Independent site · Not affiliated with CSLB or any state agency

Hiring a contractor in California: a checklist

By Contractor Lookout · Updated November 3, 2026

Before you hire a California contractor, confirm the license is active and covers your type of work, verify the bond and workers’ comp, and get a written contract with a down payment of no more than $1,000 or 10% of the price. Then tie every later payment to work that’s actually done.

Print this list or keep it open while you collect bids.

Before you collect bids

Check each contractor’s license

Bond and workers’ comp

The salesperson

The contract

Permits

During the job

If something goes wrong

Quick reference

Rule Figure Law
Minor work exemption Less than $1,000, no permit, no employees BPC 7048
Written contract required Home improvement over $500 BPC 7159
Maximum down payment $1,000 or 10%, whichever is less BPC 7159.5
Contractor’s bond $25,000 BPC 7071.6
Right to cancel 3 business days; 5 if 65+; 7 for disaster repairs Civil Code 1689.6
License term 2 years BPC 7140

For more detail on each check, read how to check a contractor license.

This is general information, not legal advice.

Sources

More guides