California has the largest landscaping market of any US state, yet it also has some of the strictest requirements for landscaping businesses. If you want to start a landscaping business in California, this guide explores everything you need to get the right licenses and permits.

That includes a state-issued business license and a C-27 landscaping license to avoid fines and stay compliant. You’ll also need:

• Specialized licenses for services such as pest control

• General liability insurance and workers’ compensation

• A $25,000 contractor’s bond

• Local permits for tree removal, irrigation, etc.

Below is a step-by-step walkthrough of how to get them, including some common mistakes to avoid and how to keep on top of all the paperwork.

Do you need a license to start a landscaping business in California?

Many states don’t require contractor licenses, but California’s C-27 landscaping business license is legally required for any landscape work worth over $500 in labor and materials. Operating without it can lead to fines of up to $5,000.

You must also register your business with the state and possibly the city or county. 

For example, in San Francisco, landscapers need both a San Francisco Business Registration Certificate and a Contractor Registration in addition to their state registration.

Finally, you might need permits to perform specific services, such as pest control or electrical work.

What are the types of landscaping business licenses and permits in California?

Below is a more detailed breakdown of the licenses and permits you’ll need to operate a landscaping business at the state and local levels.

General business license

All businesses must be registered with the California Secretary of State and have a federal EIN for tax purposes.

Your city or county might require a separate local business license, but this requirement varies by location. Both types of business licenses come with annual fees ranging from $50 to over $800.

Landscaping contractor license

California’s C-27 landscaping contractor license is issued by the Contractors State License Board (CSLB) and needs to be renewed every two years.

It requires:

• A Social Security or Individual Taxpayer Identification Number

• Four years of journeyman-level experience

• A professional reference

• A $25,000 contractor’s bond (or a $100,000 bond for an LLC)

To get the license, you’ll need to pay application fees and pass both a Law and Business Exam and a Landscaping Exam.

Specialized licenses

Some services need specialized licenses issued by the state. For example, you may need a license for pest control, tree removal, or concrete work:

• Maintenance Gardner Pest Control for pesticide application

• C-8 Concrete Contractor for concrete work

• C-10 Electrical Contractor for electrical work

• C-49 Tree and Palm Contractors’ License for major tree removal work

Each license requires a separate exam related to the service, in addition to continuing education. 

Permits and local regulations

California has strict environmental laws, meaning landscaping projects are more regulated than in most other states. 

All projects will need to comply with:

• Equipment operation hours and decibel limits 

• Permits for significant tree removal

• Restrictions on gas-powered equipment

Larger projects may need to comply with regulations like the Model Water Efficient Landscape Ordinance (MWELO), which establishes water efficiency standards for new landscapes over 500 square feet and landscape renovations that cover over 2,500 square feet.

These are only a few common examples, so it's a good idea to do more thorough research on the permits that may apply to your business.

Step-by-step process to get a landscaping business license in California

Landscapers in California will need to maintain more licenses and paperwork than in other states. Below is a step-by-step process for ensuring all your licenses are in order.

If you’re just starting a landscaping business, choosing your business structure will be the first step.

1. Choose your business structure

First, you’ll need to decide on the legal structure of your business. This will affect how much you pay in taxes, your personal liability, and the paperwork required.

While many solo landscapers opt for a sole proprietorship, LLCs offer more protection for your liability. Mid-size businesses expanding into California may opt to set up a corporation, which is more complex but more scalable.

2. Register your business name

Check if your business name is available through the CA Secretary of State’s database, then register it online. If you’ll use a name different from your legal business name, file a DBA (‘Doing Business As’) with the state.

Some cities and counties may also have name registration requirements, including DBAs.

3. Obtain an EIN

An Employer Identification Number (EIN) is essential for tax purposes and opening a business bank account, even if you don’t plan on hiring employees.

You can apply for free via the IRS website, phone, or email. You’ll also need to register your business name with the CA Taxation and Revenue Department if you’ll be collecting sales tax.

4. Apply for California’s C-27 license

California’s C-27 license is a statewide requirement for all landscaping businesses or independent contractors. To qualify, you need to:

• Be 18 or older

• Have four years of (verifiable) journeyman-level landscaping experience

When you apply, there are two exams you’ll need to take: a Law and Business Exam and a Landscaping Exam.

5. Apply for necessary permits and certifications

Apply for your Maintenance Gardener Pest Control license if you use pesticides on residential jobs, or a Qualified Applicator License for commercial pesticide use.

You may also need a state C-8 (concrete), C-10 (electrical), or C-49 (tree service) designation. Tree removal and irrigation work might need additional city or county permits.

6. Get business insurance and bonds

To qualify for your C-27 license, you’ll need a $25,000 surety bond as a sole proprietor or a $100,000 bond as an LLC.

Legal insurance requirements include:

• General liability for LLCs

• Workers’ compensation

Commercial auto insurance and other types of landscaping business insurance are advisable even if they’re not technically a legal requirement.

If you don’t have employees, you can file a Workers’ Compensation Insurance Exemption form to stay compliant. 

7. Pay fees and submit final documentation

Once you pass the C-27 exams, you’ll get a bond and fee notification form at the testing site. Submit your bond documentation, proof of insurance, and any other paperwork required to obtain your license.

You’ll also need to pay the $200 license activation fee on top of the initial application fee.

8. Renew and maintain compliance

At this point, you’ll have all your licenses in order; the final step is maintaining them. 

State licenses such as C-27 need to be renewed every two years, while city business licenses and insurance need to be renewed annually.

Part of maintaining compliance is budgeting for renewal fees, which can add up if you have multiple licenses.

How much does a California landscaping business license cost?

Budgeting for business license and permit fees in advance can help you stay compliant, as they tend to add up.

General business license fees

General business licenses can range from $150 to $900 or more:

• $70-$100+ to register an LLC or corporation with the state

• $800 minimum annual franchise tax for LLCs

• $50-$500 for local business licenses

Specialized license fees

California’s C-27 license costs $750-$900, depending on your business ownership structure:

• $450 application fee

• $200-$350 license fee

• $100 in exam fees

Additional licenses and certifications, like C-8 for concrete, will follow this same fee structure. 

Insurance costs

Annual premiums generally range from $400 to $1,500, depending on your purchase coverage.

The surety bond required by your C-27 license will cost $150 to $750 annually, depending on whether you’re a sole proprietorship or LLC.

Overall, expect your first-year costs to range from $1,000-$3,000 for business licenses alone.

What are the most common mistakes to avoid when getting a license?

California’s state regulations can create hurdles for new landscaping companies, but overlooking requirements can lead to fines, delays, and legal issues.

Below are some of the most common mistakes landscaping business owners make with state licenses.

1. Skipping state-specific requirements

Many states don’t require statewide contractor licenses, so it can be easy for new landscapers to overlook their C-27 license.

However, business owners caught contracting without a C-27 license can face misdemeanor charges, which carry a potential sentence of up to six months in jail and/or a $5,000 fine.

Many other statewide requirements have penalties such as license suspension and fines. Check both state and local government requirements for any licenses or permits you may need to start work.

2. Not getting the right insurance or bonding

You need a surety bond to get the C-27 license, and if it lapses, your C-27 license will also be inactive.

Independent contractors may fail to meet workers’ compensation requirements. The law requires active documentation, whether you have employees or not, so you need to formally opt out.

Finally, foregoing general liability insurance can prevent you from bidding on most commercial contracts. You’ll also be held personally liable for any property damage or injuries on the job.

3. Failing to renew on time

Most state licenses in California, including the C-27 license, must be renewed every two years. Insurance and registrations must be renewed annually.

Failing to renew licenses, insurance, and registrations can result in:

• Personal liability for accidents and property damage on the job.

• Difficulty renewing later, since you may need to reapply for some licenses or pay late fees.

• Fines and penalties, including criminal penalties for operating without licenses.

You can avoid these consequences by staying organized and tracking all business documentation—and the right software can make it much easier.

How Aspire helps landscaping businesses stay organized and compliant

Aspire's landscape business software enables you to manage your entire business in one place, including compliance and business documentation.

Contract and proposal management

Aspire’s estimating software lets you create estimates and proposals with all the relevant documentation attached.

• Create service agreements with detailed site plans to meet local business regulations.

Track contract values with Aspire’s reporting software to ensure proper licensing compliance.

Invoicing and payment processing

With Aspire’s invoicing assistant, you can automate billing for all your projects, freeing up time for compliance:

• Easily separate taxable materials from non-taxable labor per California state law.

• Maintain financial records that comply with California’s tax regulations.

• Track payments and outstanding invoices to improve cash flow.

Pesticide and irrigation compliance tracking

Aspire lets you track employee performance and progress on the job site to spot compliance issues before they occur:

• Monitor employee training records required under California pesticide regulations with the Aspire Mobile app.

• Use real-time communication tools to supervise pesticide applications.

• Create an instant audit trail of licensed supervisors overseeing employee work.

Business reporting and documentation

Your licenses, registrations, and permits may need supporting documentation—which you can manage in one place with Aspire:

• Track expenses, revenue, and job costs in real time with Aspire’s reporting software. 

• Maintain required documentation for workers’ compensation, insurance records, and more.

• See centralized reports and records for multiple franchise locations.

Scheduling and job management

Finally, Aspire’s scheduling and job management features help you stay on top of your jobs and keep them compliant:

• Convert signed contracts into work tickets so employees can easily see all project and compliance requirements, including special permits.

• Assign jobs to crews with proper certifications based on California licensing requirements.

• Schedule work within local noise ordinance hours and equipment-operation restrictions.

With streamlined business management tools that put all the right information at your fingertips, you’ll be well-positioned to manage all your licenses and permits more effectively.

Over to you

In California, getting a C-27 landscaping license is a must to stay scalable. California’s strict compliance legislation can be a hurdle for some landscapers, but you can clear it easily with the right software.

Aspire’s all-in-one landscape business tools keep your project and business documentation in one place for easier management and renewals—along with seamless estimating, scheduling, invoicing, and reporting tools that keep projects on track and on budget.

Ready to see Aspire in action? Book a demo today to make your landscaping business more scalable and efficient, no matter what state you’re in.

Disclaimer

This article is for informational purposes only and should not be considered legal advice. Always check California state websites for current regulations and fees.