Last updated: February 23, 2026
Starting an HVAC business in Florida is a lucrative opportunity — the state’s year-round heat and humidity create constant demand for air conditioning installation, repair, and maintenance. But unlike some trades, HVAC is heavily regulated. You need a state contractor license from the DBPR, EPA certification to handle refrigerants, and specific insurance before you can legally operate.
This guide covers every requirement, cost, and step to legally start and operate an HVAC business in Florida, whether you’re launching a service-only operation or a full-service installation company.
HVAC Business Requirements in Florida at a Glance
| Requirement | Agency | Cost | Timeline |
|---|---|---|---|
| State Contractor License (Class A or B) | FL DBPR / CILB | $149–$249 application + $135/exam (×2) | 2–6 months (includes exam prep) |
| EPA Section 608 Certification | U.S. EPA | $25–$150 | Same day (after exam) |
| LLC Formation (Articles of Organization) | FL Division of Corporations (Sunbiz) | $125 | 3–5 business days |
| Federal EIN | IRS | Free | Immediate (online) |
| General Liability Insurance | Commercial insurer | $780–$941/year | Same day |
| Commercial Auto Insurance | Commercial insurer | $1,764–$2,292/year | Same day |
| Workers’ Comp Insurance (1+ employee) | Commercial insurer | Varies by payroll & NCCI code | Same day |
| Surety Bond (only if FICO below 660) | Bonding company | $5,000 (with course) or $10,000 (without) | Same day |
| County Business Tax Receipt | County Tax Collector | $25–$175 | 1–2 weeks |
| Sales Tax Registration | FL Dept. of Revenue | Free (online) | 7–10 days for certificate |
| Continuing Education (biennial) | DBPR-approved providers | $79–$150 | 14 hours every 2 years |
How to Start an HVAC Business in Florida (Step by Step)
Step 1: Meet Experience Requirements (4 Years in HVAC)
Florida requires a minimum of 4 years of verifiable HVAC experience before you can apply for a state contractor license. Qualifying experience includes:
- Employment under a licensed contractor — the most common path
- Military HVAC training — documented MOS/rating in HVAC systems
- Education credits — accredited trade school or college coursework may substitute for a portion of experience
Start documenting your experience early. The CILB requires detailed verification, including employer names, dates, and scope of work performed.
Step 2: Pass State Licensing Exams
You must pass two proctored exams administered through the DBPR/CILB:
- Trade Knowledge Exam — 7.5 hours, covers HVAC systems, installation, codes, and refrigeration. Cost: $135
- Business & Finance Exam — 6.5 hours, covers project management, estimating, contracts, and Florida business law. Cost: $135
- Passing score: 70% on both exams
You can take the exams in any order, and results are valid for multiple application attempts. Most candidates spend 2–4 months preparing. Several Florida-specific exam prep courses are available.
License classes:
- Class A (Unlimited) — no restrictions on system size or project value
- Class B — limited to systems of 25 tons cooling / 500,000 BTU heating or less
Step 3: Get EPA Section 608 Certification
Federal law requires EPA Section 608 certification for anyone who purchases, handles, or disposes of refrigerants. This is non-negotiable for HVAC work.
- Recommended level: Universal certification (covers all equipment types)
- Exam cost: $25–$150 depending on testing provider
- Duration: Lifetime certification — no renewal required
- 2026 update: Exam questions now include A2L (mildly flammable) refrigerants as the industry transitions away from high-GWP refrigerants
Step 4: Form Your Florida LLC
File your Articles of Organization online at Sunbiz.org. Total cost: $125 ($100 filing fee + $25 registered agent fee). Processing takes 3–5 business days.
Your LLC name must include “LLC,” “L.L.C.,” or “Limited Liability Company” and must be distinguishable from existing entities on file. You’ll need a Florida Registered Agent with a physical street address in the state — you can serve as your own registered agent if you have a Florida address.
If you want to operate under a different name (e.g., “Sunshine HVAC” instead of “Sunshine HVAC LLC”), file a Fictitious Name Registration for $50.
Step 5: Get Your Federal EIN
Apply for a free Employer Identification Number at IRS.gov. You’ll receive it immediately when applying online. You need this to open a business bank account, and it’s required if you plan to hire employees.
Step 6: Apply for Your DBPR Contractor License
Once you’ve passed both exams and have your business entity formed, submit your application to the DBPR/CILB.
Application requirements:
- Application fee: $149–$249
- Exam scores — passing results for both Trade Knowledge and Business & Finance
- Proof of experience — 4 years of documented HVAC work
- Proof of insurance — general liability certificate (state minimum: $100,000 per occurrence / $25,000 property damage; industry standard: $1,000,000 per occurrence / $2,000,000 aggregate)
- Financial responsibility — FICO credit score of 660 or higher, or a surety bond ($5,000 with a 14-hour financial responsibility course, or $10,000 without the course)
- Biennial renewal: $209 every 2 years
Step 7: Get Insurance
General Liability Insurance (Required for License)
Florida requires proof of general liability insurance to issue your HVAC contractor license. You cannot operate without it.
- State minimum: $100,000 per occurrence / $25,000 property damage
- Industry standard: $1,000,000 per occurrence / $2,000,000 aggregate
- Average cost in Florida: ~$780–$941/year
Commercial Auto Insurance
Essential for HVAC businesses — you’ll be driving to job sites daily with tools and equipment.
- Average cost in Florida: ~$1,764–$2,292/year
- Covers service vans/trucks, tools in transit, and third-party liability
Workers’ Compensation Insurance
HVAC is classified as construction in Florida, which means workers’ comp is required with 1 or more employees — not the 4-employee threshold that applies to non-construction businesses.
- Threshold: 1 employee (construction classification)
- NCCI class codes apply based on specific work performed
- Owner exemption available: Officers/members with 10%+ ownership can file an exemption — $50 fee, valid for 2 years, maximum 3 exempt officers per LLC
- File exemptions through the FL Division of Workers’ Compensation
Step 8: Get Your County Business Tax Receipt
Visit your county Tax Collector’s office to apply for a Local Business Tax Receipt. This is your primary local business license in Florida.
- Cost: $25–$175 depending on your county and business classification
- City license too: If you’re within an incorporated city, you’ll typically need both a county and a city business tax receipt
- Renewal: Annual, due by October 1
- Display: Must be visible at your place of business
Step 9: Register for Sales Tax with FL DOR
This is a critical distinction for Florida HVAC businesses:
- Central/ducted HVAC systems = real property improvement: The contractor pays sales tax on materials at the time of purchase. You do NOT charge the customer sales tax on the completed job.
- Portable/window units = tangible personal property: Fully taxable to the customer — both parts and labor.
Register with the Florida Department of Revenue (free online). You’ll receive a Certificate of Registration by mail.
Important details:
- On real property improvement jobs, you are the end consumer of the materials — buy materials tax-included and do not mark up the tax to the customer
- Service/repair calls for central systems follow the same real property improvement rule — tax on materials, not charged to customer
- Keep clear records distinguishing between real property improvement work and portable unit sales — this is a frequent audit flag from the FL Department of Revenue
Surety Bond Requirements for HVAC Contractors
A surety bond is only required if your FICO credit score is below 660. If your score is 660 or above, you meet the CILB’s financial responsibility requirement without a bond.
- With 14-hour financial responsibility course: $5,000 bond required
- Without course: $10,000 bond required
- Bond premium: ~1–15% of face value (so $50–$750 for a $5,000 bond, or $100–$1,500 for a $10,000 bond, depending on credit)
Continuing Education Requirements
Florida HVAC contractors must complete 14 hours of continuing education every 2 years (aligned with your license renewal cycle).
- 5 mandatory topic hours — required subjects set by the CILB (typically includes code updates, workplace safety, and business practices)
- 9 elective hours — choose from DBPR-approved courses
- Cost: $79–$150 depending on provider and format (online or in-person)
- Must be completed before your biennial license renewal
Cost to Start an HVAC Business in Florida
Service-Only / Budget Startup
| Item | Cost | Notes |
|---|---|---|
| State Licensing Exams (2) | $270 | $135 each, Trade + Business & Finance |
| DBPR Application Fee | $149–$249 | One-time |
| EPA 608 Certification Exam | $25–$150 | Lifetime, no renewal |
| LLC Formation (Sunbiz) | $125 | One-time |
| Federal EIN | Free | Online at IRS.gov |
| County/City Business Tax Receipt(s) | $25–$175 | Annual renewal |
| General Liability Insurance | $780–$941/year | Required for license |
| Commercial Auto Insurance | $1,764–$2,292/year | Required for service calls |
| Basic Tools & Equipment | $5,000–$10,000 | Gauges, meters, hand tools, recovery unit |
| Used Service Van | $5,000–$10,000 | Reliable work vehicle |
| Marketing / Website / Cards | $300–$1,500 | Optional at start |
| Estimated total: $15,000–$25,000 | ||
Full-Service Residential Operation
| Item | Cost | Notes |
|---|---|---|
| Licensing & Certifications | $444–$669 | Exams + application + EPA |
| LLC Formation + EIN | $125 | One-time |
| County/City Business Tax Receipt(s) | $50–$200 | Annual |
| General Liability Insurance | $780–$941/year | $1M/$2M recommended |
| Commercial Auto Insurance | $1,764–$2,292/year | Service fleet |
| Workers’ Comp Insurance | $2,000–$5,000/year | Construction classification, 1+ employees |
| Professional Tools & Equipment | $10,000–$20,000 | Install-grade tools, vacuum pumps, brazing |
| Service Vehicle(s) | $10,000–$20,000 | Outfitted van or truck |
| Initial Inventory (parts/materials) | $2,000–$5,000 | Common parts, refrigerant, supplies |
| Marketing / Website / Branding | $1,000–$3,000 | Professional presence |
| Estimated total: $30,000–$55,000 | ||
Premium / Install-Capable Operation
| Item | Cost | Notes |
|---|---|---|
| Licensing & Certifications | $444–$669 | Exams + application + EPA |
| LLC Formation + EIN | $125 | One-time |
| County/City Business Tax Receipt(s) | $50–$200 | Annual |
| General Liability Insurance ($1M/$2M) | $780–$941/year | Required for license & commercial contracts |
| Commercial Auto Insurance (fleet) | $3,500–$6,000/year | Multiple vehicles |
| Workers’ Comp Insurance | $5,000–$12,000/year | Multiple employees, NCCI rated |
| Professional & Install Tools | $15,000–$30,000 | Full install capability, sheet metal tools |
| Service Fleet (2–3 vehicles) | $20,000–$40,000 | Outfitted vans/trucks |
| Initial Inventory | $5,000–$10,000 | Equipment, parts, refrigerant stock |
| Office/Warehouse Space (deposit + setup) | $3,000–$8,000 | Optional but recommended at scale |
| Marketing / Website / Branding | $2,000–$5,000 | SEO, Google Ads, vehicle wraps |
| Estimated total: $55,000–$100,000+ | ||
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Frequently Asked Questions
What license do I need for HVAC in Florida?
You need a state contractor license issued by the DBPR/CILB. There are two classes: Class A (unlimited) with no restrictions on system size, and Class B limited to systems of 25 tons cooling / 500,000 BTU heating or less. Both require 4 years of documented HVAC experience and passing two exams — the Trade Knowledge exam (7.5 hours, $135) and the Business & Finance exam (6.5 hours, $135), each requiring a 70% passing score.
Do I need EPA certification for HVAC?
Yes. EPA Section 608 certification is federally required for anyone who purchases, handles, or disposes of refrigerants. Universal certification is recommended because it covers all equipment types. The exam costs $25–$150 and grants a lifetime certification with no renewal required. As of 2026, exam questions include A2L (mildly flammable) refrigerants.
Is HVAC classified as construction in Florida?
Yes. HVAC work is classified as construction under Florida law, which has a significant impact on workers’ compensation requirements. Construction businesses must carry workers’ comp with 1 or more employees — not the 4-employee threshold that applies to non-construction businesses. Owners can file for an exemption ($50, valid 2 years, max 3 officers per LLC).
Are HVAC services taxable in Florida?
Central/ducted HVAC systems (installation, repair, replacement) are classified as real property improvements — the contractor pays sales tax on materials at the time of purchase and does not charge the customer sales tax. Portable/window units are tangible personal property and are fully taxable to the customer (parts and labor).
How much does it cost to start an HVAC business in Florida?
A service-only/budget startup costs approximately $15,000–$25,000, including licensing, a used service van, basic tools, and insurance. A full-service residential operation runs $30,000–$55,000 with install-grade equipment and inventory. A premium install-capable operation with multiple vehicles and employees typically costs $55,000–$100,000+.
Do I need a surety bond for HVAC in Florida?
Only if your FICO credit score is below 660. The CILB requires financial responsibility proof — a score of 660+ satisfies this requirement without a bond. If your score is below 660, you’ll need a $5,000 surety bond (if you complete a 14-hour financial responsibility course) or a $10,000 surety bond (without the course). The bond premium is typically 1–15% of the face value.