Understanding the state laws is essential to offering handyman services for profit in South Carolina.
Here, I explain the laws regarding home repairs, remodels, and other home services.
I’ve poured over pages of difficult-to-understand legal jargon and pulled out the critical information you need before offering handyman services professionally.
Let’s jump right in.
Do you need a license to offer handyman services in South Carolina?
No, a contractor or handyman license is not required to offer small repairs professionally.
However, to tackle projects over $500 (including materials), you must register as a Residential Specialty Contractor (more on that below).
Limitations for unlicensed (unregistered) handymen
If you stay within the $500 cap, there are virtually no limitations on your services – which is unusual compared to other states.
According to the clerk I spoke with at the South Carolina Department of Labor, Licensing, and Regulation, any work under $500 isn’t regulated by the state.
So you can do plumbing, electrical, HVAC, or anything your customers throw at you.
However, I would be hesitant to listen to that one clerk because others have shared that limitations exist. Read the limitation for registered handymen below for more details on jobs you may want to avoid.
Another limitation you’ll want to be aware of is advertising. Handymen must prominently display their registration number in all advertising. So, if you’re not registered, be careful how you advertise.
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Limitations for registered handymen
When registering as a Residential Specialty Contractor, you must choose three trades to specialize in.
Then, you may only subcontract in the trades you’re registered in. For example, you cannot do carpentry work unless you choose carpentry as one of your three trades.
Additionally, you may only construct additions under the supervision of a registered Residential Builder.
Plumbing, electrical, HVAC, and structural work (over $500) requires additional licensing beyond that of a Residential Specialty Contractor.
According to the clerk, you can still engage in these projects, assuming the total bill is under $500. However, I would be cautious here as I couldn’t find this in writing.
If you want to work on properties built before 1978, you will need a USA EPA certification for Lead paint.
You also need a special license to work on mobile homes in South Carolina.
There are likely more limitations than these, but these are the big ones. If you choose to register, you will likely be informed of additional limitations.
What are some of the jobs handymen can take on?
If you aim to capitalize on larger profit-turning projects, opportunities open up once you’re registered as a Residential Specialty Contractor. Unique to South Carolina, applicants must identify three areas to specialize in during registration. Handymen are mandated to work within those three categories, which will remain in effect until the re-registration process every two years (at which point they can change their specialties if they choose).
Here are the options:
- Vinyl/Aluminum Siding
- Insulation Installer
- Roofing
- Solar Panel Installers
- Floor Covering
- Masonry
- Drywall Installer
- Carpenter
- Stucco Installer
- Painter/WallPaper
Practicing more than three specialties at a time requires handymen to obtain a Residential Builder registration, a separate application process.
Worth noting, however, is the fact that general maintenance work can be taken on in addition to three selected trades. Handymen can perform gutter cleaning, furniture assembly, caulk/grout work, etc., on top of their three trades, as general maintenance under $500 isn’t regulated by the state.
The agent I spoke with was readily available and helpful in clarifying these grey areas. For specific questions, dial (803) 896.4300 or email contact.rbc@llr.sc.gov.
What about insurance?
If your handyman business hires more than four employees, or if your annual payroll is over $3K, you’ll need to purchase Worker’s Compensation Insurance. And if you operate a vehicle for your business, you’ll need a commercial auto policy.
Finally, for projects over $5K (inclusive of labor and materials), a surety bond in the amount of $5,000 is required.
For the best place to get handyman insurance, read this article.
Advertising guidelines and constraints
Advertising restrictions are few, and the focus is on the prominent display of a handyman’s registration number. These numbers should be posted on all advertising, including contracts, business cards, and commercial vehicles.
Penalties for contracting illegally
Working outside laws in place for handymen–whether performing work over $500 without a valid Residential Specialty Contractor registration or engaging in plumbing, HVAC, and electrical work without the proper specialty license–places the handyman in jeopardy. South Carolina considers this violation a misdemeanor and assesses fines of up to $5,000 and possible jail time.
What are the steps to register as a Residential Specialty Contractor in South Carolina?
Registration is handled through the Residential Builders Commission within South Carolina’s Department of Labor, Licensing, and Regulation. The application process is thorough and can best be outlined via the bulleted list below:
- Three letters of reference from those you’ve worked for in the past five years, containing a description of work performed and verification of your skills, knowledge, and standing as someone of moral character.
- Copy of credit report from a major credit bureau, dated within 30 days of application.
- Copy of Driver’s License
- Copy of Social Security card
- Notarized Verification of Lawful Presence – a form claiming your legal right to work in the U.S., signed by a notary.
- Legal name change documentation, if applicable.
- Company Information forms (if you intend to operate under a company name).
- Completion of Personal History Questions, with potential for criminal background check, depending on responses.
- $100 check or money order, payable to SCRBC, for the application fee.
Applications are accepted via mail, and all completed forms and documentation are outlined here. No exam is required in the state of South Carolina.
Business Licensing Requirements
Please note that this article covers contracting license requirements only. To conduct business legally (regardless of what business you’re in), there are additional licensing requirements. Here’s a brief overview of steps to take:
- Register with the state (see LLC vs Sole Proprietorship)
- City Business Licenses – Often required for each city you serve.
- County Business Licenses – Some counties require a business license.
- Obtaining a Sales & Use Tax License (if you plan to sell materials and mark them up).
This is not an exhaustive list. There may be additional requirements in your city/state.
Conclusion
South Carolina’s laws are friendly to handymen when compared to other states.
Without getting registered, you can tackle most jobs under $500.
While it possible to operate a profitable handyman business within that limitation, you’ll likely need to register to make a six-figure income.
Luckily, that’s relatively easy to do as well. Then, if you decide you want to work on older homes with Lead paint or mobile homes, you can get the appropriate licenses to expand your horizons.
Do you offer handyman services in South Carolina?
If so, I’d love to hear about your experience. Please leave a comment below to share any additional insights I may have missed.
I have done Construction in Various areas , For 28 yrs. ( Tile , Wood Floors , Laminate Floors , Plumbing , Drywall , Electrical , ( Residential & Commercial Window Cleanimg ( Bolson Chair & stage work , Scratch removal high rise & Residential & Rigging experience! Etc.