Contractor "Do"s and "Don't"s:

Contractor “Do”s

  1. Couple with laptopAlways contact multiple contractors and obtain more than one estimate. Remember the lowest bid may not be the best. The lowest bidder may end up costing you the most. If 3 bidders are all clustered around $6,000 and one comes in at $3,000, investigate the difference.
  2. When the work requires a professional license, work with licensed contractors. A business license is just an occupational tax license and is not a professional license. ALL businesses must have a business license. It does not mean that they are licensed to do that particular business. It means that they have to pay taxes to that jurisdiction for their business. Get a copy of their business license. If they have advertised “LICENSED and INSURED”, and they don’t have any licenses, they are falsely advertising. But the CRITICAL license is the state professional contractor’s license, if one is required. Residential and general contractors MUST have a state contractor’s license and meet professional standards. There are some construction that does not require a state professional license: for example, specialty contractors and repair people. For example, roofers do not need a state license currently to do their roofing specialty. All contractors should have a business license, not all contractors have a state contractor’s license. Other licensed construction professionals include electricians, utility, low-voltage contractors, plumbers and conditioned air (heat and A/C), architects and engineers. State licensed contractors have a “pocket card” to show you and you should make a copy. Be sure the license is valid and current. You can call the jurisdiction to confirm or verify online with the Secretary of State or the local jurisdiction, as appropriate.
  3. Always get the contractor’s full name and complete business name, physical office address (not a PO Box), business phone, cell phone number, truck license plate state and number. If they won’t give you this – DON’T USE THEM! If they are not a Georgia corporation registered with the Secretary of State, get a physical address and verify it. Check their driver’s license for the correct name.
  4. Verify the business phone and address, and check online in search engines such as Google, Bing or others for complaints and lawsuits by or against them. Also check with the Better Business Bureau, and with your state consumer agency or attorney general’s office to see if previous customers have reported complaints.
  5. Be sure the license is valid and current. You can call the jurisdiction to confirm or verify online with the Secretary of State or the local jurisdiction, as appropriate.
  6. Make sure the contractor has proof of general liability insurance and workers compensation coverage (when required by the State). Verify the coverage is sufficient and that the policy is valid and will not expire during the project. You should always contact your insurance agent for information and advice.
  7. Get final or conditional lien waivers to protect yourself.

This is not a comprehensive list. There are many good consumer friendly websites and professional construction associations with tips on contracting do’s and don’ts. Please take the time to read and understand them. Your money and your property are at stake!