It’s only natural you’d want to cut some corners on your ADU project to save some money, and there’s definitely no problem with that! There are plenty of safe and easy ways to reduce costs, and we have some great ideas on how to do that in this blog.

But, what’s the one thing you should never skimp on? Your general contractor.

Never hire an unlicensed general contractor for your ADU. Here’s why…

High Chance of Shoddy Work

One of the requirements for a general contractor to obtain their license in California is to have at least four years of professional experience completed within the last ten years.

Hiring unlicensed general contractors means you don’t have that reassurance that the job will be done by someone who has enough experience. Any person with basic knowledge of construction can pick up a hammer and call themselves a professional, but when it comes to a project as large as an ADU, you’ll need a lot more than just basic knowledge.

Here are a few things that your general contractor should have knowledge on:

  • Plumbing
  • Electric
  • Air Flow
  • Sustainability
  • ADU regulations

Unlicensed General Contractor

A 5-star Yelp review isn’t enough to tell whether a general contractor is a right person for your ADU project, either. There are different general contractors that specialize in different types of projects from bathroom remodels to full-sized office building construction.

Keep in mind that this isn’t any old kitchen remodeling project. You’re building a whole home for someone to live in, so why risk their safety with a shoddy construction job?

Issues like faulty wiring and poorly installed plumbing could spell big trouble for you and your tenants.

Get Ready to Pay Extra in the Long Run

Just because the general contractor you’re considering for the job gives you a low price from the start, doesn’t mean you’re saving money. In fact, that starting price they give you most likely doesn’t reflect the full cost of the product.

Unfortunately, there’s no cookie-cutter format of how general contractors are supposed to propose their bid to you. In fact, it’s often not an apples to apple comparison!

Some will include other features and quotes that others won’t. Others will offer additional services and others will just offer the bare bones. Some will provide estimates based on individual rooms and others will quote based on milestones.

Not to mention, anything that was poorly installed like flooring, appliances, lighting, you name it, can fall apart much sooner than they’re supposed to and cost you another arm and leg (maybe even a kidney) to fix.

Unlicensed General Contractor

Crooked cabinets that don’t close properly like these can be a real nuisance!

What about the short term? If you’ve ever had a cabinet in your kitchen that doesn’t close right or a door frame that’s just a tad too tight, you know how annoying these small details can be. Mistakes like these can be such an eyesore or annoyance that you’ll have to hire someone else to fix it.

This can range from crooked tiles, faulty wiring that makes your lights flicker, uneven flooring. These may not seem like a big deal now, but just wait until you or your tenant has to live with these harrowing details. You’ll want to tear your hair out!

You’re Not Protected with an Unlicensed Contractor

All licensed contractors in California are required to provide proof of a Surety Bond and General Liability Insurance.

Let’s dive into why these two are so crucial.

Surety Bond

A Surety Bond promises to perform in accordance to its contract obligations. For example, say your general contractor decides they just don’t want to do the job anymore and you’re stuck with a half built ADU.

The Surety Bond ensures that you are protected against the financial risks associated with that person not completing the job. Additionally, a bond can also function to assist you in finding someone else to fulfill the same responsibilities. You can read more about this at Cover Wallet.

Hiring an unlicensed general contractor who doesn’t hold a Surety Bond means they can drop off the face of the earth with almost zero consequences and you’re left scrambling to figure out what to do next.

Unlicensed General Contractor

General Liability Insurance

Accidents happen, and the risks are tenfold at a construction site which is why having an insured general contractor on your team is so important.

Without it, you could be held responsible for any injuries the crew encounters since the incident likely took place on your property. These costs are going to be much higher than how much you saved by going with an unlicensed general contractor.

All of Maxable’s general contractors must provide proof of these two before signing on as our partner. That way we can make the promise to our clients that they are hiring a safe choice. You can learn more about our network of general contractors in a free ADU Planning Phone Call .

How Can You Make Sure Your Contractor is Licensed?

Unlicensed General Contractor

How can you make sure your general contractor is telling the truth about being licensed?

Easy.

Ask them for their HIC (Home Improvement Contractor Registration) number then enter it here for California. All licensed general contractors should have this, so if they’re telling the truth, they should have no problem with handing this over.

Or, you can contact Maxable to get paired with a reputable licensed general contractor that has already gone through our rigorous approval process. We’ve done the legwork for you to create a vast network of highly trained and trustworthy contractors with experience in building ADUs.

Not only are our general contractor’s licensed, but they also have great reviews and track records from previous clients in your area.

It all begins with a free ADU Planning Phone Call with us and we can go through the different options available in your area to make sure you get matched with the right professional for your project.