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Builders who want to perform both residential and commercial construction in Tennessee can do so by obtaining their residential/commercial contractor (BC-A,B) license. If you want to earn this license, you’ll need to pass the required exams, demonstrate your financial capacity, and submit insurance documentation. 

Who Needs a Tennessee Contractor’s License? 

You’ll need a Tennessee contractor’s license if you’re going to be bidding, offering a price, negotiating, or contracting on work valued at $25,000 or more. That covers a variety of roles, including contractors, construction managers, consultants, and certain subcontractors. You don’t want to risk engaging in work without the proper license. 

Work Covered Under the BC-A,B Classification 

This license includes construction, remodeling, repair, and improvement under both the BC-A and BC-B classifications. BC-A covers work done on one- to four-family residences no more than three stories high and accessory structures. BC-B allows for work on buildings like multifamily properties, offices, stores, warehouses, and more. 

With both classifications, you’ll have the authority to handle a wide range of residential and commercial work. However, that doesn’t include industrial facilities. You’ll also have to make sure that your subcontractors have the proper license for any electrical, plumbing, HVAC, roofing, and other work being done. 

When a business seeks this license, it must designate one or more qualifying agents. These are the individuals who go through the exam process. They can be an owner, officer, or other full-time employee. 

Taking Your Tennessee Contractor Exams 

To obtain your license, you will have to pass both the Tennessee Contractor Business and Law exam and the BC-A,B Residential/Commercial Contractor exam. The first exam covers a variety of topics, including licensing requirements, business management, and financial accounting. 

The BC-A,B exam covers topics like plan reading, building codes, sitework, and OSHA compliance. There are also questions on specific areas, including foundations, concrete, masonry, carpentry, roofing, structural steel, and building systems. You’ll need broad knowledge covering all of these disciplines to pass your exam. 

Meeting Financial Requirements 

After passing your exams, you will also have to provide financial documents to the board. This will establish the monetary limit on individual projects you’ll have to stay within. If you request a limit of $3 million or less, then a reviewed financial statement is typically required. Higher limits will need an audited statement to be accepted. 

In most cases, the board will calculate your monetary limits as ten times the lesser of working capital or net worth. However, other factors, such as experience, can play a part. A continuous surety bond worth at least half of the requested limit is another potential option if applicants meet all other conditions. 

Get Ready to Pass Your Tennessee Contractor Exams 

Once you’re ready to go, you can submit your application through Tennessee’s CORE licensing portal and pay the $250 fee. You’ll need to include experience references, proof of insurance, and other details. From there, you can take your exams to obtain your license. 

However, you should try to build the best foundation possible to pass your exams. RocketCert’s online exam prep helps you get ready for the exams required for your Tennessee residential/commercial contractor (BC-A,B) license.