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How to Start a Plumbing Business in North Dakota: State Plumbing Board Licenses, $200 Master, $100 Journeyman and Separate Sewer and Water Installer Licenses

How to Start a Plumbing Business in North Dakota: State Plumbing Board Licenses, $200 Master, $100 Journeyman and Separate Sewer and Water Installer Licenses

If you want to run a plumbing business in North Dakota, the license comes first. Plumbing is licensed by the State Board of Plumbing under NDCC 43-18, 43-18.1 and 43-18.2 and NDAC 62-02-01. It is not licensed by the Secretary of State, and cities add their own requirements on top. Under NDCC 43-18-23, it is unlawful to work for pay as a master, journeyman or apprentice plumber without the matching license.

This guide covers the order that works in practice: which license you need, how to meet the requirements and apply, how to set up the business entity, and what you must renew every year. Confirm every fee below with the board before you pay, because fee schedules change.

What You Need Before You Start

  • Your legal name, mailing address and Social Security number for the board application
  • Proof of your work history under a licensed plumber, since the board sets experience and apprenticeship requirements in NDAC 62-02-01
  • Application and exam fees, which the board lists at $50 each, plus the license fee for the level you are applying for
  • A business name you have checked against the Secretary of State's business search at firststop.sos.nd.gov/search/business
  • A registered agent in North Dakota if you form an LLC or corporation
  • A plan for insurance and workers' compensation before you hire anyone

Step 1: Identify Which License Families Apply to Your Work

The State Board of Plumbing issues three license families. Many new owners assume one license covers everything. It does not.

  • Plumbing: master plumber at $200 and journeyman plumber at $100 per the board's schedule, plus apprentice licenses
  • Sewer and water: contractor and installer licenses under NDCC 43-18.2, which are separate from plumbing licenses
  • Water conditioning: contractor at $40 and installer at $20 under NDCC 43-18.1-04, if you install or service water softeners and conditioners

A master plumber is the person who holds responsibility for the work. A journeyman works under a master. An apprentice works under supervision while logging training toward a journeyman or master license. If you plan to do sewer or water main work, you need the sewer and water license that matches your role, even if you already hold a plumbing license.

Step 2: Meet the Experience and Apprenticeship Requirements

North Dakota does not let you skip the training path. The board requires documented experience before you can sit for the master or journeyman exam, and it sets the rules in NDAC 62-02-01. Because hour requirements and acceptable documentation can change, request the current requirements from the board before you enroll in classes or start tracking hours.

Apprentice licenses are a separate step. The board's fee page lists apprentice fees by year, ranging from $20 to $75 for the five yearly figures it publishes. Apprentices need to be licensed before they work for pay, so do not put a helper on a paid job until that license is active.

Step 3: Apply and Pass the Exam

Submit your application through the State Board of Plumbing with the application fee of $50. Exam fees are $50 per attempt, so a failed exam costs you another $50 to retake. Ask the board whether the license fee is billed with your application or after you pass, and whether the application and exam fees are part of the $200 master or $100 journeyman figure or charged on top of it.

For sewer and water work, the board lists exam fees of $100 for a contractor and $25 for an installer under NDCC 43-18.2-08 and 43-18.2-09. Those figures are the exam fees, not the full cost of the license, so confirm the total with the board.

Plan your study time. Failing and retaking the exam adds weeks to your start date and costs money at every attempt. Schedule the exam only after you have reviewed the code material the board tests and confirmed you meet every eligibility rule.

Step 4: Check Your City's Requirements

Your state license does not end the list. Under NDCC 43-18-16, cities may require their own plumbing license or permit on top of the state license. Requirements differ by city, and you should check each city where you plan to work.

  • Fargo lists a $125 per year master plumber license as of 2026.
  • Minot requires a plumbing permit in addition to your state license.

Call the city's building or licensing office before you bid your first job. Ask whether a city license applies to the work you plan to do, what the annual cost is and whether it renews on the same schedule as your state license.

Step 5: Form Your Business Entity

Forming a business and licensing a trade are separate tasks. Registering an entity with the Secretary of State is a filing, not a license. You have three common options.

Limited Liability Company (LLC)

File Articles of Organization under NDCC Chapter 10-32.1 through the FirstStop portal at firststop.sos.nd.gov. The filing fee is $135. The name must include "limited liability company," "LLC" or "L.L.C." and may not include "corporation," "incorporated" or similar wording. Under NDCC 10-32.1-11, the name must also be distinguishable from every other registered name in the Secretary of State's records.

If you want to hold a name while you finish paperwork, the Secretary of State charges $10 to reserve a name for 12 months, and the reservation can be renewed. The LLC must file an annual report with a $50 fee due November 15 every year. A late fee of $50 applies after the statutory due date.

Corporation

File Articles of Incorporation under NDCC Chapter 10-19.1 through FirstStop. The filing fee is $100. The annual report is $25 and is due August 1 every year for domestic corporations.

Sole Proprietorship With a Trade Name

If you operate under your own legal name, you may not need an entity filing at all. If you use a different name for the business, such as "Prairie Pipe and Drain," register it as a trade name with the Secretary of State. Registration costs $25, amendments cost $25 and renewals cost $25. Registration must be renewed every 5 years, and the registration gives you the exclusive right to that name within North Dakota only.

Registered Agent Rules

LLCs and corporations must maintain a North Dakota registered agent with a physical address in the state. The business cannot act as its own agent. The agent can be an individual who lives in North Dakota or a registered business entity with a North Dakota office. Get the agent's approval before you name them, because failing to do so can lead to involuntary dissolution. Filing a change of agent costs $10, and service of process costs $25.

Many owners use their accountant or attorney as the registered agent, but the agent's name and address must be public, so consider the privacy trade-off.

Step 6: Register for Taxes, Insurance and Workers' Compensation

North Dakota has no franchise tax and no separate LLC privilege tax. Your entity-level state charges are the annual report fees above. How you are taxed on profits depends on your entity and any elections you make.

  • Pass-through LLC or sole proprietor: profits flow to the owners, who pay North Dakota individual income tax at 0 percent, 1.95 percent or 2.50 percent depending on bracket.
  • LLC electing C corporation treatment or a corporation: state corporate income tax is graduated at 1.41 percent on the first $25,000 of taxable income, $352.50 plus 3.55 percent up to $50,000, and $1,240 plus 4.31 percent above that.

If any of your sales are taxable, you need a sales and use tax permit from the Office of State Tax Commissioner. Apply through ND TAP at tap.tax.nd.gov about 30 days before you open. The state sales tax rate is 5 percent, and city and county taxes may add to it. Ask the Tax Commissioner which of your charges are taxable.

Workers' compensation in North Dakota runs through WSI, a state monopoly, so you cannot buy it from a private carrier. If you plan to hire employees, contact WSI before the first payroll. Insurance for liability and tools is a separate decision, and an insurance agent who works with contractors can quote it.

Also check the Secretary of State's contractor rule. Its license threshold applies when the cost, value or price of a construction job exceeds $4,000. Plumbing work is licensed by the plumbing board, but if your plumbing is part of a larger construction project, ask the Secretary of State whether the contractor license also applies.

Step 7: Renew on Time Every Year

All plumbing licenses expire December 31 and renew yearly. Master and journeyman licensees must complete continuing education of 2 to 4 credit hours per two-year period under NDCC 43-18-17.1. Check the board for approved courses and current course fees. Late renewal carries a $50 fee under NDAC 62-02-01, and statute caps application and late renewal fees at $100 under NDCC 43-18-08.

Put your renewal date on a calendar with reminders at 90 days and 30 days. Also calendar your entity's annual report, your trade name renewal every 5 years and your city license date if one applies.

Fee Summary

ItemAmountSource or Note
Master plumber license$200State Board of Plumbing, NDAC 62-02-01
Journeyman plumber license$100State Board of Plumbing, NDAC 62-02-01
Application fee (per application)$50Confirm whether billed separately from the license fee
Exam fee (per attempt)$50Per attempt
Late renewal$50NDAC 62-02-01
Apprentice license$20 to $75 by yearBoard fee page, confirm current year
Sewer and water contractor exam$100NDCC 43-18.2-08
Sewer and water installer exam$25NDCC 43-18.2-09
Water conditioning contractor$40NDCC 43-18.1-04
Water conditioning installer$20NDCC 43-18.1-04
LLC Articles of Organization$135Secretary of State, FirstStop
LLC annual report$50Due November 15 yearly
Corporation Articles of Incorporation$100Secretary of State, FirstStop
Corporation annual report$25Due August 1 yearly
Name reservation$10Valid 12 months
Trade name registration$25Renew every 5 years at $25

Tips for Getting It Right

  • Call the State Board of Plumbing before you start tracking hours. Ask for the current experience rules in writing.
  • Ask whether the license fee and the application and exam fees are billed separately, so your budget is accurate.
  • Check your target city's license or permit rules before you sign a contract in that city.
  • Reserve your business name early if you plan to wait on other filings.
  • Call the Secretary of State at (701) 328-2900 for current processing times. The state publishes no guaranteed turnaround, and it lists no expedited service.
  • Contact the North Dakota Small Business Development Centers at und.edu/ndsbdc, hosted by the University of North Dakota, for help with a business plan and cost estimates.

Common Mistakes to Avoid

  • Assuming one license covers sewer and water work. The sewer and water and water conditioning license families are separate from plumbing.
  • Putting unlicensed helpers on paid work. Under NDCC 43-18-23, working for pay without the matching license is unlawful.
  • Skipping the city. A state license alone may not let you pull a permit in Minot or meet Fargo's annual license.
  • Naming a registered agent without asking. Failing to get approval first can lead to involuntary dissolution.
  • Missing the annual report. An LLC report is due November 15, and a corporation report is due August 1. Late filings add fees and can lead to reinstatement charges of $135.
  • Forgetting renewals. Licenses expire December 31, and late renewal costs an extra $50.

What Results to Expect

Most people who follow this sequence can open a plumbing business without surprises, but the timeline depends on how quickly you finish your experience requirements, pass the exam and clear your city's rules. Expect the process to take several months from your first application to your first paid job, and treat that as an estimate rather than a promise. A license does not guarantee customers or income. It is the legal starting point for the work.

The Small Business Administration's North Dakota district office at sba.gov/district/north-dakota can point you to local business counseling. An accountant or attorney can help you choose between an LLC, a corporation and a sole proprietorship based on your situation.

Disclaimer: This article is informational, not legal or tax advice. Fees, deadlines and requirements can change, so confirm each one with the State Board of Plumbing, the Secretary of State, the Office of State Tax Commissioner, WSI or your city before you act. For complex situations, consult a qualified North Dakota attorney and a certified public accountant.

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