Permit expediters do real, legitimate work. They know the building departments, file the paperwork and chase approvals for licensed contractors and owners. The problem is a small slice of them who hold a contractor license, or work with someone who does, and rent it to companies that don't have one. For the homeowner, nothing looks wrong until something goes wrong.
How it works
The rented license, step by step
The company has no license
It advertises as licensed anyway, sometimes with a license number that isn't theirs, or with no number at all.
It hires a license holder for the permit
A licensed contractor or an expediter with access to one agrees to pull the permit under their license, for a fee.
The permit gets issued
The building department sees a valid license and issues the permit. Inspections can pass. On paper, the job looks legal.
Nobody licensed is running the job
The license holder never supervises the work, never visits the site and isn't the company you're paying.
Why the price isn't really lower
Where the license fee shows up
It's built into your price
The license holder charges for the use of their license, per permit or per job. That money comes from the job, which means it comes from you.
It can look like a normal line item
It may show up as "permit fees," "expediting" or "administration," which sounds reasonable. Real permit fees are set by the city and are on the permit itself. Compare them.
Add it up before comparing
A quote that starts lower and then adds expediting, permit handling and "admin" charges can end up costing more than a licensed contractor's all-in price, while giving you less protection.
No safety net
Florida's Homeowners' Construction Recovery Fund only helps when the contractor held a valid license. A company working off someone else's license isn't one.
The law
What Florida law says about renting a license
| Item | What the law says | What it means for you |
|---|---|---|
| The unlicensed company | Acting as a contractor without a license, or presenting someone else's license as your own, is a crime under section 489.127. A first offense is a first-degree misdemeanor, and a repeat offense or one during a declared emergency is a third-degree felony. | The company you're paying is committing a crime on your job. |
| The license holder | Letting an unlicensed company use your license is grounds for discipline under section 489.129, with fines up to $10,000 per violation. A contractor also can't pull a permit for a property unless they have a contract for that work. | The person whose name is on your permit is risking their license, so don't expect them to step in if the job goes bad. |
| The customer | Chapter 489 doesn't penalize the customer for hiring. Florida's general criminal law does treat anyone who knowingly helps or hires someone to commit a crime as a principal. | If you were misled, you're not the target. But knowingly going along with a rented license isn't risk free, and it leaves you with no real recourse. |
This is a plain-language summary of sections 489.127, 489.129 and 777.011, Florida Statutes, not legal advice.
Protect yourself
How to check a contractor in five minutes
Don't trust the website or the ad
"Licensed and insured" on a website, a truck or a social media ad proves nothing. Anyone can type it.
Look it up on DBPR yourself
Search the license number and the company name at myfloridalicense.com. Make sure the license is current and active.
Match the name exactly
The business the license qualifies has to be the same company on your quote, contract and invoice. A license that belongs to a different company is a red flag, even if it's real.
Check who pulled the permit
Your building department can tell you which contractor is on the permit for your address. It should be the company you hired.
Ask to speak with the license holder
The qualifier is legally responsible for supervising the work. A real company will put them on the phone.
Related
Keep reading
Common questions
Frequently asked questions
Is it legal to rent a contractor license in Florida?
No. Using someone else's license is a crime for the unlicensed company under section 489.127, and letting your license be used is grounds for discipline and fines of up to $10,000 per violation under section 489.129.
Can a permit expediter pull a permit under their license for my contractor?
Expediters can legally handle paperwork for licensed contractors and owners. What's not legal is a license holder pulling a permit for a job they haven't contracted for and won't run, so an unlicensed company can do the work.
Can I get in trouble for hiring a contractor who rented a license?
Florida's contractor law targets the unlicensed company and the license holder, not the customer. Florida's general criminal law does treat anyone who knowingly helps or hires someone to commit a crime as a principal, so knowingly going along with it isn't risk free. The more certain cost is losing your protections if the job goes wrong.
How do I check if a contractor is really licensed in Florida?
Search the license number and the company name at myfloridalicense.com, confirm it's active, and make sure the business it qualifies is the same company on your contract. Then check with the building department that the same company pulled your permit.
Why would a rented-license company charge an expediting fee?
Because the license holder charges them to use the license, and that cost gets passed to you. It may be labeled as permit, expediting or administration fees.
This article is general information, not legal advice. It summarizes sections 489.127, 489.129, 489.141 and 777.011, Florida Statutes, as of October 2026. If you're in a dispute with a contractor, talk to a Florida construction attorney. You can report unlicensed activity to DBPR at ula.myfloridalicense.com.