Only Hire State-Licensed Contractors
In California, contractors working on projects valued at $500 or more must hold an active license through the California Contractors State License Board (CSLB). Licensed contractors are vetted by the state to help ensure safe, compliant work, while unlicensed contractors may expose homeowners to safety risks, permit issues and scams.
General Contractor vs. Specialty Contractor — Know the Difference
A General Contractor (“B” License) oversees large construction projects across various trades, handling structural work, major remodels, and renovations while coordinating specialized professionals. Specialty Contractors (“C” Licenses) focus on specific trades like electrical, plumbing, and roofing, performing work only within their licensed area.
Permits Matter
Many projects require permits. Permits help ensure the work is inspected for safety, meet California Building Code and protect future property value. Learn more about permits at longbeach.gov/permitcenter.
Always Check a Contractor's License
Verify or search for licensed contractors through the CSLB License Check at cslb.ca.gov. Search by contractor name, trade, ZIP code, or license number, and confirm their license is active, classification matches the project, bond and workers’ compensation are current, complaint history and business information match the contract.
Getting a Quote
Get at least three bids. A good bid will include a detailed scope of work, materials, timeline, permit responsibility, and warranty information. Also, investigate reviews and references.
Get Everything in Writing
Your contract should include the contractor’s license number, project description, project cost, start and estimated completion dates, payment schedule, change order process, materials and equipment details, clean-up responsibilities, and warranty information.
Keep a Project File
Good documentation of your project protects homeowners if a dispute arises. Include the signed contract, permits, inspection records, receipts, photos of progress, change orders, communication threads, and warranty information.
Never Pay Too Much Up Front
California law limits down payments to no more than 10% of the contract price or $1,000, whichever is less. Be cautious of contractors requesting large upfront payments or cash-only payments.
Verify Insurance Coverage
Ask contractors for proof of General Liability and Workers’ Compensation Insurance to help protect against property damage, accidents, and potential liability if a worker is injured on your property.
Red Flags Include:
- Extremely low bids
- No written contract
- Poor communication
- Refusal to provide a license number
- No insurance documentation
- Pressure to decide immediately
- Asking the owner to pull permits unnecessarily
