There are several different types of building licenses in South Carolina, and they are divided into two main groups for Commercial Contractors : limited and Unlimited Building Contractor licenses.
The difference between the two types is the financial limits imposed on bids and what jobs contractors are permitted to take on.
Contractors are separated into five groups, and each group has specific financial limits per job/bid:
Contractors in Groups 4 and 5 are considered to be unlimited. Group 4 has a financial job/bid limit of $1,500,000. Contractors in Group 5 have no limit.
Every contractor must pass state exams before they are permitted to be licensed to do work. There are different exams required for different licenses. If a contractor takes the PSI Limited Building Exam, they are considered a limited contractor. In addition, they must also pass the Business Management & Law Exam.
Limited contractors can only work on projects that are 3 stories or less in height, and they can also only apply for groups 1, 2, or 3. These professionals can remodel, repair, construct, or reconstruct residential and commercial buildings.
It’s important to note that exams must be passed before applying for a license. There are several steps that must be followed to gain approval to take the exams. Approval is obtained from PSI Exam Services.
Contractors in groups 4 and 5 — which are considered to be the Unlimited Contractor groups — must pass the NASCLA or the PSI Unlimited Building Exam. Contractors who hold an unlimited contractor license can perform work for industrial, modular, residential, and commercial clients.
These professionals are permitted to make improvements of any kind to properties. The unlimited license classification also includes all work under the sub-classifications of interior renovation, masonry, general roofing, wood frame structures, and structural shapes.
Finally, licensees under the unlimited classification are permitted to perform ancillary work — including grading — associated with a structure or building they are working on.
If work is performed under any of the following license subclassifications, the contractor must have a separate license for the work or hire a specialty contractor who is licensed in the appropriate subclassification:
Specialty contractor licensees in South Carolina must purchase and maintain a $10,000 licensed residential specialty contractor surety bond.
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