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California Licensing

 
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Old 02-17-2019, 08:01 PM   #2661
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Re: California Licensing


You'll need to complete the work certification form that is part of the application. This form gives them an overview of your overall experience. The project list form breaks down your experience per project.

You can find my app review service here.
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Old 02-23-2019, 03:25 PM   #2662
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Re: California Licensing


Hello,

I would like to get started in the roofing business and was considering forming a LLC and then hiring a licensed roofer to work with me. However, it appears the LLC would also need a roofing contractor's license and the bonding requirements for a LLC are rather high compared to a sole proprietor?

Then I was thinking of having the roofing business in the name of my employee as a sole proprietor and I would be licensed as a "home improvement salesperson" HIS so I can take bids. The problem with this arrangement is when the checks are written they would be to my employee?

Any ideas on the best way to do this?
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Old 02-24-2019, 07:56 PM   #2663
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Re: California Licensing


LLC is way expensive, and a new business probably wouldn't qualify for the LLC worker/surety bond. If you did, it would be $5000+ per year.

What if you obtained a corporate number and applied for a corporate contractors license. You could use the employee to be your qualifier, and you would be listed as an officer Pres/CEO?

That way you could bid, write contracts, supervise jobs, obtain experience so that you could replace your guy as the qualifier down the road.

Too much personal liability risk with a sole prop roofing license.
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Old 02-24-2019, 11:07 PM   #2664
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Re: California Licensing


I'm new to this, what is a corporate number?// how is that different from a LLC

Last edited by codyj; 02-24-2019 at 11:50 PM.
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Old 02-24-2019, 11:36 PM   #2665
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Re: California Licensing


also, I posted this same question as a thread on this forum and before it was closed got the typical "start at the bottom" answers.

starting at the bottom isn't really a good place to be when you have the resources to hire a professional and start a real business
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Old 02-25-2019, 12:45 PM   #2666
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Re: California Licensing


You would/could apply for a corporation with the Sect. of State. Then file subchapter S with the IRS. This would give you better personal liability protection than a sole owner license or standard C corporation. (All corps, when formed, are C corps)

After the Sect of State issues the corporation number, then you could apply for the contractors license.

Google would do a better job than I can of answering the difference between a corp and LLC.
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Old 02-27-2019, 02:50 PM   #2667
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Re: California Licensing


Hello!

Thank you in advanced for any help provided!
So here is my situation. Me and my father are looking to start a small framing company (and hopefully expand it in the future). My father would like the business to be under my name. He wants me to be the business owner and handle the business side of it. I am 22 years old and have no experience in the field as a journeyman or anything like that. So I obviously can not apply for a license. My father, on the other hand, has all the experience required. He has 15+ years experience as a journeyman that he gained at a framing company. Proving it is not an issue either as he has all his W2's or whatever they might ask for. So my question is, how do we go about applying with him as the licensed contractor, but me as the business owner? If even possible? Also, he would be applying with his TIN. I read on the application instructions that this isn't a issue. Any thoughts on that? Will it be a issue?

Thank you
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Old 02-27-2019, 03:01 PM   #2668
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Re: California Licensing


Hello,

You could apply as a sole owner and have dad as the RME. Which means you'd have to carry workers comp.

Or apply for a partnership license where you would be the general partner and dad the qualifying partner.

Or you could create a corporation and apply for a corporate license where you could be the Pres/Sect/Tres and dad would be the RMO.
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Old 02-27-2019, 05:06 PM   #2669
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Re: California Licensing


I dont know much about corporations. Every business I've started has been an LLC and then I hire the pro's

So let me get this straight - incorporate, then have the corp apply for a roofing business license - but wouldn't the employee have to be an owner??

And what would the bonding requirements be for a corp vs sole proprietor?? California is just crazy with this 4 year rule b/c most states it's more like 4 months.

Working for someone else is not an option - I'm too old for that not to mention they'd probably have new employees do all the donkey work for the first few months/YEARS

I like the idea of forming a company, hire 1-2 PRO's, get rolling and learn the business.




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You would/could apply for a corporation with the Sect. of State. Then file subchapter S with the IRS. This would give you better personal liability protection than a sole owner license or standard C corporation. (All corps, when formed, are C corps)

After the Sect of State issues the corporation number, then you could apply for the contractors license.

Google would do a better job than I can of answering the difference between a corp and LLC.
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Old 02-27-2019, 05:13 PM   #2670
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Re: California Licensing


A corp, same with an LLC, the entity "owns" or holds the license. An individual would be the qualifier for that license.

Bonding for a corp is the same as for a sole owner or partnership license. Just the one 15k bond is required.
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Old 02-27-2019, 05:20 PM   #2671
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Re: California Licensing


Getting back to the sole proprietor - if I did find a licensed roofer willing to operate as a SP and then if I was licensed as "home improvement salesperson" I understand we would be losing MOST of the protections of an LLC however if your work were that shoddy an LLC wouldn't protect you anyway IMO

So, assuming I were to go that route all I would need is worker comp for myself and then my pro roofer to learn the trade from.

Almost any other state this wouldn't be an issue to just hire the specialist and get rolling/ learn the trade and then get my own license in a few MONTHS







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You would/could apply for a corporation with the Sect. of State. Then file subchapter S with the IRS. This would give you better personal liability protection than a sole owner license or standard C corporation. (All corps, when formed, are C corps)

After the Sect of State issues the corporation number, then you could apply for the contractors license.

Google would do a better job than I can of answering the difference between a corp and LLC.
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Old 02-27-2019, 05:23 PM   #2672
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Re: California Licensing


But wouldn't the licensed roofer I hire HAVE to be a owner of the corp? And if I list said roofer as an employee he would be disqualified from working for anyone else?


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A corp, same with an LLC, the entity "owns" or holds the license. An individual would be the qualifier for that license.

Bonding for a corp is the same as for a sole owner or partnership license. Just the one 15k bond is required.
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Old 02-27-2019, 05:26 PM   #2673
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Re: California Licensing


No one owns a corporation. It has officers and a qualifier of the classification.

If that qualifier is an RME (employee) then yes, he could not be a qualifier on any other active license.
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Old 02-27-2019, 05:40 PM   #2674
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Re: California Licensing


I can't hire someone full time - not yet anyway. I was hoping to keep everyone as an independent contractor (I tell people this is sometime BETTER than a w-2 employee b/c you can write off YOUR expenses at tax time!)

If the bonding requirement is only 15k then why would an LLC be too expensive?




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No one owns a corporation. It has officers and a qualifier of the classification.

If that qualifier is an RME (employee) then yes, he could not be a qualifier on any other active license.
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Old 02-27-2019, 05:43 PM   #2675
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Re: California Licensing


The LLC worker/surety $100,000 bond can cost $3000 - $5000 Per Year!

And that's after you provide the broker with all of your personal and business financials... even when it's time to renew the bond... same hoops, same price.
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Old 03-02-2019, 12:17 AM   #2676
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Re: California Licensing


Thanks for the Help. I appreciate it.

I have another quick question. Would it be bad if I just submit 3 years of Work Experience? Since I have a Certificate from a college in refrigeration and an Associate in Heating and Air, wouldn't this count as credit for experience for the C-20 license? I know the EPA is basically mandatory so I don't count that. Also I have some self-employed work, how would that affect the experience part. Does it matter if the self-employed work is "under the table"? Any help is always appreciated. Thank you.
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Old 03-11-2019, 07:04 PM   #2677
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Re: California Licensing


Any college or trade courses are valid and should be submitted. You'll also need to provide them with a CFC or Universal Type II card.

If you are paid under the table by a contractor, you can submit that as employed experience. The cslb says they won't go after the contractor for paying some under the table.
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Old 03-13-2019, 03:03 PM   #2678
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Re: California Licensing


License guru

As of March 2019, how has the CSLB been about pulling B license apps for secondary review? Have they lightened up at all?
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Old 03-13-2019, 04:54 PM   #2679
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Re: California Licensing


Nope. Unless your experience was obtained as an employee of a B contractor, your application will require permits (pulled by your or not, in your name or not) and as many CSLB project list forms as it takes to come up with at least four years of B experience.

If some of those projects don't include framing as part of the scope of work, then those projects will most likely be eliminated.

I just came from a meeting at the CSLB where they are discussing (again) the possibility of creating a classification that doesn't require framing experience to qualify for the exam.
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Old 03-15-2019, 12:04 AM   #2680
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Re: California Licensing


What is the best way to apply if your experience was gained employed by a B licensed contractor but you were being paid cash under the table?

And any time frame as to when the new classification would possibly become an option?

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