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North Carolina General Contractor
North Carolina has two different types of licenses: Building Contractor and Residential Contractor.
Both licenses can do residential work, but only the Building Contractor license allows for commercial construction. If going for the Building Contractor license, it is highly recommended to take the NASCLA exam instead of the state Building Contractor exam.
In North Carolina, a license is required for any job over $40,000.
North Carolina Builder Licenses
North Carolina Builder NASCLA Multiple States
To obtain a North Carolina Builder license, you must pass a trades exam (NASCLA) and a business law exam (business law is only required if taking NASCLA).
For the trades exam, you have a choice. For more info, watch the video at the top of this page.
North Carolina Builder
The North Carolina Building Contractor license allows you to bid on, build, or modify any type or size of commercial or residential property.
North Carolina Residential Contractor
The North Carolina Residential Contractor license allows for full residential construction, including new builds and remodels.
There is only one required exam: the North Carolina Residential Contractor exam.
North Carolina Business & Law
This exam is required only if you're taking the NASCLA exam. It’s a short 90-minute test based on 2 books and covers key business and legal topics.
Frequently Asked Questions: North Carolina Contractor License
What types of contractor licenses does North Carolina offer?
North Carolina offers two general contractor license types: the NC Building Contractor license and the NC Residential Contractor license. The Building Contractor license allows construction of both commercial and residential properties, while the Residential Contractor license is limited to residential construction (new builds and remodels). Each license is also issued at three tiers — Limited, Intermediate, and Unlimited — based on project value and financial requirements.
When is a North Carolina contractor license required?
In North Carolina, a general contractor license is required for any construction project valued at $40,000 or more. The state's General Contractor Licensing Board enforces this threshold for both commercial and residential work. Contractors who undertake jobs above this value without a license face significant penalties.
Should I take the NASCLA exam or the NC Building Contractor state exam?
For the NC Building Contractor license, contractors can choose between the state's Building Contractor exam OR the NASCLA Accredited Examination. The NASCLA route is recommended for most contractors because it provides reciprocity in 17 jurisdictions — pass once, qualify in multiple states. The state-only exam qualifies you in North Carolina only. Explore NC NASCLA prep materials.
Is the NC Business & Law exam required for all contractor licenses?
The North Carolina Business & Law exam is required only if you choose the NASCLA route for your Building Contractor license. As of January 1, 2020, NC requires NASCLA candidates to pass this separate 90-minute exam covering business and legal practices for contractors. If you take the state's Building Contractor exam or the Residential Contractor exam, business and law content is included in those exams and a separate test is not needed. Explore NC Business & Law prep.
What's the difference between the NC Building Contractor and Residential Contractor licenses?
The NC Building Contractor license allows construction of any type or size of commercial OR residential property — making it the broader credential. The NC Residential Contractor license is more limited: it permits new residential construction and remodels, but does not authorize commercial work. Most contractors planning to work commercially or who want multi-state reciprocity (via NASCLA) choose the Building Contractor route.
How do I prepare for the North Carolina General Contractor exam?
The most effective preparation combines three components: (1) an online prep course covering exam content and test-taking strategies, (2) the required reference book set for the exam route you choose (NASCLA, NC Building, or NC Residential), and (3) unlimited practice exams to build speed and identify weak areas. Pre-highlighted and pre-tabbed reference books significantly speed up open-book exam navigation. Browse complete prep packages above for each license route.