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How to start a general contractor business

To start a general contractor business you need to register the company, pass your state's GC license exam and meet its experience requirement, carry liability and workers' comp plus any required bond, build a reliable subcontractor network, set markup-based pricing, and get found online. Because a GC subcontracts the trades rather than owning heavy equipment, most start for $5,000 to $25,000 — lower than most contracting niches.

We run our own service companies and build the sites that win contractors their clients, so this guide covers both the licensing path and the part that decides whether your phone rings: being findable and credible when a homeowner researches you. Here's the order.

The step-by-step

1

Get experience, then licensed

Most states require documented field experience before you can sit for the GC exam. Confirm your state's hours and exam through its contractor board, then study and pass. The license is your right to bid larger jobs.

2

Register and structure

Form an LLC, get an EIN, and open business banking. Use solid written contracts from the first job — change orders and clear scopes are what keep a GC out of disputes.

3

Insure and bond

General liability, workers' comp, and any state-required surety bond. Homeowners and lenders check for these, so they gate the jobs you can take.

4

Build your subcontractor bench

Your reputation rides on the trades you hire. Line up dependable electricians, plumbers, and framers before you bid, and confirm their licenses and insurance so their gaps don't become yours.

5

Set markup-based pricing

Price cost-plus or fixed-bid with a markup that covers your overhead, supervision, and risk — typically a healthy percentage over subs and materials. Underpricing supervision is the classic new-GC mistake.

6

Get found and build trust

Claim your Google Business Profile, gather reviews, and put up a website with real project photos that ranks for "general contractor near me." Homeowners vet GCs hard online, so credibility here wins the call.

What it costs to start

Licensing & legal setup

$1k–$5k

Exam and license fees, LLC registration, and contract templates. Varies by state but rarely the biggest line.

Insurance, bond & tools

$3k–$15k

Liability and workers' comp premiums, a surety bond, a work truck, and basic tools. The core of your startup budget.

Getting found online

from $249/mo

A credible site with project photos, reviews, and lead capture, plus a Google Business Profile. The cheapest reliable way to win clients beyond referrals.

When you don't need us yet

We'd rather you spend wisely. Hold off on a paid site if:

Come to us once you're licensed and want to win clients who don't already know you. This is exactly the kind of search a GC business should own. See general contractor website design, SEO for contractors, contractor software, and local SEO cost.

We don't post stock testimonials. On a 15-minute call we screen-share the real dashboards behind our own businesses — live leads, rankings, and the exact page that produced each one. See the proof →

Common questions

Do I need employees or can I subcontract everything?

Most new GCs subcontract the trades and keep payroll light at first. That's the model that keeps startup costs and risk down while you build volume and a track record.

What's the hardest part of starting?

Winning the first jobs from people who don't know you, and pricing supervision correctly. Reviews and a credible online presence solve the first; disciplined estimating solves the second.

When is it worth investing in a website?

As soon as you're licensed and want clients beyond your referral circle. A site with project photos and reviews from $249/mo is the most cost-effective trust builder. Free 48-hour demo to start.

Win clients who've
never heard of you.

Send your company name and metro — we'll confirm your market is open and build a working demo within 48 hours. Free, no card, no commitment. You own the site, the domain, and every lead.

Prefer email? [email protected]

Plans $249 · $597 · from $1,750/mo — month-to-month, no contracts.

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