An unlicensed general contractor typically charges less but doesn’t guarantee quality delivery.

Still, people fall for low prices. However, it’s important to note that unlicensed contractors often do not focus on quality work, so when you hire an unlicensed contractor, your project can suffer in spite of saving you money in the short term.

By using a licensed general contractor, the overall project cost might be higher, but in the long-term, the quality of the end product will be evident and worth the additional investment. The increased cost of a licensed contractor will save you time and trouble and will ultimately minimize construction risk. By hiring a licensed general contractor for your next project, you will have greater peace of mind because you prioritized quality over cost.

What does “licensing” mean?
For a general commercial contractor, being licensed means a lot.

General contractors invest a lot of time and effort in clearing rigorous tests in order to obtain an official license to practice commercial construction. For example, licensed contractors must pass proper trainings and must remain current with these trainings thereafter. The license received by the general contractor ensures that they have the requisite knowledge and skills to carry out many types of commercial construction projects. In other words, the licensed general contractor has great experience with all pre-, during-, and post-construction processes.

Furthermore, licensing also confirms that a general contractor is equipped with all the tools and resources to efficiently complete any given project and deliver it with the highest standard of quality.

What is another reason to work with a licensed general contractor?
Licensed general contractors learn and understand the legal requirements set by the city and federal governments for building. They also work with the government to obtain necessary building permits. This is critical in order to minimize risks at all stages of the construction process. A licensed contractor will also regularly inspect your project throughout its construction lifecycle to ensure safety and compliance standards are met.

What should you do to confirm that your next general contractor is actually licensed?
Taking their “word for it” is not enough. Before connecting with a general contractor, you should research thoroughly and find out exactly which license the contractor should possess in order to work in your specific city and state.

Of course, an unlicensed general contractor will save you some money at the outset, but a licensed one will save you from serious financial stress later by attempting to minimize risk while meeting strict safety guidelines from start to finish.

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