Service types are good for classifying the different services you offer. The most simple way is to go general like "Residential General Pest" and "Commercial General Pest." These become available when adding new customers. You can color code the service types so they are different colors on the View/Add screen.
The "Requires License?" portion gives you the option to add the technician's license # for that service type so it can show up on the invoices.
To add the technician license for that service, go to employees->click on the technician->technician profile
To have the license # show up on the invoice, go to settings->invoice settings->and select the appropriate box.