Help With Builders License Form

Michaeljp86

I was going to fill out the form to take the builders license exam and #11 sort of stumped me. It says license type, individual, corporation, partnership, limited liability company. So here is my problem, I know what each of them is but why cant I have a individual license and start a business that is a llc or corp but use my license for getting the permit. Why would I have to make my license part of the companys?

Also does anyone know how hard it is to change you license later on to one of the other choices? So I could get the individual now and maybe in a year or so change to a llc. I live in michigan if anyone was wondering

Z's dad

Hi Michael,

Here in California, you can't operate a corp or part under an individuals license. The company has to have it's own license (corp/part). If you were to get your individual license now you would have to get another if you started a corp/part. In a corp/part you have to be a Responsible Managing Officer or a Responsible Managing Employee. LLC cannot get a license here.

Issuing a license to a company actually protects that company. If you apply as an RMO or RME the license will be issued to the company. If it were issued to the RMO or RME and that person eventually left the company, the company would no longer have a license to operate with. Here, the application asks for corp/part business id #'s.

I think it's just more $$$ and paperwork to change your license later.

Good Luck

thom

Taking out the license personally and using it for a corp would be the same as selling the use of your license. A corp, llc, partnership is a separate entity, separate from you. Here in NM it is illegal to advertise, promote, market, and contract without a license. In the case you describe, the corp would be acting as an unlicensed contractor, in violation of the law.

The person who takes the tests is referred to as the qualifying party (here in NM anyway). That person could leave the company and still be a qualifying party of another company. The company left would need to find another qualifying party.

Many companies have multiple qualifying parties. If one leaves, there are others and the license remains intact. Also, there are separate qualifying parties for different types of license. A company could have one or more qualifying parties for General, Mechanical, and Electrical.

Michaeljp86

I guess the best thing to do is call up the state office and see how much of a pain in the butt it would be to change later on. The reason why I ask is why start a business when you dont have the license. So if I go get the license then I can start a corp or llc but I dont wat to start a business if Im not sure if I will get the license. This seems stupid to me, why do you have to own a business to take the exam, if you pass the exam then they should have you fill out your information for the license.

remod

You can spend 10.00 for a DBA or you can be licensed in your name in michigan.Also, if you have a company name it will be listed along with your name.

JamesNLA

In Ca, my HVAC guy changed his from a Sole to a Corporation. I think he spent about 400 in fees, and the time was obsurd. He told me he wished he was incorporated when he originally got his number.

send_it_all

I went through the exact same thing. When I was going to my license school, part of their dutied was to fill out my application for me. Without asking me, they took the liberty to apply as a sole proprieter. To change to a corp. I had to go through the whole process again (with the exception of taking the test) and pay all the fees twice.

License Guru

Too bad you didn't use my service! My questionaire would have given you the choice. And if you didn't make a choice I'd call and we'd discuss it.

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Michaeljp86

I had the opposite problem, I wanted it for a corp but they wanted all the info on the corp. I wasnt going to start a corp for a license I didnt know if I was going to get it or not. So I had to put on sole proprieter then after I got the license then change it. Its just a way to screw you out of more money.

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jcalvin

In NC it is called a "qualifier". There are some large llc's and corperations that do not have there license. What they do is hire a person that does have a license that is sufficient to cover the type of work and list them with the NC contracting board as the "qualifier" for XYZ Corp. That commpany is just as licensed as another one as long as that employee stays with the company. When that person is no longer employed with the company, that company is no longer licensed.

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Cal


You hired WHO

License Guru

That is similar to CA but when the qualifier leaves, the corp is given 90 days to replace them before the license goes under suspension.

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Phil Cocciante
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Michaeljp86

The place my dad worked for like 1 1/2 years ago still has him listed as their master electrician. I told him to turn them in but he wont.

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I am just a vessel from which genius flows -Homer Simpson

Global warming is a myth, like evolution and the metric system.

License Guru

All he needs to do is file a Disassociation form. No fee, just the cost of a stamp.

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Phil Cocciante
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