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New Jersey Contractor License Exam Prep Courses and Webinars
Obtaining a Contractor’s License in the State of New Jersey
There is no state licensing board for General Contractors in New Jersey. Licensing for General Contractors is handled at the local (city/county) level.
Becoming a licensed contractor is a big career milestone. Luckily for those who want to work in New Jersey, the requirements to get a general contractor license are less taxing than other states. There is no state licensing board for general contractors. This means no exam or education requirements. Licensing for general contractors is handled at the local (city/county) level.
However in order to obtain a local license, contractors must first be registered with the State of New Jersey.
While there are no exam requirements for a general contractor license in New Jersey, it is important to keep in mind that there are exam requirements for electrical, HVAC, plumbing, or alarms system licenses. All of these licenses require you to pass the New Jersey Business and Law examination. You’ll definitely need a license to perform work legally.
The New Jersey general contractor license registration process might seem intimidating at first. However, we are here to help.
At the Contractor Training Center, we can help you navigate your way through the process. We offer exam prep materials. Our courses will prepare you for the Business and Law exam, should you need an HVAC, electrical, plumbing, or alarm system license.
What You Can Expect From Us
Everything you need to know about the general contractor licensing process in New Jersey, you’ll find here on this page. We will walk you through all the steps and the paperwork requirements needed to register with the New Jersey Division of Consumer Affairs.
We also have courses and test prep materials to help you pass the New Jersey Business and Law examination, should you need an HVAC, electrical, plumbing, or alarm system license. In case you ever want to expand your business outside the small state of New Jersey, we also offer exam prep and application assistance for other states as well as the NASCLA license.
We supply the prep classes and the books and the tabs necessary to pass the OPEN BOOK EXAMS. Tabbing and Highlighting the books is allowed and part of our Curriculum. We have an extremely high first-time pass rate on our exams and if you do not pass, we will give you the class again for free until you do.
We have helped over 30,000 contractors get their contractors license and we look forward to helping you.
All of our instructors have real world experience and are truly passionate about what they do. We offer flexible learning options and many additional resources to make the process as easy as possible. We have helped over 30,000 contractors get their New Jersey contractors license and we look forward to helping you.
Ready to learn more? Don’t hesitate to call us today! 804-556-5518
The Benefits of Having a Contractors License in New Jersey
In New Jersey, having a license will open many doors for you and your business. Not only will it mean you are able to work legally, but it will also increase your credibility and your earning potential.
Licenses are meant to protect customers by ensuring uniform standards. Customers know that having a license means they can trust the quality of your work – once you have one, you’ll find yourself taking on more and bigger jobs than ever before.
Gives You Credibility
Having a license increases your credibility, allowing you to build trust with your clients. There are other ways you can gain their trust, but this is a big part of establishing yourself and your business, especially if you're working with new customers.
Gives You A Higher Earning Potential
Consequently, there are larger projects that you can't perform without a contractor's license. With one, you can take on big assignments, get more jobs, and increase your profit. More times than not, clients will pay a higher price to a licensed contractor as opposed to unlicensed handymen.
How to Get a Contractors License in New Jersey
You must first be registered as a business entity: New Jersey only issues registrations to those who either own a sole proprietorship, partnership, corporation, LLC or LLP. This can be done through the NJ Treasury Division of Revenue. Along with proof of insurance, corporate documents, and a completed Home Improvement Contractor application, you must send a $110.00 (nonrefundable) check to the NJ Division of Consumer Affairs.
Although licensing is handled by cities/counties, there is a state registration program that all New Jersey General/Home Improvement Contractors must register with:
Each builder of an owner-occupied modular, factory-built, condominium, duplex, townhouse, single family, and new home residences must register with the New Home Warranty Program. A builder is known as an organization or individual within a business of constructing new homes.
The Contractor Registration Act has a requirement that each contractor who engages in a business of selling or making home improvements will need to register each year with the Division. Municipalities can’t issue construction permits to a home improvement contractor who is unregistered, which was effective January 1st, 2006.
You must still register with the Division, even if you have licensure through your local town.
In addition to registering for building new homes in New Jersey, you must also warrant each new home you build and provide warranty follow-up services. Registration is required to do business as a home repair contractor. Plumbers, electricians and home improvement contractors are licensed in New Jersey.
As we mentioned earlier, the process for obtaining a general contractor license in New Jersey is different from the process to get an HVAC, electrical, plumbing, or alarm system license. Local governments (city, town, or county) will issue your New Jersey contractor license, but first you must register with the Division of Consumer Affairs.
In order to get your HVAC, electrical, plumbing, or alarm system license, you will need to meet the requirements and take the New Jersey Business and Law exam. We will walk you step by step through both processes.
How to Register with The Division of Consumer Affairs
The registration application process requires the contractor to provide several documents. We have them listed below to help streamline the process:
Your business name. The name you provide must match the name listed on all the company’s corporate documents and insurance certificate. You must also include any other names the business has operated under.
A Certificate of Formation OR trade name. The document you will need to provide depends on your type of business. If your business is registered outside the State of New Jersey, you will also need to include documentation from the state of origin and a New Jersey Certificate of Authority.
Mailing address, email, and phone number. If your mailing address is different from your business location (i.e. a PO box) you will need to make sure both are listed on the application. The address that corresponds to your business location must be clearly identified.
Federal Employee Identification Number. Commonly abbreviated as an EIN.
Full name and contact information. This is needed for the person filling out the application as well as each business partner (if the business is a partnership). If it is a corporation, you must provide this information for all shareholders that own 10 percent or more.
New Jersey based agent. You will also need to provide the full contact information of the person you authorize to accept documents on your business’s behalf. This can be you, or anyone you appoint, as long as they are in New Jersey.
Social Security Number. The contractor (you) must provide you full social security number.
Proof of insurance. You must submit proof of liability insurance with a minimum of $500,000 coverage per occurrence.
Signed disclosures. The application must include signed disclosures for each business partner or above-mentioned shareholder about their civil record, professional licensure, and criminal history.
Signed certification. The last requirement will be a signed statement that all of the submitted information is true to the best of your knowledge and that you and all other involved parties are able to perform your work in an appropriate and safe manner.
It is important to note that the general contractors’ licenses in New Jersey are not transferable, even if the intended party meets all the requirements. They must obtain their license independently.
Once you have all of the components, you can submit the application along with the $110.00 fee. You will need to mail it to:
State of New Jersey – Division of Consumer Affairs
124 Halsey St.
Newark, NJ 07102
For further information regarding the application, check out the Division of Codes and Standards and Bureau of Homeowners Protection – New Home Warranty Program pages on their website at http://www.state.nj.us/dca.
If the builder receives approval, a registration card will be issued. That card will need to be shown to local construction officials when the construction has a permit for a new home.
How to Register With The Department of Banking and Insurance (DOBI)
All contractors who want to offer financing options will also have to register and obtain a license from the New Jersey Department of Banking and Insurance (DOBI). This application process is very similar to the registration process with the Division of Consumer Affairs. It will require many of the same documents. The application can be found on the DOBI website.
How to Get an HVAC, Electrical, Plumbing, or Alarm System License in NJ
In New Jersey, special licenses like HVAC and plumbing will require you to pass the New Jersey Business and Law exam. Don’t let that scare you away! With the right tools and preparation, the process will be easier than you think.
Step 1 – Meet the Basic Requirements
Before you can even register to take the exam, you must:
- Be at least 21 (or 18 for alarm system license)
- Have a high school diploma or GED
- 4 years of work experience as an Apprentice, and 1 year as a Journeyman
- A bachelor’s degree and one year of board approved work experience. Note: difference licenses will require different bachelor’s degrees.
Step 2 – Complete the Application
Each of the licenses require you to apply to take their exam. Most require a $100 application fee and are offered multiple times during the year. It is important to note that some exams have a waiting period (usually 6 months) between tests in the event that you need to retest.
Step 3 – Take the Exam
Each license has slightly different exam and continuing education requirements, but don’t worry, we are here to help!
-HVAC. You will need to take 2 exams, the HVAC Trade and the Business and Law exams
-Plumbing. Contractors will need to take 3 exams, the Trade, Business and Law, and Practical exam
-Electrical. You will need to take the same 3 exams as plumbing contractors, the Trade, Business and Law, and Practical exams
-Alarm systems. You will need to take the proper exam for the specific type of alarm system you intend to work with
Step 4 – Get Bonded
Getting bonded is the last step in the licensing process. Most of the licenses we discussed require you to be bonded for at least $3,000.00. After it is complete and you have satisfactorily completed the application and required exams, you will be officially licensed!
No matter what type of license you hold, you will need to make sure it is kept current and up to date. That usually means you will have to renew it every 1 to 3 years. Renewals can sometimes require continuing education requirements. This ensures that you are staying up to date on the latest practices and regulations of your field. Some renewals also require a renewal fee, which can range between $50 and $200.
It is important that you keep all the paperwork that comes with your initial license. It should contain all the information you need to stay ahead of the renewal process.
If you have decided to take this next step – or even if you are still thinking it over – contact us. We can tell you more about the process. We have test preparation courses and materials for every state, and flexible learning options to help fit your busy lifestyle.
All of our instructors have real-world experience in the same trades that they teach. Not only are they knowledgeable, but also they understand the challenges you will face.
So, what are you waiting for? Pick up the phone and call us today! Your future is waiting.