How to Hire a Licensed Contractor in Canada
What licensing actually means in Canada's decentralized system, and the real questions to ask before signing.
Published
2 min read / Sep 17, 2026 / Kateryna Veselova
Contractor licensing in Canada is provincial, not national, and it is not uniform. Some provinces require licensing for specific trades (electrical and gas work are almost universally licensed and inspected), while general contracting itself may not require a province-wide license at all -- municipalities may instead require a local business license. This means 'licensed contractor' can mean different things depending on where the work is happening.
Regardless of licensing requirements, there are concrete things worth verifying before signing: current liability insurance (ask for a certificate naming you as an additional insured for the project duration), WorkSafe/WSIB clearance (a certificate confirms the contractor's workers are covered, which protects you from liability if someone is injured on your property), and, for any electrical, gas, or structural work, confirmation that the specific tradesperson doing that work holds the applicable trade certification, not just that the general contractor is reputable.
Ask for a copy of the contract before any deposit changes hands, and read the payment schedule carefully -- payments tied to completed, inspectable milestones are safer than large upfront deposits. Get references from projects completed in the last 12 months, not just older flagship projects, and if possible visit a job in progress to see how the site is actually run.
Finally, confirm who is pulling the permit. If the contractor is not pulling the permit under their own name, find out why -- it can be a sign the contractor is not confident the work will pass inspection.