Contractors need to put a lot of time, effort and money to obtain a license, including getting proper insurance and surety bonds. Licensed contractors have more expenses and therefore tend to be more expensive.
Should I go with the Cheap / Unlicensed Contractor? NO!!
Here are some reasons why:
1) Licensed contractors want to be legit and increases the likelihood that won’t cut corners on your project.
2) If the contractor doesn’t live up to their end of the bargain, you can report the contractor and they could lose their license (and livelihood).
3) A licensed contractor is required by law to have workman’s compensation insurance (on themselves and their employees).
4) Hiring unlicensed contractors may void any warranties on the products they install.
See link to full article:
https://www.biggerpockets.com/renewsblog/unlicensed-contractors/
