16h courseTake this convenient state approved online course in lieu of the in person Business and Law exam required by the New Mexico Construction Industries Division (CID). Simply complete this class covering laws, regulations, and business and financial management instead of taking a test.
Summary:
In New Mexico, any contracting businesses need to have a license through the New Mexico Regulation and Licensing Department (NMRLD). And while the business gets issued the license, that business needs to name a qualifying party (QP) and that individual will need to take some steps to satisfy the NMRLD's requirements.
If you want to work as a contractor, that means you'll need to start your business, apply for the license with the NMRLD, and do some things yourself. That includes passing an exam and taking a business and law course.
Let's take a look at everything you need to do, both personally and on behalf of your business, to get properly licensed for contracting in New Mexico.
First up, you need to figure out which classification you want to apply to your license. The classification you choose will come with specific experience requirements for your QP, so make sure you choose one for which you qualify. Here's a quick overview of your options:
If you're not sure which classification is right for your New Mexico contractor license, you can submit this Classification Determination Request.
Once you choose your classification, you're ready to submit your Application for a Qualifying Party Certificate. You'll need to get it notarized, send in the $36 fee, and include a notarized Work Experience Affidavit.
Within a few weeks, you should hear back from the state. Assuming you've completed the QP certificate correctly, they'll notify you that you're pre-approved to take the required exams and classes.
Next up, you need to take the New Mexico Business & Law course that's required for all contracting company qualifying parties. It's a 16-hour course, but you can do it online. Alternatively, you can study for and take the business and law exam, but it costs $68.88 and the test itself is 130 minutes. If you don't pass, you'll have to do it again. Taking the online business and law course ensures you can knock this to-do out in one go.
Additionally, you need to take the relevant exam for your classification. To get info about the exam, check out the candidate bulletin from PSI, the company that proctors the exam for the NMRLD.
To schedule your exam once you're preapproved, you can head to PSI's website. Choose “New Mexico” from the jurisdiction dropdown, then choose “NM Construction” from the “Select Account” menu. Finally, choose your classification from the last dropdown menu to pull up the PSI page on the relevant exam.
Next up, it's time to establish your business with the proper state agencies. You'll work with the Secretary of State to start your business.
As part of the process to establish your business, you'll need to get a tax registration certificate from the Tax and Revenue Department and get a $10,000 bond.
Now, it's finally time to submit your New Mexico Application for Contractor License. You're going to need to attach a handful of things to your application, too. In addition to your completed, notarized application, make sure you include:
Getting your New Mexico contractors license requires a fair bit of work. But once you get through this process, you'll be ready to legally take on projects throughout the state. And since the NMRLD offers license verification on their website, your future clients will be able to see that you're properly sanctioned by the state, helping you win more business.
