Virginia Contractor License Exam
Questions and Answers 100% PASS
Q: Name three legal business structures a contractor can use in Virginia.—ANSWER--
Sole proprietorship, Limited Liability Company (LLC), Corporation.
Q: Who qualifies as a Qualified Individual (QI) for a Class A license?—ANSWER--A
person with at least 5 years experience in the trade or contracting field.
Q: What is the maximum project value a Class A license allows?—ANSWER--Single
project over $120,000 and annual total over $750,000.
Q: What is the primary purpose of a business plan for a contractor?—ANSWER--To
guide business operations, manage resources, and plan for growth and risks.
Q: What is the purpose of a contractor's license bond?—ANSWER--To protect clients
and the public against financial loss due to contractor failure.
Q: What is a surety company?—ANSWER--A company that issues bonds guaranteeing a
contractor's performance and payment.
Q: Name three key responsibilities of a contractor as a business owner.—ANSWER--
Financial management, legal compliance, project oversight.
Q: What is the difference between gross revenue and net profit?—ANSWER--Gross
revenue is total income; net profit is income minus expenses and taxes.
, Q: What is the purpose of a contractor's business license in Virginia?—ANSWER--To
legally operate as a contractor and comply with state regulations.
Q: How often must a contractor renew their Virginia Class A license?—ANSWER--Every
2 years, per DPOR guidelines.
Q: What is a "mechanic's lien"?—ANSWER--A legal claim a contractor can file to secure
payment for work performed on a property.
Q: What are the essential elements of a valid contract?—ANSWER--Offer, acceptance,
consideration, legal capacity, and legal purpose.
Q: What does a "change order" do in a construction contract?—ANSWER--Modifies the
original scope, price, or timeline of the contract.
Q: How long does a contractor have to maintain project records in Virginia?—ANSWER--
Typically at least 3 years (per DPOR/Prevailing Wage laws).
Q: What action can a client take if a contractor fails to perform per contract?—
ANSWER--File a complaint with DPOR, request arbitration, or pursue civil litigation.
Q: What is the purpose of a performance bond?—ANSWER--Guarantees the contractor
will complete the project as specified.
Q: What is the purpose of a payment bond?—ANSWER--Ensures subcontractors and
suppliers are paid.
Q: What is the statute of limitations for written contracts in Virginia?—ANSWER--
Typically 5 years.
© 2026 Copyright. All Rights Reserved. This document is
protected by copyright law, Copyrighted By Brittie Donald
Questions and Answers 100% PASS
Q: Name three legal business structures a contractor can use in Virginia.—ANSWER--
Sole proprietorship, Limited Liability Company (LLC), Corporation.
Q: Who qualifies as a Qualified Individual (QI) for a Class A license?—ANSWER--A
person with at least 5 years experience in the trade or contracting field.
Q: What is the maximum project value a Class A license allows?—ANSWER--Single
project over $120,000 and annual total over $750,000.
Q: What is the primary purpose of a business plan for a contractor?—ANSWER--To
guide business operations, manage resources, and plan for growth and risks.
Q: What is the purpose of a contractor's license bond?—ANSWER--To protect clients
and the public against financial loss due to contractor failure.
Q: What is a surety company?—ANSWER--A company that issues bonds guaranteeing a
contractor's performance and payment.
Q: Name three key responsibilities of a contractor as a business owner.—ANSWER--
Financial management, legal compliance, project oversight.
Q: What is the difference between gross revenue and net profit?—ANSWER--Gross
revenue is total income; net profit is income minus expenses and taxes.
, Q: What is the purpose of a contractor's business license in Virginia?—ANSWER--To
legally operate as a contractor and comply with state regulations.
Q: How often must a contractor renew their Virginia Class A license?—ANSWER--Every
2 years, per DPOR guidelines.
Q: What is a "mechanic's lien"?—ANSWER--A legal claim a contractor can file to secure
payment for work performed on a property.
Q: What are the essential elements of a valid contract?—ANSWER--Offer, acceptance,
consideration, legal capacity, and legal purpose.
Q: What does a "change order" do in a construction contract?—ANSWER--Modifies the
original scope, price, or timeline of the contract.
Q: How long does a contractor have to maintain project records in Virginia?—ANSWER--
Typically at least 3 years (per DPOR/Prevailing Wage laws).
Q: What action can a client take if a contractor fails to perform per contract?—
ANSWER--File a complaint with DPOR, request arbitration, or pursue civil litigation.
Q: What is the purpose of a performance bond?—ANSWER--Guarantees the contractor
will complete the project as specified.
Q: What is the purpose of a payment bond?—ANSWER--Ensures subcontractors and
suppliers are paid.
Q: What is the statute of limitations for written contracts in Virginia?—ANSWER--
Typically 5 years.
© 2026 Copyright. All Rights Reserved. This document is
protected by copyright law, Copyrighted By Brittie Donald
