Complete guide to general contractor requirements in Alabama. State license required by the Alabama Licensing Board for General Contractors for projects over $50,000.
State license required by the Alabama Licensing Board for General Contractors for projects over $50,000. Issued by: Alabama Licensing Board for General Contractors. A licensing exam is required. Minimum 3 years of experience required.
License Type
General Contractor
Estimated Total Cost
$200 - $1,500 (varies by jurisdiction)
Processing Time
2-8 weeks typical
Renewal Period
1-2 years (varies)
Register your LLC or corporation with the Alabama Secretary of State. You'll need this before applying for any licenses.
Apply for a federal Employer Identification Number (EIN) from the IRS. This is free and can be done online at irs.gov.
Alabama requires verifiable experience in the trade. The minimum is 3 years.
Alabama requires passing a licensing exam. Study materials are typically available from the testing provider.
Obtain general liability insurance (typically $500K-$1M minimum) and workers' compensation insurance if you have employees.
Check if Alabama or your local jurisdiction requires a surety bond. Your insurance agent can help with this.
File your application with Alabama Licensing Board for General Contractors along with all required documentation and fees.
Register for Alabama sales tax and any applicable local business taxes.
Minimum: $500,000 - $1,000,000 (varies by jurisdiction)
Required in most states when you have 1+ employees
$5,000 - $25,000 bond required in some states and cities
Our AI compliance assistant creates a personalized checklist for your specific situation in Alabama.
This guide is for informational purposes only and does not constitute legal advice. Licensing requirements change frequently. Always verify current requirements with Alabama's official licensing board and consult a local attorney for legal questions. Last updated: April 2026.