Detroit contractor registration, permits and city rules

Here is what the City of Detroit asks of contractors and other field-service companies. The state side, including how Michigan licenses residential builders and maintenance and alteration contractors, is on our Michigan startup page and in the Michigan contractor license guide. All facts here come from City of Detroit pages read in October 2026. Several of those pages carry older revision dates, so treat the numbers as starting points and confirm them with the office listed.

Detroit adds a registration step on top of the state license

Detroit's BSEED states that contractors performing certain construction and maintenance work on buildings and lands inside the city must be licensed and registered, and that the registration renews every year. Its checklist says the applicant must hold a current and valid State of Michigan contractor's license before applying for registration. Michigan's license comes from the state (see our state page). Detroit's registration is the city's own, and it is what ties your permits to your license. In BSEED's wording, a contractor on a residential job needs a State of Michigan Builder's License that is registered with the City of Detroit.

How registration works at BSEED

The registration checklist calls for a copy of your current state contractor license. Renewals ask for a current driver's license or state ID, and if you hire a master plumber licensed by the state, a copy of that license. Checks go to "Treasury City of Detroit," and starter checks are not accepted. Fees follow a renewal and registration fee schedule that BSEED links as a PDF, so we are not quoting amounts here.

Applications can be picked up in person at Room 408 of the Coleman A. Young Municipal Center, 2 Woodward Avenue, 8:00 a.m. to 4:00 p.m. on weekdays. The checklist says mailed applications take 5 to 10 business days, in-person applications are issued the same day, and a supervisor in the Buildings Division verifies the paperwork. The Construction Division answers questions at (313) 224-3202, and Trade Licensing and Testing at (313) 224-3184.

Trades Detroit examines itself

BSEED lists trades that require an exam with the city: awning erector, boiler and refrigeration, electrical journeyperson, master electrician and contractor, elevator operator, journeyperson and contractor, sign erector, steeplejack, welder, window washer, and wrecking or demolition. Awning, sign, steeplejack and window washer exams are built on the Detroit Zoning Code, Detroit City Code, and the Michigan Building Code, with the sign-related tests adding Michigan occupational safety rules.

The process is hands-on. You call the Buildings Division to schedule, bring original documents (photocopies are accepted for scheduling only), and a missing original voids the application and cancels the exam. Written scores come back within a week. If you fail the written test you may retake it after 90 days, and after passing the oral exam you pay the license fees. A pressure washing or exterior cleaning company that sends people up on lifts or ropes should ask Trade Licensing and Testing whether the window washer or steeplejack category applies to its work. The page does not define the categories beyond the names.

Permits: homeowners, contractors and the Accela portal

BSEED says building permits are needed for residential construction, commercial construction and signs. For a single-family home you will occupy, the owner may do the residential work, and homeowners may apply for electrical, plumbing and mechanical permits themselves with proof of ownership. A contractor is needed when pulling permits for commercial property or multi-family dwellings. Commercial work does not require a licensed contractor, but plans must be sealed by a state-registered architect or engineer. Sign work must be done by a city-licensed sign erector or sign specialist.

You apply through the Accela portal, and the FAQ says the online application takes about 15 minutes. Review and issuance run from 4 hours for residential structures to 20 business days for commercial buildings. Plans go through the ProjectDox portal, and single-family and duplex applications can also be submitted in person at the Development Resource Center (2 Woodward Avenue, 4th floor, Suite 434). The Development Resource Center line is (313) 224-2372, and License and Permits answers application questions at (313) 224-3179. Permit status belongs on the job record, which is what a custom CRM is for.

Does your company need a Detroit business license?

BSEED says not all businesses need one. Its list of licensed categories covers nightclubs, vendors, lodging, theaters and halls, amusements, consumer services such as massage parlors and tattoo parlors, gas stations, motor trucks and motor vehicles for hire, parking and valet, cigarette retailers and pet shops, second-hand businesses such as junkyards, scrap processors and tow yards, sexually oriented businesses, and special events. A typical cleaning, lawn or repair company does not appear on that list, but a hauling or motor-truck-for-hire operation may. Call the Business License and Trade Permits office at (313) 224-3179 and ask about your exact service.

Detroit's own income tax on businesses and payroll

Detroit taxes business income and payroll at the city level, but the Michigan Department of Treasury now processes the returns and payments. Treasury's Detroit pages say it began processing corporate, partnership, estate and trust returns in 2017 on behalf of the city, and that all returns and payments must go to Treasury, including employer withholding beginning with the 2017 tax year. The City of Detroit's own business income tax page still lists a 2.00% rate for corporations, 2.40% for resident partners, 1.20% for nonresident partners and 2.00% for corporate partners. It lists employer withholding of 1.2% for nonresident employees and 2.4% for resident employees, and employers register for withholding on Form DSS4.

The city's page carries references to tax years 2015 and 2016 and phone numbers for an Income Tax Division that no longer takes returns, so treat those rates as the city's last published figures. Confirm the current rates, forms and filing address on Treasury's City of Detroit tax pages before you file or run payroll. The point for a contractor is simple. Work you do inside Detroit can create city tax obligations for your company and for any nonresident crew, even if your office is in a suburb.

Dumpsters, debris and dump sites

Detroit requires a permit from the City Engineering Division of the Department of Public Works before work in a street, alley, sidewalk or berm, under Detroit Code Section 43, Division 2. The city's right of way page lists dumpsters among the activities that occupy the right of way and says they also have their own permit type. Right of way permit applications ask for a scope-of-work letter with estimated dates, and the page says the applicant posts a $2,500 surety bond with the city before work begins. The City Engineering office is at 2 Woodward Avenue, Suite 642, (313) 224-3935. That page does not say whether the bond applies to a dumpster-only permit, so ask.

The city's free dump yards are for Detroit residents, and the page states that no commercial vehicles are allowed. The J. Fons Transfer Station accepts household garbage, bulk, yard and construction debris at $65 for the first 2,000 pounds and $50 per additional 2,000 pounds, as listed in October 2026. The city will also pick up bulk or construction waste for $40 per cubic yard. Junk haulers and remodelers should plan disposal on that basis and check with the Solid Waste Division at (313) 876-0004.

Snow removal in Detroit

The Department of Public Works says snow removal companies and property owners are prohibited from putting snow from their property onto public roadways, and that business owners and residents must clear their sidewalks for all snow events. Street maintenance can be reached at (313) 224-0033. Put the stacking location in every winter contract so a crew is never the party that pushed snow into the street. See pricing and routing considerations in our snow removal startup guide.

The National Weather Service Detroit office lists the average first measurable snowfall at November 16, the first snowfall of 1 inch or more at November 30, the last of 1 inch or more at March 24, and the last measurable snowfall at April 7. Those dates frame when a contract season realistically starts and ends.

What this means for your setup

A Detroit service-area page should say that your company is registered with the city, and it should carry the real trade you perform. Customers who ask a phone line whether you are state licensed and city registered deserve a direct answer, which is a job for a trained front desk or an AI receptionist. Michigan call recording rules are mixed, as covered in our recording guide.

Treat this as general information and not legal advice. Confirm each point with the BSEED, Public Works or Income Tax office before acting, because city pages and fees change.

Frequently asked questions