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Contractor License in Arkansas

State license

Arkansas licenses contractors at the state level through the Arkansas Contractors Licensing Board (ACLB). Commercial contractors need a state license for any project valued at $50,000 or more, while residential work is licensed separately as a Residential Builder, Residential Remodeler, or Home Improvement Specialty.

Quick facts

When a license is neededCommercial license required at $50,000 or more (excluding single-family homes). Residential/home improvement licensing triggers on projects over $2,000.
ExperienceNo fixed number of years published; applicants must submit three completed reference letters from qualified individuals with direct knowledge of their work, plus proof of experience in the requested classification.
ExamArkansas Business & Law exam required for all classifications EXCEPT the Home Improvement Specialty license. Exam fee is $84.
BondCommercial license requires a $10,000 contractor surety bond. Applicants may also post a bond in lieu of the required financial statement (an amount equal to ten times the required net worth).
InsuranceWorkers' compensation insurance required if you have one or more employees. Residential Builder, Unlimited Residential Remodeler, and Unlimited Home Improvement applicants must also provide a certificate of general liability insurance in the business name.
Fees$100 nonrefundable filing fee plus $84 exam fee (where an exam applies).
RenewalLicenses renew annually. Commercial renewals require an updated CPA-compiled financial statement dated within one year (minimum $50,000 net worth for commercial, at least $25,000 in cash or cash equivalents). No continuing education requirement confirmed.
Main agencyArkansas Contractors Licensing Board
Official sitehttps://labor.arkansas.gov/licensing/arkansas-contractors-licensing-board/apply-for-contractors-license-registration/
Requirements, thresholds, and fees change, and local rules can be stricter than the state. Always confirm directly with the board and your local building department before you bid or pull a permit. This page is a starting point, not legal advice.
Apply / official Arkansas board →

License classifications

How to get licensed in Arkansas

  1. Determine your license type: Commercial ($50,000+), Residential Builder, Residential Remodeler, or Home Improvement Specialty.
  2. For all types except Home Improvement Specialty, register for and pass the Arkansas Business & Law exam ($84).
  3. Obtain the required financial statement: a CPA-compiled report (commercial minimum $50,000 net worth) or post a bond in lieu of financial statement.
  4. Gather three reference letters using the forms in the application packet and proof of experience in your classification.
  5. Secure your $10,000 surety bond (commercial), workers' compensation coverage if you have employees, and a certificate of insurance where required.
  6. Complete the correct application packet and submit it with the $100 filing fee to the Arkansas Contractors Licensing Board.
  7. Renew annually and submit an updated financial statement where required.

Frequently asked questions

When do I need an Arkansas commercial contractor license?

You need a state commercial license from the ACLB for any commercial project valued at $50,000 or more (materials and labor). Single-family residences are handled under the residential licenses instead.

Do I need a license for small residential jobs?

Yes. Residential and home improvement work triggers licensing once the project exceeds $2,000 including labor and materials. A Home Improvement Specialty license covers smaller remodel-type work.

Which license does not require the Business & Law exam?

The Home Improvement Specialty license is the only classification that does not require passing the Arkansas Business & Law exam, though you must still show proof of experience in your specialty.

What is the difference between a limited and unlimited license?

A limited (restricted) residential or home improvement license caps you at projects under $50,000. An unlimited license removes that cap. On the commercial side, a restricted license covers projects below $750,000 and a full license covers larger work.

Is a surety bond required?

Commercial applicants must provide a $10,000 contractor surety bond. A separate bond in lieu of a financial statement is also available, set at ten times the required net worth for your classification.

Sources

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Guide compiled from official Arkansas licensing-board sources. Verify current details with the board before acting; licensing rules change.