Hire Smart Step-by-Step

Hiring someone to work on your home or property is a big decision. Each year, the Florida Department of Business and Professional Regulation (DBPR) hears from thousands of homeowners who have been taken advantage of by unlicensed or dishonest individuals. These reports often describe poor workmanship or contractors who take payment and disappear before the work is finished.

The good news is, there are simple steps you can take to protect your home, avoid costly mistakes, and ensure the work is done safely and correctly.

Step One

Start Smart

Planning ahead reduces risk and helps your project run smoothly.

Plan Your Project

Have a clear idea of:

The work you want done
Your budget
Your expected timeline

Clearly communicating your goals helps prevent misunderstandings and unexpected costs.

Get Multiple Bids

Interview several contractors and request written estimates. When comparing bids, keep in mind that a lower price may not equal a better value. Look beyond price and closely review:

Scope of work
Materials and quality
Timeline and completion dates
Warranties
References

Always verify references. If possible:

Ask to see examples of completed work
Speak with past customers
For larger projects such as major remodels or new construction, ask to visit a current or recently completed job.

Taking the time to fully evaluate your options can help you choose a contractor who delivers quality work—not just the lowest price.

Verify Your Contractor

Before hiring, confirm that your contractor is properly licensed and qualified.

Verify their license with DBPR
Review any complaints or disciplinary history

Tip: Florida law requires licensed contractors for many types of work to help protect consumers and ensure work meets applicable standards. Review a list of professions that require a license here.

Watch for Warning Signs

Be cautious if a contractor:

Cannot provide a verifiable license, credentials, or references
Does not include a license number in advertisements or postings (required by Florida law)
Pressures you to act quickly or offers a “special price” only if you sign today
Requests large upfront payments or only accepts cash
Asks you to make payments in their name instead of a registered business
Refuses to provide a written contract or detailed estimate
Asks you to obtain permits or claims they are not needed
Provides only a P.O. box instead of a physical business address
Shows up unsolicited, uses unmarked vehicles, or offers to do work on the spot
Offers unusually long or unrealistic warranties
Provides an offer that sounds too good to be true

If something doesn’t feel right, it’s worth taking a closer look.

If you suspect unlicensed activity or fraud, report it to DBPR online, call 1-888-811-5974, or submit a complaint using the mobile app. Reporting helps protect others in your community.

Step Two

Choose the Right Professional

Once you’ve selected a contractor, make sure everything is clearly documented before work begins.

Get a Written Contract

Be sure you read and understand everything in your contract before signing. For larger projects, you may consider seeking legal advice.

At a minimum, your contract should include:

Total price, including taxes and permit fees
Payment terms and expected completion timeline
Detailed description of the work
Materials to be used
Subcontractors or major suppliers involved
Warranty information
How changes to the project will be handled

Never rely on verbal agreements. Always get everything in writing.

Working with Subcontractors & Suppliers

Your contractor may hire others to complete portions of the work.

Ask who will be working on your project
Keep track of all companies involved
Understand how subcontractors and suppliers will be paid

If subcontractors or suppliers are not paid, they may place a lien on your property—even if you have already paid your contractor. Before final payment, request documentation showing they have been paid.

Learn more about how construction liens can impact you and how to protect yourself.

Understand Permits & Inspections

Permits help ensure work meets building codes and safety standards.

Your contractor is typically responsible for obtaining permits
Do not allow work to begin without required permits
Confirm inspections are scheduled and completed

Work completed without proper permits can lead to delays when selling your home, additional fees, or the need to uncover or redo work to meet code requirements.

Permits protect you—not the contractor.

Reduce Your Risk

Taking a few simple steps can help minimize financial risk:

Structure payments based on completed phases—not fixed dates
Avoid large upfront payments or paying in full before work begins
Make sure payment terms are clearly outlined in your contract
Keep documentation and receipts for all payments
If paying in advance for materials, confirm what will be purchased and request documentation
Hold final payment until all work is complete, required inspections are passed, and you are satisfied with the results
For larger projects, consider additional protections, such as performance bonds, which can provide financial protection if the work is not completed as agreed

Be cautious of contractors who:

Request full payment too early
Insist on cash-only transactions
Ask for payment before work is completed or inspected

Understand Potential Liabilities

Hiring a contractor involves more than just cost—there can be financial and legal risks if things go wrong.

Construction liens
If subcontractors or suppliers are not paid, they may place a lien on your property—even if you have already paid your contractor. A lien can affect your ability to sell or refinance your home until resolved. Learn more about construction liens.

Injuries on the job
If someone is injured while working on your property, you could be financially responsible if proper insurance coverage is not in place.

Property damage
Damage to your home—or even neighboring property—may not be covered unless your contractor has appropriate insurance.

To reduce your risk:

Verify your contractor carries appropriate insurance, such as liability and workers’ compensation, when required
Document payments and who is working on your property
Before making final payment, consider proof that subcontractors and suppliers have been paid

Step Three

Track Progress

Staying involved helps ensure your project stays on track, on time, and within budget.

Inspect Work Progress

Check in regularly to confirm:

Work is progressing as expected
The project matches the contract
Permits have been pulled and inspections have been completed

Keep copies of permits and inspection records.

Pay as Work is Completed

Make payments based on progress—not on a fixed schedule.

Pay only for completed work
Keep receipts and documentation for each payment
Confirm work meets expectations before paying
Consider holding back a portion of payment until the work is completed and you are satisfied

Document Changes

If changes are needed:

Get all changes in writing
Include updated costs and timelines
Avoid verbal agreements

Plan for the Unexpected

Discuss how potential issues—such as delays, cost changes, or cleanup—will be handled before they arise.

Document agreements in writing to avoid confusion later.

Step Four

Close Out with Confidence

Before making your final payment, take a few important steps to protect your investment.

Request Lien Releases

Request lien releases from your contractor, subcontractors, and suppliers before final payment. This helps prevent future claims against your property.

Confirm Work is Complete

Make sure:

All work is finished as agreed
Final inspections are completed
You are satisfied with the results

Keep Your Records

Keep copies of:

Contracts
Permits
Receipts
Warranties

These records are important if issues arise later.

Know What to Do if You Have Problems

If something goes wrong:

Try to resolve the issue directly with the contractor
Document all communications
Report unlicensed activity or suspected fraud to DBPR online, by calling 1-888-811-5974 or by submitting a complaint using our Mobile App.