The Minnesota Department of Labor and Industry requires most companies and individuals to register and apply for licensing when providing residential or commercial construction services. If you are already licensed or bonded, you may not have to register, but you will still have to go through the proper channels to be licensed for contract work.
To become a contractor in the state of Minnesota, you will have to take examinations to prove competency, get fully bonded and insured, and complete the application process while providing additional paperwork, including a Federal Employment Identification number and state tax identification. Additionally, there will be fees associated with the application process and exams. The information below outlines the requirements you need to meet to become a general contractor in Minnesota.
Minnesota General Contractor License Requirements
In many cases, your general contractor’s license for the state of Minnesota will come in the form of a residential builders license, or remodelers license. All residential building contractors and residential remodelers who contract with an owner to construct or improve dwellings for habitation by 1 to 4 families (including detached garages), and perform two or more special skills, must be licensed unless exempt. In addition to a residential builders or remodelers license, you will likely have to apply for a trade license. To register and apply, and for forms, licensing, insurance, bonds, and certificates of all trades, visit Minnesota’s Department of Labor and Industry.
Who Needs a Contractors License?
Companies and individuals planning on doing residential or commercial construction or improvements on buildings will have to register with Minnesota’s Department of Labor and Industry. With the exception of roofing, for which all contractors must be licensed, a license is not needed for trades unless you are working in two or more fields. If you are working in two or more of the following specialties, you will need to be licensed:
- Carpentry
- Drywall
- Exterior finishing
- Interior finishing
- Excavation
- Roofing
- Masonry
All electricians in the state of Minnesota must obtain a license. Plumbers working in cities with a population over 5,000 are required to be licensed as well. Asbestos or lead abatement contractors must be registered with the Minnesota Department of Health, obtain a business license, and must have a certificate from the state before performing work.
What Do You Need To Become a General Contractor in Minnesota?
To become a licensed general contractor, including most trades such as electrical and plumbing, you must go through the proper process. After you determine what kind of license(s) you need, the steps taken to obtain the license will go roughly as follows:
- The state of Minnesota requires state licenses if you will be doing contract work. To register your business, refer to The Department of Employment and Economic Development website.
- Register as necessary with Minnesota’s Secretary of State before applying for a contractors license. To understand if you need to register or not, visit Minnesota’s Department of Labor and Industry website.
- Supply your Federal Employment Identification Number and state tax identification number and in some cases your Social Security number.
- You will also need to prove that you have liability insurance, as well as provide a certificate of compliance form for Minnesota’s Workers’ Compensation.
- Take and pass your exam(s).
- Fill out and submit your application.
Though other trades must post bonds when applying for a license, there is no surety bond requirement for general contractors in Minnesota. However, you may still want to get bonded in order to properly protect your business and projects — and make your clients feel safe when they hire you for a job. Finding the right insurance and bonding policy is particularly important if you plan to work in a neighboring state, as you may not be eligible to do so without one.
Licensing and Registration Fee Summary
Payments to the Minnesota Department of Labor and Industry can be made either by check or money order. Depending on the industry, trade, and how many exams and licenses you are applying for, your fees may vary:
- $128 for application or renewal fee
- $120 licensing fee
- $50 exam fee
- $8 board fee
Minnesota Contractors Exam
Examinations to become a licensed contractor in the state of Minnesota are given by Minnesota’s Department of Labor and Industry. Here, you can find your examination application, and details, such as scheduling and fees.
Two exams are required — the business and law exam, and any exam pertaining to your specialty or trade. You have four hours to complete 110 questions, and need a score of 70 percent or higher to pass the exam. It is recommended that you study before the exams, leveraging the available seminars and study guides. Once you have completed, and passed, your exams you will be instructed on how to apply for your license. If you do not pass the exam, you have to wait 30 days to try again — with the submission of an additional application and fee.
Contractors Exam Fees
Exams for a contractors license in the state of Minnesota are $50. You can pay online through the Minnesota Department of Labor and Industry website, or mail a check or money order to:
Minnesota Department of Labor and Industry
Construction Codes and Licensing Division
Licensing and Certification Services
PO Box 64227
St. Paul, MN 55164-0227
Minnesota Contractors License Application
Your contractors license application is to be filled out and submitted by mail, or online through Minnesota’s Department of Labor and Industry website.
Minnesota General Contractors License Application
Before applying for your general contractor’s license in Minnesota, you must have registered your business. If you need to register before applying for a license, visit the Minnesota Secretary of State website to do so. You will need to disclose your business name, address, and any and all partners or business owners who share more than 10 percent of your company.
You must also receive and present a certificate of a responsible licensed individual and a certificate of compliance from Minnesota Workers’ Compensation law. You will also need to show a certificate of liability insurance, worth at least $100,000 per occurrence and $300,000 for bodily injury, and property damage insurance worth at least $25,000. Finally, you can begin the application process after you have determined which licenses you are going to apply for.
Your total cost and application fees will depend on how many licenses you are applying for. However, it will be $128 for your initial application, and once you pass exams, there will be a $120 licensing fee. Much like your contractors exam fees, you can pay online through the Minnesota Department of Labor and Industry website, or mail a check or money order to:
Minnesota Department of Labor and Industry
Construction Codes and Licensing Division
Licensing and Certification Services
PO Box 64227
St. Paul, MN 55164-0227
Minnesota Contractor Registration and Permitting Requirements
According to Minnesota’s Department of Labor and Industry, an individual or business that performs commercial or residential building construction or improvement services must register unless they:
- Have a current license, certificate or registration issued by the agency.
- Are an employee of a business performing construction services
- Have a current residential building contractor or remodeler certificate of exemption
- Are excluded from registration requirements under Minnesota Statute 326B.701.
In these instances, you should not register. It is also important to understand that being a registered contractor does not mean that you have your license and can perform work of any kind.
Minnesota State Business Licenses and Registration
You will need to obtain state licenses and permits in the state of Minnesota to perform most contract work. For general information and further details on which licenses and permits you will need to become a general contractor in Minnesota, visit the Minnesota ELicensing website.
Minnesota Business Registration
Registering for a business is one of the first steps to becoming a licensed contractor in the state of Minnesota. For details on how to register your business, and other general information, go to the Minnesota Department of Employment and Economic Development website.
Minnesota Tax Identification Numbers and Registration
Businesses that operate within Minnesota are required to register for one or more tax-specific identification numbers, licenses or permits, including income tax withholding, sales and use tax (seller’s permit), and unemployment insurance tax. Contact the Minnesota Department of Revenue for more information about your tax obligations.
Minnesota Workers’ Compensation Insurance Requirements and Forms
Businesses with employees are required to pay unemployment insurance taxes under certain conditions. If your business is required to pay these taxes, you must register your business with the Minnesota Unemployment Insurance agency.
Additionally, businesses with employees are required to carry Workers’ Compensation Insurance coverage through a commercial carrier, on a self-insured basis, or through the state Workers’ Compensation Insurance program. For more information, visit the Minnesota Department of Administration.
Minnesota Contractor License Lookup and Verification
For details about hiring a contractor in the state of Minnesota, go to the license lookup database at the Minnesota Department of Labor and Industry.
See General Contractor Licensing Information in Nearby States
- North Dakota contractors license
- South Dakota contractors license
- Iowa contractors license
- Wisconsin contractors license
For More License and Career Guides
To find out how to become a General Contractor in another state, start here.
For information on other trades in Minnesota, click on a link below to learn more about the licensing requirements:
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