Officer’s List, Applying Sealants and General Limits

Our first contractor gets a ‘green’ light before I take on a ‘bigger’ question from Texas! Yes. An answer that likely results in time off for another ‘contractor’. With a nod to our pending season for the ‘boys of summer’ Q/A with a Spring Training ‘pitch’…

Q:  I have formed a new corporation and we are in the process of applying for a new contractor’s license.  Do we need to list all of our Officers and Directors on the application/license?  Some of them are just investors and they don’t want to be associated with the license.

A:  Domestic California corporations are required to list their President, Secretary, and Treasurer on the application/license.  Foreign corporations (formed outside of California) are only required to list their President on the application.  Directors, Vice Presidents, or other “assistant” Officers are not required to be associated with the license for either foreign or domestic corporations. So, barring these ‘investors’ holding Executive posts, you are good to go.

Q:  Our company is based in Texas and has been in business in California for over 15 years. We apply sealants to floors in schools, hospitals, etc.  One of the school districts recently requested our contractor’s license number, which we’ve never had happen before.  We contacted the CSLB and we were informed that we needed to have a “C-61”/”D-12” (Synthetic Products) contractor license to perform this work.  We consider ourselves a “janitorial” service and therefore never knew we needed a license.  Since we have been in business for so long, can we continue doing business while we are in the process of obtaining a contractor’s license?  If not, we will have a staff of employees out of work for a period of time!

A:  I would never recommend doing contracting work without a license.  While it is understandable that you were unaware of the licensing requirements in California, contracting without a license can result in fines, misdemeanor charges, and possible jail time.  Not only that, but consumers are not required to pay a person for work done while not state licensed.

Q:  I have a General Building contractor’s license and I want to start up a separate painting business under a different name but under the same corporation.  How do I go about doing that?  Can I use the same license?

A:  In the terms of Spring Training baseball. Strike One. You cannot use the same license for a different business operating under a different name.  Additionally, General Building contractors cannot perform single specialty trades alone, for Strike Two.  General Building contractors are required to perform at least two unrelated trades on the same job, You’re Out! HOWEVER, if you have at least four years of full time work experience doing painting , within the last ten years, then you will likely qualify for a separate “C-33” (Painting) license.  If you want to operate under a separate name for your painting business, then you will need obtain a separate contractor’s license with the “C-33” (Painting) classification.  If you want to operate under a different name, you need to obtain a new license with a ‘dba’ (doing business as) name. Next batter up!