Who applies for a license?
a)The owner of a sole proprietorship
b)At least one general partner or managing employee of a partnership
c)A Chief Executive Officer, responsible managing employee or qualifying person in a corpo-
ration
d)All of the above - ANSWER D) All of the above
A person can be a qualifying person for two corporations if at least 25% of each corporation
has common ownership, or the second corporation is a subsidiary of the parent corporation
with at least 25% owned by the parent.
a) True
b) False - ANSWER a) True
A person who fails to apply for renewal by March 31st is considered licensed for 30 days, or
until the new license is issued by the Commissioner.
a) True
b) False - ANSWER b) False
Who is responsible for determining who is qualified to be licensed by the State of Minne-
sota?
a) Department of Labor and Industry
b) Department of Regulatory Affairs
1
, c) Builders Bureau
d) The Board - ANSWER a) Department of Labor and Industry
Anyone in the business of building residential real estate, or who contracts or offers to im-
prove residential real estate, must be licensed, unless yearly gross receipts are less than
$15,000 and they have received a Certificate of Exemption from the Department of Com-
merce.
a) True
b) False - ANSWER a) True
The licensing process requires each company to designate one individual who will serve as a
____________ , regardless of whether the licensee is an individual proprietorship, partner-
ship or corporation.
a) managing partner
b) qualifying person
c) project manager
d) CEO - ANSWER b) qualifying person
The maximum payment per claim paid out of the Contractor Recovery Fund is:
a) $15,000
b) $20,000
c) $75,000
d) $60,000 - ANSWER c) $75,000
The maximum payment per licensee out of the Contractor Recovery Fund (not the acceler-
ated process) is __________ .
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a)The owner of a sole proprietorship
b)At least one general partner or managing employee of a partnership
c)A Chief Executive Officer, responsible managing employee or qualifying person in a corpo-
ration
d)All of the above - ANSWER D) All of the above
A person can be a qualifying person for two corporations if at least 25% of each corporation
has common ownership, or the second corporation is a subsidiary of the parent corporation
with at least 25% owned by the parent.
a) True
b) False - ANSWER a) True
A person who fails to apply for renewal by March 31st is considered licensed for 30 days, or
until the new license is issued by the Commissioner.
a) True
b) False - ANSWER b) False
Who is responsible for determining who is qualified to be licensed by the State of Minne-
sota?
a) Department of Labor and Industry
b) Department of Regulatory Affairs
1
, c) Builders Bureau
d) The Board - ANSWER a) Department of Labor and Industry
Anyone in the business of building residential real estate, or who contracts or offers to im-
prove residential real estate, must be licensed, unless yearly gross receipts are less than
$15,000 and they have received a Certificate of Exemption from the Department of Com-
merce.
a) True
b) False - ANSWER a) True
The licensing process requires each company to designate one individual who will serve as a
____________ , regardless of whether the licensee is an individual proprietorship, partner-
ship or corporation.
a) managing partner
b) qualifying person
c) project manager
d) CEO - ANSWER b) qualifying person
The maximum payment per claim paid out of the Contractor Recovery Fund is:
a) $15,000
b) $20,000
c) $75,000
d) $60,000 - ANSWER c) $75,000
The maximum payment per licensee out of the Contractor Recovery Fund (not the acceler-
ated process) is __________ .
2
