Updated April 2026
Alabama Contractor Licensing — Quick Facts
- State License Required?
- Yes
- Licensing Board
- Alabama Licensing Board for General Contractors (LBGC)
- Minimum Project Threshold
- $50,000 (commercial/public); $10,000 (residential)
- Surety Bond Required?
- Yes — $1,000–$350,000 (varies by project scope and location)
Separate boards for commercial vs. residential. Reciprocity with MS, TN, AR, LA. Unlicensed contractors cannot file mechanics lien claims.
State-Specific Details
Additional licensing bodies: Alabama Licensing Board for General Contractors (LBGC); Alabama Home Builders Licensure Board (HBLB)
Alabama requires contractors to hold a state license for projects exceeding $50,000 (commercial/public); $10,000 (residential) in labor and materials. The Alabama Licensing Board for General Contractors (LBGC) oversees licensing, complaints, and disciplinary actions.
Step 1: Get the Contractor's License Number
Any legitimate contractor in Alabama should readily provide their license number. It should appear on their business card, vehicle, website, and advertising. If a contractor refuses to share their license number, don't hire them.
Step 2: Verify the License
Visit the Alabama Licensing Board for General Contractors (LBGC) website to look up the contractor's license. We're working on adding Alabama license data to our search tool — check our Alabama page for updates.
When checking the license, verify:
- Status is "Active" — not expired, suspended, or revoked
- Name matches — the business name on the license should match who you're hiring
- Classifications cover your project — a plumbing license doesn't cover electrical work
- License won't expire during your project
Step 3: Check Bond and Insurance
Alabama requires licensed contractors to carry a surety bond ($1,000–$350,000 (varies by project scope and location)). The bond protects consumers if the contractor violates state regulations or abandons a project. Ask the contractor for proof of their bond, and verify it through the Alabama Licensing Board for General Contractors (LBGC).
Step 4: Check Complaint History
The Alabama Licensing Board for General Contractors (LBGC) tracks complaints filed against licensed contractors. Before hiring, check if the contractor has any past disciplinary actions, complaints, or violations. Visit the Alabama Licensing Board for General Contractors (LBGC) website to check complaint history.
What Happens if You Hire an Unlicensed Contractor?
Hiring an unlicensed contractor in Alabama puts you at risk:
- Your homeowner's insurance may not cover work done by unlicensed contractors
- You have limited legal recourse if the work is defective
- No surety bond to file claims against
- Unpermitted work can cause problems when selling your home
- No bond protection — the bond is your safety net
How to Report an Unlicensed Contractor in Alabama
If you suspect a contractor is working without a license in Alabama, report them to the Alabama Licensing Board for General Contractors (LBGC). Unlicensed contracting is typically a misdemeanor and carries fines and potential jail time.
Other States
Looking up a contractor in a different state? Visit our state-by-state contractor license lookup page to find the right verification tool for your state.