Before you sign a contract for a backyard cottage, it pays to confirm that the builder meets state requirements. Washington contractor verification takes only a few minutes online, yet it can reveal problems that a friendly meeting will not. This guide walks through the main checks in general terms. Along the way, it points you to current state resources rather than repeating details that may change.

It covers registration, bonds, insurance, workers comp, business names, subcontractors and warning signs. It does not give legal advice or rate any company. Instead, it shows you where to look and what to ask.

Why Washington Contractor Verification Starts With Registration

Washington law requires contractors to register with the state. Under RCW 18.27.020, every contractor shall register with the Department of Labor and Industries. The same section makes it a gross misdemeanor to advertise, bid or perform work as a contractor without registering.

L&I says that hiring a registered contractor does not guarantee that problems will not happen. Still, it may give you protections that are not available otherwise. So registration is the first item on any checklist. A registration that has lapsed, or one under a different name, is a reason to pause and ask questions.

Using the State Lookup for Washington Contractor Verification

The L&I Verify a Contractor, Tradesperson or Business tool is the main resource. According to L&I, it lets you check whether a contractor has an active registration and a valid bond and insurance. You can also look for safety or construction citations and lawsuits against the contractor’s bond.

Search by registration number when you can, since many business names look alike. L&I notes that you can find the number in a contractor’s ads and on your written bid. In fact, the law requires the number in all advertisements, including business cards and internet ads.

Bonds and Insurance

State law also requires each contractor to file a surety bond and carry insurance at registration, under RCW 18.27.040 and RCW 18.27.050. The lookup tool shows whether these are current. However, the law sets those amounts, and they cover all of a contractor’s work rather than your job alone.

In fact, the disclosure statement required under RCW 18.27.114 warns that the bond or deposit might not be enough to cover a claim from your contract. Our guide to DADU contract pricing explains how payment terms can help manage risk. For specific protection questions, talk with an attorney or your insurance agent.

Workers Comp and Safety Records

L&I says that contractors who have workers or employees on your site must have an active and up to date workers comp account. You can check that coverage in the same Verify tool. L&I also warns that you could face financial risk if someone gets hurt on your project and you did not verify coverage.

Owner operators and sole proprietors without employees do not need a workers comp account, according to L&I. So ask who will work on your site and check each business that will send workers.

Matching Names and Business Records

The name on the bid, the contract and the registration should match. If they differ, ask why before you sign. Sometimes there is a simple reason, such as a recent name change, but you should hear it directly. Meanwhile, the Washington Secretary of State offers a corporations search where you can confirm a business entity and its status.

Payment details matter too. L&I lists a request to pay in a personal name rather than the business name among its warning signs. Therefore, make checks or transfers out to the registered business.

Checking Subcontractors and Trades

Most backyard cottages involve several trades, such as electrical, plumbing and mechanical work. The Verify tool also lets you look up subcontractors and tradespeople. So ask your general contractor for a list of the companies and suppliers they plan to use, as L&I suggests.

Permits and inspections add another layer of review. Our post on DADU permit requirements explains which permits a project may need, and our guide to DADU building inspections covers the city’s role during construction.

Warning Signs to Watch For

L&I lists several warning signs of a contracting scam. They include a contractor who asks for large deposits or full payment up front, offers no written contract or complete bid, or asks you to get the building permit. Exceptionally long warranties, high pressure offers that end today and credentials or references you cannot verify also appear on that list.

None of these signs proves wrongdoing on its own. Even so, each one deserves a careful question and a clear answer before you move forward. L&I also offers a way to report suspected fraud if you run into it.

Making Washington Contractor Verification a Habit

Run your Washington contractor verification before you sign, and check again before major payments. Status can change during a long project, so a second look is a simple safeguard. Save a screenshot or printout of each search for your records. That way, you have a dated record if questions come up later.

Finally, combine these checks with references, past work and a clear written contract. Together, they give you a fuller picture than any single source. With a few careful steps, Washington contractor verification can protect your project and your peace of mind.