With over 17 years of experience in trade licensing, Contractor School Online (CSO) is your primary resource to help you pass your State Contractor License Exam! We offer Online Practice Tests, study materials, books and more.

To become a certified contractor in Alabama, depending on the trade you are interested in, you may be required to pass a trade exam and Business, Law and Management. Use our Information Request Form to find out more.

Contractor School Online (CSO) will assist you with their professional consultants and provide study materials, also practice tests for the Business, Law, and Management and your trade if available. If purchases are made elsewhere make sure the correct author, title and year are appropriate for the trade.

CSO Business, Law and Management Practice Test coincides with the required State Contractor’s Manual.

Please note: Inventory Pricing - Contractors State Bonding and Subjects may change without notice.

Construction Work Regulated:

Electrical work is regulated at the state level. Prequalification is required of all contractors intending to bid or perform any highway work in the state.

License Requirements

Highway Pre-qualification:

• Contractors must submit experience history and CPA or PA prepared financial statements. Bid limits are based on the net worth of the contractor. A combined project maximum of $1,875,000 can be awarded on unaudited financial statements.

Residential Contractors:

• Applicants are required to pass a combined business law and trade examination. A new applicant must submit financial statements, a credit report and a license fee of $180. The average processing time for new applications is 30 days. Licenses expire on December 31st and are renewed for one year for $180. Residential home builders must participate in a recovery fund by paying an initial fee of $30. There were 5,200 licensees as of December 1994.
• Prequalifications are good for 15 months from the contractors year end.
• There were 300 prequalified contractors as of October 1996.

Electricians:

• Applicants must pass a trade examination with a score of 75% and provide documentation of eight years of experience.
• There were 350 contractor licensees as of October 1994.

Other:

• Nonresident contractors shall post a security equal to 3 % of the total value of the contract with the Department of Revenue and Taxation. Nonresident contractors shall file a $500 performance and a $3,000 indemnity bond on contracts between $500 and $100,000. For contracts exceeding $100,000 the indemnity bond increases by $1,000 per each additional $100,000 or part thereof, to a maximum of $25,000. Certified resident contractors are allowed a 5 percent preference on public works projects. Public works contracts from $7,500 to $100,000 require a bond of 50 percent of the contract price. Contracts through the Department of Administration and Fiscal Control of $25,000 or more require a bond in an amount equal to 100 percent of the contract price.

Reciprocal Agreements:

• Electrical reciprocity agreements exist with Idaho, Montana and Utah.

License Types

Electrical Contractor:

• Contractor
• Master
• Journeyman
• Specialty