Construction companies in Chicago: the market, the license classes and who is building

The City of Chicago licenses general contractors itself, and the license class tells you the largest job a firm may legally take. Pair that with the city's permit file and you can see, for free, which of the area's 22,707 construction establishments are actually winning large work.

Market report6 min readUpdated

Short answer

The Chicago metro area had 22,707 construction establishments in 2023, employing 180,543 people on a $16.98 billion payroll (Census County Business Patterns); 10,711 were in Cook County and 74% had fewer than five employees. Inside the city, general contractors need a City of Chicago license in one of five classes, from Class E (jobs up to $500,000) to Class A (unlimited). Check the class against your project value, then read the firm's permit history in the city's open data.

  • 22,707 construction establishments in the Chicago metro employ 180,543 people at average pay of $94,042.
  • Specialty trade contractors are 14,206 of the establishments and employ 122,246 people.
  • Chicago's license caps rose on 1 January 2026: Class B now covers jobs up to $20 million, Class C $10 million and Class D $4 million.
  • In 2025, 235 new construction permits of $1 million or more carried 89% of reported new construction value and named 136 general contractors.
  • Highway, street and bridge contractors average $153,456 a year in pay, the highest of any construction segment in the metro.
On this page

This report is for owners and developers choosing a builder in Chicago, analysts sizing the regional market, and B2B sellers whose customers are general contractors and the trades: suppliers, equipment rental, insurance, software and preconstruction services.

Chicago-area construction in Census data

The figures cover construction (NAICS 23) in the Chicago-Naperville-Elgin, IL-IN Metro Area (CBSA 16980), which takes in the collar counties and northwest Indiana. Source: US Census Bureau, County Business Patterns 2023.

Measure (2023)Chicago metro
Establishments22,707
Employees (week of March 12)180,543
Annual payroll$16,978,562,000
Average employees per establishment8.0
Average annual pay$94,042
Share of US establishments2.79% of 814,557

What they build

Type of contractor (NAICS)EstablishmentsEmployeesAverage annual pay
Building equipment: electrical, plumbing, HVAC (2382)5,39362,024$93,791
Building finishing (2383)3,96422,376$76,885
Foundation, structure and exterior (2381)3,05521,893$87,793
Heavy and civil engineering (237)74121,386$119,408
Nonresidential building (2362)1,14818,925$115,439
Residential building (2361)6,61217,986$64,571
Other specialty trades (2389)1,79415,953$101,493

Two things stand out. Residential remodelers alone are 5,230 establishments, but with 12,655 employees between them they're mostly one- and two-person firms. And heavy civil pays: highway, street and bridge contractors (212 establishments, 6,945 employees) average $153,456, and utility system builders $107,571.

How big they are and where they are

Employees per establishmentEstablishments
1 to 416,858
5 to 92,543
10 to 191,593
20 to 491,109
50 to 99360
100 to 249183
250 to 49943
500 to 99910
1,000 or more8

In broader bands: 20,994 establishments have 1 to 19 employees, 1,469 have 20 to 99 and 244 have 100 or more.

County (eight largest)EstablishmentsEmployees
Cook County, Illinois10,71178,923
DuPage County, Illinois3,05131,454
Lake County, Illinois1,99812,422
Will County, Illinois1,90016,947
Kane County, Illinois1,65513,329
McHenry County, Illinois1,1487,214
Lake County, Indiana95910,851
Porter County, Indiana4083,892

Cook County has 47% of the establishments but averages 7.4 employees each. DuPage (10.3) and Lake County, Indiana (11.3) run larger firms, and Will County has more construction employees than Lake County, Illinois, despite having fewer firms.

County Business Patterns counts establishments with paid employees, not companies: a contractor with a yard in Will County and an office in the Loop counts twice, and sole proprietors with no staff are left out. Employees are counted at the establishment that pays them, not the jobsite, and the snapshot is the week of March 12, before the building season peaks.

Chicago's five general contractor license classes

The City of Chicago Department of Buildings requires a general contractor license for most building, alteration, repair and demolition work in the city. Electrical, plumbing, mason, drain layer, elevator and board-up work need their own city licenses. The class caps the value of the project, counting all contractors' labor and materials at the site:

ClassMaximum project valueDemolition allowedMinimum liability insurance per occurrence
AUnlimitedOrdinary or complex$5 million
B$20 millionOrdinary or complex$3 million
C$10 millionOrdinary$2 million
D$4 millionOrdinary$2 million
E$500,000None$1 million

The B, C and D caps and the C and D insurance minimums took effect on 1 January 2026, so older guides quoting $10 million, $5 million and $2 million are out of date. Insurers must be rated B+ or better by A.M. Best. Suburbs set their own contractor registration rules, so check with the village for work outside the city.

Who pulled Chicago's big permits in 2025

The city publishes every building permit as open data, with the reported cost and each contractor named on it. For 2025:

Permit type, 2025PermitsReported costPermits of $1 million or moreGeneral contractors on those
New construction1,460$2.99 billion235 ($2.66 billion)136
Renovation or alteration5,505$3.89 billion601 ($3.07 billion)234

Across both types, 2,279 distinct general contractor names appear; 577 pulled three or more permits and 102 pulled ten or more, between them 2,094 permits. Only 26 general contractors pulled three or more new construction permits worth $1 million or more. Treat these as close counts, not exact ones: names are typed by applicants, so one firm can appear under two spellings, and reported cost is the applicant's estimate.

How to shortlist and vet a Chicago contractor

  1. Set the project value first, including every trade, and require a license class that covers it.
  2. Look the firm up in the Department of Buildings' licensed contractor lookup, and confirm its electrician, plumber and mason hold their own city licenses.
  3. Read its permit history in the open data: how many jobs, what size, how recent.
  4. Get the insurance certificate and confirm the limits match the class and the insurer's rating.
  5. Call owners from two recent permits at a similar value, and ask how schedule and change orders went.

Selling to Chicago contractors

Establishment sizeCountWho usually decides
1 to 19 employees20,994The owner
20 to 99 employees1,469Owner with a project manager, estimator or office manager
100 or more employees244Preconstruction, operations, safety and procurement leaders

The permit file is the best targeting tool here because it shows size and recency together: a contractor on three $1 million permits last year is a different buyer from a remodeler on one kitchen. Filter by permit type and cost, merge duplicate names, then find the superintendent or project manager on each active job. At volume, that research is the slow part; Bebop finds contractors that match a description and researches each account. See how to find decision makers for reaching the right person.

Illustrative example. The seller and its figures are invented; the contractor count is City of Chicago 2025 permit data.

Lakefront Temporary Heat (lakefrontheat.example) rents ground heaters and blankets for winter concrete work. Its list is the 136 general contractors on 2025 new construction permits of $1 million or more. Two contacts each, the project manager and the equipment manager, is 272 people. At an 8% reply rate that's about 22 conversations; if a third ask for a quote and three of those 7 rent, at $18,000 a season each, the list is worth $54,000 in its first winter. The September pitch can name the permit: "your six-story job on [street]".

Email to a Chicago general contractor
Subject: Winter pours at [project street]

Hi [first name],

I saw [company] has the permit for [project] on [street], with structure likely going up into December.

We supply ground heaters and curing blankets for cold-weather pours, delivered within [time] anywhere in Cook and DuPage.

Should I send a heat plan and price for the slab schedule?

[Your name]

Local sources

SourceWhat it gives you
Chicago building permits (open data)Every permit with cost, address and contractors named
General contractor licenseLicense classes, insurance and exemptions
Licensed contractor lookupCheck a firm's city license
Cook County Building and ZoningPermits in unincorporated Cook County
Chicagoland AGCCommercial general contractors, with a membership directory
Illinois Road and Transportation Builders AssociationHighway and heavy civil contractors
Chicagoland Chamber of CommerceThe city's business chamber
World Business ChicagoThe city's economic development agency, for new projects

Next step: see how a market with fewer, larger firms compares in the report on construction companies in Atlanta.

Sources

Written by the Bebop team at Blackpearl Group. Last updated .

Questions people ask

How many construction companies are there in Chicago?

Census County Business Patterns counted 22,707 construction establishments in the Chicago-Naperville-Elgin metro area in 2023, employing 180,543 people, with 10,711 in Cook County. Most are small: 16,858 had fewer than five employees, and 244 had 100 or more. The count is of locations with paid employees, so sole proprietors are left out and firms with several offices count more than once.

Do you need a license to be a general contractor in Chicago?

Yes. The City of Chicago Department of Buildings requires a general contractor license for most building, alteration, repair and demolition work in the city. There are five classes: Class E covers projects up to $500,000, Class D up to $4 million, Class C up to $10 million, Class B up to $20 million and Class A is unlimited. Each class has a minimum liability insurance requirement.

How do I check a contractor's license in Chicago?

Use the Department of Buildings' licensed contractor lookup on the City of Chicago website and confirm the license class covers your project's total value. Electricians, plumbers, masons and drain layers hold separate city licenses, so check those subcontractors too. Then search the city's building permits open data for the contractor's name to see how many permits it has pulled, for what kinds of work and how recently.

Who are the biggest construction companies in Chicago?

Census data shows 244 construction establishments in the Chicago metro with 100 or more employees, including 8 with 1,000 or more, but doesn't name them. Business publications such as Crain's Chicago Business publish lists of the largest firms. To see who builds the most inside the city, sort the City of Chicago building permits data by contractor and reported cost: in 2025, 26 general contractors pulled three or more new construction permits worth $1 million or more.

How much do construction workers make in Chicago?

Average annual pay across construction establishments in the Chicago metro was $94,042 in 2023, according to Census County Business Patterns. It varies widely by segment: highway, street and bridge contractors averaged $153,456 and nonresidential builders $115,439, while residential remodelers averaged $56,406. The figures are payroll divided by employees, so they include office staff. For pay by occupation, use Bureau of Labor Statistics wage data.

Find the Chicago contractors that fit your offer

Describe the builders or trades you sell to. Bebop finds matching contractors, explains why each fits and drafts the first email.

Edit the search to match your market. Already have an account? Log in