Minnesota Contractor License Requirements & Application Help | Contractor Licensing Inc
Get step-by-step help with the Minnesota contractor licensing process—classifications, experience, insurance, and bonds. Contractor Licensing Inc handles filings, and compliance.
Minnesota licenses residential contracting companies — not individuals — through the Department of Labor and Industry (DLI). Every licensed company designates one Qualifying Person who passes the exam on the company's behalf. Electrical and plumbing work require their own separately licensed contractors, and several specialty trades need a DLI-filed bond.
Minnesota Contractor License Requirements & Application Help
Contractor Licensing Inc. helps you choose the right license, prepare your Qualifying Person for the exam, and handle bonding where it's required.
Quick Answer
- Licenses cover companies, not individuals — each company names one Qualifying Person who takes the exam.
- Building Contractor (BC), Remodeler (CR), and Roofer (RR) share the same requirements — only the exam differs.
- No experience or education prerequisite to sit for the exam: 110 questions, 70% to pass.
- BC/CR/RR pay into the Contractor Recovery Fund ($100,000 cap per claim) instead of a bond.
- Electrical, plumbing, elevator, and mechanical contractors instead file a $25,000 bond with DLI.
- Plumbing has reciprocity with North Dakota and South Dakota; general contracting has none.
Minnesota's 3 Residential License Types
Residential Building Contractor (BC)
Allows new construction and everything a Remodeler license permits. Qualifying Person must pass the Qualifying Builder (QB) exam.
Residential Remodeler (CR)
Covers work on existing structures only — no new construction. Qualifying Person passes the Qualifying Remodeler (QC) exam.
Residential Roofer (RR)
Roofing work only — cannot contract for gutters, downspouts, soffits, or fascia. Qualifying Person passes the Qualifying Roofer (QR) exam.
Licensing Threshold & Requirements
A license is required to contract with a homeowner to build or improve a one- or two-family dwelling or townhouse by offering more than one specialty skill. Owners working on their own property must also be licensed if the work is done for the purpose of speculation or resale.
- Business entity registration with the state
- Certificate of liability insurance
- Certification of compliance with Minnesota Workers' Compensation Law
- A designated Qualifying Person who has passed the required exam
What to Expect on Exam Day
Minnesota's exam is 110 multiple-choice questions, with a passing score of 70% or higher. There's no prerequisite experience or education requirement to sit for it — roughly 60% of the questions relate to the specific license (BC, CR, or RR), with the rest covering general business and legal topics. Exams are offered at DLI's St. Paul office and at outstate Minnesota testing locations.
What Happens if a Job Goes Wrong
Every licensed residential building contractor, remodeler, and roofer pays into the Contractor Recovery Fund (CRF) instead of filing a bond. The fund compensates homeowners for direct, out-of-pocket losses caused by a contractor's fraudulent, deceptive, or dishonest practices, fund conversion, or failure to perform.
- Maximum payout per claim: $100,000
- Two-year license fee into the fund: $320–$520, based on gross business receipts
- Homeowners must obtain a judgment against the contractor before collecting
Electrical, Plumbing & Mechanical Contractors
Electrical Contractors
Licensed individually as Class A Master or Class A Journeyman electricians, plus a company-level electrical contractor license. All electrical work beyond a homeowner wiring their own occupied single-family home requires a DLI-licensed electrical contractor. Requires a $25,000 bond.
Plumbing Contractors
Master plumbers need 60 months of experience; journeyman plumbers need 48 months. Both pass a trade exam with a 70% score. Plumbing contractors and restricted plumbing contractors (for municipalities under 5,000 population) must file a $25,000 bond and employ a licensed master plumber.
Mechanical Contractors — No State License, But a Bond Is Required
Minnesota has no state license requirement for mechanical contractors doing gas, heating, ventilation, cooling, air conditioning, fuel-burning, or refrigeration work. They must, however, file a $25,000 mechanical contractor bond with DLI before contracting for that work.
Minnesota Contractor License Reciprocity
Plumbing — North & South Dakota
Minnesota has direct reciprocity agreements with North Dakota and South Dakota for journeyworker and master plumber licenses. If your license in either state was obtained by examination, held at least 1 year, and is in good standing, you can get the equivalent Minnesota license without retesting — a $50 application fee still applies.
Electrical — Case-by-Case
DLI processes individual electrical license reciprocity applications (Class A Master or Journeyman), but doesn't publish a fixed list of partner states the way the plumbing statute does. Confirm your specific state's status directly with DLI before applying.
Minnesota Contractor License FAQ
Do I need a contractor license in Minnesota?
Yes, if you offer more than one specialty skill on a 1-2 family dwelling or townhouse. Electrical and plumbing always require a licensed contractor.
What's the difference between BC, CR, and RR?
BC covers everything including new construction; CR covers existing structures only; RR is roofing-only. Same requirements, different exams.
Do I need experience to take the exam?
No — no prerequisite experience or education. Just pass the 110-question exam with a 70% score.
What is the Contractor Recovery Fund?
A consumer protection fund covering up to $100,000 per claim, funded by license fees instead of a bond for BC/CR/RR licensees.
Does Minnesota require a contractor bond?
Not for BC/CR/RR (they pay into the Recovery Fund instead) — but specialty trades like electrical, plumbing, elevator, and mechanical need a $25,000 DLI bond.
Does Minnesota have reciprocity with other states?
Plumbing has reciprocity with North Dakota and South Dakota. General contracting (BC/CR/RR) has none.
DLI Contact
Minnesota Department of Labor and Industry
443 Lafayette Road N., St. Paul, MN 55155
(651) 284-5069
Minnesota State & Local Bonds
| Bond | Amount | |
|---|---|---|
| Electrical Contractor | $25,000 | Apply Now |
| Plumbing Contractor | $25,000 | Apply Now |
| Elevator or Limited Elevator Contractor | $25,000 | Apply Now |
| Water Well Contractor | $25,000 | Apply Now |
| Technology System Contractor | $25,000 | Apply Now |
| Satellite System Contractor | $25,000 | Apply Now |
| Sign Contractor (statewide) | $8,000 | Apply Now |
| Water Conditioning Contractor | $3,000 | Apply Now |
| Fire Protection Sprinkler System Contractor | Varies | Apply Now |
| Utility Contractor (Continuing) | Varies | Apply Now |
| Utility Contractor (Individual Permit) | Varies | Apply Now |
Several Minnesota cities require their own local contractor bond on top of any state DLI requirement.
| Jurisdiction & Bond | Amount | |
|---|---|---|
| Minneapolis — Building Contractor Class A | $10,000 | Apply Now |
| Minneapolis — Residential Specialty Contractor | $10,000 | Apply Now |
| Minneapolis — Masonry Contractors Class A | Varies | Apply Now |
| City of St. Cloud — Commercial Contractor | $25,000 | Apply Now |
| City of Maple Grove — Sign Contractor | $10,000 | Apply Now |
| Minnetonka — Swimming Pool Contractor | $10,000 | Apply Now |
| City of Saint Paul — Building Contractors License | $2,500 | Apply Now |
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