How to Be a General Contractor
A general contractor must have a license in order to conduct business. The licensing requirements vary depending on the state where the contractor works. Contacting a local business licensing department is the best way to find out all of the requirements that are necessary in order for the contractor to start work.
- Apply for a business license once you have your contractor’s licensing in place. Choose a name for your business and set up a business account at a local bank. Decide whether to operate out of your house or to rent some space in a local commercial building. If you need financing for things such as a van or work tools, apply for a loan with a bank so you have everything that you need to begin work.
- Call an accountant to decide the best way to structure your company for tax purposes. You will also need to contact an insurance agent to purchase coverage. Meet with the agent to decide which type of policy will best protect you once you start to work as a contractor.
- Advertise your services in the newspaper and Yellow Pages directory. Draw up a simple text-only ad for each source to save money. Call to find out the cost and decide the best type of ad to use.
- Develop relationships to help you find work as a general contractor. Call realtors, home builders and other entities that are in the home business. Pass out some business cards so your contact information is always available.
- Meet with anyone who shows an interest in your services to try and line up some work. Offer a discount to help you grow your contracting business. You will make new contacts at a home site once you start to work on a new job with carpenters and other workers who may be able to provide with some work in the future.