Capitol Connection Q&A for Contractors - Week of June 5/2023

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By Shauna Krause, President, Capitol Services, Inc.

When does a CA license qualifier get a ‘piece of the rock’? I will shine a light on NV, put a modular builder’s business together and help another contractor learn what’s in a name, a business name that is…

Q:  We are acquiring a business and the seller has suggested that she can come on the license as the Responsible Managing Officer (RMO).  Are we required to give her a percentage of ownership for her to act in this capacity?

A:  No, an RMO is not required to have any ownership unless the individual is acting as the Qualifier for another Company at the same time. 

Q:  We have two companies in California, one is a Solar Business with a “C-46” Contractor’s License, and the other is an Electrical Business with a “C-10” Contractor’s License.  We are interested in obtaining an Electrical license in Nevada (“C-2” there).  Is there any way our Solar Business could obtain the license under their business, or does it have to be our CA “C-10” entity?

A:  Your Solar Business can absolutely obtain a NV “C-2” license.  There are no restrictions in Nevada which would prevent a CA “C-46” licensed entity from obtaining an Electrical license.  The possibility of Reciprocity may change depending on who you are using to Qualify the license, and if we want to dive deeper into that subject it’s best to call my office and I’d be happy to discuss it at greater length.

Q:  We manufacture and install modular homes.  We previously had a General Building (“B”) California license back in the 90’s that we let lapse due to no one asking/inquiring about us needing a contractor’s license.  We always hire sub-contractors to do our work, including electrical, plumbing, and any other additions needed on the modular homes.  Do we need to have a contractor’s license being that we are subbing out the work?  And if the answer is yes, would our previous Qualifier be required to go through the testing process again?

A:  Yes, your company needs a Contractor’s License.  The entity signing contracts for work, as well as the entity performing the work, both need to be properly licensed.

Q:  We have a fictitious name filed with the County.  When filing for a new Contractor’s license, should the company name include our fictitious name or just the out-of-state Corporation’s name?

A:  The company name should be your registered name as reflected in your Home State.  If you are using a ‘dba’ (doing business as) name in CA, that will follow your corporate name (example: ABC Inc. dba XYZ).


While knowledge is power, knowing where to go for the answers is half the battle. Get expert assistance immediately when you call 866-443-0657, email, or write us at Capitol Services, Inc., 3609 Bradshaw Rd, Ste H, #343, Sacramento, CA 95827. Search past columns at