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In Maryland, a contractor license is required if you wish to work on home improvement projects or do electrical, plumbing, or HVACR work. Below is a quick guide covering everything you need to know to become a licensed contractor in Maryland.
Maryland requires contractors to purchase the Home Improvement Contractor Bond as part of the application process to obtain a home improvement contractor license. The bond ensures that the public will receive compensation for financial harm if the contractor fails to comply with the licensing law.
Generally, a standard down payment is between 10% and 25% of the project cost. You might see up to 30% for smaller jobs, such as paying professional house painters. Those dealing with more in-depth and costly projects, like general contractor down payments, tend to be closer to the 10% price range.
Maryland requires contractors to purchase the Home Improvement Contractor Bond as part of the application process to obtain a home improvement contractor license. The bond ensures that the public will receive compensation for financial harm if the contractor fails to comply with the licensing law.
What are the requirements to have a general contractor license in Maryland? Two years of experience. Pass a licensing examination. Meet financial guidelines (have more assets than debt) or purchase a surety bond of at least $20,000. Pass a credit check. Have a Certificate of Good Standing (if you represent a corporation)
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In the state of Maryland, it is actually illegal for unlicensed contractors to perform work on homes. Thats right, hiring a unlicensed contractor is a crime.
It is a crime in this state for any person to engage in or transact any home improvement business, or hold himself out to the public as doing home improvement business, unless he/she is licensed by the Maryland Home Improvement Commission (MHIC).
In Maryland, a contractor license is required if you wish to work on home improvement projects or do electrical, plumbing, or HVACR work. Below is a quick guide covering everything you need to know to become a licensed contractor in Maryland.
So, depending on materials, you may be looking at a range of a 10-30% deposit for a project that is more labour than material cost.
From a practical standpoint, any subcontractor performing residential construction work in Maryland should have a MHIC license; however, if the subcontractors does not have one, it may not fully preclude them from obtaining payment from the general contractor.

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