To become a state licensed general contractor in Delaware, the process will be run through the Delaware Department of Revenue. Unlike many states, registration and application to be licensed will be done through the same form, since Delaware offers a Combined Registration Application. Additionally, you’ll need to register your business and acquire your Federal Employee Identification Number and additional tax information prior to any application process.
Although the main general contracting licenses in Delaware come in the form of resident and non-resident licenses, you will have to consider an alternate licensing process for specialty trades including electrical and plumbing through the Delaware Division of Professional Regulation. Read below to understand what license you will need for the contracting work you will be performing, exams and professional experience required, and the associated fees necessary to meet Delaware’s requirements for becoming a general contractor.
Delaware General Contractor License Requirements
The state of Delaware, under title 30, chapter 25 defines “contractor” as “every person engaged in the business of: Furnishing labor or both labor and materials in connection with all or any part of construction, alteration, repairing, dismantling or demolition of buildings, roads, bridges, viaducts, sewers, water and gas mains and every other type of structure as an improvement, alteration or development of real property.”
Additionally, the state of Delaware has two different licenses you can register and apply for. Although the application process is similar, you will need to determine if you will be applying for a:
Resident Contractors License: A resident contractor is any individual or business that will be performing contractor work who regularly maintains a place of business in Delaware.
Non-Resident Contractor License: If you are a person or business who does not regularly maintain a place of business in Delaware, your application will be the same as a resident contractor, however you must acquire a surety bond.
To complete the application for both resident and non-resident licenses, you will need to fulfill additional requirements, including: registering your business, providing proof of workers’ compensation and unemployment insurance, and a surety bond if you are applying for a non-resident license.
Who Needs a Contractors License?
Anyone who is planning to perform the construction work defined above will have to acquire a license through the state of Delaware. Delaware also issues licenses, and you will go through a different licensing process through the Delaware Division of Professional Regulation for:
- Water Drillers
- Pump Installers
Note: If you plan on doing asbestos work that is not on your own family dwelling, you will need to be certified for asbestos abatement.
What Do You Need To Become a General Contractor in Delaware?
To become a licensed contractor in Delaware, you must first meet some prerequisites, including:
- Register your business with Delaware’s Department of Revenue.
- Obtain proof of unemployment insurance and a Worker’s Compensation policy.
- Provide a Federal Employer Identification Number.
- Disclose your number of employees and payroll information if applicable.
- Non-Resident applicants will have to supply a surety bond.
Additionally, the state of Delaware requires most business owners to get general liability insurance to pay for property damages and personal injuries. Aspiring contractors will need to furnish a certificate of insurance along with an out of state license in order to transfer licensure to a new state when relocating.
Once you have obtained the above, you can start the registration/application process. For both resident and non-resident licenses, you will need to fill out the Combined Registration Application (CRA) through the Delaware Department of Revenue webpage.
Although no exams or proof of education are expressed as requirements to obtain your resident and non-resident license, they may be needed for electrical, plumbing, HVACR, water driller, and pump installer licensing.
Licensing and Registration Fee Summary
Your overall registration, application, and licensing process will be through the Delaware Division of Revenue. Fees attached include:
- Business Registration: $15 per location
- Licensing Fee: $75 annually
Checks can be made out to:
DIVISION OF REVENUE
STATE OF DELAWARE
P.O. BOX 8750
WILMINGTON, DE 19899-8750
Delaware Contractors Exam
There is no exam or proof of experience required to get your resident and non-resident license in Delaware. However, licenses are issued for electricians, plumbers, HVACR, water drillers, and pop installers in which you will need to take an exam, or show proof of experience to be licensed or certified. All information about exam scheduling, fees, and locations for specialty trades can be found at Delaware’s Division of Professional Regulation website.
Contractors Exam Fees
While no exam fees are attached to a resident and non-resident general contractor license, you will have to pay for exams for the specialty trades described above. Details can be found at the Delaware Division of Professional Regulation website.
Delaware Contractors License Application
Your license application will be submitted through the Delaware Department of Revenue for resident and non-resident licenses, while most other licenses will be through the Division of Professional Regulation website. While resident and non-resident licenses have a similar application process, other specialty trade licenses vary in requirements and exams you will take.
Delaware General Contractors License Application
To start the application process for resident and non-resident licenses, the following requirements will need to be met:
- Register your business and obtain a business license.
- Provide paperwork including Worker’s Compensation, necessary employee information, and unemployment insurance.
- Non-resident applicants will need a surety bond equal to 6 percent of your contract if it is over $20,000.
- Complete the application process through the Delaware Division of Labor website.
For specialty trade work including electrical, plumbing, HVACR, etc., your licensing process will be through the Division of Professional Regulation.
Delaware Contractor Registration and Permitting Requirements
Delaware provides a Combined Registration Application (CRA) for both resident and non-resident licenses. For detailed information, visit the state of Delaware Department of Finance, Division of Revenue website.
Delaware State Business Licenses and Registration
Businesses that operate within Delaware are required to register for one or more tax-specific identification numbers, licenses or permits, including income tax withholding, sales and use tax (seller’s permit), and unemployment insurance tax.
Delaware Business Registration
You will need to register your business and become licensed before you apply to become a general contractor in Delaware. Delaware’s one-stop business licensing and registration system allows you to register your business with the Division of Revenue.
Delaware Tax Identification Numbers and Registration
Delaware requires you to register for one or more tax-specific identification numbers, licenses or permits, including income tax withholding, sales and use tax (seller’s permit), and unemployment insurance tax. Visit the Division of Revenue for additional tax information.
Delaware Workers’ Compensation Insurance Requirements and Forms
Businesses with employees are required to carry workers’ compensation insurance coverage through a commercial carrier, on a self-insured basis, or through the state workers’ compensation insurance program. Visit the Delaware Department of Labor for more details.
Delaware Contractor License Lookup and Verification
To look up licensed contractors in your area, the State of Delaware official website provides a searchable database online.