Chapter 16 of 194% of exam

South Carolina Licensing Threshold & Scope

South Carolina licenses commercial contractors through the CLB and defines when a license is needed and what it authorizes. This chapter covers the licensing threshold and the scope of a commercial license.

The $10,000 threshold

The South Carolina Contractor's Licensing Board (CLB), within the Department of Labor, Licensing and Regulation, licenses commercial general and mechanical contractors under S.C. Code Title 40, Chapter 11. After Act H.4115 of 2023, a commercial license is required when the cost of the work exceeds $10,000, raised from the former $5,000 threshold.

Scope of a commercial license

A CLB commercial license also authorizes the holder to perform residential building work, so a commercially licensed general contractor need not obtain a separate residential builder's license. The reverse is not true - a residential-only credential does not authorize commercial work.

State-specific details

State exam facts

Passing score
70%
Scored questions
50
Time limit
125 minutes
Does South Carolina require a state contractor license?

Yes. The South Carolina Contractor's Licensing Board (CLB), within LLR, licenses commercial contractors under S.C. Code Title 40, Chapter 11. A commercial license is required when the cost of the work exceeds $10,000 (after Act H.4115 of 2023).

What is on the South Carolina Business Management and Law exam?

The Business Management and Law exam is 50 questions, 125 minutes, and requires 70% to pass. Financial Groups I through V tie bid limit, working capital, net worth, and bond together (Group I $100,000 up to Group V unlimited), and applicants qualify by net worth or working capital.

What extra rules apply to South Carolina contractors?

A commercial CLB license also authorizes residential work, and a GC-Building contractor may self-perform ancillary specialty work only up to about 20% of project cost. The E-Verify requirement and the NPDES construction stormwater permit (one acre or more) also apply.

Sources: https://llr.sc.gov/clb/

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