North Carolina requires general contractors to be licensed by the NC Licensing Board for General Contractors (NCLBGC) before taking on larger construction projects. The exam is administered by PSI and is taken by the license's qualifier. ExamsLib offers free practice questions and study guides to help you prepare.
Overview
Exam Overview
The NC Licensing Board for General Contractors (NCLBGC) issues licenses in three limitation tiers based on project size: Limited (single projects up to $750,000), Intermediate (up to $1,500,000), and Unlimited (no cap). Project caps exclude land cost. Within each limitation, licenses carry classifications such as Building, Residential, Highway, Public Utilities, and Specialty. A general contractor license is commonly required for projects of $40,000 or more; confirm the current threshold with the Board.
North Carolina's system is unusual in that there is no trade experience requirement for the license itself. Instead, the applicant entity must meet financial requirements, and a person called the qualifier must pass the PSI exam for the relevant classification. The NASCLA Accredited Commercial Building exam is accepted for the Building classification.
Scope
License Types
NCLBGC issues general contractor licenses in three limitations:
- Limited - Single projects up to $750,000, excluding land cost.
- Intermediate - Single projects up to $1,500,000, excluding land cost.
- Unlimited - No project value cap.
Within each limitation, classifications include Building, Residential, Highway, Public Utilities, and Specialty.
Structure
Exam Format
The North Carolina general contractor exam is a computer-based test administered by PSI and taken by the license's qualifier. For the Building classification, the Board also accepts the NASCLA Accredited Commercial Building exam, taken through NASCLA before applying. Question counts and time limits are published in the PSI candidate bulletin, so review the current bulletin before scheduling.
Score
Passing Score
North Carolina requires a minimum passing score of 70 percent on the general contractor exam. Confirm the current requirement with NCLBGC or the PSI candidate bulletin before your exam date.
Eligibility
Requirements
North Carolina's requirements are financial rather than experience-based (G.S. 87-10):
- Limited: Working capital of at least $17,000 or net worth of at least $80,000.
- Intermediate: Working capital of at least $75,000, shown on an audited or agreed-upon-procedures financial statement.
- Unlimited: Working capital of at least $150,000, shown on an audited or agreed-upon-procedures financial statement.
- Surety bond alternative: $175,000 (Limited), $500,000 (Intermediate), or $1,000,000 (Unlimited).
- A qualifier who passes the exam for the classification sought.
Requirements can change. Always confirm current licensing rules with the official state licensing authority before applying.
Cost
Fees
NCLBGC application fees are $75 for Limited, $100 for Intermediate, and $125 for Unlimited, with annual renewal at the same amounts. The PSI exam fee is paid separately and varies; see the PSI candidate bulletin. Fees are subject to change. Always confirm current fee amounts with NCLBGC and PSI before submitting payment.
Plan Ahead
Study Plan
A structured 6 to 8 week study plan for the North Carolina general contractor exam:
- Week 1-2: Study North Carolina contractor licensing law (Chapter 87) and business management topics.
- Week 3-4: Review the NC State Building Code and estimating fundamentals; confirm the current code edition with the Building Code Council.
- Week 5-6: Work through plan reading and project management practice questions.
- Week 7-8: Take full-length practice tests and drill weak areas under timed conditions.
Focus Areas
Study Topics
BL Business and Law
Study business and law for the Florida contractor licensing exam. Covers Chapter 489, lien law, workers' comp, contract law, and OSHA requirements.
Study this topicE Estimating
Study construction estimating for the contractor license exam. Covers quantity takeoffs, unit costs, overhead, profit, markup vs. margin, and bid calculations.
Study this topicBC Building Code
Study building code for the Florida contractor exam. Covers FBC, occupancy classification, means of egress, fire resistance, and wind and flood rules.
Study this topic
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Frequently asked questions
When is a general contractor license required in North Carolina?
A North Carolina general contractor license is commonly required for construction projects of $40,000 or more (the threshold set in G.S. 87-1, widely cited at $40,000 since 2022). Thresholds can change, so confirm the current figure with NCLBGC before bidding unlicensed work.
What are the North Carolina contractor license tiers?
NCLBGC issues Limited (single projects up to $750,000), Intermediate (up to $1,500,000), and Unlimited (no cap) licenses. Project caps exclude land cost. Each tier carries financial requirements ranging from $17,000 in working capital or $80,000 net worth for Limited up to $150,000 working capital for Unlimited.
Does North Carolina require trade experience for a general contractor license?
No trade experience requirement is imposed for the license itself. The applicant must meet the financial requirements for the chosen limitation, and the qualifier must pass the PSI exam for the classification sought. Requirements can change; verify with NCLBGC.
Does North Carolina accept the NASCLA exam?
Yes, for the Building classification. NCLBGC accepts the NASCLA Accredited Commercial Building exam, which is taken through NASCLA before applying. North Carolina has no full contractor reciprocity otherwise, so confirm details with the Board.