SR246 begins at the intersection of US23/US441/SR15, in Dillard, Georgia. As it enters North Carolina for the first time, the road widens to improve staying in the curves, with the north-east side becoming two lanes. During the third incursion in Georgia, there is an overlook with a clear view toward the west of the town of Dillard. The overlook is above Estatoah Falls but can not be seen. The falls are on private property and cannot be accessed. They can be seen only at a distance from Hwy 246 heading from Dillard to Sky Valley. By the final border crossing the highway will merge back into two-lanes. Continuing north in North Carolina, several roads near the border connect back into Georgia to the mountain resort area of Sky Valley. Passing through the community of Scaly Mountain, the highway ends at US64/NC28, in Highlands.[3]
In Georgia, the route is designated east–west, while in North Carolina it is north–south. While the highway is maintained by Georgia Department of Transportation (GDOT) until the final border crossing, north of the southern end of Wood Valley Road, the highway is still recognized as NC106 (Dillard Road) within North Carolina and same for SR246 (Highlands Road/Larry McClure Highway) in Georgia.[clarification needed]
NC106 was established in 1940 as new primary routing from the Georgia state line to Highlands. It has changed little since inception.
Originally, from 1921 to 1940, NC106 traversed from NC28, in Cashiers, to NC10, in Sylva. In 1931, it was extended south to the South Carolina state line. In 1940, it was renumbered to NC107 to sync with South Carolina.
Previously there were five sets of welcome signs announcing the crossings of the state line. There is now only a single pair of signs (either at the middle or easternmost crossing), but with very small signs like mileposts marking each intermediate crossing, with GA or NC written from top to bottom instead of numbers.
