Good contractors answer these questions easily. Evasive answers to any of them are the cheapest warning you will ever receive.
Credentials: the first four questions
Ask for the contractor’s license number and verify it yourself through your state or local licensing board, which takes minutes online. Ask for certificates of general liability insurance and workers compensation, and confirm them by calling the insurer listed; uninsured workers injured on your property can become your financial problem.
Ask how long the business has operated under its current name, since problem contractors sometimes reincarnate under fresh names, and ask for three recent local references you may actually call. When you call, ask references one revealing question: would you hire them again?
Money: the questions that prevent the worst outcomes
Ask for the payment schedule in writing, tied to milestones: a modest deposit, payments as defined stages complete, and a meaningful final payment held until the punch list is done. The FTC and state consumer agencies consistently warn against contractors demanding large upfront payments or cash only, and several states cap deposits by law.
Ask who pulls the permits. The correct answer is the contractor, under their license. A contractor asking you to pull an owner permit for their work is shifting liability onto you, and it is a classic red flag.
Scope and schedule: the questions that prevent disputes
Ask for a written scope that lists materials by brand and grade, what is included and excluded, who handles demolition and disposal, and how change orders are priced and approved in writing before extra work begins. Vague scopes are where budgets die; every my price went up story starts with a handshake scope.
Ask for a realistic start date, an estimated duration, and what happens when either slips. Ask who will actually be on site daily, the contractor or subcontractors, and who supervises the subs. Ask about warranty terms for both labor and materials, in writing.
Red flags that end the conversation
Walk away from anyone who solicits door to door after a storm, pressures you to sign today for a special price, cannot produce verifiable license and insurance, demands cash or full payment up front, or discourages permits for work that plainly requires them. Each of these patterns appears repeatedly in consumer protection actions.
Get at least three bids for significant work, and be curious about the lowest one. A bid far below the others is usually missing scope you will pay for later. The goal is not the cheapest signature; it is the completed project at the agreed price.
Frequently asked questions
Should small jobs get a written contract too?
Yes. A one-page agreement covering scope, price, and timing protects both sides on any job worth hiring out. Professionals do not resist paper; they prefer it.
What is a reasonable deposit?
Common guidance runs from ten percent to a third depending on state law and whether custom materials must be ordered. Large upfront demands beyond material needs are a warning.
What if problems appear after final payment?
This is what the written warranty and the held final payment are for. Document issues in writing promptly; licensed contractors also answer to the licensing board and, for permitted work, to the inspector.
