CSLB Licensing

June 18, 2024

by a searcher in San Francisco, CA, USA

I'm pursuing an acquisition in CA that requires CSLB license. Curious if anyone on here has gone through a transaction with that requirement and to see what your SBA lender allowed.

In this case, we're doing a stock sale so the company license transfers. I do not have the technical background to be the qualifying employee immediately. I'll need to find a path for the owner to retain the RMO or to have an employee take on the RME. Hoping someone can share how they navigated. Keeping anon but if someone posts below I can reach out directly. Thanks!

Reply by a professional
from University of Notre Dame in New York, NY, USA

CSLB licenses get cancelled upon a change of control, so you may have to be more creative with your deal structure. As you stated, you’ll need an RMO or RME to qualify your new business license (typically the seller), but you’re missing a couple steps here. I do a fair enough of these deals and happy to jump on a call. Shoot me an email redacted or DM me.

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