CSLB License Requirements for California Contractors

Who needs a license

You need a CSLB license for any job where labor and materials total $1,000 or more, where a building permit is required, or where you use any workers. Below that, the minor work exemption applies only if the job needs no permit and you employ no one; unlicensed people who advertise must state that they are not licensed (Business and Professions Code 7048; AB 2622, effective January 1, 2025). Splitting a job into smaller contracts to stay under $1,000 is not allowed.

Experience

The qualifier needs at least four years of journey-level experience (journeyman, foreman, supervisor or contractor) in the classification within the last ten years (16 CCR 825). Education or an approved apprenticeship can replace part of that — CSLB allows up to 1.5 years for an A.A. in building or construction management, up to 2 years for certain 4-year degrees, and up to 3 years for an apprenticeship certificate or related 4-year degree — but at least one year must be practical experience. Someone with firsthand knowledge must certify the experience.

Who qualifies the license

The qualifying individual can be the owner (sole owner), a general partner, a Responsible Managing Officer (corporation or LLC), a Responsible Managing Member or Manager (LLC), or a Responsible Managing Employee — a permanent employee working at least 32 hours a week or 80% of the business's hours (Business and Professions Code 7068). A qualifier can act for no more than three firms in a year.

Exams and background

• Law and Business exam for every applicant, plus a trade exam for every class except C-61.
• Exams are scheduled through PSI; you have 18 months from acceptance to pass.
• An open-book asbestos exam before the license is issued.
• Live Scan fingerprints for the applicant and every officer, partner, owner and RME (DOJ $32 + FBI $17 + the site's fee).
• Exam waivers exist in limited cases (for example, if you passed the exam or qualified the same class within five years).

Bonds, insurance and workers' comp

• $25,000 contractor license bond for every active license.
• $25,000 Bond of Qualifying Individual when the qualifier is an RME or an RMO who owns less than 10% of the company.
• Workers' comp certificate, or a no-employee exemption. C-8, C-20, C-22, C-39 and C-61/D-49 cannot use the exemption, and neither can a license qualified by an RME. From January 1, 2028, all active licenses need workers' comp except joint ventures.
• LLCs: $100,000 employee/worker bond and liability insurance of $1 million (five or fewer personnel of record) up to $5 million.

Fees and term

Current CSLB fees: $450 application (one classification), then an initial license fee of $200 for sole owners or $350 for other entities. Licenses renew every two years ($450 sole owner / $700 other entities for an active renewal; $470 / $720 for C-10). Veterans receive 50% off the initial license fee. An expired license can be renewed within five years.

This page is general information, not legal advice. Rules change — confirm current requirements with CSLB (cslb.ca.gov) before you act.

Frequently asked questions

How much experience do I need for a California contractor license?

Four years of journey-level experience in the classification within the last ten years, with up to three years creditable from education or apprenticeship.

Do I need a license for a $900 job?

Not if the job needs no permit and you have no employees on it. At $1,000 or more in labor and materials, or with a permit or employees, a license is required.

Do I need insurance to get licensed?

You need the $25,000 bond and workers' comp (or a valid exemption where allowed). LLCs must also carry liability insurance.