At a glance
The fastest way to orient yourself in Tennessee is to know three thresholds and the subcontractor rules.| Signal | Value |
|---|---|
| Contractor license trigger | $25,000 or more (as prime, construction manager, or covered subcontractor) |
| Home Improvement license trigger | $3,000 to $24,999 (9 specified counties only) |
| Masonry subcontractor trigger | $100,000 or more |
| Licensed subcontractor trades | Mechanical, plumbing, HVAC, electrical, roofing |
| Monetary limit | Set by Board based on CPA financial statement |
| Reciprocity model | Trade exam waivers — 9 states + NASCLA |
Frequently asked questions
Pick the tab that matches your situation. Each FAQ gives a direct answer and points you to the full detail below.- Contractors
- Regulators
What is the minimum contract value that requires a contractor license in Tennessee?
What is the minimum contract value that requires a contractor license in Tennessee?
The primary threshold is $25,000 or more, applying to prime contractors, construction managers, and covered subcontractors (mechanical, plumbing, HVAC, electrical, roofing). Masonry subcontractors trigger at $100,000. See Construction work regulated.
What is a Home Improvement license, and when is it required?
What is a Home Improvement license, and when is it required?
The Home Improvement license covers remodeling work from $3,000 to $24,999 but only in 9 specified counties: Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford, and Shelby. No exam or Board review is required, but you need insurance and a $10,000 surety bond. See Requirements.
Which subcontractor trades must be licensed?
Which subcontractor trades must be licensed?
Mechanical, plumbing, HVAC, electrical, and roofing subcontractors must be licensed at the $25,000 threshold. Masonry subcontractors trigger at $100,000. The subcontractor’s license information must appear on the bid envelope. See Construction work regulated.
Where do I go to get licensed in Tennessee?
Where do I go to get licensed in Tennessee?
Most work goes through the Board for Licensing Contractors. Alarm and fire sprinkler systems route to the Alarm Systems Contractors Board. Highway/bridge work routes to TDOT. Environmental abatement routes to the Department of Environment and Conservation. See Who regulates construction.
How much does it cost to get licensed?
How much does it cost to get licensed?
The Contractor License application is $250 (biennial) with a $200 biennial renewal. The PSI exam fee is $55. Home Improvement licenses cost the same: $250 application, $200 renewal. LLE and LLP licenses are $50—$75 with $50 renewals. See Requirements.
What is the monetary limit on a contractor license?
What is the monetary limit on a contractor license?
The Board assigns a monetary limit on each contractor license based on the CPA-prepared financial statement. A review is required for limits at $3,000,000 or below; an audit is required above $3,000,000. The license is issued to the business entity, not the qualifying individual. See Requirements.
Can I use my out-of-state license in Tennessee?
Can I use my out-of-state license in Tennessee?
Tennessee offers trade exam waivers with 9 states plus NASCLA accredited exams. The trade exam may be waived, but the Business and Law exam is always required, and all other application requirements still apply. See Reciprocal agreements.
What about electrical or plumbing work under $25,000?
What about electrical or plumbing work under $25,000?
Outside municipal code offices, electrical work under $25,000 requires a Limited Licensed Electrician (LLE) license. Plumbing under $25,000 outside municipal code offices requires a Limited Licensed Plumber (LLP) license. Both require a trade exam but no Business and Law exam. See Requirements.
Does Tennessee require a license for roofing work?
Does Tennessee require a license for roofing work?
Yes. Roofing subcontractors are one of the trades that must be licensed at the $25,000 threshold. Roofing falls under the Contractor License from the Board for Licensing Contractors. See Construction work regulated.
Does Tennessee require a license for residential work?
Does Tennessee require a license for residential work?
Yes. Residential construction at $25,000 or more requires a Contractor License with the residential classification (BC-A or BC-A/r). Home improvement work from $3,000 to $24,999 in the 9 designated counties requires a Home Improvement license. See Types of licenses.
Is continuing education required?
Is continuing education required?
Only for residential classification holders (BC-A or BC-A/r) whose initial license was issued after January 1, 2009. They must complete 8 hours of CE per renewal period. Other classifications have no CE requirement. See Requirements.
Start with your goal
Pick the card that matches what you need right now. Each one links to the relevant section on this page.Is licensure triggered?
Start with contract value and work lane to determine which license tier applies.
Find the right regulator
Use the regulator directory to route your question to the correct Tennessee agency.
Application and renewal details
Exams, fees, bonds, continuing education, and renewal cycles for each license type.
Reciprocity direction
Find out which states have trade exam waiver agreements with Tennessee.
Special considerations
Different roles need different things from a Tennessee page. Use the tab that matches your situation to see what matters most before you read the full detail below.- Contractors
- Regulators
- The primary contractor license threshold is $25,000.
- Mechanical, plumbing, HVAC, electrical, and roofing subcontractors must also be licensed at $25,000; masonry subcontractors at $100,000.
- Home Improvement licenses cover $3,000—$24,999 but only in 9 counties.
- Outside municipal code offices, electrical work under $25,000 requires a separate LLE license and plumbing requires an LLP.
- The Board assigns a monetary limit on each contractor license based on the CPA-prepared financial statement.
- Highway and bridge work routes to TDOT, not the Board for Licensing Contractors.
Readiness checklist
Four things you need to confirm before you can treat Tennessee as “ready” for a bid or an application. If any of these are unclear, you are not ready yet.Classify the project lane
Identify whether the work is general construction, a home improvement project, a limited electrical or plumbing job, highway/bridge, alarm system, or environmental abatement.
Apply the right threshold test
Check
$25,000 for contractor, $3,000 for home improvement (9 counties), $100,000 for masonry sub, or confirm whether LLE/LLP applies under $25,000.Route to the correct regulator
Most work goes through the Board for Licensing Contractors. Highway, alarm, and environmental work route to separate agencies.
If you can identify lane, threshold, regulator, and requirement set, you have the minimum package needed for a Tennessee readiness check.
Navigation
Use these links to jump to related cross-state comparisons and workflows.- New state evaluation if you are screening Tennessee for the first time.
- Multi-state bid readiness if you need to compare Tennessee with nearby jurisdictions.
- Licensing thresholds or prequalification patterns for cross-state context.
Construction work regulated
Tennessee’s licensing triggers depend on contract value, trade, and — for home improvement — which county the project is in.| Work lane | What triggers regulation |
|---|---|
| Prime contractor (general) | $25,000 or more |
| Subcontractor — mechanical, plumbing, HVAC, electrical, roofing | $25,000 or more |
| Subcontractor — masonry | $100,000 or more |
| Home improvement (remodeling) | $3,000 to $24,999 in 9 specified counties |
| Limited Licensed Electrician (LLE) | Electrical work under $25,000 outside municipal code offices |
| Limited Licensed Plumber (LLP) | Plumbing work under $25,000 outside municipal code offices |
| Highway and bridge construction | TDOT prequalification required |
The nine Home Improvement counties are Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford, and Shelby. Outside these counties, work under $25,000 is regulated locally.
Common determination scenarios
If you are trying to figure out where to start, expand the scenario that is closest to your situation.General contractor bidding a $25,000+ project
General contractor bidding a $25,000+ project
You need a Contractor License from the Board for Licensing Contractors. The Board will assign a monetary limit based on your CPA-prepared financial statement. Business and Law exam is required; trade exams apply to certain classifications.
Home remodeler in a covered county
Home remodeler in a covered county
If you are remodeling in Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford, or Shelby County and the contract is between $3,000 and $24,999, you need a Home Improvement License. No exam or Board review is required, but you need insurance and a $10,000 surety bond.
Electrician working outside city limits
Electrician working outside city limits
If the project is under $25,000 and the area does not have a municipal code inspection office, you need a Limited Licensed Electrician (LLE) license. A trade exam is required but no Business and Law exam.
HVAC or plumbing subcontractor on a large project
HVAC or plumbing subcontractor on a large project
Mechanical, plumbing, HVAC, electrical, and roofing subcontractors must be licensed as a contractor at the $25,000 threshold. Masonry subcontractors trigger at $100,000. The subcontractor’s license information must appear on the bid envelope.
Reciprocity request from another state
Reciprocity request from another state
Tennessee offers trade exam waivers only — the Business and Law exam is always required. Confirm your state and classification are covered in the reciprocal agreements section below.
Who regulates construction
Tennessee routes construction licensing through the Board for Licensing Contractors for most work, with three additional agencies handling specialized lanes.Most construction — Board for Licensing Contractors
Most construction — Board for Licensing Contractors
500 James Robertson Parkway, Nashville, TN 37243-0565Phone: (800) 544-7693 or (615) 741-8307 | Fax: (615) 532-2868Email: Contractors.Home-Improvement@tn.govWebsite: tn.gov/commerce/regboards/contractors.html
Alarm and fire sprinkler systems — Alarm Systems Contractors Board
Alarm and fire sprinkler systems — Alarm Systems Contractors Board
Division of Regulatory BoardsWebsite: tn.gov/commerce/regboards/alarm.html
Highway and bridge prequalification — Department of Transportation
Highway and bridge prequalification — Department of Transportation
Lead, asbestos, and soil remediation — Department of Environment and Conservation
Lead, asbestos, and soil remediation — Department of Environment and Conservation
Website: tn.gov/environment.html
Requirements
Tennessee’s four license types each have distinct exam, insurance, fee, and renewal requirements. Expand the license tier that applies to your situation.Contractor License ($25,000+)
Contractor License ($25,000+)
| Requirement | Detail |
|---|---|
| Exam | Business and Law exam required for all applicants; trade exams for certain classifications. Administered by PSI Services. Passing score: 73. |
| Experience | No set experience requirement except plumbing (3 years). |
| Financial statement | CPA-prepared. Review required for limits at $3,000,000 or below; audit required above $3,000,000. |
| Insurance | General liability and workers’ compensation required. |
| Bond | Not required for the state license; may be required locally for bidding or permits. |
| Continuing education | 8 hours required for residential classification (BC-A or BC-A/r) if initial license was issued after January 1, 2009. |
| Board approval | Applications are approved by the Board, which meets 6 times per year. |
| Fee | Amount |
|---|---|
| Application (biennial license) | $250 |
| Biennial renewal | $200 |
| Exam (PSI) | $55 |
Each license is assigned a classification and a monetary limit. Licenses are issued to the business entity providing the financial statement, not to the qualifying individual unless they have ownership.
Home Improvement License ($3,000--$24,999)
Home Improvement License ($3,000--$24,999)
| Requirement | Detail |
|---|---|
| Exam | None required. |
| Board review | None required. |
| Counties | Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford, Shelby. |
| Insurance | General liability and workers’ compensation required. |
| Bond | $10,000 surety bond or equivalent financial responsibility. |
| Fee | Amount |
|---|---|
| Application (biennial license) | $250 |
| Biennial renewal | $200 |
Limited Licensed Electrician — LLE
Limited Licensed Electrician — LLE
| Requirement | Detail |
|---|---|
| Exam | Trade exam via PSI. No Business and Law exam required. Passing score: 72. |
| Insurance | Not required for the state license; may be required locally. |
| Fee | Amount |
|---|---|
| Application (biennial license) | $50 |
| Biennial renewal | $50 |
| Exam (PSI) | $55 |
Limited Licensed Plumber — LLP
Limited Licensed Plumber — LLP
| Requirement | Detail |
|---|---|
| Exam | Trade exam via PSI. No Business and Law exam required. Passing score: 72. |
| Insurance | Not required for the state license; may be required locally. |
| Fee | Amount |
|---|---|
| Application (biennial license) | $75 |
| Biennial renewal | $50 |
| Exam (PSI) | $55 |
Reciprocal agreements
Tennessee offers trade exam waivers through the Board for Licensing Contractors. A reciprocal agreement waives only the trade exam — the Business and Law exam is always required, and all other application requirements still apply.Reciprocity in Tennessee means a trade exam waiver, not a full license transfer. The Business and Law exam and financial requirements still apply.
| Classification | Reciprocal states | Coverage |
|---|---|---|
| Building (residential / commercial) | Alabama, Arkansas, Louisiana, Mississippi, North Carolina, South Carolina, West Virginia | 7 states |
| Electrical | Alabama, Georgia, Louisiana, Mississippi, North Carolina, Ohio, West Virginia | 7 states |
| Mechanical (HVAC / plumbing) | Alabama, Louisiana, Mississippi, Ohio, West Virginia | 5 states |
| Masonry | West Virginia | 1 state |
| NASCLA accredited exams | Commercial General Building, Electrical, Journeyman Electricians | 3 exams |
State-by-state reciprocity detail
State-by-state reciprocity detail
| State | Classifications covered |
|---|---|
| Alabama | General, Residential, Electrical, HVAC |
| Arkansas | Commercial / Residential Building only |
| Georgia | Electrical |
| Louisiana | Residential, Commercial, Electrical, Mechanical |
| Mississippi | Residential, Commercial, Electrical, Mechanical |
| North Carolina | Residential / Commercial Building, Electrical |
| Ohio | Electrical, Plumbing, HVAC |
| South Carolina | Commercial Contractors |
| West Virginia | Residential, Commercial, Industrial Building, Electrical, Mechanical, Masonry |
Types of licenses
Tennessee assigns classifications within the Contractor License. Each classification defines the scope of work permitted. Use these tabs to find the classification that matches your project.Building Construction (BC)
Building Construction (BC)
- Residential
- Commercial
- Small Commercial
- Industrial
- 34 specialty building categories
Heavy and Infrastructure
Heavy and Infrastructure
HC — Heavy Construction:
- Marine (wharves, docks, harbor improvements, terminals)
- Tunnel and shaft
- Energy and power plants
- Dams, dikes, levees, and canals
- Mining — surface and underground
- Oil field construction; oil refineries
- Landfill construction
- Storm damage clean-up
- Structural steel erection
- Tower and stack construction
- Foundation construction, pile driving, drilling, and stabilization
- Demolition and movement of structures
- Clearing, grubbing, snagging, and rip rap
- Slipform concrete structures
- Rigging and crane rigging; welding
- Grading and drainage
- Base and paving
- Bridges and culverts
- Railroad construction
- Miscellaneous and specialty items
- Underground piping
- Water and sewer systems (requires BC-B for plant construction)
- Grading and drainage
- Base and paving
- Miscellaneous concrete (sidewalks, driveways, curb and gutter, box culverts)
Mechanical (MC)
Mechanical (MC)
- Plumbing and gas piping
- Process piping
- HVAC, refrigeration, and gas piping
- Sprinklers and fire protection
- Insulation of mechanical work
- Pollution control
- Pneumatic tube systems
- Temperature controls (pneumatic)
- Boiler construction and repairs
- Fuel gas piping
Electrical (CE)
Electrical (CE)
- Electrical transmission lines
- Electrical work for buildings and structures
- Underground electrical conduit installation
- Electrical signs
- Data communication systems (fiber optics, cabling)
- Cable TV
- Substations
- Building automation controls
- Roadway lighting, attenuators, and signalization
- Electric meter installation
Sound, intercom, fire detection, signal, burglar alarm, and security systems up to 70 volts do not require an electrical exam. Above 70 volts, an electrical exam is required. Alarm systems also require a separate license from the Alarm Systems Contractors Board.
Specialty and Environmental (S)
Specialty and Environmental (S)
- Asbestos material handling and removal
- Underground storage tank
- Lead-based paint abatement
- Hazardous waste remediation
- Air, water, or soil remediation
- Mold remediation
- Medical gas piping
See also
South region guide
Browse all South jurisdictions for comparison.
Contractors guide
Cross-state guidance for contractors evaluating new jurisdictions.
Regulators guide
Cross-state guidance for comparing regulatory models and agency structures.
Alabama
Building, electrical, residential, and HVAC trade exam waivers with Tennessee.
Mississippi
Residential, commercial, electrical, and mechanical trade exam waivers with Tennessee.
North Carolina
Building and electrical trade exam waivers with Tennessee.