Does My Project Require a Licensed General Contractor?

Does my project require a licensed general contractor?

A licensed and insured general contractor is required for most types of building construction, rehabilitation, and demolition work in Chicago. Only one general contractor is allowed on the same project at the same time, regardless of how many permits are issued for the project. The general contractor is responsible for ensuring that the permitted work is performed safely, competently, and in accordance with the scope of the permit and the requirements of the Chicago Construction Codes. The licensed general contractor’s insurance helps to protect the property owner, neighbors, and the City of Chicago if something goes wrong.

There are three exceptions:

  • A licensed general contractor is not required for a single-trade project that will be performed by a Chicago-licensed trade contractor (for example electrical repair work performed by a Chicago-licensed electrical contractor).
  • An individual may act as general contractor, without obtaining a license, for work on an entirely residential property that is the individual’s primary residence (as shown on an Illinois driver’s license or similar government-issued ID) if there are no more than 6 residential units and no buildings taller than 3 stories on the property or proposed for the property. An individual can claim this exemption for only one property in a calendar year. An individual without a general contractor’s license cannot perform or oversee work that requires a demolition permit or excavation notice.
  • A government entity may act as a general contractor, without obtaining a license, for work on property owned or controlled by the government entity if the work will be performed entirely by employees of the government entity (not a contractor or independent contractor).