The California construction industry employs close to one million workers thanks to the population boom over the last two years. In fact, in the 174-year history of the state, the only short-lived period of population loss was during the COVID pandemic, where California lost about 1% of its population.
The recent population boom only increases the demand for licensed contractors. California has the second highest employment level for construction workers, behind Texas, and according to ZipRecruiter.com, general contractors in the state earn an average annual income around $95,000.
General building contractors construct new buildings, rehab old buildings, and improve or modify existing structures. General contractors are involved in a variety of projects, such as single- and multi-family housing, business complexes, and large-scale commercial developments.
California law requires a license for any work valued over $1000, including labor and materials. Licenses are issued by the Contractors State Licensing Board (CSLB). Generally, the steps to become licensed include completing an application, paying the required fees, getting a background check, verifying work experience, and passing an exam.
In this blog, we’ll walk through the steps to becoming a licensed general building contractor in California.
Education Requirements for General Contractors
Having an education is not required for licensure. However, the CSLB may grant credit toward the work experience requirement for completing an apprenticeship program, technical training school, or other education from an accredited school.
How much credit is applied is reviewed on a case-by-case basis as follows:
- Community College Credit: A maximum of 1.5 years. You must obtain an AA degree from an accredited school or college in building management or construction management.
- Four-year Degree: A maximum of 2 years. Acceptable degrees include accounting, architecture, business, economics, mathematics, physics, or a professional law degree. Credit may be given for other coursework related to the construction trade.
- Apprenticeship: A maximum of 3 years. Applicants must have either a certificate of completion of apprenticeship or a four-year degree in construction technology or construction management.
Apprenticeship programs, technical colleges, and military training are excellent licensing paths for future contractors. Apprenticeships are most commonly offered through trade organizations or unions. One of the benefits of apprenticeships is that your work experience is paid.
Most programs take three to five years to complete, but you exit the program at the journeyman level. Building California maintains a list of union apprenticeship programs throughout the state.
Vocational schools and community colleges offer construction training programs. Many of these programs offer job placement services. California Community Colleges provides a list of statewide colleges with construction management programs.
Experience Requirements
Licensees must have at least four years of journey-level experience within the last 10 years to apply for a license; that is, licensees must be able to do the job without supervision. Education can count toward some of the experience requirements. However, you must have on-the-job experience as a journeyman, foreman, supervisor, or contractor.
Applicants are required to provide proof of experience, which must be verified by someone other than the applicant. Employers, coworkers, other journeymen, contractors, union representatives, building inspectors, architects, engineers, business associates, or homeowners can confirm employment and relevant experience.
The CSLB maintains a list of acceptable documentation for work experience verification. Additionally, anyone verifying experience must complete CSLB’s Certification of Work Experience form.
Licensing Information
The CSLB issues two licenses: General Building Contractor (B) and Residential Remodeling Contractor (B-2). In addition, the CSLB issues several specialty contractor licenses.
General contractors work on all building projects with few limitations. Residential remodeling contractors are restricted to upgrades or improvements to existing wood structures and are prohibited from making any structural changes to load-bearing portions of a structure.
What is the General Building Contractor (B) License?
The state defines a general building contractor as someone who constructs new structures for the support, shelter or enclosure of persons, animals, chattels, or moveable property. This license allows contractors to work on projects that involve at least two unrelated building trades.
Building contractors can be the primary contractor or subcontractor on a project for a framing or carpentry project. The only exception to this is if the contractor holds the appropriate specialty license or subcontracts someone with the appropriate specialty license when the project falls outside of framing or carpentry.
Steps to Obtain Your License
The general licensing process includes seven steps:
1. Determine eligibility. You must be 18 years or older with four years of verifiable work experience in the field as a journeyman or higher within the last 10 years.
2. Complete the exam application form. The application in its entirety must be completed prior to taking the examination. The multi-step process will include paying fees, getting fingerprinted, verifying work experience, and scheduling the exam.
3. Submit the application and pay the required fees. The current application fee is $450 and must be submitted with the application to begin the process.
4. Get a background check. Applicants must submit fingerprints as part of the mandatory background check.
5. Verify work experience and submit the appropriate forms. The CSLB may require that you complete the Certificate of Work Experience form(s). Not all applicants will have to submit this paperwork. Licensees are chosen randomly, so it’s good practice to have these forms ready in the event you need them.
6. Schedule and take the exams. You’re required to take the Building Contractor Exam and the Law and Business Exam. You must pass each with a score of 72% or better. PSI Testing Centers proctor the tests. You have 18 months from acceptance of your application to take the exams.
The trade exam has 115 multiple-choice questions that must be completed within 3.5 hours. The exam is divided into five major sections:
- Planning and Estimating (17%)
- Framing and Structural Components (22%)
- Core Trades (30%)
- Finish Trades (19%)
- Safety (12%)
The law and business exam also has 115 multiple-choice questions and a 3.5-hour time limit. The exam is divided into seven major sections:
- Business Organization and Licensing (13%)
- Business Finances (15%)
- Employment Requirements (20%)
- Insurance and Liens (12%)
- Contract Requirements and Execution (21%)
- Public Works (5%)
- Safety (14%)
7. Obtain your license. Once you’ve passed the exam, you will receive a Bond and Fee letter in the mail listing the insurance requirements specific to your application and the licensing fee (currently it is $200).
The last few hoops to jump through in California include taking the asbestos open-book exam and obtaining a $25,000 surety bond.
Conclusion
With the 2028 Olympics right around the corner and the booming economy in California, now is an excellent time to get your general building contractor license. While the process has many moving parts, once you have four years of journey-level experience under your belt, the only left to do is study for the trade and law and business exams.
Contractor Training Center is your partner in exam preparation and license submittal. When you're ready to take the next step, enroll in the California General Building Contractor Exam prep courses. We’re here to help every step of the way.