Virginia Contractor License Bond$50,000 Bond or Net Worth Alternative
Virginia DPOR requires a $50,000 surety bond for both Class A (unlimited) and Class B (up to $10M) contractor licenses. Alternatively, demonstrate $45,000 net worth (Class A) or $15,000 net worth (Class B). Bond claims capped at $20,000 per transaction, $50,000 aggregate. Extensive federal contracting opportunities in the Commonwealth. Businesses that also need a Virginia auto dealer bond can apply for both simultaneously.
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Official Virginia Requirements
"A contractor license bond is required as proof of financial responsibility if the contractor's financial condition falls below certain thresholds. The maximum amount payable for a claim arising out of a single transaction is $20,000, with aggregate liability not exceeding $50,000."Virginia Department of Professional and Occupational Regulation (DPOR) • Virginia Code Title 54.1, Chapter 11
Virginia License Classes & Bond Requirements
Choose between surety bond or net worth demonstration
| License Class | Option 1: Bond | Option 2: Net Worth | Project Scope | Experience |
|---|---|---|---|---|
Class A General Contractor -- Unlimited | $50,000 surety bond | $45,000 net worth | All construction projects without monetary limit | 5 years experience or designated employee with 5 years |
Class B General Contractor -- Up to $10M | $50,000 surety bond | $15,000 net worth | Projects up to $10 million per single contract | 3 years experience or designated employee with 3 years |
Class C Specialty Contractor | No bond required | No financial requirement | Projects up to $10,000 per single contract | Varies by specialty |
Claim limits: Virginia bond claims are capped at $20,000 for any single transaction, with aggregate surety liability not exceeding $50,000. The bond must be issued for two years with an expiration date matching the license term. Class C contractors (projects under $10,000) have no bond requirement.
How to Get Your Virginia Contractor License
5 steps to DPOR licensing
Choose Your Class
Class A: unlimited projects, 5 years experience, $50K bond or $45K net worth. Class B: up to $10M, 3 years experience, $50K bond or $15K net worth. Class C: up to $10K, no bond.
Pass Required Exams
Complete both the business/law exam and trade-specific exam through PSI testing. Business exam covers Virginia contractor law and business practices.
Meet Financial Requirements
Obtain $50,000 surety bond (costs $500-$2,500/year) OR demonstrate net worth ($45K for Class A, $15K for Class B). Most contractors choose the bond for lower capital impact.
Submit DPOR Application
Provide experience documentation (3-5 years), financial statements, bond, and fees ($390-$535). Submit to DPOR at 9960 Mayland Drive, Richmond, VA 23233.
Receive License
DPOR processes applications in 45-75 days. License valid for 2-year term. Bond must match the two-year license period.
Virginia Construction Markets
Northern Virginia / DC Metro
Pentagon, CIA, FBI, Fort Belvoir -- the nation's largest federal contracting market
Key Opportunities
Federal facilities, data centers, government office buildings, defense contracting, SCIF construction
Richmond / Central Virginia
State capital, VCU Health System, historic preservation, Philip Morris
Key Opportunities
Government buildings, medical facilities, university construction, historic renovation
Hampton Roads / Tidewater
Norfolk Naval Station, Newport News Shipbuilding, Virginia Beach tourism
Key Opportunities
Military construction, shipyard facilities, coastal resilience, port infrastructure
Serving Contractors Across Virginia
Frequently Asked Questions
Virginia DPOR contractor bond specifics
How do I get a Virginia contractor license and bond?
To get a Virginia contractor license: (1) Choose your class -- Class A (unlimited), Class B (up to $10M), or Class C (up to $10K, no bond). (2) Pass both the business exam and trade-specific exam. (3) Meet financial requirements -- either a $50,000 surety bond OR demonstrate net worth ($45,000 for Class A, $15,000 for Class B). (4) Submit your application to DPOR with 3-5 years experience documentation, financial statements, and fees ($390-$535). Processing takes 45-75 days. License valid for 2-year term.
How much does a Virginia contractor license bond cost?
The Virginia $50,000 contractor license bond costs $500-$2,500 annually depending on credit. Excellent credit (750+): $500-$750 (1-1.5%). Good credit (680-749): $750-$1,250 (1.5-2.5%). Fair credit (620-679): $1,250-$2,500 (2.5-5%). Bad credit applicants can still be approved at higher rates. The bond must be issued for two years matching the license term.
What is Virginia's bond vs. net worth alternative?
Virginia allows contractors to choose between posting a $50,000 surety bond or demonstrating net worth: Class A requires $45,000 net worth, Class B requires $15,000 net worth. The net worth option requires financial statements showing adequate equity. Most contractors find the bond more practical since it costs only $500-$2,500/year versus tying up $15,000-$45,000 in documented equity. For a full explanation of how bonds differ from insurance, see our guide at /bond-vs-insurance/.
What are the bond claim limits in Virginia?
Virginia contractor bond claims are capped at $20,000 for any single transaction, with an aggregate liability not exceeding $50,000 (the full bond amount). This means the surety's total exposure is limited even though the bond face amount is $50,000. Claims must be filed through DPOR.
How does DPOR licensing work in Virginia?
The Virginia Department of Professional and Occupational Regulation (DPOR) oversees contractor licensing under Virginia Code Title 54.1, Chapter 11. DPOR processes applications, verifies financial qualifications, administers exams through PSI, and maintains license compliance. The Board for Contractors meets regularly to review licensing matters. DPOR is located at 9960 Mayland Drive, Richmond, VA 23233.
Can I work on federal projects in Northern Virginia?
Yes. Northern Virginia is one of the nation's largest federal contracting markets with the Pentagon, CIA, FBI, Fort Belvoir, and numerous government agencies. Federal projects require additional performance and payment bonds (per the Miller Act for projects over $150,000), security clearances, and compliance with Federal Acquisition Regulations -- all beyond your state license bond.
What exams are required for a Virginia contractor license?
Virginia requires both a business exam and a trade-specific exam, administered through PSI testing. The business exam covers Virginia contractor law, contract requirements, and business practices. The trade exam tests technical competency in your specific classification. Class A requires 5 years of experience; Class B requires 3 years.
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Other Virginia Bonds
Additional surety bonds available in Virginia
Nearby States
Contractor license bonds in neighboring states
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