Want to work as a contractor in Delaware but don’t know where to start? Delaware contractors who wish to perform work valued at more than $50,000 must receive a state license. The Division of Revenue is the licensing authority, and building specialists must meet a variety of specifications. Most significantly, before receiving your legal right to work, you must acquire a contractor license bond. Before proceeding with contractor licensing and obtaining a Delaware contractor license or Delaware electrical contractor license, keep the following points in mind.
A general contractor supplies all materials, manpower, equipment (such as engineering vehicles and tools), and services needed for the project’s construction. To do any or parts of the construction work, a general contractor also employs specialized subcontractors.
The benefits obtained by being a licensed contractor are innumerable. First and foremost, it assists in the fulfillment of legal and regulatory requirements. Yet there are also personal advantages. You earn more prestige with a license and open the doors to opportunities for higher pay.
The license of a state contractor will demonstrate to a customer that you have done your due diligence. The license makes them far more likely to trust you. There is much less danger and much more security for the consumers by hiring someone licensed. Many customers want to employ only a licensed professional, so you are growing your chances to get hired.
To work as a contractor in Delaware for jobs valued $50,000 or more, you must first obtain a license and then fill out the type-specific contractor application package. Contractor licensing is handled by the Delaware Division of Revenue, and all license applications and related forms must be sent to them.
A General Contractor License is required for any general/prime contractor, subcontractor, construction manager, or other types of construction contractor who does not regularly maintain a place of business in Delaware.
This license is required of any general/prime contractor, subcontractor, construction manager, or other types of construction contractor who conducts business in the state on a regular basis.
Anyone planning to conduct construction work will have to obtain a license from the State of Delaware:
You must complete the following steps in order to complete the Combined Registration Application (CRA) for a State of Delaware Business License:
Submit the required info, then choose an ownership type (from the list given on the application form) and enter the code.
All contractors doing business in Delaware are expected to obtain a business license and pay an additional fee.
Obtain a Certificate of Notice from the Division of Unemployment Insurance or register with the Department of Labor.
Provide evidence of (Worker’s Compensation) insurance. Submit the Division of Industrial Affairs form, if you don’t have any workers.
The Contractor’s license bond is only required for non-residential contractors. The bond is 6% of the contract value for all single (sub) contracts exceeding $20,000 or when the total of two or more (sub) contracts in a calendar year $20,000 or more.
Then you can apply for a contractor license in Delaware.
Type or print in ink clearly. It is important to answer all questions and complete the financials.
A check must be made payable to the Delaware Division of Revenue. Attach and submit your license fee receipt with your application.
Both contractors and subcontractors must pay a $75 annual licensing fee (may be prorated the first year).
On the 3rd page of the application for registration, the prorated basis for initial licenses is included.
Please send your Combined Registration Application, license fee, and all supporting documents to the following address:
DIVISION OF REVENUE
P.O. BOX 8750
WILMINGTON, DE 19899-8750
In Delaware, there is no exam or proof of experience necessary to receive a resident or non-resident license. Electricians, plumbers, HVACR, water drillers, and pop installers must pass an exam or provide evidence of experience in order to be licensed or certified. To look up licensed contractors in your area, the State of Delaware official website provides a searchable database online.
Utilizing either an “RMO” or “RME is one of the most common and often simplest ways for people with no previous experience to obtain a contractor license.
RMO stands for “Responsible Managing Officer”. The RMO is a licensed contractor that allows an existing company to use their license number to take on more than $500 in construction projects.
RME stands for “Responsible Managing Employee,” which is the same as an RMO, except that an employee is the qualifying contractor of the company.
On your current license or on the annual License Renewal Notices that will be sent to businesses later in November, you’ll find your Business License Number. Please contact the Business License office at (302) 577-8778 or BusTax@delaware.gov for more information.
No, to retain a license, Delaware does not require a contractor to continue his education in the industry. All they ask is to keep the license up to date and pay a $75 annual renewal charge. All licenses expire on the last day of the year, so prior to that point, you must request renewals.
No, Delaware does not accept an Accredited Commercial Contractor License from NASCLA. Only Delaware’s Contractor’s License is applicable.
A Delaware Contractor’s license is only applicable within the state of Delaware. It has no reciprocity with other states. No licenses from other states are accepted by Delaware. Those with out-of-state licenses that wish to operate in Delaware will need to apply for a non-residential license.
You must visit the Delaware Secretary of State or contact them by email to register your company (you must do it before applying for a license).
To verify if the name you would like to register for your company is currently available, you can use the Delaware Entity Search tool online. Also, the simplest way to verify a contractor’s license is with the official State of Delaware contractor license search.
To obtain your Delaware Contractor’s License, there are currently no additional requirements. All you need to do is to apply and get approved for the license. There is no need for any experience or education.