Multiple DBA, Family Transfer and Inactive License Renewal

While some contractors can avoid the ‘hurdles’ in renewing a license, others find more ‘hoops’ to leap through! I will help a ‘general’ divide and conquer, but first ‘wind up’ another’s issue…

Q:  I have been slowly winding down my business that has a General Building license.  It’s a Sole Proprietorship.  I obtained the license in the Eighties and I’d really like to Incorporate and form a Corporation in order for my two Sons to take over the number and continue operating under the same business name.  Is that possible and can you assist with that?

A:  Yes!  That is possible and we can assist with that.  In order to transfer the license number from a Sole Owner to a Corporation, you would have to initially own at least 51% of the Corporation.  That would allow your Sons/Corporation to retain your license number with the same business name. Of course, assuming the name is available with the CA Secretary of State and acceptable with the CSLB.

Q:  My license is up for renewal at the end of next month.  I’m not currently doing any business in California, so I have a couple of questions.  First, how do I get the Renewal?  Is there a way to renew it on Inactive status and still be able to Activate it later?  If so, what does that process entail?  Is there any difference in fees?

A:  The CSLB sends out Renewal Applications about 60 days prior to the expiration so you should have probably received it by now.  If it’s a Sole Proprietor license, you can now renew it online (Active or Inactive), which is super convenient.  If it’s any other type of entity, you will either have to call and order “one to be mailed to you, or we can pick one up for you in person.  And yes, you can renew a license Inactive and the fee is reduced.  Inactive licenses only have to be renewed every four years, while active licenses need to be renewed every two years. An Inactive license can always be ‘revived’ in the future

Q:  We serve as a General Contractor, but we also self-perform Concrete work, so we have a separate license for that.  It’s under the same corporation with a “DBA” (doing business as) name.  It has its own license even though all the information is exactly the same as our main General license.  We have created a new “DBA” and we want to get a separate license for this “Division” as well.  All of the information will again, be exactly the same.  I’ve tried to contact the CSLB to figure out how to do this but have had very little luck. I ran across your article and was wondering if you could give me some more information.

A:  Absolutely, contractor license assistance is what we do. You would need to apply for a new license number, but as long as the entity is the same and the structure is the same, you are good to go!  The CSLB will verify all of that information, but as long as it’s all the same, a Company can have as many licenses as they’d like with different “DBA’s”.  Just keep in mind when you are doing specialty work, such as Concrete as you mentioned, you will need to have someone who can Qualify the particular classification and possibly take an exam.