How to Start an HVAC Business in Georgia: Conditioned Air Contractor License, Experience and Renewal
In Georgia, HVAC contractors need a Conditioned Air Contractor license. The State Construction Industry Licensing Board issues it as a Chapter 14 license, and the Board sits within the Secretary of State's Professional Licensing Boards Division. The license belongs to a person, not a company. Your company then works under a qualifying licensee, the individual who is regularly connected to the business, supervises its conditioned air work, and cannot qualify more than one business at a time. This guide covers the two license classes, the experience rules, the application, the company setup that follows the license, and renewal.
This is informational content, not legal or tax advice. Confirm current figures with the agency named in each step before you file.
What You Need Before You Apply
Gather these items first.
- Identification and adult status. The application affidavit confirms that you are an adult. It does not set your eligibility. The experience rule does that.
- A written work history. List each employer, dates, job title, and whether the work was residential or commercial, installation or service, and lead or supervisory. Keep the records that prove each entry.
- EPA refrigerant certification. The form asks for Type II or higher.
- Proof of required coursework. The form accepts a Board-approved course provider or the Georgia vocational course ACT107. Confirm on the current form which course counts toward your class.
- References. Each reference must come from an architect, a professional engineer, an inspector, or a licensed conditioned air contractor.
- Education transcripts, if you plan to use education in place of part of your experience.
- The application fee. The Secretary of State's April 2026 guide lists $110 for an initial application. Check the Secretary of State fee page before you pay.
Step 1: Choose Class I or Class II
Georgia has two classes. Your choice controls what equipment you can legally install and service.
- Class I is limited to systems up to 60,000 BTU cooling and 175,000 BTU gas heating. A residential-only business that stays within those limits can start here.
- Class II is unrestricted. It is the license for larger commercial and industrial systems.
The 2026 law (SB 553, Act 472) rewrote Chapter 14, effective July 1, 2026. The Class I BTU limits were reported unchanged. Check the Board's current application to confirm that the limits and any other wording still match what you read here.
Step 2: Document Your Experience
Board Rule 121-3-.04 sets the experience path. The two classes are built differently.
Class I requires 4 years, including:
- 2 years of residential installation as a lead mechanic
- 1 year as a service technician
- 1 year of residential supervisory experience
- EPA certification and a Board-approved heat-loss and duct-design course
Class II requires 5 years, including:
- Installations above 175,000 BTU heating and 60,000 BTU cooling
- 2 years of commercial supervisory experience
- An approved Manual N and Manual Q course, or a Carrier course
Education can replace part of the experience. An engineering technology diploma can count for up to 2 years, and a vocational certificate can count for up to 1 year. The rule sets the exact credit, so check Rule 121-3-.04 before you assume a number.
Under SB 553, a year of full-time experience is defined as 2,000 hours. Count hours from your employment records, not from memory.
Step 3: Line Up Coursework, Certification and References
Do the coursework early. Board-approved heat-loss and duct-design training is required for Class I, and the Class II path requires the Manual N and Manual Q work or a Carrier course. Keep the completion certificates with your application file.
Ask your references before you submit. Each one must fit the categories the form lists, and each must be able to confirm the work you describe. A reference who cannot speak to the specific job you list will slow your file.
Step 4: Submit the Application and Pay the Fee
File through the Secretary of State's Professional Licensing Boards Division. The initial application fee is $110 according to the Secretary of State's April 2026 guide. If your license lapsed and you are reinstating it within 3 years, the same guide lists $310. Confirm both figures on the Secretary of State fee page before you pay.
The Board generally processes applications within about 20 business days of receipt. The Board asks applicants to file at least 15 days before a Board meeting, so a late file can push your review to the next meeting.
Step 5: Pass the Exam
The passing score is 70. The exam fee is set by the testing vendor, not by the Board's fee schedule, so this guide does not list an exam price. Check the Board's instructions for scheduling and the vendor's current fee before you register.
Step 6: Form the Company and Register It With the Board
The license holder and the company are separate. Once you are licensed, you need a business entity and a Board Business Registration that ties the company to its qualifying licensee.
- LLC: Articles of Organization cost $110 total ($100 fee plus a $10 service charge), online or on paper. Online filings take about 7 to 10 business days.
- Corporation: Articles of Incorporation also cost $110 total.
- Name reservation: $35 holds a name for 30 days.
- Expedited review: $120 for 2 business days, $275 for same day if received by noon, or $1,200 for one hour on business days.
- Annual registration: $60 ($50 plus $10), filed January 1 to April 1 each year. Check the Secretary of State for the current window and the late penalty.
The Board's Business Registration application carries no fee. Confirm the entity name on the Secretary of State's business search before you file. For a step-by-step entity walkthrough, see how to start an LLC in Georgia.
Step 7: Register for Taxes
Register with the Georgia Department of Revenue through the Georgia Tax Center at gtc.dor.ga.gov. Registration is free. Sales tax applies to the equipment and parts you sell, not to your labor. The state rate is 4%, and combined state and local rates run from 6% to 9% depending on the county and city (Atlanta is 8.9%). Georgia issues no separate resale permit. A buyer who is exempt from tax uses Form ST-5, the certificate of exemption.
Georgia's income tax is a flat rate: 5.19% for 2025 and 4.99% for 2026. Corporations and LLCs taxed as corporations also owe a net worth tax of $0 to $5,000 based on net worth. A typical single-member or partnership LLC pays no franchise tax. For the full picture, read Georgia business taxes.
Step 8: Get the Local Occupation Tax Certificate
Georgia has no general statewide business license. The Conditioned Air Contractor license is your state license. Your local business license is an occupation tax certificate, issued under O.C.G.A. Title 48, chapter 13. A business inside a city pays the city. A business in unincorporated territory pays the county. More than half of Georgians live outside any city, so the county is the issuer for many HVAC shops. The 159 counties and about 537 cities each set their own formula, deadlines, and prerequisites, so check with your issuer before you apply.
Two requirements apply to the certificate. You must show proof of your state license (O.C.G.A. 36-60-6). Private employers with more than 10 employees must also file an E-Verify affidavit. For more on this certificate, see Georgia business license requirements.
Step 9: Cover Insurance, Refrigerant Rules and Permits
- Workers' compensation is required once you have 3 or more workers, and part-time workers count. See Georgia workers' compensation requirements.
- EPA refrigerant handling certification is required for anyone who handles refrigerants, including owners who do hands-on work.
- Local mechanical permits are issued by the city or county where the job is located. Pull the permit for each installation and check the local inspection schedule.
If you also plan to offer electrical or plumbing work, the requirements differ. See how to start an electrician business in Georgia and how to start a plumbing business in Georgia.
Step 10: Renew and Keep Your Education Current
The Conditioned Air Contractor license renews every two years on November 30 of odd-numbered years, with a late window in December. The next renewal deadline is November 30, 2027. Continuing education is 4 hours per year under Rule 121-4-.03, so track your hours each year rather than waiting for the renewal year.
SB 553 also adds license-lending discipline. Do not let an unlicensed person use your license to perform or sell conditioned air work, even a relative or a former employee who is starting out.
Costs at a Glance
| Item | Amount | Source to Confirm |
|---|---|---|
| Initial Conditioned Air Contractor application | $110 | Secretary of State fee page |
| Reinstatement (lapsed under 3 years) | $310 | Secretary of State fee page |
| Board Business Registration | No fee | Board application |
| Exam | Set by testing vendor | Board instructions and vendor |
| LLC Articles of Organization | $110 | Secretary of State |
| Annual registration (LLC or corporation) | $60 | Secretary of State |
| Georgia Tax Center sales tax registration | Free | Department of Revenue |
| Local occupation tax certificate | Set by city or county | Your city or county |
Common Mistakes to Avoid
- Assuming age and a diploma are enough. The rule sets the experience path. A high-school diploma or GED does not qualify you by itself.
- Choosing Class I for work that exceeds its limits. One system above 60,000 BTU cooling or 175,000 BTU gas heating falls outside Class I.
- Vague experience records. Titles like helper or technician do not show lead, service, or supervisory work. Document each category the rule names.
- Skipping the qualifying licensee setup. A company cannot operate under a license that is not regularly connected to it, and one qualifier cannot cover more than one business.
- Forgetting the Board Business Registration. Your personal license does not cover the company until the registration is in place.
- Missing the renewal year. Renewal falls on odd-numbered years only. Calendar November 30, 2027 now.
- Using an outdated fee or form. Check the Board's current application because SB 553 changed Chapter 14 effective July 1, 2026.
What to Expect
A clean file, complete references, and documented experience generally move through the Board with fewer delays. Processing takes about 20 business days from receipt, and the timing can extend if the Board requests more information or the file reaches a Board meeting later than planned. Plan your company formation, insurance, and tax registration to run alongside the application rather than after it, so you can start operating as soon as the license is issued.
Final Checklist
- Choose Class I or Class II based on the BTU limits you will work under.
- Document experience against the category requirements in Rule 121-3-.04.
- Complete the required coursework, EPA certification, and references.
- File the application and pay the fee, confirming the amount on the Secretary of State fee page.
- Pass the exam with a score of 70.
- Form the entity and file the Board Business Registration.
- Register with the Georgia Tax Center and obtain your local occupation tax certificate.
- Set up workers' compensation at 3 or more workers, EPA handling, and local permits.
- Calendar the November 30 renewal in each odd-numbered year and track 4 hours of continuing education per year.
This article is informational content, not legal or tax advice. Licensing rules, fees, and deadlines change. Confirm current requirements with the Georgia Secretary of State, the State Construction Industry Licensing Board, the Georgia Department of Revenue, and your city or county. For complex situations, consult a qualified attorney or a certified public accountant.
Keep exploring: related Georgia guides
- How to Start a Handyman Business in Georgia
- How to Start a Painting Business in Georgia
- How to Start a General Contracting Business in Georgia
- How to Start a Plumbing Business in Georgia
- How to Start an LLC in Georgia
- Georgia Business License
- Cost to Start a Business in Georgia
- All Georgia business types
- Every Georgia guide in one place