Restoration Licensing, Corporate License Quit and Back-Up Qualifiers

When it’s time to go, it’s time to go. What does that mean for your License? Another contractor wants to put the ‘hammer’ down, so fewer ‘misfires’ occur on their remaining Licensed. Finally, a reminder that it’s better to check with an expert and take a ‘look before you leap’…

Q:  I recently sold my Contracting corporation.  I need to keep the corporation open until early next year for tax reasons, but the buyer has taken over all sales and installations, and we no longer have any employees.  Our license expires at the end of this month.  Can we cancel our Worker’s Comp, Contractor’s Bond and License as they are all expenses that no longer have any value to us? Can a “Contracting” Corporation remain open without a License?

A:  Yes, you can keep your Corporation Active with the Secretary of State until you are ready to officially shut it down.  You can cancel your Bond, Worker’s Comp, and ignore the License renewal also since you don’t intend on doing business anymore.

Q:  Our company needs to obtain several “back up” licenses.  Too often we have run into a situation where a Qualifier leaves the company, and we are left scrambling with time constraints to replace the person on License so that we don’t lose the classification or the ability to continue doing business.  

We have started to identify candidates, and we are running into the question regarding necessary experience required to Qualify for a License.  We have a couple Executives that are willing to obtain Licenses, but what it they have never been “laborers”?  The candidates we are considering are in charge of running the projects in almost every aspect except actually “swinging the hammer”.  We are wondering if there are certain title requirements that an individual would have to have held to Qualify.

A: The CSLB does not require that you list specific titles held in an individual’s work experience.  The general requirement is a total of four years within the last ten of trade experience at “Journeyman level or above”.  While much of the experience can be Supervisory experience, at least one year must be hands-on field work experience.  College education can also be used towards the experience requirement.

Q: I am looking into starting a restoration company.  I have spoken to an Attorney who is assisting me with setting up a Corporation with the State.  I jumped into this without doing much research, and now that I’m looking at the application for a Contractor license, is there any way I can License my Corporation with very little Construction experience?

A:  You could Partner with or hire someone who already holds a license, has held one in the past, or has the required experience to Qualify and pass the exams.  With little or no Contracting/Construction experience, you would not be able to Qualify the License yourself.