Welcome to the State of California

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Basic Facts About Contracting in California

  • Anyone performing construction work in California that totals $500 dollars or more in labor and materials must be licensed by CSLB.
  • The construction industry is one the largest industries in California. www.labormarketinfo.edd.ca.gov
  • Licensed contractors must demonstrate at least 4 years of experience/education in the trade for which they are licensed, be fingerprinted, have an FBI background check, and be bonded.
  • CSLB's Statewide Investigative Fraud Team (SWIFT) conducts stings and sweeps somewhere in California each week.
  • Unlicensed contractors are part of the $60-140 billion dollar underground economy that does not pay taxes, insurance, or follow safety laws. www.dir.ca.gov/EEEC/EEEC.html
  • First time offenders are often issued a Notice to Appear (NTA) for misdemeanor charges of contracting without a license or illegal advertising. The NTA carries a maximum of six months in jail and/or up to a $1,000 fine.
  • Additional convictions raise the fines to 20 percent of the contract price for the work performed, (or $4500), along with a 90-day jail sentence.

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