Contractor License Requirements in Tennessee

Tennessee requires contractor licensing for construction work on projects exceeding $25,000. The licensing process is overseen by the Tennessee Board for Licensing Contractors. Tennessee requires licensing for contractors on projects over $25,000. The state uses classification codes for different trades. Surety bond amounts range from $10,000 to $100,000 based on project value limit. Both trade and business law exams are required. Financial statements must be submitted annually.

Important

Never hire a contractor who cannot provide a valid license number. A legitimate contractor will have no hesitation sharing their license credentials for you to verify independently. If a contractor refuses, discourages you from checking, or makes excuses, treat that as a serious red flag.

Tennessee Board for Licensing Contractors

Search by: License number, Business name, Individual name

Follow these steps to verify a contractor's license in Tennessee:

1. 1
   Visit the Tennessee license verification portalGo to verify.tn.gov to access the Tennessee Board for Licensing Contractors verification system. Tennessee licenses contractors on projects over $25,000.
2. 2
   Search by license number or business nameEnter the contractor's license number, business name, or individual name. Select "Contractors" as the profession type for targeted results.
3. 3
   Verify the license classification and monetary limitTennessee uses classification codes for different trades (BC for Building, CE for Electrical, CM for Mechanical, etc.). Each license also has a monetary limit. Confirm both the trade classification and the dollar limit cover your project.
4. 4
   Check the bond and financial documentationTennessee requires surety bonds ranging from $10,000 to $100,000 based on the project value limit. The verification system shows the bond status. Financial statements must be submitted annually by the contractor.
5. 5
   Review any complaints or disciplinary actionsCheck for complaints, consent orders, or disciplinary actions on file with the board. Tennessee tracks enforcement actions and makes them publicly available. The board can impose fines, suspend, or revoke licenses.

What to Look for in Verification Results

• License must be active and current -- not expired, suspended, or revoked
• Classification code must cover the type of work being performed
• Monetary limit must be sufficient for your project value
• Surety bond must be current and in the correct amount
• Annual financial statements must be up to date with the board
• Check for any complaints or disciplinary actions on file

Hiring an unlicensed contractor in Tennessee carries significant risks for both the homeowner and the contractor:

• No consumer protections: State recovery funds and guaranty programs typically only cover work performed by licensed contractors.
• Insurance issues: Your homeowner's insurance may deny claims related to work done by an unlicensed contractor.
• Permit problems: Building permits often require a valid contractor license. Work done without permits can create issues when selling your property.
• Quality concerns: Licensed contractors have demonstrated minimum competency through exams, experience requirements, or both.
• Legal liability: Homeowners may bear greater legal responsibility for injuries or property damage caused during unlicensed work.
• Penalties: In Tennessee, unlicensed contracting can result in fines and criminal penalties for the contractor, and the homeowner may lose the ability to enforce the contract.

Tennessee does not currently have reciprocal contractor licensing agreements with other states. Contractors licensed in other states must apply for a new Tennessee license through the standard application process. Some states may credit out-of-state experience toward licensing requirements -- contact the Tennessee Board for Licensing Contractors for details.