Handyman Licenses in Arkansas – Everything You Need To Know

Understanding the laws is essential if you’d like to offer professional handyman or home improvement services in Arkansas.

Luckily for you, I’ve already poured over pages of difficult-to-understand legal jargon, spoken to state representatives, and compiled the most critical information.

Here, you’ll learn what you need to know to confidently offer home repairs for profit.

Do you need a license to offer handyman services in Arkansas?

It depends.

If the cost of the project comes in under $2,000 (inclusive of labor and materials) AND isn’t electrical, plumbing, HVAC, or structural in nature, no license is needed.

If the value of the job is over $2,000 (or if you engage in electrical, plumbing, HVAC, or structural work),  you’ll need a license to legally deliver handyman services.

Limitations for handymen in Arkansas

As indicated above, specialty licensing is needed to perform work in the electrical, plumbing, HVAC, and structural fields. I was fortunate to connect with the Electrical Inspector and Plumbing Inspector for the state, and both underscored this. The exception to the rule is homeowners doing work in their own homes. In these instances, homeowners can swap out a faucet or lighting fixture without specialized licensing.

It’s worth noting that many other states allow handymen to engage in projects that “scratch around the edges” of plumbing and electrical. Examples include replacing toilets, sinks, or lighting fixtures. Even so, the inspectors I spoke with made it clear these tasks are NOT allowed for handymen without a plumbing or electrical license.

After digging, I came across a list of projects exempt from the above licensing rule in the Arkansas Plumbing Code. In Chapter 2, under “Minor Repairs Exempt from Licensing,” the manual indicates that replacing residential sinks and faucets is exempt if there’s no alteration or rearrangement of pipes. This is in contrast to my conversation with the Plumbing Inspector himself. Because the wording in the code is tricky and at risk of being misinterpreted, it’s worth checking with Arkansas’s Contractor’s Licensing Board for confirmation before you embark on work in this gray area.

Unfortunately, I couldn’t locate a similar site for Electrical Codes. Because of this, it’s best to check with the Licensing Board before you agree to replace lighting fixtures or ceiling fans. Even better if you’re connected to an inspector in the field.

Advertising Restrictions

Like most states, unlicensed handymen need to be careful not to “oversell” themselves in their ads, websites, proposals, and invoices. To avoid a run-in with the law, refrain from using terms like “licensed contractor” unless you have a Home Improvement, Residential Remodeler, or similar license. As the clerk I spoke with in the Arkansas Contractor’s Licensing Board put it: “Don’t say it if it ain’t true!”

With that said, if you have relevant licensing, include the details in your business communications–it adds legitimacy to your standing with prospective customers.

Insurance Requirements

In Arkansas, handymen must hold Worker’s Compensation insurance if they have one or more employees working under them.

General Liability insurance isn’t required of handymen, regardless of whether they’re licensed or not. But it’s a good idea, as it can protect against financial and legal liability should bodily injury or property damage occur.

Fortunately, insurance is low cost if you get it here.

Penalties for contracting illegally

Handymen in Arkansas who engage in plumbing, electrical, or HVAC work outside the legal parameters are subject to penalties. Taking on jobs over $2,000 in labor and materials without a license will also put you in jeopardy.

Arkansas can assess fines between $100-$400 for each day of unlicensed work, among other penalties. The state has the power to revoke a handyman’s license if he or she has employees and fails to carry Worker’s Compensation insurance.

Be smart—work within the framework the state has laid out for handymen, and tread the gray areas carefully. The repercussions aren’t worth it.

How do handymen obtain a license in Arkansas?

Handymen often begin the application process by visiting the Arkansas Contractors Licensing Board. The certification most handymen apply for is the Home Improvement License, which covers a broad range of common handyman projects and allows handymen to engage in work greater than $2,000 in value.

Some handymen opt for the Residential Remodelers or Residential Roofing license, which opens up the type of work you can accept, but the Home Improvement License is the prevailing application handymen go for. All three are defined here. With any choice, you’ll have the option of selecting a limited license (allowing for work up to $50,000 in value) or an unlimited license (permitting work with no cap).

The Home Improvement application must be printed, completed, and mailed or dropped off in person to the Contractor’s Licensing Board. Here’s what you’ll need to apply:

• Social security number
• Completed “Proof of Experience” form if you want specialties listed on your license
• Criminal background document, if applicable
• $50 fee

Arkansas’s Home Improvement License must be renewed annually at the same application rate of $50.

Conclusion

Arkansas laws make it easy to start a handyman business. No registration is required to start working, and a license is only needed if you aim to take on projects for more than $2,000.

Unlike other states, Arkansas doesn’t require its handymen to fill educational, experience, or exam prerequisites. And handymen who obtain their Home Improvement License have full control over the size of projects they take on. For this reason, your handyman earnings are much less restricted than in other states.

Since many Arkansas residents rely on handymen for home repairs, maintenance, and remodeling, the doors are wide open for anyone motivated to start a business.

Do you offer handyman services in Arkansas?

If so, I’d love to hear about your experience. Please leave a comment below to share any insights I may have missed.