In California, anyone who contracts to perform work that is valued at $500 or more for materials and labor must hold a current, valid license from the Contractors State License Board in the specialty for which he or she is contracting. This is true whether you, the owner, purchases the materials or the contractor does, the $500 applies to the total value of the work completed.

Unlicensed contractors pose a serious risk to your financial security because they expose you to significant financial harm in the event of injury or property damage. A licensed contractor must post a bond with the California State Contractors License Board. If a contractor has employees, the contractor must cover them with worker's compensation insurance and pay state and federal withholding taxes. Most contractors will also carry liability insurance to protect themselves and their clients against property damage. Few unlicensed contractors have liability or workers' compensation insurance. Always ask your contractor to provide you with a license number and proof of insurance.

If you act as your own contractor and you hire someone to perform labor for you, you should be aware that you must cover them with worker's compensation insurance and pay state and federal withholding taxes, unless they are a licensed contractor.

You should always check with the California State Contractors License Board to determine the current status and validity of a contractor's license. Click here if you would like to check the status of Osincup Construction Inc.'s license. Our California License number is 805948.