An unlicensed contractor can cause you no end of headaches. They’re likely to make promises they can’t keep, give you an inaccurate estimate, overcharge you, charge you for shoddy work… the list goes on and on.
There are, however, several signs to look out for an unlicensed contractor in order to avoid doing business with them.
Here’s how to look out for an unlicensed contractor:
Unlicensed contractors don’t prominently display their licenses and certificates
A licensed contractor will want you to know that they’re properly licensed and certified. An unlicensed contractor will try to hide the truth. If a contractor won’t show you their license, or shows it to you in an unverifiable format, beware.
They also come up with all sorts of excuses to try and throw you off their scam…everything from “I’m licensed in another state” to “I’m working under somebody else’s license.” Also, if they show you an “occupancy license,” that’s just a business permit anybody can buy– it’s not the same as a contractor’s license, so don’t be fooled.
Look at their vehicle, the paperwork they give you, and even their ads– if they don’t list their license number anywhere then it’s a good chance they don’t have one. Also, look for fakes– if the numbering doesn’t look like the majority of others, they may be making their number up.
Unlicensed contractors go door to door
First, unlicensed contractors look for the cheapest way possible to advertise– so be wary of those who advertise with a business card on a bulletin board or online on Craigslist. If someone shows up at your door mentioning how they just did a job down your street and wanted to know if you want them to do a job at your place, say “no thanks.”
Licensed contractors typically don’t cold-call people by knocking on doors saying they “just finished a job down the street.” Unlicensed contractors often try to drum up business by showing up out of the blue and putting potential customers on the spot.
Unlicensed contractors don’t have a physical address
A reputable contractor will have a listed address. Unlicensed contractors often go with P.O. boxes only, because they plan to pull up stakes and disappear once people start to complain.
Unlicensed contractors can’t or won’t pull construction permits
If your contractor asks you to take care of the permitting yourself, it’s a bad sign that probably means they aren’t licensed.
Unlicensed contractors may ask for a lot of money up front
Finally, if a contractor asks for a lot of money up front, be cautious. They may try and get your money without having to do any work, and then they’ll skip town and you won’t know how to find them. Also, if they have a P.O. box address or don’t provide a detailed address in general, you have to wonder if they’re legit or “fly-by-night.”
They’ll also often try to rush you into making a decision by offering a “special price” if you hire them right away.
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