New York general contractor license

1. Who needs a license

There is no statewide contractor license in New York. In New York City, anyone doing home improvement work costing more than $200 on a residential building needs a DCWP Home Improvement Contractor license. (source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab), source: NYC311: Home Improvement Contractor License Check (opens in a new tab))

• The NYC license does not cover new home construction, plumbing or purely electrical work. (source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab))
• Home improvement contractors must also be licensed in Suffolk, Nassau, Westchester, Putnam and Rockland counties. Check with the county. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))
• Statewide, home improvement contract rules apply to most improvements costing more than $500. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))

Penalties under state contract law

• A customer can sue for actual damages plus a $500 penalty and attorneys' fees if the contractor used fraudulent written statements. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))
• Contractors face $100 civil fines for breaking the Home Improvement Contract Law, and $250 to $2,500 for breaking the payment-protection rules. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))

2. General contractor license classes

3. Fees, exam, bond and insurance

Fees

Fees are set by the board and can change. Check the official fee page before you pay.

Experience and steps

1. Apply to DCWP Apply for the Home Improvement Contractor license with the documents on DCWP's checklist. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))
2. Get fingerprinted Principals and 10%+ owners are fingerprinted through IdentoGO. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))
3. Pass the exam Book through ExamBuilder and pass within 60 days. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))
4. Trust Fund or bond Enroll in the Trust Fund ($200) or file a $20,000 surety bond. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))
5. Show workers' comp Provide a workers' comp certificate or exemption. ACORD forms are not accepted. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))

Exam

An exam is required. Exams are run by ExamBuilder. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))

• 30 questions; you need at least 21 correct. You have 60 days from application processing to pass. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))
• One owner, officer or 10%+ shareholder must pass. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))

Bond

No bond is required. NYC: join the Trust Fund ($200) or file a $20,000 surety bond naming DCWP. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))

• Statewide, deposits taken before the job is substantially complete must go into a New York bank escrow account within 5 business days, or the contractor must give you a bond or contract of indemnity within 10 business days. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))

Insurance

• Workers' comp: NYC applicants must show New York workers' comp coverage or an exemption certificate. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))

Renewal

• Renew every 2 years. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))

NYC licenses run 2 years and expire 28 February in odd years. (source: NYC DCWP: Home Improvement Contractor license checklist (opens in a new tab))

4. How to look up a contractor

Check a license on the NYC DCWP website ↗ (official site, opens in a new tab)

How: NYC only: search DCWP's license search for the contractor, or call 311. Outside NYC, check with your county consumer affairs office. (source: NYC DCWP license search (opens in a new tab), source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab))

More ways to check

• Call 311 and say "Business Background Check" to check DCWP complaint history. (source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab))

Full checklist: how to check a contractor

5. Reciprocity (license transfer)

• New York licensing is local (NYC and some counties), so there is no state license to transfer. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))

Use the reciprocity checker

6. Red flags when hiring

• No DCWP license for a NYC home improvement job over $200. (source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab))
• Asks for cash, or more than 25% of the price upfront. (source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab))
• Offers to arrange your financing. NYC home improvement contractors are not allowed to. (source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab))
• No written contract, or no 3-business-day cancellation notice. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))
• Won't say where your deposit is held in escrow, or show a bond. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))

7. How to complain

How to complain

• In NYC, call 311 or visit nyc.gov/dcwp. The Trust Fund may repay you if a DCWP-licensed contractor did not finish or owes you money. It does not cover unlicensed contractors. (source: NYC DCWP: Quick tips when hiring a home improvement contractor (opens in a new tab))
• Outside NYC: Nassau County Consumer Affairs (516) 571-2600, Suffolk County Consumer Affairs (631) 853-4600, Westchester Consumer Protection (914) 995-2155. (source: NYC311: Home Improvement Contractor License Check (opens in a new tab))
• NY Attorney General: 1-800-771-7755. (source: NY Attorney General: Home Improvement Fact Sheet (opens in a new tab))