What is the maximum project value for a contractor to be considered residential?

In Louisiana, a contractor is considered to be working on a residential project if the total value of the project does not exceed $75,000. This threshold is significant as it differentiates between residential and commercial contracting, with specific licensing and regulation implications for contractors. Staying under this project value helps ensure that the contractor operates without needing the higher-level commercial license, which involves more stringent requirements.

Understanding this limit is crucial for contractors as it affects their licensing obligations, surety bond requirements, and potential legal responsibilities. Projects exceeding this limit typically require a different set of compliance standards and a commercial contractor’s license. By being aware of this maximum project value, contractors can effectively manage their project scopes and maintain adherence to state regulations.