The Difference Between An Arizona Business License And An ROC License?
Here at Havasu Turf Pros, we get asked all the time what the difference between an Arizona business license and an ROC License is. We’ve created this short post to help explain the difference.
Arizona Business License
An Arizona business license is a general permit to operate an AZ business and is not specific to construction. An Arizona business license is a general permit issued by the State of Arizona, that allows a business to operate within a particular jurisdiction. Business licenses are used to track and tax businesses and are not specific to construction activities. Depending on the type of business you operate, you may need a Transaction Privilege (Sales) Tax (TPT) license, a business license, and a regulatory (professional/special) license.
Arizona ROC License
An ROC License is required for all construction activities and was established by the Arizona Legislature as the Registrar of Contractors in 1931 to regulate residential and commercial contractors. It was created in part to protect the health, safety, and welfare of the public by ensuring quality construction In addition to licensing, the ROC also investigates and works with consumers to resolve complaints against licensed contractors and unlicensed entities.
Residential Vs Commercial Licenses
ROC Licenses for residential contracting are defined as constructing, altering, repairing, adding to, subtracting from, improving, moving, wrecking or demolishing any residential structure, such as houses, townhouses, condominiums or cooperative units and any appurtenances on or within residential property lines. Residential construction includes any appurtenances on or within residential property lines, connection to utility service and sewer lines, meters and mechanical or structural service for any residential structure. ROC Licenses for commercial contracting are required for any company providing non-residential construction work.
Before Your Hire A Local Company Or A Contractor
Before your hire a local company or a contractor, it’s important to know that all Arizona Contractors must be licensed by the ROC before bidding on projects worth $1,000 or more for labor and materials or if a building permit is required. The ROC issues separate licenses for commercial and residential work, as well as dual licenses that cover both. If your construction project is going to cost a $1000.00 or more, protect your investment and make sure the company you plan to work with has the proper licensing requirements.
Search Arizona’s Registrar of Contractors website to see if the company you hired or are considering hiring, is a licensed contractor or not. You will be glad you did!