Tennessee Contractor License Reciprocity
Tennessee has reciprocity agreements with 9 states. These agreements may allow you to skip certain trade exams when applying for a license in those states, or when applying for a Tennessee license with credentials from those states.
States That Accept a Tennessee License
Trade exam waiver for comparable classification. Must pass AL Business & Law exam. License must be held 1+ year with no disciplinary actions. 30-day processing.
Reciprocity for contractor licenses; Tennessee contractors must have held a valid license for at least 3 years. Must complete reciprocal application form and pay standard fees.
Electrical contractor reciprocity available; trade exam waiver with license verification form
Formal reciprocity agreement. LSLBC accepts equivalent Tennessee exam scores. Must still meet Louisiana financial, insurance, and application requirements.
Trade exam waiver for electrical, HVAC, and plumbing classifications. Mississippi Business and Law exam still required.
Exam waiver; must pass NC Business & Law exam
Trade exam waiver agreement for electrical and HVAC contractors. Licensed Ohio contractors may qualify for exam waiver in Tennessee and vice versa.
Trade/technical exam waiver for qualifying license holders. Must still pass SC Business Management & Law exam.
Reciprocity for Electrical, General Building, HVAC, Multi-Family, Plumbing, Residential, and Sprinkler/Fire Protection classifications. Must pass WV Business and Law exam. Must meet financial and insurance requirements and provide official license verification from Tennessee.
States Whose Licenses Tennessee Accepts
Trade exam waiver for General, Electrical, Residential, HVAC. Must pass TN Business & Law exam.
Trade exam waiver for Commercial Building only. Must pass TN Business & Law exam.
Trade exam waiver for Commercial and Electrical. Must pass TN Business & Law exam.
Trade exam waiver. Must pass TN Business & Law exam.
Trade exam waiver. Must pass TN Business & Law exam.
Trade exam waiver for Residential, Commercial, Electrical. Must pass TN Business & Law exam.
Trade exam waiver for General. Must pass TN Business & Law exam.
Trade exam waiver. Must pass TN Business & Law exam.
Trade exam waiver. Must pass TN Business & Law exam.
How Tennessee's reciprocity actually works
Tennessee has one of the broadest reciprocity networks in the country: contractors holding active licenses from Alabama, Arkansas, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, Virginia, or West Virginia can waive the trade portion of Tennessee's exam. Every reciprocal applicant must still pass the Tennessee Business & Law exam (50 questions, 3 hours, 73% to pass, $57 fee through PSI).
Classifications that transfer vary by state. Alabama, Louisiana, Mississippi, Virginia, and West Virginia waive the trade exam for general contracting broadly. North Carolina is restricted to residential, commercial, and electrical. Arkansas only transfers commercial. Georgia covers commercial and electrical. South Carolina covers general only. These restrictions live in each state's BLC agreement and get enforced at application review.
Real-world example: Alabama contractor moving to Tennessee
An Alabama-licensed contractor with 5 years of commercial experience and an active GC license applies to Tennessee's BLC under reciprocity. They submit license verification from the Alabama Licensing Board for General Contractors, financial statements (reviewed CPA for monetary limits under $1.5M), one reference letter, $250 application, $57 Business & Law exam fee, and proof of $100K–$1M general liability (scaled to license limit). Trade exam is waived. The TN Board meets every other month, so processing runs 4–6 weeks. Total typically lands around $400–$500 plus insurance and CPA fees.
Things to verify before applying under reciprocity
Common gotchas:
- The home-state license must be active and in good standing — TN verifies directly with the issuing board
- TN's monetary limit is set by working capital (10x) or net worth (10%), whichever is less — your home-state limit doesn't carry over
- Roofing applicants need a $10,000 financial responsibility bond regardless of reciprocity
- Continuing education (8 hours every 2 years for BC-A residential) starts at TN's renewal, not your home state's
Working in Tennessee with an out-of-state company?
Reciprocity moves your license, not your business. An LLC formed elsewhere generally has to register as a foreign entity in Tennessee before it can contract there — Northwest files the qualification and serves as the in-state registered agent.
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