New Mexico Contractor License Courses, Classes & Exam Prep

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Overview & Benefits

Obtaining a contractor’s license in New Mexico

Contract construction work can be a lucrative business. But like any other type of business, there are certain rules and requirements you must meet. This is so everyone carries out the work legally. In the state of New Mexico, one of the most important requirements for all construction contractors is to have a valid contractors license.

Contractor licensing requirements makes sense when you think about it. Without such requirements, anyone with a few tools could decide that they want to start building houses or other structures. Licensing requirements ensure that all buildings and working conditions are in accordance with current safety and quality control measures.

Let's say a contractor is found to be working without a valid license in the state of New Mexico. Their project will be halted, and they may face criminal charges. Luckily, you shouldn't have to worry about this. It has never been easier to get your general contractor license in New Mexico! Why not go for it?

At Contractor Training Center, we are experts at helping people pass their exams and receive their contractor's license. Our team has experience with the licensing procedures in each state. We know all the ins and outs of the process. We will work with you to make sure you have everything you need to ace your exams and get your New Mexico contractors license.

Benefits of getting a contractors license in New Mexico

New Mexico requires anyone engaging in construction-related contracting work to have a license. Section 60-13-3 of the New Mexico Construction Industries Licensing Act of 1978 defines construction-related work as any type of mechanical, electrical, plumbing, LP gas, or general construction work.

So, if you want to legally perform any of those jobs in the state, you’re going to need to know how to get a contractor's license in New Mexico.

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.

Getting licensed helps your credibility. This will help you attract work and stand out from your competition. Today, people can hire a contractor with just a few clicks of a button. Websites and apps like Angie’s List and Home Advisor have made it quick and easy to find reputable contractors. You won’t even make their list if you don’t have a license. That’s a lot of potential customers to miss out on.

Having the right New Mexico contractor license can help you secure bigger, higher-paying jobs. There are over 100 different types of contractor licenses in New Mexico. But you can obtain most when you get your New Mexico general contractor license. Our team of experts at the Contractor Training Center can help you navigate the rest!

What You Can Expect

Get a strong start in building your career

To summarize, the 3 main steps to getting your license in almost every state are:

  1. Submit an application
  2. Pass a Business Law exam
  3. Pass a Technical exam

The purpose of the application is to make sure you are registered in the state properly. This is so they can tax you and confirm that you have verifiable experience. The Business Law exam is required to ensure you understand the laws of operating a business in the state of New Mexico.

The purpose of the Technical exam is to make sure you have the skills and knowledge to do the types of work that you want to perform.

Exam Preparation

What you'll need to prepare for the exam

Trying to study for your exams can be an intimidating process. The exams cover a lot of material. It can be difficult to work through it all on your own. That’s where we come in.

We have exam preparation materials and seminars for all types of exams. Our instructors are experts in their field. They are passionate about helping you pass your tests and advancing your professional career.

We are so confident in our process that we back our materials with our no-fail guarantee. If you don’t pass the first time around, we will ask for your pass-fail report and let you take the class again for free.

We understand that everyone learns differently. This is why we offer seminars in a variety of formats. You can choose between in-person and online seminars. We have both live and prerecorded options. We teach a live class each week. Both online and in-classroom students attend these sessions. If you opt for our online distance learning, you will still be able to interact with the class in the same way as a traditional student.

Below we have outlined everything you need to do in order to get your contractor license in New Mexico.

Get Pre-approved by the State

Before you even start preparing for your exams, you need to be pre-approved by the state. You won’t even be able to register for the exams until you have pre-approval. This requires you to be a Qualified Party. To be considered a Qualified Party you must:

  • Complete the application packet
  • Submit signed, legible, and notarized verification of work experience in the classifications you wish to test for
  • Have a sufficient amount of verifiable experience in your trade

Note: for certain classifications, you only need 2 years of experience (4,000 hours), but other states require at least 4 years of experience, or 8,000 hours. You must have gained this experience while working for a licensed contractor in the trade that you wish to test for.

Decide Which Type of License You Need

New Mexico has quite a few different specifications of a contractor license. Some of them require their own exam. The New Mexico general contractor license (GB-98) is the broadest of all the licenses. It will allow you to lawfully bid on any projects that include the GB-98 classification. But for specialized work, you may need a different license.

Some of the specialized contractor's licenses in New Mexico include:

  • Residential and Commercial Electrical License (EE-98)
  • Needed for anyone looking to do jobs involving fire detection systems, low voltage, sign wiring, and all commercial, industrial, and residential structural or building wiring
  • Residential Building Contractor License (GB-2)
  • Required for bidding on any residential project that falls under the GB-2 classification, including building, renovations, and remodeling projects.
  • Natural Gas Fitting Contractor License (MM-2)
  • Required to bid on or perform any natural gas appliance installations. Or to service or install any part of a natural gas system.
  • Plumbing Contractor License (MM-1)
  • This license covers any type of plumbing, irrigation systems, utility connections, gas piping for water heaters, kitchen equipment, laundry equipment, swimming pool heaters, and gas grills.
  • Heating and Air Conditioning Contractor License (MM-2)
    Needed for bidding and contracting any commercial or residential heating and air conditioning project. This includes remodeling, construction, servicing, and installations of new systems.

Take the Exams

Once you know which license you need, you can start preparing for that specific exam. All contractors seeking a license must take and pass two exams. The business and law exam, and then the exam that is specific for your trade license.

Most of the trade tests have around 100 questions and last anywhere from 250 minutes (2.5 hours) to 500 minutes (5 hours). Some exams, like the Electrical contractor's license, have multiple sections. 

You need to score 75% to pass. Question topics will cover the entire range of your trade. So you really have to know your stuff. Luckily, we here at the Contractor Training Center can help.

Exam Details

PSI testing services administers the New Mexico contractor license exams. This is a breakdown of what to expect on the Business and Law exam, which all contractors must take:

  • You must be pre-approved to schedule your exam
  • The exam fee is $44
  • You must score  75% to pass
  • There are 50 questions, and a 125-minute time limit
  • Topics cover labor laws, tax laws, risk management, lien laws, environmental safety, contractors, business organization, licensing requirements, and bidding and estimating

This is a breakdown of the New Mexico general contractor license test. This is the most common of all the trade exams:

  • You must be pre-approved by the state before you take the test
  • You must score 75% or higher to pass
  • The exam fee is $30
  • The test has 100 questions, you have 300 minutes (5 hours) to complete it
  • Topics cover concrete, carpentry, masonry, site work, metals, windows and doors, drywall, moisture and thermal protection, codes, price estimating, plan reading, and OSHA compliance

License Requirements

How to get your New Mexico contractor license?

Determine the classification of license and/or certification you need to do the work you are planning to perform.

License classifications are listed in the New Mexico Administrative Code, Title 14, Chapter 6, Part 6.

Check with PSI to make sure that the name you intend to use on the license is available.

Be sure to clear the proposed name with PSI BEFORE registering it with the New Mexico Secretary of State or applying for a New Mexico tax ID number. Company name cannot reflect a trade outside the classification scope of the license. Please see item a, 4. For example, if using “Engineer” in a company name, there must be a New Mexico certified engineer on staff. Please provide documentation with your application. 

Submit a completed packet with the correct application, certificate, and license fees.

In addition, the complete packet must include: 

  • Complete Contractor License Application. 
  • Copy of valid qualifying party certificate or copy of exam score report showing passing scores on the exam(s) for applicable classification(s). May submit an official transcript showing passing grade on business and law course administered by a CID approved school instead of passing score on business and law exam. If a Qualifying Party intends to qualify two or more licenses simultaneously, you MUST submit proof of at least thirty person (30%) common ownership between all of the licensed entities. Please list all company license names and numbers and all ownership information for each license. 
  • Proof of Financial Responsibility: Bond - must be issued in the exact name shown on the application. 
  • Proof of current (within the last year) New Mexico Tax ID number application with an official stamp or registration certificate. Must be issued in the exact name shown on the application. (Contact the New Mexico Taxation and Revenue Department at 505-827-0700) 
  • IF A CORPORATION, LIMITED PARTNERSHIP, LIMITED LIABILITY PARTNERSHIP OR LIMITED LIABILITY COMPANY: Proof of registration with the New Mexico Secretary of State (505)827-3600. Must be issued in the exact name shown on the application. 
  • Self-addressed envelope large enough and with sufficient postage to return your application materials if your application is rejected. If your application is accepted, this envelope will be used to send your new license once it has been issued. 
  • Completed packets must be delivered by hand or mail. Faxed or emailed forms will not be accepted. Submit completed packets to PSI PO Box 45450, Rio Rancho, NM 87174 (877) 663-9267
Wait for Packet Acceptance

Once your packet has been accepted and your eligibility cleared, your license will be issued, and you will receive it by USPS. 

Your license will be effective for three years from the date of issuance. Please see HOW TO RENEW A CONTRACTOR LICENSE for renewal information.

Frequently Asked Questions

Learn more about the contractor licensing process.

Can I use the NASCLA license in New Mexico?

No. The state of New Mexico does not accept the NASCLA license

Is there a continuing education requirment?

In most cases, no. There is no continuing education requirement to renew your license. You just need to renew it every 3 years by the 15th day of the month it was issued in.

But there are continuing education requirements for the plumbing and electrical contractor licenses that you’ll need to take before you can renew your license.

Is the qualified party application the same as the license application

No, they are different applications. You’ll need to complete the Qualified Party application before you can move on to the license application.

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