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All About the General Contractor License
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Almost all the states have basic license requirements. However, the general contractor license requirements can differ from state to another because of the qualifications that the state wants. Here are the basic general contractor license requirements:
· At least 18 years old with a high school diploma or the equivalent.
· Proof of U.S. citizenship or legal residency.
· Two passport-size photos.
· Documentation on any other occupational license you hold in the other states.
· Explanation of any citations, violations or liens related to your construction work.
· Corporations doing business in any state should be registered with the Secretary of State.
· Pre qualification is necessary to bid any work on state projects.
A contractor license has 43 classifications. For the general contractor license, one has to pass the general contractor license exam, provide proof of previous work-related experience and they have to pay their fees.
Most states require general contractor license applicants to take a written examination on business organization, construction law, and the their trade skills. Applicants will also have to prove financial capability to operate a contracting business.
Other documents such as letters of reference from previous employers, bankers, customers, architects or engineers can be requested. Many states may require proof of related work experience to qualify for a general contractor license.
Is it important to get a general contractor license?
If you get a general contractor license, you become part of the governments accredited list of contractors. You get free publicity for your business and this could increase your number of clients.
The penalty for accepting any significant construction work without a general contractor license is usually fined. An unlicensed contractor does not any right to sue or to collect what's due under a construction contract especially if their work is of low quality.
Hiring someone with a general contractor license can easily ensure your protection as a client. You have the right to take the contractor to court or settle disagreements through the Board. You are also protected from faulty works and unnecessary expenses for corrective rebuilding from unlicensed contractors.
On hiring a general contractor
· Make sure you do a background study on your contractor. Check if their general contractor license is still valid and if it is accepted in your state.
· Ask for referrals from previous clients. Call them up and get a better picture of your contractor's working habits. Is he a professional or a slacker? Does he overcharge or is he fair?
· Consider putting up your project (if it is a large job order) for bidding. Those who can participate in such events usually have a general contractor license. This will narrow down your choices and you can get a better price for your job.
· Put everything in writing. Make sure that the contract covers all aspects of the project: it's scope, the payment scheme and schedule, guarantees on your building and considerations for future problems.
During the construction work
· Keep track of the progress of your building. Someone with a general contractor license can easily be asked to provide a job file for your convenience. The job file is a record of record of who works on your project, the work performed, and length of time on the job. It also includes when material suppliers make a delivery. Keeping record of the project can help you in your case should the general contractor license holder makes a mistake.
When a project is completed, the building department will make a final inspection. Don't give thee contractor the final payment until the building department inspector has signed off on the job done.
Dealing with a contractor can be a pleasant experience as long as you get the ones with a general contractor license.
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