Whether you're a homeowner hiring a contractor or a subcontractor vetting a general contractor before signing a contract, verifying licenses is one of the most important steps you can take. An unlicensed contractor puts you at risk β legally, financially, and practically.
This guide shows you exactly how to verify contractor licenses in every state, what to look for, and red flags that should make you walk away.
Why License Verification Matters
For Homeowners
For Subcontractors
How to Verify: The Basic Process
Most states maintain online databases where you can search for contractor licenses. Here's the general process:
1. Get the contractor's full legal business name and/or license number
2. Visit your state's contractor licensing board website
3. Use the license lookup or verification tool
4. Verify the license is active (not expired, suspended, or revoked)
5. Check for complaints, disciplinary actions, or bond claims
6. Confirm insurance is current (if shown in the database)
State-by-State License Lookup Links
California
California Contractors State License Board (CSLB)
Website: www.cslb.ca.gov
What you can check: License status, bond status, workers comp, complaint history
Texas
Texas Department of Licensing and Regulation (TDLR)
Note: Texas doesn't require a general contractor license at the state level, but does license specific trades (electricians, plumbers, HVAC).
Website: www.tdlr.texas.gov
Florida
Florida Department of Business and Professional Regulation
Website: www.myfloridalicense.com
What you can check: License status, complaints, disciplinary actions
New York
New York does not have statewide contractor licensing. Check with local municipalities (NYC has its own system).
NYC: www.nyc.gov/buildings
Arizona
Arizona Registrar of Contractors
Website: roc.az.gov
What you can check: License status, bond status, complaints, classifications
Nevada
Nevada State Contractors Board
Website: www.nscb.nv.gov
What you can check: License status, bond, insurance, complaint history
Georgia
Georgia Secretary of State
Website: sos.ga.gov
What you can check: License status for specific trades
North Carolina
NC Licensing Board for General Contractors
Website: www.nclbgc.org
What you can check: License status, limitations, disciplinary actions
Virginia
Virginia Department of Professional and Occupational Regulation (DPOR)
Website: www.dpor.virginia.gov
What you can check: License status, certificate of insurance
Washington
Washington State Department of Labor & Industries
Website: www.lni.wa.gov
What you can check: License status, bond status, insurance, violations
What to Look For
When verifying a license, check for:
Red Flags That Should Concern You
1. Expired License
If a contractor's license expired, they're operating illegally. Don't accept "it's being renewed" as an excuse β legitimate contractors keep licenses current.
2. Suspended or Revoked License
This means the licensing board took disciplinary action. Find out why before proceeding.
3. Multiple Complaints
One complaint might be a difficult customer. Multiple complaints suggest a pattern. Read the details.
4. No Insurance
If the database shows no workers comp or liability insurance, you could be liable for injuries on the job.
5. Wrong Classification
Contractors are licensed for specific work types. An electrical contractor shouldn't be doing plumbing work under their electrical license.
6. No Physical Address
Legitimate contractors have a physical business address. P.O. boxes only are a warning sign.
What Subcontractors Should Know
As a subcontractor, you should verify the GC you're about to work for:
Check the GC's License
Is the general contractor properly licensed for this project? If they're not, you could have problems collecting payment, and your lien rights may be affected.
Check Their Payment History
License status tells you if they're legal. Payment history tells you if they pay their subs. Use tools like SubPaid's Contractor Directory to check GC PayScores before signing a contract.
Verify Insurance
Make sure the GC carries adequate liability insurance and workers comp. Request certificates of insurance.
Look for Complaints
Multiple subcontractor complaints about non-payment are a major red flag β even if the license is active.
SubPaid's Contractor Directory
Verifying licenses is important, but it only tells you part of the story. A GC can have a perfectly valid license and still pay you 90 days late on every invoice.
SubPaid's Contractor Directory goes beyond license verification to give you the full picture:
Before you sign your next contract, search the directory to see how the GC treats their subcontractors.
Frequently Asked Questions
What if my state doesn't require contractor licensing?
Some states (like Texas for general contractors) don't have statewide licensing. Check for local municipality requirements and verify trade-specific licenses (electrical, plumbing, HVAC) which are typically still required.
Can I work for an unlicensed GC?
You can, but it's risky. Your lien rights may be affected, payment disputes are harder to resolve, and you could be associated with code violations or substandard work.
How often should I re-verify a contractor's license?
At minimum, verify before signing any new contract. For ongoing relationships, an annual check is good practice. Licenses can be suspended or revoked at any time.