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Licensing an Additional Entity - Florida GC

2149 Views 3 Replies 2 Participants Last post by  LisaAdams
I went in front of the DBPR Construction board on the 9th in order to extend my General Contractor license to a second entity. I couldn't find much information online about the process, other than comments about it being next to impossible.

The application process was simple enough. I own my primary business, and was looking to license an engineering firm that I have been employed with. I am not an equity owner, and had a Financially Responsible Officer assigned (company owner) to shield me from financial/contractual liability. The application was similar to the GC application, with the exception of not having to demonstrate experience/qualifications. Credit reports were required on myself and the two companies, as well as fingerprints for a background check.

The hearing itself was quite brutal to many of the contractors involve. The board members grilled each applicant about the second company they were looking to qualify, and even dug into the original business they were qualifying with their license. In a couple of cases their personal moral question was called into question, with at least one denial on account of criminal history.
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That can be an extremely grueling process. The main pitfalls being:

  • Ownership
  • How you are paid by the entities
  • Supervisory role for the company
  • Are the companies located near each other
  • Do they provide the exact same service
  • Knowledge of both entities


Glad you were given the license, because a lot are not.
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Looks like my original post was cut off. Thanks Lisa - I had heard stories going in, and listening to the contractors ahead of me did nothing to ease that. Mine was very straightforward - I have my own business but am also an employee of an engineering firm that is looking to work as a GC in Florida. The questions asked were mainly about the business structure, and whether I was a commission-based or W2 employee. Once it was established that I was a W2 and had been for months prior to the hearing, it was put up to a vote and approved.

My advice to anyone else:
If you are Licensing a second entity, make sure that you have at least 20% ownership in the company or you are a salaried W2 employee. Also be sure to have both businesses in the same area, as proving oversight will be tough. Any skeletons in your closet are liable to be brought up (as far as contracting or criminal history) so have answers prepared in case they are. ALL cases that I saw outside of the above criteria were denied, put on investigation or withdrawn based on the recommendation of the board.
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Yes, they do follow up with those that are not completely working legally. (W-2 is the only valid legal option if you are not an owner) They have legal council at the meeting so that they can let their council know that there is something to look into.

That part can be very scary and have massive consequences.
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