuing education requirement
• Liability insurance minimum
• Local business license requirements (e.g., Clark County, Las Vegas, Reno)
• B-2 Residential and Small Commercial scope limits

Sources

1. Nevada State Contractors Board home page
2. License Requirements (NSCB)
3. License Classifications (NSCB)
4. FAQ for General Requirements (NSCB)
5. Exemptions (NSCB)
6. Handyman Exemptions (NSCB)
7. Residential Recovery Fund (NSCB)
8. Home Improvement Bill of Rights (NSCB)
9. Working With Contractors (NSCB)
10. Unlicensed Contracting: Penalties & Law (NSCB)
11. Contracting Without a License Is a Crime (NSCB)
12. NRS Chapter 624 (Nevada Legislature)