Capitol Connection Q&A for Contractors - Week of May 9/2022

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By Shauna Krause, President, Capitol Services, Inc. 

I will investigate an unfortunate ‘family’ affair for one corporate contractor, make the ‘call’ on a General question before going ‘online’ to assist a troubled renewal… 

Q: I have an “A” (General Engineering) license which I obtained last year. I am trying to start a new company separate from my existing company which strictly does Telecommunications work which my “A” license is sufficient for (sometimes I will need to sub some work to a C10 but that is beside the point). Can I use my license for both Companies? 

A: You cannot use the same license number for both Companies. As long as you own at least 20% of each Company, you can qualify both licenses, but each license will have its own number. 

Q: My license expires on June 30, 2022. I’m trying to be way ahead of the game this time around because twice now there have been issues with processing my renewal or me not receiving it in enough time to get it in well before the expiration date, which causes it to be expired for a period of time. Do you know when I should start looking for it? 

A: The CSLB sends out your renewal notification about 60 days prior to the expiration so you should start right about now! BUT, I have great news for you. The CSLB now allows you to renew licenses in real time online! The implementation of this new feature will certainly save many contractors who have experienced the same dilemma as you. Check it out! https://cslb.ca.gov/Renewals.aspx 

Q: I just recently came to work for my dad’s company, it’s a corporation. He is the sole owner and has run the business his entire adult life. He is getting on in years and in the event that something was to happen to him unexpectedly, I’ve read there is a way to get a continuance on the license so we can continue employing people and doing work while we update the corporation. Can you give me more information on how that works? 

A: Continuances are specific to Sole Proprietorships, Partnerships, and Joint Ventures. These three types of entities are directly affected by one of the parties to the license passing away or otherwise becoming not associated with the license. Corporation and LLC licenses are not affected as if one (or more) of the parties is disassociated from the Company, the license remains in place and will remain Active for a period in order for you to update the license and make changes, all while you continue operating, employing people, etc.

 

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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 info@cutredtape.com, or write us at Capitol Services, Inc., 3609 Bradshaw Rd, Ste H, #343, Sacramento, CA 95827. Search past columns at www.cutredtape.com.

 

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