Yes, your company can hold an NSW contractor licence — but only if it meets Fair Trading requirements. Here’s what you need to know about company structure, director obligations, and CPD.
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If you’re running a construction business as a company (Pty Ltd), you can hold an NSW contractor licence. But the requirements are stricter than for a sole trader. Fair Trading requires that the company nominate a “nominated supervisor” — usually a director — who holds the contractor licence. The nominated supervisor is personally responsible for compliance, even though the company is the legal licence holder.
This guide explains how company contractor licences work, who needs to do CPD, and what happens if your company structure changes.
Can a Company Hold a Contractor Licence in NSW?
Yes. NSW Fair Trading allows companies (Pty Ltd, partnerships, and other legal entities) to hold residential or pool/spa contractor licences. The licence is issued to the company, not to an individual.
However, Fair Trading requires the company to nominate a qualified individual — typically a director — to act as “nominated supervisor”. This person holds personal responsibility for the company’s compliance with the Home Building Act, Fair Trading conditions, and CPD requirements.
Key point: The nominated supervisor is the person Fair Trading will hold accountable if the company breaches regulations. If the nominated supervisor doesn’t complete CPD, it’s not the company that loses the licence — it’s the nominated supervisor’s personal licence that’s at risk.
Who Can Be the Nominated Supervisor?
The nominated supervisor must:
- Hold a valid NSW contractor licence in their own name (residential or pool/spa builder)
- Be a director, partner, or senior manager of the company
- Be primarily responsible for managing the company’s building work
- Not be nominated supervisor for more than one building company at a time
If your nominated supervisor leaves the company or retires, you must nominate a replacement. You cannot operate without a nominated supervisor.
Who Needs to Do CPD If Your Company Holds the Licence?
- Only the nominated supervisor — the person nominated to Fair Trading as responsible for compliance
- Other directors, managers, or employees do NOT need to do CPD for the company licence (unless they hold their own individual contractor licence)
- If the nominated supervisor changes, CPD responsibility transfers to the new nominated supervisor
Why Does Fair Trading Require a Nominated Supervisor?
The nominated supervisor system exists because Fair Trading needs to know who is personally accountable for the company’s compliance. Companies are legal entities, but they don’t comply with rules — people do.
By requiring a nominated supervisor, Fair Trading ensures there’s an identifiable person who:
- Understands the Home Building Act and Fair Trading regulations
- Keeps CPD current
- Is responsible for contract compliance and defect management
- Can be contacted by Fair Trading for investigations
If the company breaches Fair Trading rules, the nominated supervisor’s personal licence is at risk — this creates accountability at the individual level.
Company Licence vs Individual Licence — Key Differences
| Aspect | Sole Trader (Individual Licence) | Company (Company Licence) |
|---|---|---|
| Who holds licence | You (the individual builder) | The company (Pty Ltd, partnership, etc.) |
| Who does CPD | You (12 points per year) | Nominated supervisor only (12 points per year) |
| Licence conditions | Apply to you personally | Apply to the company; nominated supervisor is accountable |
| Licence suspension | You cannot work as a builder | Company cannot trade; nominated supervisor’s personal licence at risk |
| Personal liability | Direct — you are liable for breaches | Nominated supervisor is personally liable for nominated responsibilities |
CPD Responsibility — Only the Nominated Supervisor
This is critical: if your company holds the contractor licence, only the nominated supervisor needs to complete 12 CPD points per year. No other directors, managers, or employees are required to do CPD for the company’s licence.
However, if another person in your company holds their own individual contractor licence (e.g., a second licensed builder on staff), that person also needs to complete 12 CPD points.
Example: ABC Building Company (Pty Ltd) holds a contractor licence with John as nominated supervisor. John must complete 12 CPD points per year. Sarah, the project manager, does not need to do CPD. But if Sarah also holds her own contractor licence, then she needs 12 CPD points per year for her personal licence.
CPD Requirement Checklist for Company Licences
- ☐ Nominated supervisor completes 12 CPD points every year before licence renewal
- ☐ Other directors/managers do NOT need to do CPD unless they hold their own licence
- ☐ If nominated supervisor changes, new supervisor starts their CPD requirement immediately
- ☐ CPD must be from Fair Trading-approved providers (RTO 91528 ✓)
- ☐ CPD certificate must be available for Fair Trading on request
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What Happens If You Change Nominated Supervisor?
If your current nominated supervisor retires, moves on, or can no longer act in that role, you must nominate a replacement. The replacement must:
- Hold a valid contractor licence
- Be a director or senior manager of the company
- Provide written consent to Fair Trading
The new nominated supervisor becomes responsible for CPD immediately. Fair Trading will expect their first 12 CPD points to be completed before the company’s next licence renewal.
Important: You cannot operate without a nominated supervisor. If your current nominated supervisor becomes unable to work (illness, death, resignation) and you don’t have a replacement lined up, notify Fair Trading immediately and request an exemption while you recruit.
Personal Liability — The Nominated Supervisor Bears the Risk
Here’s what many company directors don’t realise: as the nominated supervisor, you are personally liable for the company’s compliance. If the company breaches the Home Building Act, Fair Trading can take action against you personally — not just the company.
Consequences for nominated supervisors include:
- CPD non-compliance: Your personal licence renewal is refused; company cannot trade
- Contract breaches: Fair Trading can suspend your personal licence
- Defects not managed: Fair Trading can issue a Notice to Comply to you personally
- Serious breaches: Your licence can be cancelled, not just suspended
This is why CPD is non-negotiable for nominated supervisors. Miss your CPD, and you lose your ability to work — even if other directors or managers could technically run the business.
How to Check Your Company’s Nomination Status
You can verify who Fair Trading has recorded as your company’s nominated supervisor by:
- Contact NSW Fair Trading directly: 1300 362 255
- Provide your company name and contractor licence number
- Ask them to confirm who is currently nominated
- Request a letter confirming the nomination (useful for your records)
If there’s a discrepancy or if your company’s nomination is unclear, contact Fair Trading before proceeding with further work.
Can I be nominated supervisor for more than one building company?
No. Fair Trading only allows one nomination per person. If you’re nominated supervisor for company A, you cannot also be nominated supervisor for company B. This is to ensure accountability and prevent conflicts of interest.
If I’m a director but not the nominated supervisor, do I need CPD?
Not for the company’s contractor licence. However, if you personally hold a contractor licence, then yes, you need 12 CPD points per year. Many directors choose to maintain their own licence for flexibility — in that case, you’d need CPD for both.
What if the nominated supervisor doesn’t complete CPD?
Fair Trading will refuse to renew the company’s contractor licence. The company cannot legally take on new building work. If you’re in this position, immediately nominate a replacement nominated supervisor and ensure they complete their CPD before the next renewal date.
Can a company hold both a residential contractor licence and a pool/spa licence?
Yes. A company can hold multiple licences (residential, pool builder, etc.), each with its own nominated supervisor. You do not need the same person to be nominated supervisor for both — they can be different people. Each nominated supervisor does their own 12 CPD points.
Do I need to tell Fair Trading if I change nominated supervisor?
Yes. You must notify Fair Trading in writing and provide the new nominated supervisor’s consent. There are forms for this — contact Fair Trading or visit their website for the notification template.
Can my company employ a builder who’s not the nominated supervisor?
Yes. You can employ other licensed builders in your company — they just won’t be nominated supervisors. They still need to complete their own 12 CPD points per year (for their personal licence), but they’re not responsible for the company’s compliance — only the nominated supervisor is.
What’s the difference between a company contractor licence and an individual licence?
A company licence means the company (Pty Ltd, partnership, etc.) is the licensed entity. An individual licence means you (a sole trader or personal name) are licensed. With a company licence, the nominated supervisor bears personal liability for the company’s compliance. With an individual licence, you are directly responsible.
Can I switch from an individual licence to a company licence?
Yes. You can transfer your business to a company structure and apply for a company licence. The process involves notifying Fair Trading, providing company details, and designating a nominated supervisor. Contact Fair Trading for the exact process and forms required.
Why nominated supervisors choose Builders CPD Online:
- 12 CPD points from $169 — your full annual requirement covered
- 100% online — complete from your office or site
- 40 courses across all 8 Fair Trading learning areas
- Legal and Regulatory Compliance module — company licence obligations included
- Instant certificate on completion — ready for Fair Trading on request
- Mobile and tablet friendly — flexible scheduling
- RTO 91528 — registered training organisation
- Over 20 years delivering CPD to NSW builders and nominated supervisors
To see exactly what company licences pay for CPD at renewal.
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