Which Contractor License Do You Need? A Simple Guide by The Exam Pros

May 28, 2025

If you're ready to step into the world of licensed contracting, there's one big question you need to answer before anything else

Which license is right for you?

Choosing the correct contractor license is the first and most important step to building a successful career in construction. At The Exam Pros, we help students every day who aren't sure whether they need a Certified General Contractor license, a Residential Contractor license, or something more specialized like Electrical, Plumbing, or HVAC.

Here’s a simple breakdown to help you decide:

1. General Contractor (GC) License – Go Big

If you want to build or remodel any structure (residential or commercial), a Certified General Contractor license is your top choice. It allows for:

Commercial projects
Large-scale construction
Structural additions and foundations

➡️ Best for: Builders ready to manage full-scale projects or run their own construction company.

2. Building Contractor License – Mid-Sized Projects

This license allows you to build or remodel residential and commercial buildings up to three stories.

➡️ Best for: Contractors who want more than residential work but aren’t ready for major commercial builds.

3. Residential Contractor License – Home-Focused

If you specialize in home building, this license covers:

Single-family homes
Duplexes and townhouses
Home additions

➡️ Best for: New builders or remodelers focusing strictly on residential construction.

4. Trade-Specific Licenses (Electrical, HVAC, Plumbing, etc.)

These licenses are required for contractors who work on:

Electrical systems
Air conditioning and refrigeration
Pool installations
Plumbing systems
Roofing, solar, or garage doors

➡️ Best for: Skilled tradespeople looking to grow their business or become legal in their specialty.

5. Business & Finance – Don’t Forget This One

In Florida and many states, you must also pass the Business & Finance exam in addition to your trade or general contractor test.

We offer a Free 3-Hour In-Person Class to help you ace this crucial exam — and avoid common mistakes others make.

So, Which License Do You Need?

Still unsure? That’s okay — it’s what we’re here for.

✅ Browse our full list of license prep courses
✅ Or reach out for free guidance — in English or Spanish.

The Exam Pros has helped over 60,000 students get licensed and grow their careers. Let’s get you on the right path.

Back to News