How to Get a Mississippi Contractors License

Ready to turn your building skills into a business? Before you swing that first hammer, you’ll need to obtain a Mississippi state contractor’s license. The Magnolia State regulates construction work through the Mississippi State Board of Contractors¹ (MSBOC), and the licensing steps are straightforward once you know the drill.

Do You Need a Contractor’s License in Mississippi?

Yes, but the type of Mississippi contractor’s license you need depends on the size and scope of your work. Here’s how it breaks down:

• Residential license:² You’ll need this license if you’re doing residential construction projects at over $50,000, or home remodeling, additions, or roofing over $10,000. 
• Commercial license:³ Required for any commercial project over $50,000. For fire-sprinkler systems, you’ll need a license for public jobs over $5,000 and private jobs over $10,000. 

What Are the Basic Requirements?

Before you dive into the application, make sure you have the following requirements⁴ at-hand:

• An income tax ID, federal tax ID, or Social Security Number (for residential licenses), or a sales/use tax number (for commercial licenses) from the Mississippi Department of Revenue.⁵
• If you’re an LLC or corporation, you must be registered with the Mississippi Secretary of State.⁶
• General liability insurance — residential license holders aren’t required to meet a minimum, but commercial applicants must show at least $300,000 per occurrence and $600,000 aggregate.
• Workers’ compensation coverage is required if you have 5 or more employees.
• Three reference letters — one must be from your bank.
• A short list of completed jobs that match the trade classification you’re applying for.
• A qualifying party (likely you) who will take the required exams.

How Do I Apply for a Mississippi State Contractor’s License?

The Mississippi State Board of Contractors offers a short video⁷ that’s worth watching first — it gives you a clear overview of the entire licensing process.

Next, decide whether you’re applying for a residential⁸ or commercial⁹ license. Once you’ve made that call, here’s what to do:

1. Fill out the application — download the residential or commercial form from MSBOC’s website¹⁰ and be sure to notarize where requested.
2. Gather supporting documents — insurance certificates, three reference letters, a project list, proof that your qualifying party is employed, and tax IDs.
3. Include the fee — $50 for a residential license, $400 for a commercial license.
4. Submit your completed packet — mail it to the address listed on the application form.¹¹ Because a portion of the application must be notarized, online submission is not allowed.

Once your application is accepted, you’ll receive an email from MSBOC with instructions to schedule your exam through PSI,¹² the state’s testing vendor.

Do I Need to Take an Exam?

Yes, every applicant must pass the Mississippi Law & Business Management exam. Specialty contractors will also need to take a trade exam, based on the type of work they plan to do. 

Here’s what happens next:

1. PSI will email you with details about your exams, including what to study, how to schedule, and which books you can bring for your particular exam.
2. Choose how you want to test — either in person at a PSI location or online with a remote proctor.
3. Pay the exam fee and take the open-book test.

Can I Get an Exam Waiver?

If you’re licensed as a contractor in another state, you may not have to retake the trade exam in Mississippi. MSBOC¹³ offers reciprocity for certain states, making it easier to get licensed if you’ve already met similar requirements elsewhere.

Here’s how it works:

• Submit the reciprocity form¹⁴ along with your application.
• If approved, you can skip the trade exam — but you’ll still need to pass the Mississippi Law & Business Management test and meet all other requirements.

Do Subcontractors Need a License in Mississippi?

Yes, if you want to obtain a Mississippi electrical license or a Mississippi plumbing license, you must apply for an additional classification¹⁵ — even if you already hold a residential or commercial contractor’s license.

These specialty licenses follow the same insurance, reference, and renewal requirements as residential and commercial contractor licenses.

Once I’m Licensed, What Comes Next?

Getting your Mississippi state contractor’s license is just the beginning, and you’ll need to keep it current to stay in good standing. Here’s what to know about maintaining your Mississippi contractor’s license:

• Licenses expire one year from the issue date. MSBOC mails renewal forms about 60 days before that, but it’s still your responsibility to renew on time.
• Late renewals are accepted up to 180 days after expiration, with a late fee.
• Keep your insurance coverage active — MSBOC must be listed as the certificate holder.
• Notify the Board if your address, ownership, or trade classifications change.

Do I Need Business Insurance?

In Mississippi, general liability coverage is mandatory for all licensed contractors. And if you employ five or more people, Mississippi State Law requires you to carry workers’ compensation insurance.

Even if you don’t have employees, carrying workers’ comp and general liability insurance is a smart investment. It can protect your business financially from claims related to third-party accidents, property damage, or injuries on the job, and can help build trust and confidence with clients.
Need help finding coverage? We can connect you with quotes from top insurers who specialize in contractor and handyman insurance.

Ready to Build Your Future?

Getting licensed and insured is a key step toward launching a trustworthy and fully legal contracting business in Mississippi. Looking for more tips to help you grow? Visit our Resource Center for articles, templates, and tools designed for small business owners like you.

Here are just a few that provide helpful information for contractors:

• General Contractor Insurance: Everything You Need to Know
• FREE Contractor Invoice Template
• Business Insurance in Mississippi

If you still have questions about how to get a contractor’s license in Mississippi, we encourage you to speak with local legal and tax professionals who can assist you.

References:

1. https://www.msboc.us/ ↩︎
2. https://www.msboc.us/wp-content/uploads/2024/09/RESIDENTIAL-APPLICATION-updated-7-2024.pdf ↩︎
3. https://www.msboc.us/wp-content/uploads/2024/09/COMMERCIAL-APPLICATION-updated-7-2024.pdf ↩︎
4. https://www.msboc.us/general-info/frequently-asked-questions/ ↩︎
5. https://www.dor.ms.gov/ ↩︎
6. https://www.sos.ms.gov/ ↩︎
7. https://www.youtube.com/watch?v=1SoeC4ogiVo&t=2s ↩︎
8. https://www.msboc.us/wp-content/uploads/2024/09/RESIDENTIAL-APPLICATION-updated-7-2024.pdf ↩︎
9. https://www.msboc.us/wp-content/uploads/2024/09/COMMERCIAL-APPLICATION-updated-7-2024.pdf ↩︎
10. https://www.msboc.us/forms/ ↩︎
11. https://www.msboc.us/forms/ ↩︎
12. https://www.psiexams.com/ ↩︎
13. https://www.msboc.us/contractors/reciprocity/ ↩︎
14. https://www.msboc.us/wp-content/uploads/2025/02/Reciprocity-Instructions-and-Form-updated-02-2025.pdf ↩︎
15. https://www.msboc.us/wp-content/uploads/2021/07/APPLICATION-FOR-ADDITIONAL-CLASSIFICATION.pdf ↩︎