TN BUSINESS AND LAW CERTIFIED QUALITY EXAM ACTUAL
2026 QUESTIONS AND 100% CORRECT ANSWERS ASSURED
PASS
Purpose of Licensing
Protects the health, safety, and welfare of the public
Tennessee Board of Licensing Contractors
Regulates contracting activities through examination,
licensure, and disciplinary
TN Contractor License Requirements
Must have contractor license for construction projects of
$25,000 or more
Licensing Process
Testing, financial statement, reference letter, corporations and
LLC, application, signature and notarize, submit application
and $250 fee, board review, issuance of license
Risk Management Benefits
,Lower business and liability insurance premiums, reduce
chances of being sued, improve chances of prevailing in a
lawsuit
Insurance
Supplement your risk management program to protect your
business against unforeseen events
Bond
A risk transfer mechanism between a surety bonding
company, the contractor, and the project owner. The
agreement binds the contractor to comply with the terms and
conditions of a contract, If the contractor cannot perform the
contract, the surely bonding company assumes the
contracto'r's responsibilities and ensures that the project is
completed.
Types of Bonds
Performance, payment, maintenance, completion, fidelity, lien
Time Management
Gives you competitive edge and helps you anticipate problems
before they occur
,Time Management Tips
Prioritize tasks daily, delegate effectively when possible, use
checklists and calendars, do not procrastinate
Logos, Stationary, and Business Cards
These simple marketing tools can help establish your
company's identity
Promotional Materials
Can extend your marketing program by using things such as
brochures, job site signs, websites, social media
Public Reltaions
Inexpensive marketing like networking, in local eye, hold open
house
Effective Selling Skills
Carefully listening to potential customer needs
Estimator must ask what type of questions?
, Company resources and type of work, site considerations,
location and cost effectiveness, risk assessment, profitability
of project
Bid Documents
A package put together containing all documents according to
the required specifications
Documents in Bid Package
Invitation to bid, bid instructions, bid forms, bid schedule,
bidder's experience, financial responsibility, and supplements
Addendum
Changes made to bid documents after they are issued but
before they are due
Bid Shopping
An unethical situation where the general contractor
approaches subcontractors other than those who have
submitted bids to seek a lower offer than what was quoted in
the original bids
2026 QUESTIONS AND 100% CORRECT ANSWERS ASSURED
PASS
Purpose of Licensing
Protects the health, safety, and welfare of the public
Tennessee Board of Licensing Contractors
Regulates contracting activities through examination,
licensure, and disciplinary
TN Contractor License Requirements
Must have contractor license for construction projects of
$25,000 or more
Licensing Process
Testing, financial statement, reference letter, corporations and
LLC, application, signature and notarize, submit application
and $250 fee, board review, issuance of license
Risk Management Benefits
,Lower business and liability insurance premiums, reduce
chances of being sued, improve chances of prevailing in a
lawsuit
Insurance
Supplement your risk management program to protect your
business against unforeseen events
Bond
A risk transfer mechanism between a surety bonding
company, the contractor, and the project owner. The
agreement binds the contractor to comply with the terms and
conditions of a contract, If the contractor cannot perform the
contract, the surely bonding company assumes the
contracto'r's responsibilities and ensures that the project is
completed.
Types of Bonds
Performance, payment, maintenance, completion, fidelity, lien
Time Management
Gives you competitive edge and helps you anticipate problems
before they occur
,Time Management Tips
Prioritize tasks daily, delegate effectively when possible, use
checklists and calendars, do not procrastinate
Logos, Stationary, and Business Cards
These simple marketing tools can help establish your
company's identity
Promotional Materials
Can extend your marketing program by using things such as
brochures, job site signs, websites, social media
Public Reltaions
Inexpensive marketing like networking, in local eye, hold open
house
Effective Selling Skills
Carefully listening to potential customer needs
Estimator must ask what type of questions?
, Company resources and type of work, site considerations,
location and cost effectiveness, risk assessment, profitability
of project
Bid Documents
A package put together containing all documents according to
the required specifications
Documents in Bid Package
Invitation to bid, bid instructions, bid forms, bid schedule,
bidder's experience, financial responsibility, and supplements
Addendum
Changes made to bid documents after they are issued but
before they are due
Bid Shopping
An unethical situation where the general contractor
approaches subcontractors other than those who have
submitted bids to seek a lower offer than what was quoted in
the original bids
