Contractor licensing · TN

Contractor licensing in Tennessee

The agencies that license the work, set the workers compensation trigger and register the business, with a link to each one.

Checked 2026-07-28

An Arkansas contractor taking work in Tennessee deals with the same four questions everywhere: who licenses the trade, when a licence is actually required, when workers compensation kicks in, and where the business registers. Below is Tennessee's answer to each, with the agency's own link.

Licensing

Tennessee Board for Licensing Contractors (Dept. of Commerce & Insurance)

License required when total project cost is $25,000 or more, including electrical, plumbing, HVAC and roofing subcontracts over $25,000 (masonry $100,000 and up). Home improvement license covers $3,000 to $24,999 residential remodels in nine adopting counties.

https://www.tn.gov/commerce/regboards/contractors.html

Workers compensation

Tennessee Bureau of Workers' Compensation (Dept. of Labor & Workforce Development)

Construction businesses must carry coverage for everyone, including business owners; other employers need insurance at five or more employees.

https://www.tn.gov/workforce/injuries-at-work/employers/employers/who-must-carry-insurance.html

Business registration

Tennessee Secretary of State, Division of Business Services

https://tncab.tnsos.gov/

Tax registration

Tennessee Department of Revenue

https://revenue.support.tn.gov/hc/en-us/articles/360057120152-GEN-1-Registering-A-New-Business

New hire reporting

We could not confirm a new hire reporting site.

Most states require newly hired employees to be reported within a short window of their start date.

https://www.tnnewhire.com/

These are pointers to each state's own agencies, checked on the date shown, not legal advice and not a substitute for asking the board directly. Rules change and thresholds move. The agency link is always the authority.
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Starting or running the business itself is covered in the contractor business guide. Arkansas licence records for Benton and Washington counties are in the contractor directory.

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