Building Your Future: How to Become a Licensed Building Contractor in North Carolina

North Carolina’s construction industry is flourishing, with a high demand for skilled professionals. Among the most lucrative and rewarding career paths in this sector is becoming a licensed building contractor.

In this blog, we’ll explore the steps to becoming a licensed building contractor in North Carolina, the job market outlook, and the differences between the NASCLA Commercial Builder Exam and the North Carolina state exam for building contractors.

Licensing Requirements for Building Contractors

To become a licensed building contractor in North Carolina, you must meet specific criteria, much of which overlaps with earning your NC general contractor license. The process generally involves the following steps:

Pass the Required Exams:

North Carolina Building Contractor Exam: This exam covers construction topics like site work, concrete, masonry, carpentry, roofing, and general building code requirements. It also includes questions about project management, estimating, law, and finance.
North Carolina also accepts the NASCLA Commercial Builder Exam. Applicants who opt to take the NASCLA exam can bypass the state exam.
Business and Law Exam: For applicants applying via the NASCLA exam, they must also take the state business law exam. This test focuses on legal and financial aspects of being a contractor, such as erosion and sediment control, subcontractor pay requirements, liens, and bonds.

Character References:

Applicants must submit to the Board three written evaluations as to the character reference's knowledge of and experience with the applicant. If the applicant is a legal entity, character references shall be submitted for all individuals who sign the application on behalf of the applicant, including the qualifier. If the applicant is a sole proprietorship, character references must be for the applicant.
All character references must include: the name of the person submitting the reference; their mailing address, phone number, and email address; date of the reference; and information regarding the reference's knowledge of and experience with the applicant.
Character references must be completed and dated no more than 12 months prior to the date it is submitted to the Board.

Financial Documentation:

Contractors must show proof of financial stability by submitting documentation such as financial statements or surety bonds. This is particularly important for contractors applying for the Intermediate or Unlimited classifications.

Submit Your Application:

Once you’ve passed the exams and met the experience and financial requirements, you can submit your application to the North Carolina Licensing Board for General Contractors.

NASCLA vs. North Carolina State Exam: Which Should You Take?

For building contractors in North Carolina, there are two main exam options: the NASCLA Accredited Commercial Builder Exam and the North Carolina State Building Contractor Exam. The choice between these exams depends on your specific career goals.

NASCLA Accredited Commercial Builder Exam

The NASCLA Commercial Builder Exam is a national exam that covers broad construction knowledge, including commercial building practices, business law, and contract management. It is accepted in several states, including North Carolina. If you pass the NASCLA exam, you can use that same exam score to apply for licensing in other participating states without needing to retake the exam.

North Carolina State Building Contractor Exam

The North Carolina State Building Contractor Exam is specific to the state and focuses on construction methods, code requirements, and the laws governing the building industry in North Carolina.

Key Differences:

NASCLA Exam: Covers broader, more general knowledge, and can be used in multiple states.

This exam is also open-book while the North Carolina State Builders Exam is closed book.

North Carolina State Exam: Focuses on a wide array of subjects related to commercial building, including:

General requirements
Site construction
Concrete
Masonry
Metals
Wood
Thermal and moisture protection
Procurement and Contracting requirements

If you're planning to work in North Carolina only, the state exam might be sufficient. However, if you intend to work across state lines, the NASCLA exam could be the better choice.

Why Pursue a Commercial Building Contractor License in North Carolina?

The North Carolina construction industry is experiencing rapid growth, making it an excellent time to pursue a building contractor license. The state is home to booming metropolitan areas like Charlotte and Raleigh, which have seen significant investments in residential, commercial, and mixed-use developments.

As a result, there is a steady demand for building contractors to manage these projects.

As of 2025, licensed building contractors in North Carolina can earn an average annual salary of around $75,161, with the potential to reach $106,322 for those with more experience or specializing in larger projects. With the growth in commercial construction, becoming a licensed building contractor provides long-term job security and the opportunity to build a rewarding career.

Types of Building Contractor Licenses in North Carolina

In North Carolina, building contractors are typically licensed under classifications that allow them to work on projects of specific values.

These include:

Limited License: For projects with a value up to $750,000.
Intermediate License: For projects valued between $750,000 and $1.5 million.
Unlimited License: For projects with no cap on the value.

Each license classification has different requirements, including minimum working capital, experience, and financial documentation. The “Limited” and “Intermediate” licenses are typically for residential and small commercial projects, while the “Unlimited” license allows contractors to take on large-scale commercial building projects.

Exam Preparation with Contractor Training Center

Preparing for these exams can be challenging, but Contractor Training Center (CTC) provides expert resources to help you succeed.

NASCLA Exam Prep: CTC offers comprehensive study materials and practice exams tailored to the NASCLA Accredited Commercial Builder Exam. With our expert guidance, you can feel confident in your ability to pass the exam.
North Carolina Building Contractor Exam Prep: If you’re focused on the North Carolina-specific exam, CTC also offers targeted preparation programs that cover the necessary building contractor and business law exam topics.

CTC’s programs are designed to help you pass the exams on your first attempt, ensuring you are well-prepared to become a licensed building contractor in North Carolina.

Conclusion

Becoming a licensed building contractor in North Carolina offers tremendous career opportunities in a rapidly growing industry. By understanding the licensing requirements and choosing the right exam for your needs, you can position yourself for success in this exciting field.

Whether you pursue the NASCLA exam for multi-state opportunities or focus on the North Carolina state exam, the right preparation will set you on the path to a rewarding career.

Note: All information is based on available data as of July 2025. Please verify with the North Carolina Licensing Board for General Contractors for the most current requirements.

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