Why Hire a Contractor that is Licensed, Insured and Bonded
License in the state of California
A license contractor will have their license number on their business card, flyers, company van/truck, or even an ad online.
Thinking about hiring an unlicensed contractor may cost you. It has happen many times, an individual decides to work with someone that does not have a license or claims they do (always verify license status at the ca.gov website). That person/company gives you a bid, claimimng they will save you money. Then it begins. The person/company infomrs you he needs a deposit or needs a large portion of the money up front. They then tell you a story that they need it to purchase materials, pay workers for another job where the property owner is slow to pay, or any story that will help him receive cash from you. He collects some payment and then this is where everything starts going downhill.
The person arrives, takes some measurments, and maybe even delivers some material. Then all of a sudden he starts to make excuses and that he start the project next week. He never arrives, you start calling him and he never answers his phone calls so you leave a message. A week later you call again, he does not answer and you leave another message. When you final talk to him again, he promises to get on your job the next day. Another week passes and he never shows or worse he asks for more money. Sound rediculous? It happens everyday, often you the consumer lose the deposit or money you gave him (anywhere from hundreds to thousands of dollars). Sadly, you as the property owner can only TRY to pursue the matter in court.
Save yourself from loosing money and going bald, ALWAYS hire a contractor that has a license.
Check the CA.gov site for more information:
Insured
Contractor that has liability insurance and workers compensation will protect you from any liability, legal fees, and a lawsuit if an injury occurs on your property. You may also be held to pay medical expenses, lost wages due to the injury, and it can cover the cost of purchasing new equipment. Sometimes your homeowners insurance wont cover these charges.
Note: A supplier who sells materials on credit to an unlicensed contractor for your property can lien YOUR property and or sue you for the amount of the materials if those bills aren't paid? Also subcontractors/workers who work on your property for an unlicensed contractor have the option of suing the property owner (you) for wages due them but never paid out by the hired unlicensed contractor.
Do you want to pay these expenses for an individual that either get hurt on your property or demands that they never got paid?
Bonded
A bonded contractor that is bonded a contract with a financial institution. Which means that you the individual are protected by that financial insitution.