Do you need a contractor license in Arizona?

When do you need a license?

A license is required if labor and materials exceed $1,000, or if a permit is required whatever the price. (source: Arizona ROC: License Classifications (opens in a new tab), source: A.R.S. 32-1121 (opens in a new tab))

• The handyman exemption covers only casual or minor work under $1,000. It does not apply if the work is part of a larger project or needs a permit. (source: A.R.S. 32-1121 (opens in a new tab))
• Unlicensed people who advertise must include the words "not a licensed contractor". (source: A.R.S. 32-1121 (opens in a new tab))
• Contractors must be licensed before they bid. Subcontractors and consultants who manage a project for the owner count as contractors. (source: Arizona ROC: License Classifications (opens in a new tab))
• If an owner-builder sells or rents the structure within one year of completion, that is evidence it was built for sale or rent. (source: A.R.S. 32-1121 (opens in a new tab))

Penalties

• Contracting without a license is a class 1 misdemeanor: a fine of at least $1,000 for a first offense and at least $2,000 for later offenses. (source: A.R.S. 32-1164 (opens in a new tab))