Prudent homeowners will always make wise decisions when it comes to choosing a contractor for home improvement jobs. A licensed general contractor is highly preferred than unlicensed general contractors.

1. Importance of hiring a licensed general contractor.
Prudent homeowners will always make wise decisions when it comes to
choosing a contractor for home improvement jobs. A licensed general
contractor is highly preferred than unlicensed general contractors. Some
homeowners prefer hiring general unlicensed contractors who offer quick
fixation of required work; normally in the short-run. This may however
cause serious consequences to the homeowner that may include total damage
on the property under repair or construction. It is for this reason that
a licensed general contractor is of great importance as compared to the
unlicensed general contractor. It is hence essential for a homeowner to
be a little cautious about the unlicensed general contractors who may use
homeowner's misfortune as an advantage to them.
There are several things that can help a homeowner differentiate
unlicensed general contractors from the general licensed contractors. The
first character of these unlicensed general contractors is; their target
on inexperienced, uninformed and elderly people in the society. The
contractors often travel in unmarked vehicles e.g. trucks and van by
soliciting-to-door. Furthermore, they convince homeowners to obtain
necessary building permit before starting the work. It is important to
know some tips that can help you choose a valid and licensed general
contractor.
In order to evaluate the eligibility of a general contractor as being
licensed, a homeowner must consider some factors. First, ask the
contractor to issue you a state license. It is important to note that a
contractor's occupational license does not amount to a person act as a
contractor. A homeowner needs to ask the contractor multiple form forms
of identification and to some extent make reference by contacting at
least two referees provided by the contractor. In addition, a home owner
should contact an insurance company and ascertain whether the contractor
is insured; should rush on choosing a contractor who boasts of finishing
a given job fast or offers services cheaply as this may amount to hefty
consequences in future.
Choosing a general licensed contractor for home improvement is a wise
decision that comes with its benefits to the homeowner who does so. The
following are the importance which arises from choosing a general
licensed contractor for home improvement jobs:
Legality of operation: Licensed contractors are legally recognized and
are allowed to procure their services to the clients. In this case the
contractor's service is done within the borders of the law. Should
anything go wrong, homeowners can easily get back their money. Hiring the
unlicensed contractors is risky since loss property/money lost cannot be
easily recovered.
The Guaranty Fund: A homeowner with a general licensed contractor is
under law and reimbursed should he fill a complaint which is filed and
deemed worthy. Compensation is utmost $20,000.

2. Assurance of standards and practices: One will be assured of standard and
practices via the professional license, affiliation and certification.
This will give a higher satisfaction or quality services.
Reduced risks - Licensed contractors have insurance cover for their
workers exposed to several risks. Having a licensed contractor does not
amount to the amount to the homeowner bearing the responsibility of
injured workers or other fines associated with unlicensed work. All the
risks are taken by the licensed contractor.
Acquisition of warranty: A homeowner is granted a valid warranty by a
licensed contractor on the basis that the contractor will give offer
his/her services to the homeowner at an agreed time, quantity, quality
and price. This also ensures that the contract signed between them is
valid.
Insured workers: since every licensed contractor should have insured
workers, home owner will benefit a lot when procuring the services of a
licensed contractor as loss occurrence/ injury on insured is compensated
by the insurer of the worker,
Licensed contracts: A licensed contractor has a license which serves as
the cornerstone of contractor's work.
Give homeowners peace of mind: when a licensed contractor is chosen, the
homeowner gets rest assured that the job will be completed in a
professional way and that the homeowner does not worry about insuring
workers and compensating them.
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