California Licensing

License Guru

Do you have questions regarding California Licensing?

I worked at the CSLB as an application technician for many years. I have a great deal of experience and would be happy to help.

Post your question and get a straight answer.

JustaFramer

How do you become a former journeyman?

License Guru

LOL Good question! I hung up my bags.

Z's dad

LG,

When I applied back in '02 I was told that I could submit paperwork to show my experience even if it was for jobs over $500. Ever heard of that?

buckleyclan

Thanks for the offer.
What's the best way to apply if I want to be an RME/RMO of my own INC., but also have the availability to be an RME for someone else, possibly a partner?
I anticipated getting the license in my personal name, then become an employee of my Inc.
I appreciate any insight you can offer.

J87513

do you guys really check for the required experience? do you really call their past employer?

License Guru

Several years ago the CSLB realized that they had to accept all experience, not just what was obtained as an employee. You are allowed to show experience as "self employed." They know you were most likely doing jobs over the $500 limit but would rather you be licensed than not.

The trick is to NOT show your experience "per job" but rather as a whole.

License Guru

If you are an RME on any license, you can NOT be a qualifier on any other license. You can, however, be an RMO on no more than 3 licenses as long as you hold at least 20% ownership in all 3 companies.

You can be an "employee" of your company, but as far as the CSLB is concerned, you must show ownership.

License Guru

As an application technician at the CSLB I processed 1000's of applications. Never did I, or any other tech that I know of, call the certifier to verify experience.

State law does require that the CSLB do random checks (I believe it's around 3% of all applications received, but I will have to check that) to verify experience. But like I said, I nor anyone I worked with ever called to verify.

Thank you all for your questions. Keep them coming.

fathersonfab

LG,

What are some "reg flags" that will deny or delay an application being processed.
I know that is a broad question, maybe go with the most common.

After I pass the test, then what? Am i on my own or does the CSLB have a road map for the steps to take afterwards, i.e. get GL insurance, find a bonding company, etc..

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"I cut it twice, but it's STILL too short!" singerREO.com

License Guru

Ouch.... I typed a big long explanation then got booted from the system. I promise to retype it all later, ok Fab??

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Phil Cocciante
You've got Questions? I've got Answers!

License Guru

Ok Fab... here you go!

There are many red flags! When it comes to experience the app tech is looking for certain keywords. Example: the B GenBldg experience should contain Framing experience and two unrelated trades. Framing should be listed first, followed by everything else…. Electrical; rough-in & finish. 110/220v residential/commercial, plumbing… concrete… etc.

Other flags include the little stuff. Not including a middle name or indicating NMN if appropriate. Checking No when the right answer should have been Yes. I.e. the question that asks … will you be responsible for the services…etc. You’d be surprised how many people answer No! LOL I guess they think they can get licensed even if they say NO… I’m not going to be responsible for anything. These are some of the reasons why I left the CSLB, to start a company offering license services. ** not self promoting, just stating why I’m no longer at the CSLB **

No "road map" but you will receive a paper after you pass telling you what is required before the license can be issued. Such as: the Initial License Fee or ILF. You may have paid this $150 when you submitted your app. If you paid $400 then the ILF is included in that. You will need to provide proof of Workers Comp or an exemption form if you have no employees. But if you’re a C-39 you will need W/C whether you have employees or not.

Bonding… the bond of course needs to be in place before issuance. The CSLB wont give references but there are many bonding companies that you can turn to….. there is one that I’m especially fond of. Do a google search for Contractors License Bond and you’ll get plenty to choose from.

The state doesn’t require you carry GL, but of course from a business stand point why would you not!

Hope this info helps. Got any other questions…. Fire away!

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Phil Cocciante
You've got Questions? I've got Answers!

fathersonfab

WOW thanks.. Thats exactly what I was looking for. I know there are things I will need, I just have never seen a clear cut list of what's needed. It's always been presented as a side note of necessities, like "by the way, you will need a bond"
Also, very interesting about GL insurance... I always assumed it was a requirement.

Thanks again.

__________________
"I cut it twice, but it's STILL too short!" singerREO.com

buckleyclan

thanks for the fast response!

So If I start a company, incorporate, and all that jazz with my wife as the owner, and me as the VP and 50% owner, then I can take the license test as an individual, but use that license as an employee of our company, for the company to contract with?

I am just trying to limit my personal liability as much as possible, while maintaining the flexibility to have a second company that could be a specialty trade/consulting company with a "B" license on the wall too.
I would have 50% ownership in the second company as well.

Thanks again. Pat

License Guru

My absolute pleasure to be able to assist you.

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Phil Cocciante
You've got Questions? I've got Answers!

License Guru

Ok Pat, lets break it down a bit further....

First, when you incorporate (btw.. NO LLC's for contractors in CA. I recommend an S-Corp. It's a "pass-through". If I have enough posts I'll add a link to a corporate attorney I've worked with before who deals with contractors in So. Cal who can help you get set up) the license holds the classification, you are the qualifier.

The CSLB requires that the license have a President/Secretary/Treasurer. Your wife could be all three and you could be listed as RMO with ownership (I'd recommend you hold 51%. I say that only because I've been married 3 times. )

All contracts written would be with the corp, not with you as an individual. Are you suggesting that you would set up a corp then create a separate entity that that corp would contract with? I guess I'm a bit confused as to what you are wanting to accomplish. If that is the scenerio... why would you do that? Just curious.

But yes, you could create another license that holds the same or different classification(s) that you could qualify.

As I stated earlier, you can be an RMO on three corp licenses and have up as many as 10 sole owner licenses if you wish. Of course, sole ownership means taking on all responsibility and that's what you're looking to avoid.

Thanks for the questions. Very good questions by the way!

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Phil Cocciante
You've got Questions? I've got Answers!

License Guru

Pat, here is an email address for that corporate atty I mentioned.

pf1fallbrooklaw@aol.com

Tell'm Phil with Contractor University in Sacramento sent you.

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Phil Cocciante
You've got Questions? I've got Answers!

Z's dad

OK, here's my story.

I applied in 2002, my application was one of the 3% that get reviewed.
I didn't have a licensed contractor sign my application which I know is a big help. My signer was a property manager friend of mine. So, I sent in anything I could to show my experience. But in the end I was denied due to lack of experience. Now I'm ready to apply again. I've been self employed since 2002 and have put in the required 1800 hours per year, every year. Kicker is, 80% of my jobs are over the $500. I will get reviewed this time because I was denied before. What do I submit to show my experience????

Thanks for taking the time to help us all out.

buckleyclan

My thought process is to continue to have my consulting company that helps owner/builders get things done (Project Mgt.) as a parent company.
Subordinate to that, A general construction Inc. I would hold a B license with one or both. I would also like to have a few C classifications later on that I could either add to the B or set up as individual corps--I would be an owner on each, but it would allow me to diversify.
I use to work for a developer who had each "development" (one house or many) was it's own LLC. Then they had a GC company that was Inc'd.
The LLC employed the INC to do all their work, but if a land deal went south, the LLC could die without affecting the INC. The Inc would just be another claimant against the bankrupt LLC.

Thanks so much for taking the time!

fathersonfab

Z dad...

The advice I got from the Contractor School who reviewed my app was to not file as Owner/Builder (check the NO box) so as not requiring additional paperwork to show experience. They said additional papers and plans are required to show experience and definitely raise red flags.

Look at the sample page here..
http://www.cslb.ca.gov/General-Infor...plications.asp

Page 4, section 1, part 6, where it says 'In the space provided below, list all specific trade duties..'
Fill out that section with all your trade skills, then have a contractor sign the box below where it says "Part 2"

The school reviewed my app and said that was the quickest and easiest way for the app to be processed....

Maybe the Guru can verify this??

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"I cut it twice, but it's STILL too short!" singerREO.com