Arkansas water-heater replacement: on the residential side the $2,000 line decides whether ANY licence is needed — at or under it, none; above it, the work rides the residential ladder (remodeler/builder for structural integration, home improvement for pre-existing specialty pieces) with the anti-splitting sentence attached. On the commercial/gas side the Mechanical classification carries its trade pins (master plumber + HVACR Class A/B full-time employees) and gated specialties like gas fitting require that authority's licence FIRST (17 CAR 255-208(h)) — while unlicensed work stays a misdemeanour per day with an unenforceable contract. Every claim sourced and dated.
Residential licence required above $2,000 — builder since 7/1/2001, home improvement since 1/1/2012 — § 17-25-505(a): 'A person shall not act as a residential building contractor after July 1, 2001, unless licensed by the Residential Contractors Committee or exempted from licensure under this subchapter.' (b) the same for a home improvement contractor after January 1, 2012. (c) failure to procure the licence 'shall be deemed guilty of a Class A misdemeanor with each day in violation of the requirement to constitute a separate offense.' § 17-25-513(3)(A): exempt 'when the cost of the work done or to be done does not exceed two thousand dollars ($2,000)'; (B) the exemption 'shall not apply to a project in which the construction work necessary to complete the project is divided into separate contracts of amounts less than two thousand dollars ($2,000)'. The apply page repeats the trigger for each licence type ('more than $2,000, including, but not limited to, labor and material'). S-AR-RES-LAW
Eight commercial classifications on one licence; restricted vs unrestricted ceiling (CONFLICT-AR-001) — 17 CAR 255 Subpart 3 outlines the classifications: Heavy (255-301), Highway/Railroad/Airport (255-302), Municipal & Utility (255-303), Building (255-304), Light Building (255-305), Mechanical (255-306), Electrical (255-307) and Specialties (255-308 — 124 named sub-classifications). 255-208(a)(2): the holder of HC, HRA, MU, B, LB, M or E 'is authorized to perform any of the specialties associated with the classification in question'; (a)(3) a specialty holder 'is authorized to only perform the functions of the specific specialty for which a license is held'; (i)(2) 'Performing work not listed under the classification may constitute a violation.' The current form (Eff. 10/2026) offers a Restricted Commercial licence that 'can ONLY do Commercial projects that are less than $750,000' or an Unrestricted licence for projects 'of any size', while 17 CAR 255-401(a)(2)(C) defines a restricted licence as one authorizing 'a total cost of work … of less than one million five hundred thousand dollars ($1,500,000) for a single commercial project' — the two official ceilings conflict: CONFLICT-AR-001 (open, both figures published, no winner chosen). S-AR-COMM-LAW
Residential exemptions — own residence, owner-occupant work, ≤ $2,000, licensed subs, other Arkansas licences, roofing subch. — § 17-25-513 verbatim: exempt '(1) A person who acts as a residential building contractor in the construction of his or her residence unless he or she builds more than one (1) residence during any calendar year; (2) The owner of a single family residence acting as his or her own home improvement contractor on his or her own property; (3)(A) A person or entity … when the cost of the work done or to be done does not exceed two thousand dollars ($2,000)', with the anti-splitting sentence in (B); '(4) A subcontractor of a contractor licensed by the Residential Contractors Committee; (5) A person or entity licensed as a contractor by another licensing agency, board, or commission of the State of Arkansas if the contractor is performing work within the scope of the license held …; (6) A person or entity performing work as a roofing contractor as defined under § 17-25-601 et seq.' § 17-25-610 adds the roofing chapter's five exemptions, including the 50%-of-project-cost rule for HI/RBC licensees. S-AR-RES-LAW
Class A misdemeanor per day + $100–$400/day civil penalty capped at 3% of the project; no suit on a void contract — § 17-25-103(a): knowingly working at $50,000 or more 'without first having procured a license or registration with the proper classification', presenting another's certificate, forged evidence, impersonation or using an expired/revoked certificate — 'a violation … is a Class A misdemeanor, with each day of activity constituting a separate offense' (a)(2); the 72-hour natural-disaster cleanup carve-out sits in (a)(1)(A)(ii). (d)(1) 'no action may be brought either at law or in equity to enforce any provision of any contract entered into in violation of this chapter'; (d)(2) unjust enrichment or quantum meruit survives only after the contractor 'timely pays all fines … and properly applies to the board for a contractor's license'. (e)(1)(A) civil penalty 'of not less than one hundred dollars ($100) nor more than four hundred dollars ($400) per day for the activity. However, the penalty shall not exceed three percent (3%) of the total project'; plus 10% interest before licensure, cease-and-desist abatement orders, withholding approval up to six months, a 3-year limitations period and suit in Pulaski County Circuit Court after 30 days. Residential twin: § 17-25-505(c) Class A misdemeanor per day; § 17-25-515 actions to enforce contracts in violation of subch. 5. S-AR-COMM-LAW
The $10,000 contractor's bond is a condition of licensure (not a fee) and follows the licensee into every project; the roofing registration adds its own $15,000 bond. Every city/county fee is LOCAL_AUTHORITY_REQUIRED and is not published here.