Handyman Licenses in Georgia – Everything You Need To Know

Understanding the laws is a must if you’d like to offer professional handyman services in Georgia.

This article covers much of what you need to know to offer home repairs for profit confidently.

I’ve poured over pages of difficult-to-understand legal jargon, spoken to state representatives, and compiled the most critical information. And here’s what I’ve found.

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

Well, it depends. A license is not required for jobs under $2,500, but it is needed for work over that threshold.

For handymen that opt to get licensed, the Residential Basic Contractor License is the one most commonly applied for. It allows you to work on one and two-family residences and one-family townhouses up to three stories high. This accreditation permits jobs on accessory structures, like garages and sheds, as well.

Unlike other states that often have different laws for different cities within their commonwealth, Georgia’s regulations are state-wide. So, the laws for handymen and contractors are the same whether you’re in Atlanta, Augusta, or Columbus.

Limitations for handymen in Georgia

From my research and multiple conversations with specialists in the licensing division of Georgia’s Secretary of State’s office, it became clear that handymen are not a highly regulated body of contractors in the state. I spoke with about six representatives within the licensing department (one woman had been there 30 years!), and none knew of specific restrictions for handymen, which was underscored in my research.

Despite browsing the state’s contracting-related sites for hours, I came up empty-handed. However, I was able to find multiple links to information on specialty licensing in electrical, plumbing, and HVAC. This speaks to Georgia’s commitment to licensing contractors in these fields so that they can legally engage in these specialties.

I was unable to clarify the “grey areas” of these specialized fields. For example, can an unlicensed handyman swap out a light fixture, install a new ceiling fan, replace a faucet, or swap a toilet? It’s not clear.

So, you may be able to provide these basic electrical and plumbing services if there are no structural changes, rewiring, or reconfiguring of pipes (and the work is superficial).

As a final note: to avoid overstepping boundaries in a state that isn’t forthcoming with its handymen guidelines, consulting with a lawyer before embarking on work in these areas is your safest bet. Or even consulting with other pros in the area.

Advertising Restrictions

Like most states, unlicensed handymen need to be careful not to “oversell” themselves in their ads, on their websites, or on proposals and invoices. To avoid a run-in with the law, avoid terms like “licensed contractor,” “general contractor,” “residential contractor,” and the like. These titles are reserved for handymen who have obtained their contractor licensing.

If you get a Residential Basic Contractor’s License, include your license number on your business communications. It will help establish credibility and avoid misconceptions from enforcers.

Insurance Requirements

Unlicensed handymen in Georgia aren’t required to hold liability insurance.

And while handymen working independently aren’t obligated to carry insurance, it’s a wise choice. You’ll protect yourself from potential legal fees if you inadvertently injure a customer or their property. Insurance is low cost if you get it here.

On the other hand, licensed handymen—those who apply for their Residential Basic Contractor’s License—must hold General Liability Insurance. The current mandate requires a policy of $300,000 per occurrence.

If handymen in Georgia (licensed or not) take on three or more employees, they must carry Worker’s Compensation insurance.

Penalties for contracting illegally

Handymen in Georgia working without the proper licensing are subject to penalties. For example, engaging in structural or in-depth plumbing, electrical, or HVAC work without the required licensing puts you at real risk.

Not only can you be reported to the licensing board and face fines and possible jail time, you’ll have no recourse if a customer refuses to pay. Transgressions that can lead to disciplinary action are detailed here.

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

How do you get a Residential Basic Contractor’s License in Georgia?

Handymen in Georgia often begin the application process by visiting the licensing division of the Georgia Secretary of State’s office. Most handymen seek out the Residential Basic Contractor’s License, which allows for work on one and two-family residences and one-family townhouses up to three stories high.

To apply, the following steps need to be followed:

• Evidence of two years of work alongside a licensed contractor OR independent work as a residential contractor.
• Fulfillment of at least two residential maintenance/repair projects completed within the past two years.
• Affirmation of 25k net worth (or surety bond, Credit Letter, or Letter of Credit in the same amount).
• Copy of Secure and Verifiable Document (SVD) such as Driver’s License or passport.
• Certificate of General Liability Insurance of at least $300k per occurrence.
• Completion of application form.
• A score of at least 75% on the PSI exam (registration link provided upon receipt of application) OR approved exemption.
• Paid fee of $300 at press time (includes cost of application, examination, and processing).

Application processing time runs about 20 business days.

License renewals are every two years at $100.

Conclusion

Georgia is a great place to start a handyman business.

Many Georgia residents rely on handymen to assist with home repair and remodeling jobs. Handymen in the state are fortunate that no license is required to start making money. And, if you want to tackle bigger jobs, the process to obtain a Residential Basic Contractor’s License is well-explained and uniform throughout the state.

Unlike other states, Georgia doesn’t cap the price of jobs a licensed contractor can tackle, which means your handyman earnings are much less limited than in other states.

Do you offer handyman services in Georgia?

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