STATE LICENSE
ConditionalAlabama Licensing Board for General Contr…
Alabama runs two separate general-contracting regimes. The Licensing Board for General Contractors (Code of Ala. § 34-8) covers any building, highway, sewer, site work, paving, or other improvement where the cost of the undertaking is $100,000 or more — Act 2024-277 raised that floor from $50,000 effective October 1, 2024 — but § 34-8-7(a)(2) exempts the construction or repair of any residence or private dwelling. Residences belong to the Home Builders Licensure Board (§ 34-14A), whose license is triggered once a residential undertaking exceeds $10,000.
The commercial license is financial as much as technical. The board assigns each licensee a bid-limit letter — A (up to $100,000) through E (up to $3,000,000), or U for unlimited — set at no more than 10 times the lesser of net worth or working capital on a CPA-prepared financial statement, with a $10,000 minimum for both. Subcontractors working under a general contractor on $100,000+ undertakings need their own license from the same board, at half the fee, with no exam and no bid limit.
Act 2026-396, effective October 1, 2026, added new exemptions to § 34-8-7, including residential swimming pools and certain routine maintenance, repair, cleaning, and facility-support work. The board says the act does not define every routine-maintenance situation and asks contractors to raise specific projects with the board before bidding or starting work.
The state sets the license floor; the county or city permit office controls filing, inspections, and local rules wherever the job site sits.
Permit desks enforce the state split. Under Code of Ala. § 34-14A-13, a city or county building official must refuse a permit for residential work that requires a Home Builders license unless the applicant shows the license or an exemption, and under § 34-8-9 must see a General Contractors Board license or exemption before issuing commercial permits — that permit statute still reads $50,000, and the Huntsville and Mobile contractor pages still quote $50,000, even though the licensing threshold in § 34-8-1 has been $100,000 since October 1, 2024. State licensure never replaces the local business license: municipalities levy their own under § 11-51-90 et seq., which classifies construction trades (NAICS 236–238) on gross receipts and/or a flat rate. Huntsville requires every contractor and subcontractor to hold a current city privilege license and contractor's liability insurance before construction, and requires a building permit when labor and materials exceed $250 or any structural work is involved. The same statutory permit-desk checks bind Birmingham's and Montgomery's building officials.
The local offices section below names the exact permit desk for every Alabama county on file.
Each row names the issuing authority, cost, timeline, citation, and status behind the requirement — verified against the official source.
Published fees from the issuing authorities, as of October 2026. Local permit fees vary by project and jurisdiction — the basis is stated where a flat number does not exist.
Act 2024-277 raised the commercial licensing threshold from $50,000 to $100,000 effective October 1, 2024. Old guides — and some city pages — still say $50,000.
Bid limits: A ≤ $100,000 · B ≤ $250,000 · C ≤ $500,000 · D ≤ $1,000,000 · E ≤ $3,000,000 · U unlimited — at most 10× the lesser of net worth or working capital.
GC license numbers 1 through 18907, issued before the HBLB existed, may do residential work; anyone numbered 18908 or higher needs a separate Home Builders license.
A practical sequence for a new general contracting contractor in Alabama. Actual agency processing times are noted in the ledger above.
Each item names the issuing authority, cycle, and citation.
Statutory consequences with their citations — not estimates, not “commonly cited” guesses.
Engaging in general contracting without a license, or using an expired or revoked license, is a Class A misdemeanor for each offense.
The board may fine any violation and may seek an injunction with an additional fine plus costs and attorney fees; a contractor who fails to stop work can be barred from applying for up to one year.
An unlicensed residential home builder cannot sue to enforce the contract, commits a Class A misdemeanor, and faces HBLB fines.
Inside city limits, the city office listed here issues the permit; the county office serves unincorporated areas. Every office links to its official page.
Every fact in this file was checked against these official sources on October 2026.
Pending verification: PSI and Prov exam fees (paid to the vendors; not published on either board's site) · Minimum liability-insurance amount for the GC Board license — § 34-8-2 requires proof of insurance but sets no figure, and the board's 230-X rules were not reviewed · Whether the GC Board's administrative rules impose any continuing-education requirement (none appears in § 34-8-2) · Birmingham's and Montgomery's own contractor registration and business-license procedures · Whether the § 34-8-9 permit-desk figure ($50,000) will be conformed to the $100,000 licensing threshold
General information, not legal advice. Always confirm requirements, deadlines, and forms with the issuing authority before filing or contracting.
Store licenses, permits, policies, and renewal dates in one place.