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Concrete Contractors: How To Earn Your License In Oklahoma
For general contractors, the state of Oklahoma doesn’t regulate the licensing process. However, you will need to learn more about the requirements issued by your local county and municipal agencies to begin providing services as a concrete contractor. We also want to mention that you will need to apply for a business license, which will also require you to sign up for insurance coverage. Here is what you can expect when beginning your journey as a concrete contractor.
General
Licensing Requirements
The Oklahoma Department of Commerce regards a contractor as who provides services for “commercial or residential buildings, roads, bridges and highways, installation of residential and municipal utilities, industrial and oil field installations and other various projects.” If you fall into the category that the state defines as a general contractor, then you are exempt from the licensing process. The Oklahoma Construction Industries Board only gets involved when it comes to specialty trades.
The Difference Between
General Contractors And Specialty Contractors
As we already mentioned, the state doesn’t require licensure for general contractors. However, you still need a few things before you can get your business up and running. First, we want to discuss what
Oklahoma classifies as general and specialty contracting. Undergoing ordinary handyman projects won’t require you to have a license, such as drywall, painting, and house framing. The state does consider plumbing, electrical, HVAC, and roofing to be specialty skills.
Now, we want to discuss insurance. General contractors don’t need to have general liability insurance since the state doesn’t regulate the licensing process. However, accidents, injuries and damages are bound to happen, and you will need all the legal and financial protection you can get. Having business insurance is ultimately going to benefit you and here’s why:
- You will attract more clients. People are much more likely to do business with you knowing that you possess all the proper insurance.
- You will avoid any major financial penalties that could result in bankruptcy.
- You will have certain financial protections in place so that you can easily replace any faulty or broken equipment, such as tools or vehicles.
An injury can happen at any time no matter how much experience you and your crew have. Property damage is also a potential liability that can have a devastating effect on your business if you don’t possess insurance coverage. We strongly recommend that you shop around and ask for quotes from providers so that you can find an insurance policy that is affordable and meets all of your needs.
You should also consider purchasing workers’ compensation insurance and surety bonds. As a concrete contractor, your reputation is everything. Clients will take pride in doing business with you knowing that you are going the extra mile to protect your employees and business.
Surety bonds will come in handy in situations when you are unable to complete a project. The client will try to obtain compensation through legal means if you can’t get the job done for some reason. However, your surety bond will cover you and pay off those obligations. Surety bonds come in a wide range of prices.
Business
Licensek And Registration
Not all businesses are required to have a license. However, general contractors will need to register their business with the Oklahoma Department of Commerce to fulfill licensing and operating requirements. The Department offers online resources that help guide you through the registration process.
You will also need to determine the structure of your business prior to registration. You may need to register with the Oklahoma Secretary of State’s office depending on the size of your company. You can access an online step-by-step guide that will instruct you on how to register and start your business in the state of Oklahoma.
The state will require you to register for a tax identification number(s) for the purpose of tax withholding, sales and use tax (seller’s permit), and unemployment insurance tax. The Oklahoma Tax Commission provides information on its website that explains the process of obtaining a tax identification number.
Non-Resident
Contractors
Concrete contractors generally have it pretty easy when it comes to setting up their business in the state of Oklahoma. That being said, the process is a little different for non-residents. Before providing services, non-resident contractors will need to register with the Oklahoma Tax Commission. They will also need to obtain an Employer Identification Number and have surety bonds to operate in the state of Oklahoma.
Conclusion
Getting your business up and running is never a simple task. You will encounter certain obstacles and hurdles along the way. However, the state of Oklahoma makes the process super simple and easy to navigate. If you have any questions, you can always contact the Oklahoma Department of Commerce or the Construction Industry Board to learn more about licensing requirements. It won’t be long until you are providing concrete repairs and installations for your clients!
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