Is an Independent Contractors license necessary?

Aday · #1 10-13-2003, 01:57 PM

I'd like to know your opinions on whether or not a muralist or decorative (faux) painter needs to have an Independent Contractor's license, plus bonding and insurance? Is it required, or would it be just a good thing to have.

Thanks.

Don

Ruth · #2 10-13-2003, 05:57 PM

Hi Don,
In my town, in order to get a business license, I had to get a specialty contractor's license from the State, and that required bonding. I was told that with the bonding I wouldn't need liability insurance. I do have to prove that I have my own health and accident insurance for some jobs.

If you're going to be professional, you have to play by the book. I know some muralists who don't do all this stuff with licenses and such, but they risk getting caught and paying fines. Not worth it.

It's probably required if you're working in city limits. Check with the city business licensing department and they'll tell you all you need to know.

Ruth

Aday · #3 10-14-2003, 01:28 PM

Hi Ruth,

Wouldn't liability insurance be something to have, so as to protect you against problems? Or does bonding (which I am not clear on) take care of that? The licensing makes sense, if only to have the additional credentials, and to, as you say "play by the book".

Have you found that your clients are concerned with whether or not you are licensed?

Thanks for your response. I appreciate it.

Don

Ruth · #4 10-14-2003, 06:15 PM

You might want to consult someone who is a specialist on that. My understanding is that my bond will help pay for any damage I might do. I would have to repay it to the bonding company, of course. But it makes me be VERY careful.

I think liability insurance is more for people who have a business property which is open to the public, and covers accidental injury to customers. You should ask this in the business forum!

I have the bond because it's affordable and liability insurance isn't.

I have never been asked whether I have a license or not. I have "Licensed and Bonded" printed on my business card, but I don't know that it makes any difference to clients. It does make a difference to city hall. I have been asked whether I have health and accident insurance.

Ruth

Aday · #5 10-15-2003, 12:40 PM

So far, I've found that liability ins. is required for Independent Contractors here, but that may be for the painters, construction people etc. I'll dig deeper concerning requirements for Muralists. I suspect a license and bonding will be enough, and as you say, it's more affordable. And while it's probably not necessary, really, it does protect you and your clients.

Thanks again for your reply. Always helpful!

Don

pinkbubelz · #6 10-15-2003, 04:12 PM

I'd love to hear what you find out...
It never occured to me to check any of that out.... However, I'm lucky, my dad is an architect and if i needed to, I could probably work as an "employee" from his company.

Aday · #7 10-16-2003, 05:08 PM

According to the licensing board here in Oregon, a muralist does not need a license, bonding or insurance.

Installations of murals, such as on canvas, wood, or other materials that need to be put onto a wall do require a licensed, bonded and ins. contractor to do the installation. So a muralist, in that instance, can paint the mural and either arrange the installation of it, or have the client make those arrangements.

Pinkbubelz, the requirements may be different in your state. It's worth checking into.

Don

AutumnElayne · #8 10-17-2003, 03:40 PM

What happens if you tip a quart of paint over on a clients brand new carpet? Well hopefully you have plastic over it, but if it runs down a crack, then what? YOU are stuck paying for it if you don't have liability insurance. You can get it through many carriers, or through a SALI membership for $300-$400 a year on average for a 1 million dollar policy. The licensing and bonding doesn't apply to my state, so I have no clue about what that invovles.

Zulim Bowers Designs · #9 10-18-2003, 07:06 PM

Hi everyone-

I live in California and we have strict rules on this. First I would suggest everyone contact their state and local offices to find out as to what applies to you, according to where you live. Here if you make over $500.00 per project (when painting directly onto someone's walls) you must have a contractor's license and in order to get this you must purchase a bond. I do 99% of my murals on canvas, so I don't have this contractor's license now. Also when applying the canvas to the wall (pasting) a professional wallpaper hanger who is a licensed contractor and bonded must do this.
As far as liability Insurance, I do carry this because I do other work (smaller projects and consultations) and consider it a safeguard just in case! I also have joined SALI, pay $300.00 a year for my million dollar policy. I also used this policy this year to cover a home show I displayed in. I called the agent and he wrote the policy to cover the show as an additional insured for that time period. Best advice-check your state and city gov!

Marsha

FauxFillingDreams · #10 10-24-2003, 01:20 AM

I checked into this also, for AZ. You are required to have it here but there is a weird ketch 22. You can't get the license you need in order to get bonded and insured unless you have a) been working at the profession on a full time basis for 4 yrs, or b) have schooling in the profession and worked at it on a full time basis for 2 yrs.

If you do not have the license you can't take jobs that are more than $750 per project. That sort of caps your income!! (people get around it by splitting the job into phases and billing incrementally).

The other pain is that if you advertise and you are not yet licensed you have to put in your ad, the words "Not a licensed contractor". Kind of a put-off for clients who might not otherwise have even considered it, for a muralist.

Anyway...just a little bureaucracy for ya!

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