How to Become a General Contractor in North Carolina

General contractors oversee construction projects.

A general contractor negotiates the main construction contract with an owner. General contractors may perform their own construction or supervise subcontractors on construction projects. North Carolina has several classifications of licenses for general contractors. Applicants must have sufficient working capital to obtain a general contractor's license. They must also pass a general contractor's exam and submit letters of reference. Applicants who achieve all qualifications can contract for and manage construction projects in North Carolina.

Instructions

1. Hire a certified public accountant to determine your license limitations. You may apply for a limited license and contract for projects up to $500,000 if you have $17,000 in working capital. The intermediate limitation permits projects costing up to $1 million if you have $75,000 in working capital. You can contract for projects of unlimited cost if you have working capital of at least $150,000. You subtract your current liabilities from current assets to get your working capital.

2. Have the accountant prepare an audited financial statement if you are applying for the unlimited or intermediate limitation. You may complete the balance sheet on the application if you are applying for a limited license. Alternatively, applicants for a limited license may submit a compilation statement, a review or an audited financial statement. Refer to the application instructions for detailed requirements of each financial statement.

3. Obtain three letters of reference written within the past 12 months. Each letter must discuss good character, competency, ability and integrity. You may not submit letters from family members or individuals from a parent or subsidiary company. Each letter must appear under official business letterhead or be notarized.

4. Download the PSI "Candidate Information Bulletin" to learn about exam reference materials for your desired classification. PSI is the exam administrator. As of 2010, the North Carolina Licensing Board for General Contractors issues 21 different classifications of general contractor's licenses. It gives a list of references for each exam. You may use some of the references during the test.

5. Fill out the application for a general contractor's license. As of 2010, the fees are $125 for an unlimited license, $100 for an intermediate license and $75 for a limited license. Make a check out to the North Carolina Licensing Board for General Contractors. You will receive an authorization form to take the exam if the board accepts your application. Send the application, fee and other documents to:
   North Carolina Licensing Board for General Contractors
   P.O. Box 17187
   Raleigh, NC 27619
   919-571-4183
   nclgbc.net

6. Schedule and take your general contractor's exam with PSI. You may take the exam two times before having to submit a new application and fees. As of 2010, the fee is $60 per classification. You may pay by credit card or a cashier's check or money order made out to PSI. Use the registration form in the candidate information bulletin to mail in an application. You may also register at the PSI website or by phone or fax with the following contact information:

   PSI Licensure:Certification
   3210 E Tropicana
   Las Vegas, NV 89121
   Phone: [phone]
   Fax: [phone]
   psiexams.com

Tips & Warnings

• Applicants applying as a business entity must submit a copy of their business registration documents. Any applicant that registered an assumed name must submit a copy of the assumed-name certificate.

References

• North Carolina Licensing Board for General Contractors: License Application and Instructions
• PSI: Exam Candidate Information Bulletin for North Carolina General Contractors