Handyman License Requirements in Georgetown, DE
In Delaware, handymen and small contractors must register with the Delaware Department of Labor's Office of Contractor Registration ($200–$300 initial fee) and obtain a state business license from the Division of Revenue ($75 annually plus 0.6472% gross receipts tax above $100,000/month). There is no formal 'handyman exemption,' but work on projects under $50,000 does not trigger competitive-bid registration requirements. However, any work requiring a building permit or involving electrical, plumbing, or HVAC systems requires a licensed tradesperson. Georgetown (Sussex County) also requires town-level building permits and may require a separate town contractor registration—contact Town Hall to confirm local requirements.
⚠️ What Requires a Contractor License
The following work requires a state-issued contractor license in DE. Performing this work without a license exposes you to fines, stop-work orders, and civil liability:
- Any electrical work beyond simple fixture changes—requires a licensed Master Electrician
- Any plumbing work beyond simple fixture replacement—requires a licensed Master Plumber
- HVAC system installation, repair, or modification—requires a licensed Master HVAC technician
- Gas line work or gas appliance installation—requires a licensed Master Plumber or HVAC technician
- Structural modifications or load-bearing wall work
- Roofing work (typically requires a contractor license and building permit)
- Foundation work or concrete work affecting structure
- Any work requiring a building permit (see Permits vs. License section below)
- Work on projects over $50,000 in value—triggers formal competitive-bid registration if bidding on state contracts
- Any work on federal property (Dover AFB) requires federal contractor registration and base access clearance
State Contractor Licensing Law (DE)
The exemption does NOT cover: (1) work requiring a building permit—permits are required regardless of project size; (2) electrical, plumbing, or HVAC work—these require state trade licenses at any dollar amount; (3) the obligation to obtain a Delaware Division of Revenue business license and DOL contractor registration, which apply to all contractors at all project sizes. This is a competitive-bid trigger, not a license exemption.
County Requirements — Sussex County
Business license: Not required at the county level.
Special Jurisdictions & Zones
The following special jurisdictions may have separate licensing requirements:
- Dover Air Force Base (Dover AFB) — Work on Dover AFB requires advance coordination with the base contracting office. Civilian contractors cannot simply show up and work on base—all projects must be pre-approved and scheduled. Background checks are mandatory. Insurance and bonding requirements are typically higher than state/local requirements. Verify all requirements with the Dover AFB Contracting Office before bidding or starting any work.
City Business License — Georgetown
Required. Town of Georgetown Contractor Registration / Business License (exact name and requirements not published online)
Permit vs. Contractor License — The Legal Difference
A license is a credential issued by the state or city that authorizes you to perform a specific type of work (e.g., electrical, plumbing, general contracting). A permit is a project-specific authorization issued by a local building department that allows you to perform work on a specific property and ensures the work complies with building codes. Even if you are exempt from needing a contractor license (e.g., for work under $50,000), you may still need a building permit for that specific project. Permits are required by the building code, not by licensing law. A handyman can perform unlicensed work on a project under $50,000, but if that work requires a permit (e.g., water heater replacement), the permit must still be obtained—and the permit may require a licensed tradesperson to sign off on the work. In Delaware, both the Town of Georgetown and Sussex County issue building permits. Always check with the local building department BEFORE starting work to determine whether a permit is required.
Business Entity Registration (DE)
To operate legally you must register your business. LLC filing fee in DE: $110 (one-time).
Compliance Notes for Georgetown, Delaware (Sussex County)
- Insurance is mandatory: All Delaware contractors must maintain liability insurance, workers' compensation insurance, and unemployment insurance. These are legal requirements, not optional.
- Two-track registration: Delaware requires BOTH a state business license (Division of Revenue, $75/year) AND a Department of Labor contractor registration ($200–$500 depending on work type). Do not confuse these—both are required.
- Building permits are separate from licenses: Even if you are exempt from needing a contractor license, you may still need a building permit for specific work. Always contact the local building department before starting work.
- Trade licenses are strict: If your work involves electrical, plumbing, or HVAC systems, you must employ a licensed Master tradesperson. There is no exemption for small jobs or handymen.
- Gross receipts tax: Contractors pay a monthly gross receipts tax of 0.6472% on receipts above $100,000/month. For small handymen, this is often zero, but you must track and report monthly.
- Historic district compliance: If working in Georgetown's Historic District, exterior work visible from public areas requires approval from the local historic preservation authority. Non-compliance can result in fines of $500–$5,000+.
- Federal property (Dover AFB): Work on Dover Air Force Base requires SAM.gov registration, background checks, and base access clearance. State and local licenses do NOT apply on federal military property.
- Competitive-bid rule: The $50,000 threshold is NOT a license exemption—it only exempts you from pre-bid registration for state contracts. You still need a state business license and DOL contractor registration at all project sizes.
- Town vs. County permits: In Georgetown, you may need BOTH a town-level permit (from Georgetown) AND a county-level permit (from Sussex County). Verify with both jurisdictions before starting work.
Legal Registration Steps for Georgetown
Follow these steps to operate legally as a handyman in Georgetown, Delaware (Sussex County):
- Step 1: Register your business entity with the Delaware Division of Corporations. File a Certificate of Formation for an LLC ($110 one-time) or register as a sole proprietor/partnership. Register at https://corp.delaware.gov or through Delaware One Stop at https://onestop.delaware.gov.
- Step 2: Obtain a Delaware state business license from the Division of Revenue ($75 annual fee plus gross receipts tax). Apply through Delaware One Stop or directly at https://revenue.delaware.gov/business-tax-forms/contractors-resident-and-non-resident/. Phone: (302) 577-8778.
- Step 3: Register with the Delaware Department of Labor, Office of Contractor Registration ($200–$300 initial fee depending on work type). Apply at https://labor.delaware.gov/divisions/industrial-affairs/construction-industry/contractor-registration-act/ or call (302) 430-7739.
- Step 4: Contact the Town of Georgetown at (302) 856-7391 to determine whether a separate town-level business or contractor license is required and what the fee is.
- Step 5: Obtain general liability insurance and workers' compensation insurance (required by Delaware law). Contact an insurance broker for quotes.
- Step 6: If your work involves electrical, plumbing, or HVAC, apply for the appropriate state trade license through the Delaware Division of Professional Regulation (https://dpr.delaware.gov or (302) 744-4500). You must employ a licensed Master tradesperson.
- Step 7: Before starting any project, contact the Town of Georgetown Planning Department at (302) 856-7391 and Sussex County Planning & Zoning at (302) 855-7878 to determine whether a building permit is required.
- Step 8: If working on Dover Air Force Base or any federal property, register in SAM.gov at https://sam.gov and coordinate with the base contracting office at (302) 677-3000.
Work You Can Do Without a Contractor License
- Painting (interior and exterior) on projects under $50,000
- Drywall repair and patching (minor work not requiring structural changes)
- Trim work and carpentry (non-structural, under $50,000)
- Fence repair and installation (non-structural, under $50,000)
- Basic maintenance and cleaning tasks
Licensing rules and fees change over time, so this information may be out of date. Verify all information with local authorities before making business decisions.