Are you looking to begin a new contracting business in the state of Louisiana? Before you can launch your new contracting company, you must obtain your Louisiana contractor’s license. Taking this step ensures that you’re meeting all the state’s requirements for operating within the industry.

For those who have an interest in obtaining their contractor’s license, the Louisiana Contractors Board handles these tasks. Otherwise referred to as the Louisiana State Licensing Board for Contractors (LSLBC), you’ll need to comply to specific requirements according to the kind of license for which your applying. In this guide, we’re going to look at these requirements in addition to the steps necessary for obtaining your Louisiana Contractor License.

What Type of Contractor License is Necessary?

There are two different kinds of contractors licenses the Louisiana Contractors Board requires you to register for depending on the amount of work you’ll be performing. If you’re a homeowner, you’ll need to apply for a homeowner registration. Those who would like to have mold removal occur will also need a contractor’s license. Here are the requirements:

  • Commercial License: there’s a license requirement for all commercial projects that cost $50,000 or higher.
  • Residential License: If the cost of the project is going to exceed more than $75,000, then there’s a requirement for a residential contractor license.
  • Mold Remediation License: According to the Louisiana Contractors Board, any mold remediation projects occurring with a cost of $1.00 or more including labor and materials must have a contractor’s license.
  • Home improvement registration: Registrations for home improvement contractors must occur when the cost of the work is going to fall between the amounts of $7,500 and $75,000.

To receive your Louisiana contractor license, you’ll need to complete and submit your application form and pay the necessary fees.

How Do You Meet Licensing Requirements?

The primary reason for obtaining a contractor’s license in the state of Louisiana is to ensure you comply with the rules the Louisiana Contractors Board set forth. Under some circumstances, you’ll need to take contractor’s license exams relevant to these requirements. The criteria are as follows:

Commercial License:

  • Complete the application
  • Passing exams for Trade and Business & Law; some classifications may need additional exams
  • Provide documentation for a business entity
  • Provide statements of financial net worth at a minimum of $10,000
  • Pay licensing fees

Residential License:

  • Complete the application
  • Passing exams for Trade and Business & Law
  • Provide documentation for a business entity
  • Provide statements of financial net worth at a minimum of $10,000
  • Pay licensing fees

Mold Remediation License:

  • Complete application
  • Show proof of liability insurance and workers’ compensation coverage with a minimum $50,000 coverage
  • Show proof of 24 hours of approved mold assessment and remediation training
  • Pass Business & Law exams
  • Receive Board approval
  • Provide evidence of business entity documentation
  • Provide statements of financial net worth at a minimum of $10,000
  • Pay licensing fees

Home Improvement Registration

  • Complete and file a home improvement registration
  • Must provide $100,000 minimum workers compensation and liability insurance coverage
  • Receive approval from Louisiana Contractors Board
  • Provide business entity documentation
  • Provide statements of financial net worth at a minimum of $10,000
  • Pay licensing fees

Once you receive your home improvement registration license, it’s valid for one year. Afterward, you can obtain one for between one and three years.

Where to find Louisiana Contractor Application Forms:

The Louisiana Contractors Board allows access to all the necessary applications, as well as additional information on their Contractor Forms page. You can also find applications here:

Additional Application Information:

How to Submit Your Contractors License Application

After you finish gathering all the paperwork under the requirements for your contractor’s license, you can submit your application. It’s critical you understand you must submit a separate application or registration for each type of license you need. Here are some additional license application requirements you must follow:

  • If a question does not apply to you, do not leave it blank. Put N/A to indicate this information.
  • Your fees must be included with your application.
  • If you fail to include your Social Security Number or Tax ID on your application, it could be rejected.
  • Be sure to attach additional sheets of paper if you need to answer a question in greater detail.
  • Make sure your application is notarized before you submit it and all the accompanying documentation.

After you’ve ensured your application is complete, signed before a notary, and all the supporting documentation is included, you can send it to the Louisiana Contractors Board. Upon receiving and reviewing your application, the board will send you a notice regarding the exam you’ll be required to take.

Have You Obtained a Contractor License Bond?

Every Residential and Commercial License applicant must verify the form of a financial statement showing a net worth of at least $10,000. They must do this before they can submit their application for a license.

There are situations where the applicant doesn’t meet this net worth. Under these circumstances, they can file a security bond with the board for the amount of the required net worth in addition to any of the applicant’s negative net worth. If this occurs, the Louisiana Contractors Board is expected to be listed as the obligee.

It’s critical to contact your local authorities to confirm the requirements regarding contractor license bonds. Many parishes and cities throughout Louisiana require security bonds and local licenses.

Payment of Applicable Application Fees

At the time of sending in your application, it’s vital you don’t forget to send in your application fee. For those who have concerns regarding not knowing how much these fees will be, this information is easy to find. When you’re applying for a commercial and residential license, you can find the fee schedule included with the application packet. These fees will also cover the cost per examination, classification, and any additional fees you may incur. You can also use the fee worksheet found on the Louisiana Contractors Board website to calculate your total payment.

In the case of home improvement registrations, each applicant must include a check or money order for $75.00 with their registration and documents.

The Examination Process

Every contractor must complete and pass the Business & Law exam to receive their license. However, these exams will vary depending on the classification in which you’d like to obtain your Louisiana contractor’s license. The following information is essential for you to know before entering the exam:

  • You’ll be completing the Business & Law exam online, so it’s an open book. Upon registering with the board, they’ll sell you the book you’ll need for the exam. That way you can take it home and use it for taking the exam.
  • All classification exams are held at testing centers and are a closed book. You will not be allowed to bring in any reference materials inside the examination area.
  • There is one exception, and that’s the National NASCLA exam, and that’s an open book. The NASCLA is an accepted exam for those performing commercial and residential work in Louisiana.
  • You can find approved testing centers located in Bossier City, Baton Rouge, Alexandria, New Orleans, and Lake Charles.
  • On the day of your exam, you’ll need to bring identification; you’re social security number, registration confirmation, and approval letter.
  • Depending on your classification, plan on your examination to take between two and a half to four hours to complete.
  • You’ll know if you passed or failed immediately because the exams are taken on a computer.
  • To pass, you must receive a score of at least 70 or higher.
  • You must wait at least 30 days to retake the exam if you fail, and you will be required to pay the fee in full.

Maintaining and Renewing Your Louisiana Contractors License

Your Louisiana Contractors License will be valid for one year once it’s obtained. It’s critical that you begin the process of renewal at least 30 days before it expires to ensure there is no gap occurring in your licensing. Currently, contractors may select renewals of one, two, or three years. The renewal process is straightforward and can be completed on the Louisiana Contractor Board’s website. It’s critical to keep in mind that, if your documentation is turned in 15 days following the date of expiration, you’ll be required to pay a penalty fee. You also will not be able to renew your license if your license is expired for one year. Under those circumstances, the contractor will be required to undergo the application process from the beginning.

About the Louisiana Contractors Board

Act 233 of the Legislature (La. R.S. 37:2150-2192), the Louisiana Contractors Board was created in 1956. Its mission is to protect the general public and project owners from incompetent contractors and fraudsters. During this process, it’s also their mission to promote and protect the industry’s integrity. The state Governor appoints the residential and commercial committee board members.

Sources:

  • http://www.lslbc.louisiana.gov/
  • http://www.lslbc.louisiana.gov/frequently-asked-questions/
  • https://www.contractors-license.com/the-exam/louisiana
  • https://www.stateexamexperts.com/nascla.html?gclid=CjwKCAjwrNjcBRA3EiwAIIOvq-H4GAYCHnWwp4clScMRt5vePSDJdb22AsSmI5gpaq_tWfM8neRV7xoCn04QAvD_BwE
  • https://www.licensetobuild.com/louisiana/
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