How Do I Get a Small Business license in Nevada?
Full Question:
Answer:
The precise requirements will vary by the type of work performed, whether you are a sole proprietor or formal business entity, and the location where the work is performed. A state business license may be granted to a sole proprietor, meaning a person who hasn't formally created a business entity, such as a corporation or LLC. There is no income limitation on such a license and it is generally available to all types of contractors for improvements to homes. Whether a contractor's license is required will depend on the type of work performed. Whether a building permit is required varies by the location where the work is performed and typically will be determined by the nature of the work and price of the contract. Local building department should be contacted for applicable permit requirements.
Please see the information at the following links:
http://nvsos.gov/index.aspx?page=267
http://www.nv.gov/DoingBusiness_nevada.htm
http://business.nv.gov/StartABusiness.htm
http://www.leg.state.nv.us/NAC/NAC-624.html#NAC624Sec140
Please see the following NV statutes:
NRS 602.010 Filing of certificate with county clerk.
1. Every person doing business in this state under an assumed or
fictitious name that is in any way different from the legal name of each
person who owns an interest in the business must file with the county clerk
of each county in which the business is being conducted a certificate
containing the information required by NRS 602.020.
2. A person intending to conduct a business under an assumed or
fictitious name may, before initiating the conduct of the business, file a
certificate with the county clerk of each county in which the business is
intended to be conducted
NRS 624.240 Issuance of licenses; use of examinations to investigate,
classify and qualify applicants; additional qualifications for master's
license; transitory provision.
1. Under reasonable regulations adopted by the Board, the Board may
investigate, classify and qualify applicants for contractors' licenses by
written or oral examinations, or both, and may issue contractors' licenses
to qualified applicants. The examinations may, in the discretion of the
Board, be given in specific classifications only.
2. If a natural person passes the technical examination given by the
Board on or after July 1, 1985, to qualify him for a classification
established pursuant to this chapter, demonstrates to the Board the degree
of experience and knowledge required in the regulations of the Board, and
is granted a license, he is qualified for a master's license, if issued by
any political subdivision, in the classification for which the examination
was given, if the examination required him to demonstrate his knowledge and
ability to:
(a) Utilize and understand;
(b) Direct and supervise work in compliance with; and
(c) Perform and apply any calculations required to ensure that work
performed is in compliance with, the applicable codes, standards and
regulations.
3. If a natural person qualified for a license before July 1, 1985, in
accordance with NRS 624.260 in a trade for which a master's license is
required by any political subdivision, and if the license is active on or
after July 1, 1985, and if the person so qualified wishes to obtain a
master's license, he must pass either the appropriate examination given by
the Board on or after July 1, 1985, in accordance with NRS 624.260 and the
regulations of the Board, or the examination given by the political
subdivision in the trade for which a master's license is required.
NRS 624.260 Applicant or licensee to demonstrate experience, knowledge and
financial responsibility; qualifications concerning experience and
knowledge; limitations on qualifications of natural person.
1. The Board shall require an applicant or licensee to show such a degree
of experience, financial responsibility and such general knowledge of the
building, safety, health and lien laws of the State of Nevada and the
administrative principles of the contracting business as the Board deems
necessary for the safety and protection of the public.
2. An applicant or licensee may qualify in regard to his experience and
knowledge in the following ways:
(a) If a natural person, he may qualify by personal appearance or by the
appearance of his responsible managing employee.
(b) If a copartnership, a corporation or any other combination or
organization, it may qualify by the appearance of the responsible managing
officer or member of the personnel of the applicant firm. If an applicant
or licensee intends to qualify pursuant to this subsection by the
appearance of another person, the applicant or licensee shall submit to
the Board such information as the Board determines is necessary to
demonstrate the duties and responsibilities of the other person so
appearing with respect to the supervision and control of the operations
of the applicant or licensee relating to construction.
3. The natural person qualifying on behalf of another natural person or
firm under paragraphs (a) and (b) of subsection 2 must prove that he is a
bona fide member or employee of that person or firm and when his principal
or employer is actively engaged as a contractor shall exercise authority in
connection with his principal or employer's contracting business in the
following manner:
(a) To make technical and administrative decisions;
(b) To hire, superintend, promote, transfer, lay off, discipline or
discharge other employees and to direct them, either by himself or through
others, or effectively to recommend such action on behalf of his principal
or employer; and
(c) To devote himself solely to his principal or employer's business and
not to take any other employment which would conflict with his duties under
this subsection.
4. A natural person may not qualify on behalf of another for more than
one active license unless:
(a) One person owns at least 25 percent of each licensee for which he
qualifies; or
(b) One licensee owns at least 25 percent of the other licensee.
5. Except as otherwise provided in subsection 6, in addition to the other
requirements set forth in this section, each applicant for licensure as a
contractor must have had, within the 10 years immediately preceding the
filing of his application for licensure, at least 4 years of experience as
a journeyman, foreman, supervising employee or contractor in the specific
classification in which he is applying for licensure. Training received in
a program offered at an accredited college or university or an equivalent
program accepted by the Board may be used to satisfy not more than 3 years
of experience required pursuant to this subsection.
6. If the applicant who is applying for licensure has previously
qualified for a contractor's license in the same classification in which he
is applying for licensure, the experience required pursuant to subsection 5
need not be accrued within the 10 years immediately preceding the
application.
7. As used in this section, "journeyman" means a person who:
(a) Is fully qualified to perform, without supervision, work in the
classification in which he is applying for licensure; or
(b) Has successfully completed:
(1) A program of apprenticeship for the classification in which he is
applying for licensure that has been approved by the State Apprenticeship
Council; or
(2) An equivalent program accepted by the Board.
NRS 624.263 Financial responsibility of applicant or licensee: Standards
and criteria for determination.
1. The financial responsibility of a licensee or an applicant for a
contractor's license must be established independently of and without
reliance on any assets or guarantees of any owners or managing officers of
the licensee or applicant, but the financial responsibility of any owners
or managing officers of the licensee or applicant may be inquired into and
considered as a criterion in determining the financial responsibility of
the licensee or applicant.
2. The financial responsibility of an applicant for a contractor's
license or of a licensed contractor may be determined by using the
following standards and criteria in connection with each applicant or
contractor and each associate or partner thereof:
(a) Amount of net worth.
(b) Amount of liquid assets.
(c) Amount of current assets.
(d) Amount of current liabilities.
(e) Amount of working capital.
(f) Ratio of current assets to current liabilities.
(g) Fulfillment of bonding requirements pursuant to NRS 624.270.
(h) Prior payment and credit records.
(i) Previous business experience.
(j) Prior and pending lawsuits.
(k) Prior and pending liens.
(l) Adverse judgments.
(m) Conviction of a felony or crime involving moral turpitude.
(n) Prior suspension or revocation of a contractor's license in Nevada or
elsewhere.
(o) An adjudication of bankruptcy or any other proceeding under the
federal bankruptcy laws, including:
(1) A composition, arrangement or reorganization proceeding;
(2) The appointment of a receiver of the property of the applicant or
contractor or any officer, director, associate or partner thereof under the
laws of this State or the United States; or
(3) The making of an assignment for the benefit of creditors.
(p) Form of business organization, corporate or otherwise.
(q) Information obtained from confidential financial references and
credit reports.
(r) Reputation for honesty and integrity of the applicant or contractor
or any officer, director, associate or partner thereof.
3. A licensed contractor shall, as soon as it is reasonably practicable,
notify the Board in writing upon the filing of a petition or application
relating to the contractor that initiates any proceeding, appointment or
assignment set forth in paragraph (o) of subsection 2. The written notice
must be accompanied by:
(a) A copy of the petition or application filed with the court; and
(b) A copy of any order of the court which is relevant to the financial
responsibility of the contractor, including any order appointing a trustee,
receiver or assignee.
4. Before issuing a license to an applicant who will engage in
residential construction or renewing the license of a contractor who
engages in residential construction, the Board may require the applicant or
licensee to establish his financial responsibility by submitting to the
Board:
(a) A financial statement that is:
(1) Prepared by a certified public accountant; or
(2) Submitted on a form or in a format prescribed by the Board together
with an affidavit which verifies the accuracy of the financial statement;
and
(b) A statement setting forth the number of building permits issued to
and construction projects completed by the licensee during the immediately
preceding year and any other information required by the Board. The
statement submitted pursuant to this paragraph must be provided on a form
approved by the Board.
5. In addition to the requirements set forth in subsection 4, the Board
may require a licensee to establish his financial responsibility at any
time.
6. An applicant for an initial contractor's license or a licensee
applying for the renewal of a contractor's license has the burden of
demonstrating his financial responsibility to the Board, if the Board
requests him to do so.
