New Contractors FAQ

Proof of experience or testing will NOT be required with our program. Your company will get a new license with the help of a RMO, who has already proven experience and passed the necessary exams. Your company will receive a pocket license card, license certificate, and YOUR name will appear on the license personnel list as the President of the company.

We guarantee the approval of the RMO on your new license. We will replace with no additional charge a RMO who cannot serve as a qualifier.

The agreement term is the remainder of this year PLUS one year (always ending on December 31st) with annual automatic renewals unless notice received 30 days prior to renewal.

The process of introducing you to a suitable RMO includes a conference call to allow you and the potential RMO to approve each other before moving forward with the application process. We highly recommend you schedule a first meeting following the conference call. We locate a RMO based on your location and requested license classification(s).

If your RMO quits (not due to any issues on your part), we will provide you with a replacement RMO at no cost to you*. Your license will remain active throughout the replacement process and the license number will remain the same even after your RMO is replaced.

*RMO replacement is subject to current RMO availability. We will do our best to locate a new RMO if no such RMO is available at this time. 

The corporation will be required to issue the RMO 20% of the total issued shares per State law. In this manner, the state allows the RMO to qualify multiple companies and also eliminates the need for a Qualifier’s bond.  The RMO will sign a waiver releasing these shares back to the corporation upon the termination of your contract.

You pay us a monthly fee for locating and matching you with a RMO as well as providing ongoing support, tools and education throughout your relationship with your RMO. The monthly fee you pay us includes the fee paid to your RMO for qualifying your license. Any additional fees for monthly supervision will be paid by you directly to your RMO.

Initial costs:

$1,500 security deposit (refundable upon satisfactory completion of agreement)

$530 CSLB new license application fee ($150 for additional classification or RMO replacement)

$1,000 Application processing & tracking service fee

Monthly fee: $995 (begins upon license issuance / RMO approval- First month is prorated)

Additional payment to RMO directly for supervision visits.

Bond, insurance and other government fees or taxes are not included in the above costs and are required as a part of obtaining your license.

Refer a friend and get $500 credit for any successful referral

There IS a light at the end of the tunnel!

You can qualify to replace the RMO after 5 years of being an officer on an ACTIVE & IN GOOD STANDING License.

Following the State’s rules and RMO Agency’s recommendations throughout the 5 year program duration will help make the replacement process smooth and easy. 

Also, we can assist you with the application process required for you to become your own RMO.

Any complaints or other license issues may delay this replacement process as its approval is at the discretion of the Registrar of the CSLB.

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Business & Professions Code 7068.1

The person qualifying on behalf of an individual or firm under paragraph (1), (2), or (3) of subdivision (b) of Section 7068 shall be responsible for exercising that direct supervision and control of his or her employer’s or principal’s construction operations as is necessary to secure full compliance with the provisions of this chapter and the rules and regulations of the board relating to the construction operations. This person shall not act in the capacity of the qualifying person for an additional individual or firm unless one of the following conditions exists:

(a)There is a common ownership of at least 20 percent of the equity of each individual or firm for which the person acts in a qualifying capacity.

(b)The additional firm is a subsidiary of or a joint venture with the first. “Subsidiary,” as used in this subdivision, means any firm at least 20 percent of the equity of which is owned by the other firm.

(c)With respect to a firm under paragraph (2) or (3) of subdivision (b) of Section 7068, the majority of the partners or officers are the same.

(d)Notwithstanding subdivisions (a), (b), and (c), a qualifying individual may act as the qualifier for no more than three firms in any one-year period.

“Firm,” as used in this section, means a copartnership, a limited partnership, a corporation, or any other combination or organization described in Section 7068.

“Person,” as used in this section, is limited to persons natural, notwithstanding the definition of “person” in Section 7025.

The board shall require every applicant or licensee qualifying by the appearance of a qualifying individual to submit detailed information on the qualifying individual’s duties and responsibilities for supervision and control of the applicant’s construction operations.

CAL. BUS. & PROF. CODE §7065.1.

Notwithstanding Section 7065, the registrar may waive the examination for a contractor’s license under any of the following circumstances:

(a)The qualifying individual has, for five of the seven years immediately preceding the application for licensure, been listed on the official records of the board as a member of the personnel of any licensee who held a license, which was active and in good standing, in the same classification being applied for, and who during the period listed on the license has been actively engaged in a licensee’s construction activities in the same classification within which the applicant applies for a license.

(b)The qualifying individual is an immediate member of the family of a licensee whose individual license was active and in good standing for five of the seven years immediately preceding the application for licensure, and the qualifying individual is able to show all of the following:

(1)The qualifying individual has been actively engaged in the licensee’s business for five of the seven years immediately preceding the application for licensure.

(2)The license is required to continue the existing family business in the event of the absence or death of the licensee.

(3)An application is made for a new license in the same classifications in which the licensee is or was licensed.

(c)The qualifying individual is an employee of a corporation seeking to replace its former qualifying individual and has been employed by that corporation under the following conditions:

(1)For five of the seven years immediately preceding the application for licensure, the qualifying individual has been continually employed by the corporation in a supervisory capacity in the same classifications being applied for.

(2)For five of the seven years immediately preceding the application for licensure, the corporation has held an active license in good standing in the same classifications being applied for.

The corporation has not requested a waiver under this subdivision within the past five years.

For purposes of this section, employees of a corporation shall include, but not be limited to, the officers of a corporation.