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Insurance and licenses

What licenses and insurance do you need to recoat floors?

Last updated · FloorIt

To run a floor recoat business, you need general liability insurance and any license your state or city requires. In homes built before 1978, the EPA's lead-safe (RRP) rules also apply. License rules change a lot from state to state. Here is what we found when we checked all 50 states and D.C. in October 2026.

What every partner needs

  • General liability insurance. We ask every partner to carry it
  • Any state or city license your area requires
  • EPA lead-safe (RRP) certification to work in homes built before 1978, since screening disturbs old coatings
  • A local business license, where your city or county asks for one

Insurance protects you and the homeowner if something goes wrong in their home.

How much state rules differ

24
No state license for a $2,500 recoat
13
A state registration
11
A state license
3
Depends on the county, city or job size
  • Texas, Florida and Colorado: no state license for a job this size
  • Alabama: no state license at $2,500. Its license starts at jobs over $10,000
  • Arkansas: a home improvement license for residential work over $2,000
  • Arizona: a state contractor license for almost any paid job over $1,000
  • Washington: a contractor registration, with a $15,000 bond for a specialty contractor
  • California: a state license and a $25,000 contractor bond

Rules change. Check with your state and city before your first job.

Workers' comp, if you hire

Workers' comp rules depend on your state too. In Arizona it starts with your first employee. In Arkansas it generally starts at 3 employees, and in Alabama at 5, where LLC members count as employees.

Hiring a tech to do the floors

Sales tax

Some states tax the work itself. In Alabama, labor isn't taxed, but you pay tax on the materials you use. Arkansas likely taxes floor work on both labor and materials. Ask an accountant how your state treats a recoat.

How FloorIt helps

Your onboarding form asks about your current insurance and any licenses. We go over your state's licensing and insurance rules with you during onboarding, so you start the right way. The policy and license are in your name, and keeping them current is on you.

The full guide to starting a recoat business

Keep reading

  • How to start a recoat business: How to start a hardwood floor recoat business: learn the job, get the equipment, check insurance and licensing, price jobs and find customers. An honest guide.
  • Hire a floor tech: Don't want to do the floor work? A part-time recoat tech runs about $250 a job. Here is the math, and what you still do yourself.
  • Your first 30 days: What happens after you sign with FloorIt, day by day: payment check, kickoff call, the 14-day build, delivery call, equipment, training and launch.
  • Who should not join: FloorIt is not for everyone. Who should not join: people who need income next month, who can't call leads back fast, or who want a business without work.