Ten tips for finding, hiring, and working with contractors on the level

Plan Your Project Carefully Accurate plans or drawings will enable contractors to correctly determine the scope of the work and costs. Determine what type of contractor you will need.

Shop Around Get at least three written bids from contractors licensed by the Contractors State License Board. Be sure each bid includes the contractor's license number. Beware of a bid substantially lower than the others; it may indicate that a contractor has made a mistake or is not including all of the work quoted by the competitors.

Check the Contractor's License Ask contractors for their pocket card, license number, and trade classifications. Then check their standing with the Contractors State License Board before you sign a contract or allow work to begin.

Check the Contractor's References Ask a prospective contractor for references in writing. Call previous customers and ask if they were satisfied with the work, or visit references and examine work the contractor has completed.

Hire a Licensed Contractor Licensed contractors are subject to laws designed to protect both you and your project, and the Contractors State License Board can assist you with most difficulties involving licensed contractors. Remember: Unlicensed contracting is a crime!

Get Everything in Writing No work or materials should be performed or furnished without your prior written authorization. Make all changes in writing, signed by you and the contractor, and retain one signed copy.

Understand the Contract Everything you and your contractor have agreed to must be included in your contract. Anything you sign may become a contract, so don't sign any document until you completely understand what you are signing and agree to all the terms. Don't let anyone rush you.

Inspect the Work Make frequent inspections of your project, including a final walk-through.

Pay Directly and Correctly Pay by check, directly to the contractor only -- never pay employees or salesmen.

Know Your Warranty Many contracts provide warranty language that states when the warranty period begins, the length of the warranty period, the warranty coverage, and the exclusions under the warranty. Ask your contractor if he or she has a warranty policy. If so, ask for a copy in writing and make sure that you clearly understand the warranty language.