Handyman Business Permit Requirements in Los Angeles, CA

1. EIN (Employer Identification Number)

   Required if you have employees or operate as an LLC/corporation. Free from the IRS.

   Official government source

   Free·Immediate (online application)

   Free

   Immediate (online application)

1. California CSLB Contractor License (Required for projects over $1,000)

   Under BPC §7048 (as amended, AB 2622), work under $1,000 total (labor + materials) is exempt from CSLB licensing ONLY if it needs no building permit, you employ no one on the job, and you don't advertise as a contractor. Anything else requires a CSLB license (commonly Class B). Application $450 + initial license $200 (sole owner)/$350 (non-sole); 4 years journey-level experience; $25,000 contractor bond. Workers' comp is required if you have employees (and for C-8/C-20/C-22/C-39/D-49 even without employees); other sole owners may currently file a no-employee exemption.

   Official government source

   $650 initial fees (sole owner) + $25,000 bond (premium ~$100–$400/yr) + workers' comp if employees·3–6 months (application, exam, background check)

   $650 initial fees (sole owner) + $25,000 bond (premium ~$100–$400/yr) + workers' comp if employees

   3–6 months (application, exam, background check)

2. California Seller's Permit (if selling materials)

   Required if you sell materials (lumber, fixtures, parts) to customers as part of your work. Apply free through the California Department of Tax and Fee Administration.

   Official government source

   Free·1–3 weeks

   Free

   1–3 weeks

1. Los Angeles Business Tax Registration Certificate

   All businesses operating in Los Angeles — including home-based handyman businesses — must register with the Office of Finance and pay an annual Business Tax. For contractors and handymen, the tax is based on gross receipts. Most small contractors fall under the 'contractors' category at $4.50 per $1,000 of gross receipts (minimum ~$153/year).

   Official government source

   $0 to register; Contractors class tax: $153.00 on the first $60,000 of gross receipts + $1.01 per $1,000 above $60,000 ($0 if worldwide gross receipts are $100,000 or less and renewal filed on time)·1–2 weeks (online registration)

   $0 to register; Contractors class tax: $153.00 on the first $60,000 of gross receipts + $1.01 per $1,000 above $60,000 ($0 if worldwide gross receipts are $100,000 or less and renewal filed on time)

   1–2 weeks (online registration)

Official Sources

• California Contractors State License Board (CSLB)
• CSLB — All Fees
• City of Los Angeles — Office of Finance, Business Tax
• California CDTFA — Seller's Permit

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