When Does a Georgia Contractor Need a License?
Under O.C.G.A. § 43-41-2, a residential contractor license is required where the total value of the work, or of the contractor's compensation, whichever is higher, exceeds $2,500. Electrical, plumbing, conditioned air (HVAC), low-voltage and utility contracting are licensed separately under Title 43, Chapter 14.
Residential and general contractors: the $2,500 rule
Georgia's State Licensing Board for Residential and General Contractors licenses contractors under Chapter 41 of Title 43. A residential-basic contractor works on detached one- and two-family homes and one-family townhouses of up to three stories, and their accessory buildings; a residential-light commercial contractor may also work on multifamily and multiuse light commercial buildings.
A license is required where "the total value of the work or activity or of the compensation to be received by the contractor for such activity or work, whichever is the higher, exceeds $2,500.00" (O.C.G.A. § 43-41-2).
Electrical, plumbing, HVAC, low-voltage and utility work
These trades are licensed by the State Construction Industry Licensing Board under Title 43, Chapter 14, through its divisions of electrical contractors, master plumbers, conditioned air contractors, low-voltage contractors and utility contractors. A person licensed under Chapter 14 for their trade does not also need a Chapter 41 license to do that work (O.C.G.A. § 43-41-17(e)).
The exceptions in the law
- Repair work: a person may perform repair work for an owner without a Chapter 41 license, "provided that the person performing the repair work discloses to the owner that such person does not hold a license" (O.C.G.A. § 43-41-17(g)). If someone tells you that, it is a disclosure, not a credential.
- Your own home: the chapter does not stop a person building on their own property a building meant solely for their own and their family's use (O.C.G.A. § 43-41-17(h)).
What to do with this
- For a job over $2,500, ask for the license number before signing, and look it up yourself.
- For electrical, plumbing or HVAC work, ask for the Chapter 14 license for that trade.
- Permits are issued by your city or county, not the state. Ask who will pull the permit and schedule inspections, and put the answer in the contract.
Sources
- O.C.G.A. § 43-41-2 (definitions and the $2,500 threshold)
- O.C.G.A. § 43-41-17 (exemptions)
- O.C.G.A. Title 43, Chapter 14
- Georgia Secretary of State license lookup
Sources last checked September 29, 2026. This guide summarises Georgia law as published; it is not legal advice. For a decision that matters, ask the Georgia Secretary of State's licensing division or a lawyer.