How to get an Arizona Contractor License
This Arizona contractor license guide is for informational purposes only. SuretyBonds.com does not regulate or manage licensing for contractors in Arizona. Contact the Arizona Registrar of Contractors for the state’s latest official contractor license requirements.
According to Arizona Statutes Section 32-1151, you may not offer or perform construction services without having a state contractor's license. Construction laws vary by state, but in Arizona, you must hold a contractor’s license to perform any work valued over $1,000. If your work requires any local building permits, you must be licensed as a contractor.
If you perform construction work without a license, you subject yourself to fines and even criminal charges. Working without a license can be a Class 1 misdemeanor, which can carry a maximum term of 6 months in your county jail and a maximum fine of $2,500, plus an 83% surcharge.
You must complete the following steps to become a licensed Arizona contractor.
How do I get a contractor license in Arizona?
Step 1: Determine your license type.
The Arizona Registrar of Contractors issues separate licenses for commercial and residential work and dual licenses that cover both commercial and residential. Your license classification will determine the cost of your Arizona contractor license as well as your surety bond premium.
Allows the licensee to construct, alter, and repair in connection with any structure built, being built, or to be built for the support, shelter, and enclosure of persons, animals, or movable property of any kind
Any work related to electrical, plumbing, air conditioning systems, boilers, swimming pools, spas, and water wells must be subcontracted to an appropriately licensed specialty contractor
Defined as construction on residential structures such as houses, townhouses, condominiums, or cooperative units and apartment complexes of four units or less
NOTE: Also includes any appurtenances on or within residential property lines, connection to utility service and sewer lines, meters, and mechanical or structural service for any residential structure
Just as with specialty commercial licensing, any specialized work for residential projects (i.e., electrical, plumbing, HVAC, swimming pools, etc.) must be subcontracted appropriately
Covers both commercial and residential for each particular trade or field of a construction profession
Covers the scopes of work permitted by the commercial C-1 Acoustical Systems and the residential R-1 Acoustical Systems licenses
Step 2: Identify your qualifying party.
A qualifying party is someone who is regularly employed by the licensee, actively engages in the classification of work in which they qualify, and has the necessary knowledge to supervise or perform contracting work. It can be a sole proprietor, one of the partners of a partnership, a member of the LLC, an officer of a corporation, or an employee of the contracting business. As long as they are someone who meets the following requirements.
- is at least 18 years of age
- has the necessary knowledge, experience, and skills (as defined under A.R.S. § 32-1122(E) )
- have a minimum of four years’ practical or management trade experience, at least two of which must have been within the last 10 years, dealing specifically with the type of construction, or its equivalent, for which the applicant is applying for a license
- up to two years of technical training in an accredited college/university or a manufacturer’s accredited training program may count toward the four-year experience requirement
- is regularly employed by the licensee
- is actively engaged in the classification of work for which the person qualifies on behalf of the licensee
Step 3: Take the Arizona Contractor Statutes and Rules Exam and Trade Exam.
The qualifying party must take and pass these exams with a score of 70% or higher. There is a $66 examination fee.
You can register for your exam at any time through PSI’s online portal. PSI Services has a dedicated phone number just for Arizona ROC exam candidates. If you need to contact PSI Services about your exam, please call (855)744-0310.
If you’re a foreman, supervisor, journeyman, or contractor, check the license classification requirements to determine which exams are required for a specific license classification.
Note: Some applicants might be eligible for a waiver.
Step 4: Complete a criminal background check.
Both the applicant and the qualifying party must complete and pass a criminal background check which can be completed online at the Arizona Registrar of Contractors page.
Step 5: Purchase your contractor's bond in the required amount.
Arizona law requires you to purchase a surety bond to ensure that contractors comply with A.R.S. 32-115. The purpose of an Arizona contractor license bond is to ensure that the public will receive compensation for any damages should the contractor fail to comply with contractor licensing law. The price of your bond will vary based on the license type and the total gross volume of work the applicant has completed. Your personal Arizona contractor license bond cost will be provided after a quick application review. Annual premiums start at just $50.
Watch the video below to learn more about what an Arizona contractor bond is, why you need one, how much it costs, where to file it, and how to renew.
Step 6: Submit a copy of your government-issued ID.
The applicant and qualifying party both need to submit a copy of their government-issued ID. This can be either a passport or valid driver's license.
Step 7: Pay the applicable fees.
The amount is dependent on the license classification and can cost anywhere between $580 and $1,100; these fees cover a 2-year period.
For details on which fees may apply to you, check the AZ RoC License Fees page.
Step 8: Submit your application packet to the Registrar of Contractors.
You can mail your application to the following address.
Registrar of Contractors
P.O. Box 6748
Phoenix, AZ 85005-6748
Or, you can bring your application to the following address.
1700 W. Washington Street
Phoenix, AZ 85007-2812
Make sure to include any necessary supporting documents.
- prior license disclosure forms
- license cancellation forms
- felony disclosure forms
- unlicensed activity disclosure forms
- solar warranty
How will I know if my application is approved?
If your application is approved, you will receive a notice in the mail and a call from a licensing representative. If your application is not approved for any reason, you will be notified.
Can my license still be used if the business ownership changes?
No, Arizona contractor licenses are non-transferable. The only possible exemption is a corporation or limited liability company. If stock is sold and the file number assigned by the Arizona Corporation Commission remains the same, the same license can be used if the license is active and in good standing.
Note: If a license is issued, the license belongs to the business (whether it be an individual, a partnership, an LLC, or a corporation), not the qualifying party.
Last Updated: August 28, 2023