When a contractor is licensed as a sole proprietor, to whom does the license belong?

Study for the Limited Specialty Contractor License (C-61) Exam. Prepare with flashcards and multiple-choice questions that include hints and explanations to boost your confidence. Get ready for your licensing exam!

In the case of a sole proprietorship, the contractor's license is issued to the individual contractor rather than a separate business entity. This means that the license is personally tied to the individual who holds it, giving them the right to operate as a contractor under that license.

A sole proprietorship does not create a separate legal entity; thus, the license cannot belong to a company, partnership, or Limited Liability Company, as these would involve different legal structures. The sole proprietor is personally responsible for all aspects of the business, including liabilities and obligations. Therefore, the correct understanding is that the license belongs to the individual contractor, affirming that the contractor operates as an independent entity.

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