What
you should know before hiring a contractor -
Click Here. PDF link provided by the
Contractors State
License Bureau.
The following sections offer some tips
on choosing a contractor as suggested by the California
Contractors State License Board, and much of this information
is selected and re-edited from their publications for
your convenience. The State License Board has many resources
for you to study, if you wish.
Do Your Home Improvement Homework!
Many homeowners have discovered that improving their
present residence with an updated kitchen, an additional
bathroom, new windows, new plumbing or a new roof can
be a more prudent investment than purchasing a new residence.
However, home improvements can be very expensive, and
Californians spend more than $10 billion on construction
and home remodeling each year. Consumers should take
some time and care in planning a costly project. Do
not be fooled by a smooth talking salesperson. Take
the time and effort to insure that the person or business
doing your home improvement project is going to perform
in a professional manner.
Check The Contractor's License
"A valid California Contractor's license is required
for the license category in which the contractor is
going to be working. If you contract with someone who
does not have a license, the Contractors Board may not
be able to assist you with a complaint. A remedy in
a complaint against an unlicensed contractor may only
be available in civil court."
Is the contractor properly licensed? In California,
any job that costs $500 or more for material and labor
must be performed by a contractor who holds a current,
valid license from the Contractors State License Board
in the specialty for which he or she is contracting.
Unlicensed contractors could be a hazard, as they may
expose you to significant financial harm in the event
of injury or property damage. Few unlicensed contractors
have adequate bonding or insurance. Although an unlicensed
contractor may give you a lower bid, the possible risks
and consequences outweigh any benefits a lower bid may
seem to offer. Ask to see the contractor's license and
some additional form of identification. The name on
the license should be the same as the name of the contractor
or the business name under which the contractor is working.
It is illegal for one contractor to use another contractor's
license.
Be sure the contractor has an address for his or her
business location and a valid telephone number. A contractor
who operates out of the back of a pickup truck with
a cellular telephone may be difficult to track down
if something goes wrong after your job is completed.
Please note: A license number on a bid or contract does not
necessarily mean the license is valid. Before you sign anything,
call the California Contractors State License Board (CSLB) at
1-800-321-2752, to insure that the contractor is properly licensed
and the license is in good standing. You should also ask about
the contractor's complaint history and any prior legal actions
that may have been taken against the contractor. The Regional
Offices have been closed (the State license info system is now
totally automated through their 800-number and website), and
those phone numbers are no longer valid. You can also get this
information by visiting their web-site: www.cslb.ca.gov
Make Sure The Contractor Is Bonded And Has Insurance Coverage
Ask the contractor if the company is insured against claims
covering workers' compensation, property damage, and personal
liability in case of accidents. Ask to see a copy of the certificate
of insurance, or ask for the name of the contractor's insurance
carrier or agency to verify that the contractor has this insurance.
In California, if a contractor has employees, law requires workers'
compensation insurance coverage. (This is important for you
as a homeowner. If a worker is injured working on your property
and the contractor does not have insurance, you are the one
who will have to pick up the bill for the worker's injuries
and rehabilitation, if necessary. Don't let your homeowner's
insurance policy become your contractor's liability coverage!)
A bond with a surety company, or a cash deposit of $7,500 with
the state, is required of all licensed contractors in California.
You can confirm through the Contractors' State Board that a
contractor is bonded and has Workers' Compensation coverage.
Check The Contractor's References
Skilled contractors will be proud to take credit for their work!
Ask the contractor for some references, and call them to see
if they were satisfied with the contractor. Inquire about work
habits, inconveniences, and the sensitivity of the contractor
to the needs of the homeowner. Remember that the person you
hire to work in your home will be a part of your home until
the job is completed! When speaking to the contractor's past
customers, ask such questions as:
• Were they pleased with the work and the way
it was done?
• If they had a problem, did the contractor listen
and seem concerned about resolving it?
• Did the contractor willingly make any necessary
corrections?
• Were the terms of the contract clear; and did
the contractor adhere to these terms?
You may also wish to ask the contractor if they are affiliated
with any trade associations. Call these organizations
to see if they have information about the contractor,
or if they have received any complaints.
Get
Your Money's Worth!
Know what you are paying for, and what you will or will
not receive in the transaction. Ask questions about
anything that you are unsure of. Make certain that the
contractor is using good quality materials and that
you understand his procedures. Be sure that you fully
understand all aspects of the bid proposal, and get
the final contract cost in writing before you sign anything.
Take all of the information regarding procedures, materials
and warranties from every bid and estimate that you
obtain, and compare side-by-side to weigh what each
contractor is offering and providing for in his quoted
price before you make a decision! It would be very difficult,
and costly, to switch contractors in the middle of a
project. Making a well-informed choice of who is to
perform your home improvements, and how it is to be
done, will help you feel confident and more satisfied
with the job.
Hire only licensed contractors.
• Check the contractor's license by calling
1-800-321-CSLB(2752) or use online License Check at
http://www.cslb.ca.gov.
• Get at least three references, and review past
work.
• Get at least three bids (the more, the
better) and compare carefully.
• Do not sign
anything until you completely understand the terms.
• If a contractor requires pre-payment, pay 10%
down or $1,000, whichever is LESS. Don't pay cash.
• For long-term projects, don't let payments get
ahead of work completed. Keep record of payments.
• Don't make final payment until you're satisfied
with the job.
• Keep a job file of all papers
relating to your project.
Better Business Bureau
Contractors State License Board
