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Licensing Requirements & A Guide To Becoming A Concrete Contractor In Virginia
To become a concrete contractor in Virginia, you will need to undergo the licensing process. The Virginia Department of Professional and Occupational Regulation (DPOR) reviews every application, and it is through them that you will need to meet certain requirements. This includes registering your business entity, identifying all the managers and stakeholders in your company, producing proof of experience and education.
If you take things one step at a time, then you will have your license in no time. Here is what the process entails:
Who Needs
A License?
You must obtain a license if you want to work on projects that exceed $1,000 in cost and they involve the repair, remodeling, and construction of commercial and residential properties. The state of Virginia issues three different licenses: Class A, Class B, and Class C.
Class A License – This license allows you to work on projects with a total value that exceeds $120,000 (or $750,000 or more over a 12-month period). The qualified individual identified for this license must have at least five years of experience.
Class B License – This license allows you to work on projects with a total value that exceeds $10,000 but is less than $120,000 (or is $150,000 or more, but less than $750,000 over a 12-month period). The qualified individual identified for this license must have at least three years of experience.
Class C License – This license allows you to work on projects with a total value that exceeds $1,000 but is less than $10,000 (or is no more than $150,000 over a 12-month period). The qualified individual identified for this license must have at least two years of experience.
Most municipalities in Virginia will also require you to have a surety bond, general liability insurance, and workers’ compensation. However, concrete contractors with a Class C license are exempt from these requirements. The minimum coverage required by each city or county government will vary. Bonds tend to range significantly in price according to the project you are working on, whereas insurance coverage will remain fixed in terms of cost.
What Else
Do You Need To Do?
The Virginia DPOR created step-by-step instructions that help guide you through the process of obtaining a license:
- Create a business entity – The Board of Contractors recognizes all business structures, including limited partnerships, LLCs, sole proprietorships and corporations. The state issues licenses to the entities, not individuals.
- Create a name and register your business – You must register your business with the Virginia State Corporate Commission if your company is a corporation, LLC, or limited partnership. Sole proprietorships will need to register with their local county or municipal government.
- Determine the type of license that fits your company – As mentioned earlier, the state of Virginia offers Class A, B, and C licenses. If you take on a project that exceeds the monetary limits of your license, then this could result in disciplinary action against your company.
- Identity Responsible Management – You need to determine and submit information on the managers and stakeholders in the company. These are the individuals who are also responsible for the license and will abide by state and federal regulations.
- Identify Qualified Individuals – When applying for licensure, you will need to have a Qualified Individual associated with the process. They must be a full-time employee or one of the responsible managers detailed in the previous step. The Qualified Individual will also need to submit basic information.
- Identify your Designated Employees – Class A, Class B and Class C contractors will need to identify any full-time workers that they employ. Designated employees will need to take and pass certain licensing exams based on the classification of the license.
- Complete your pre-licensing education – Every applicant must complete a pre-licensing education course. There are several accredited providers throughout the state with their own fees, schedules, and locations.
- Fill out the application and include all relevant information/materials – You can access the application form online at the website for the DPOR. You must submit all the necessary information and items requested by the state of Virginia.
- Send your application to the DPOR along with paying the associated fees – Your application will be returned to you if you don’t pay the fees and this will delay the process.
- Wait for the Licensing Board to review and approve your application – It takes an average of 30 days for each application to process. If you meet all of the requirements and the Board approves your license, then you can get to work immediately. The DPOR will mail you your license. If your application is missing something, you will also receive a letter outlining what is needed from you so that the Board can issue your license.
Conclusion
You always want to make sure that you have approval from the state of Virginia when providing services as a concrete contractor. Having a license will allow you to grow your business and secure profitable projects. How? Clients are much more likely to do business with someone who covers all their bases. If you want to learn more about the process of obtaining your license, we recommend that you contact the Virginia Department of Professional and Occupational Regulation.
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