How to Choose a General Contractor in California: 10 Questions to Ask Before You Sign
Choosing the right general contractor in California protects your investment and keeps your project on track. This guide covers 10 essential questions, licensing requirements, cost ranges, and red flags to watch for before you sign anything.
Why Does Choosing the Right General Contractor in California Matter So Much?
California has some of the strictest contractor licensing laws in the country, and homeowners who hire unlicensed workers lose key legal protections. A bad hire can leave you with unpermitted work, a lien on your home, or a project that sits unfinished for months. The stakes are high whether you are planning a bathroom remodel, adding an ADU, or doing a full home renovation.
California’s construction market is competitive. Across Los Angeles County and the surrounding region, thousands of contractors advertise online, through yard signs, and by word of mouth. That volume makes it harder, not easier, to find someone reliable. Knowing what to look for cuts through the noise fast.
The California Contractors State License Board (CSLB) reports that unlicensed contractor complaints number in the tens of thousands each year statewide. Most of those complaints involve homeowners who skipped the verification step because a contractor seemed trustworthy or offered a low price. A little due diligence upfront prevents the most common disasters.
How Do You Verify a California Contractor’s License and Insurance?
Go directly to the CSLB license lookup tool at cslb.ca.gov and search by the contractor’s name or license number. A valid license should show an active status, the correct license classification for your project type, and no disciplinary actions. This check takes less than 2 minutes and is the single most important step you can take.
California law requires any contractor performing work valued at $500 or more in combined labor and materials to be Licensed by the California Contractors State License Board (CSLB). General contractors typically hold a Class B license. Specialty work — electrical, plumbing, HVAC — requires additional C-class licenses held by the subs they hire.
Beyond the license, ask for two insurance certificates before any work starts:
- General liability insurance: Covers damage to your property during the project. A minimum of $1 million per occurrence is standard for residential work.
- Workers’ compensation insurance: Covers injuries to workers on your property. Without it, you could be held liable if someone is hurt on your job site.
Call the insurance carrier directly to confirm the policy is active. Contractors sometimes present expired certificates. Our team verifies both certificates before mobilizing on any project — and on roughly 1 in 10 subcontractor vetting calls, we find a lapsed policy that needed to be renewed before work could begin.
How to Choose a General Contractor in California: 10 Questions to Ask
Asking the right questions before you sign separates reliable contractors from risky ones. Use this list at every interview, whether you are hiring for a kitchen gut, a bathroom remodeling project, or a new ADU build.
- What is your CSLB license number, and can I verify it? Any legitimate contractor will give this without hesitation.
- Do you carry general liability and workers’ comp insurance? Ask for certificates naming you as an additional insured on the liability policy.
- Have you pulled permits for projects like mine before? Permitted work protects your resale value and ensures code compliance under California’s Title 24 building energy standards.
- Who are your subcontractors, and are they licensed? Your GC is responsible for the subs they hire, but you should still know who is on your property.
- Can you provide 3 to 5 references from similar projects in the last 2 years? Recency matters — a contractor’s quality can change quickly.
- What is the payment schedule, and will you put it in writing? California law limits the down payment on home improvement contracts to 10% of the total price or $1,000, whichever is less.
- How do you handle change orders? Every change to scope should be documented in writing with a new price before work continues.
- What is the estimated project timeline, with start and completion dates? Vague timelines are a common source of disputes.
- Who will be my main point of contact during the project? Knowing who to call prevents miscommunication on busy job sites.
- Do you offer a written warranty on your work? California’s Contractors State License Law provides a 10-year statute of limitations for latent construction defects, but a contractor’s own warranty covers you for workmanship issues much sooner.
What Does a General Contractor in California Typically Cost?
General contractor fees in California typically range from 10% to 20% of total project cost, though some GCs bid a fixed price rather than a percentage markup. On a $100,000 remodel, that means $10,000 to $20,000 in contractor overhead and profit — before materials and labor from subs.
Project type drives the range significantly. Here is a general breakdown of typical market ranges in Southern California as of 2025:
| Project Type | Typical Market Range | Key Cost Drivers |
|---|---|---|
| Bathroom remodel (standard) | $15,000 – $45,000 | Fixture grade, tile work, plumbing relocation |
| Kitchen remodel (mid-range) | $40,000 – $100,000 | Cabinet quality, appliances, layout changes |
| ADU (accessory dwelling unit) | $150,000 – $350,000+ | Size, site conditions, utility connections |
| Whole-home renovation | $100,000 – $500,000+ | Square footage, structural work, finishes |
| Room addition | $50,000 – $150,000 | Foundation type, roofline tie-in, permits |
Always get at least 3 written bids for any project over $10,000. Bids that come in 20% or more below the others are a warning sign — not a deal. Low bids often exclude permit fees, demolition, or proper subcontractor costs that will surface as change orders later.
Some projects may qualify for rebates through programs like TECH Clean California or energy-efficiency incentives tied to the Inflation Reduction Act federal tax credit if your renovation includes qualifying upgrades like heat pump water heaters or insulation. Ask your contractor whether any planned work overlaps with these programs before finalizing scope.
For a custom quote on your specific project, call Hollywood Contractor Corp at (818) 264-1955.
What Red Flags Should You Watch for Before Signing?
The most dangerous contractors are not the obvious ones — they are the ones who seem professional but skip critical steps like permits, written contracts, or licensed subs. Knowing the warning signs before you sign saves you from months of headaches.
Watch for these red flags during the bidding and interview process:
- Demands a large upfront deposit: California law caps initial deposits at 10% or $1,000 for home improvement work. Anyone asking for 30% to 50% upfront is either financially unstable or planning to disappear.
- Offers to skip permits to save money: Unpermitted work can force you to tear out completed construction, delay a home sale, or void your homeowner’s insurance claim.
- Has no physical business address: A contractor who operates only from a cell phone and a P.O. box is harder to track down if problems arise.
- Pressures you to sign the same day: Legitimate contractors understand that homeowners need time to compare bids and review contracts.
- Cannot provide references from the last 12 to 24 months: Old references do not reflect current quality, crew, or management.
- Uses vague contract language: Phrases like “allowances” without specific amounts or “standard finishes” without a spec sheet are invitations for disputes.
- Has unresolved CSLB complaints: Check the CSLB license lookup for any disciplinary history, arbitration awards, or bond claims.
Across our project intake process, we see homeowners most often burned by contractors who offered a price 25% to 35% below market — only to hit them with change orders that brought the final cost above what a properly scoped bid would have been from the start.
How Do ADUs, Bathroom Remodels, and Other Projects Change What You Need in a Contractor?
Different project types require different licensing classifications, permit experience, and subcontractor networks — so the right contractor for a bathroom remodel is not automatically the right choice for an ADU or a structural addition. Match the contractor’s track record to your specific project type.
Here is how to think about contractor fit by project:
- Bathroom remodeling: Requires a GC who coordinates tile setters, plumbers, and electricians smoothly. Ask how many bathroom remodels they have completed in the last year and request photos of finished work. Bathroom remodeling projects in the Los Angeles region typically involve older plumbing that needs upgrading to meet current code.
- ADU construction: ADU projects in California involve a separate permitting track, California’s ADU law (AB 68 and subsequent updates), utility connections, and sometimes lot-line setback variances. Choose a contractor with documented ADU experience — not just general residential work.
- Kitchen remodels: Structural changes, gas line work, and ventilation upgrades require a GC who manages multiple licensed trades simultaneously without letting one trade’s delay cascade into the next.
- Whole-home renovations: These projects need a GC with strong project management systems, a reliable sub network, and experience navigating LA County or city-specific inspection schedules that can add 2 to 6 weeks to a timeline.
When you are searching for contractors across communities in Los Angeles County — whether you need a contractor in the Burbank area, a bathroom remodeling specialist in the area, or an ADU builder in the San Fernando Valley — the same verification steps apply everywhere in California. The license, the insurance, the written contract, and the references are non-negotiable regardless of ZIP code.
Knowing how to choose a general contractor in California comes down to treating the hiring process as seriously as the project itself. A contractor who passes all 10 questions above is a contractor worth signing with.
Ready to Get Started? Contact Hollywood Contractor Corp
Hollywood Contractor Corp is Licensed by the California Contractors State License Board (CSLB) and serves homeowners and property owners across Southern California for remodels, ADUs, additions, and full renovations.
Get a written, itemized quote before any work begins. Call (818) 264-1955 or reach out online to schedule your consultation. Hollywood Contractor Corp brings the licensing, insurance, permit experience, and subcontractor network your project needs — from bathroom remodels to full ADU builds.
Explore our full range of General Contracting services.
Frequently Asked Questions
How do I check if a contractor is licensed in California?
Go to the CSLB license lookup tool at cslb.ca.gov and search by the contractor's name or license number. A valid result will show an active license status, the correct classification for your project, and no disciplinary history. This check is free and takes about 2 minutes. Always do it before signing anything.
How much can a contractor legally ask for as a down payment in California?
California law limits the initial deposit on a home improvement contract to 10% of the total project cost or $1,000, whichever is less. Any contractor asking for more than that upfront is violating state law. This rule applies to residential projects statewide, including remodels and ADU construction.
Do I need permits for a bathroom remodel in California?
Most bathroom remodels that involve moving plumbing, adding electrical circuits, or altering the structure require permits under California building codes. Skipping permits can make it harder to sell your home, void insurance claims, and require you to redo work at your own expense. A licensed general contractor will pull the necessary permits as part of the project.
What is the difference between a Class B general contractor and a specialty contractor in California?
A Class B license covers general building construction, including framing, drywall, and overall project management. Specialty contractors hold C-class licenses for specific trades like plumbing (C-36), electrical (C-10), or HVAC (C-20). A general contractor typically hires licensed specialty subs and coordinates their work across your project.
How many bids should I get before hiring a general contractor in California?
Get at least 3 written bids for any project valued over $10,000. Comparing bids helps you spot outliers — a bid that comes in 20% or more below the others often signals missing scope, unlicensed subs, or a plan to recover costs through change orders. Make sure each bid covers the same scope so the comparison is accurate.
