Does Illinois require contractors to be licensed?

Illinois does not require a state general contractor license for most residential work. Roofing contractors are the main exception — they must be licensed by the Illinois Department of Financial and Professional Regulation (IDFPR). For all other trades, licensing is handled at the local level. Chicago has its own city permit and contractor registration requirements through the Chicago Department of Buildings.

How do I verify a roofing contractor is licensed in Illinois?

Call the Illinois IDFPR at (217) 785-0800 to verify a roofing contractor's state license. For Chicago specifically, also verify the contractor has a city business license and check that they pull permits through the Chicago Department of Buildings (chicago.gov/buildings). An unlicensed roofer in Illinois cannot legally file for permits on your behalf.

What is the Illinois Home Repair and Remodeling Act?

Illinois law requires any contractor performing home repair or remodeling work costing more than $1,000 to provide a written contract signed by both parties before work begins. The contract must include the scope of work, materials to be used, start date, completion date, and payment terms. A contractor who refuses to provide a written contract for a job over $1,000 is violating Illinois law.

What should I do if a contractor knocks on my door after a storm in Chicago?

Do not sign anything. Out-of-state storm-chaser contractors flood the Chicago metro after hail and wind events — Illinois ranked 4th nationally for hail damage and the pattern is well-documented by the Illinois AG. Get the company's full legal name, look them up with IDFPR and the Illinois AG's consumer database, then get two more competitive bids from established local contractors before making any decision.

How much should a deposit be for a Chicago contractor?

A standard deposit in Chicago is 10–25% of the total project cost. For projects involving permits, the contractor may request a slightly higher initial payment to cover permit fees — this is acceptable if itemized in the contract. Never pay more than 30% before materials are on-site and work has visibly begun.

How to Find a Good Contractor in Chicago: What Illinois Homeowners Must Know

Finding a good contractor in Chicago starts with understanding one critical fact about Illinois law: the state does not require a general contractor license. Anyone can legally call themselves a contractor in Illinois without any state-issued credential. For roofing, there is a state license requirement — everything else depends on city and local permits. This means your personal vetting process is the primary protection you have.

Illinois' Contractor Licensing Gap — What Chicago Homeowners Need to Know

Illinois is one of the more permissive states for contractor licensing. With the exception of roofing contractors (state license required through IDFPR) and specific trade licenses (electrical, plumbing, HVAC), the state does not credential general contractors at the state level.

What this means in practice:

Any person can start a contracting business in Illinois without passing a test, posting a bond, or demonstrating any prior experience
Chicago's protections are largely permit-based — work requiring a permit creates an inspection record
The Illinois Home Repair and Remodeling Act requires written contracts for jobs over $1,000 — contractors who skip this are already breaking Illinois law

How to verify in Illinois:

Roofing contractors: Call IDFPR at (217) 785-0800 or check online at idfpr.illinois.gov
Electrical and plumbing trades: Licensed at state level through IDFPR
General contractors: Verify their Chicago business license and check permit history through the Chicago Department of Buildings at chicago.gov/buildings
BBB check: Search at bbb.org for complaint history — Illinois AG received 2,256 construction complaints in 2024 alone

Real Chicago-Area Contractor Fraud Cases

The Illinois Attorney General has consistently listed home improvement fraud among its top consumer complaint categories, with 2024 marking the fourth consecutive year it led all complaint types statewide.

Storm chasers — Godfather Construction: State prosecutors sued this company for exploiting homeowners after weather events, taking payment for roofing and exterior work done poorly or not at all. In a brazen move, the company even built a warning website about the exact type of scam it was running — using consumer trust content as a credibility prop. (Courthouse News Service)

Post-storm cold-calling: After major Illinois storm events, the BBB documented contractors cold-calling homeowners across the Chicago suburbs, inflating damage assessments and pressuring same-day contract signatures. (ABC7 Chicago)

2025 AG warning: Following spring 2025 storms, the Illinois AG issued a formal consumer alert warning Chicago-area homeowners about contractors arriving unsolicited, refusing to provide written contracts, and collecting large deposits before disappearing. (WTTW Chicago, May 2025)

The storm-chaser pattern is especially active in the Chicago metro because of the area's combination of dense population, high hail frequency, and easy access from out-of-state operators coming up I-57 and I-55 from the South.

The 5 Questions Every Chicago Homeowner Should Ask

1. "Are you licensed for this specific work in Illinois and Chicago?" For roofing, require a state IDFPR license number. For all work, ask for their Chicago city business license number and look it up at data.cityofchicago.org.

2. "Who pulls the permits?" In Chicago, permits are required for most structural work, window replacements, roof replacements, HVAC, and electrical. If a contractor tells you permits aren't needed, or asks you to pull them yourself, that is a serious red flag. City inspections exist to protect you.

3. "Can you give me three references from Chicago-area projects in the last 12 months?" The Chicago market has specific considerations — navigating city inspections, condo association approvals, Chicago-specific code requirements. A contractor who regularly works in the metro handles these smoothly. One who doesn't will learn on your project.

4. "Do you have a physical business address in Illinois?" After a storm, hundreds of out-of-state contractors with no Illinois address enter the market. A P.O. box or a phone number with an out-of-state area code are flags. An established Chicago-area contractor has a verifiable local address.

5. "What is your process for handling city inspections?" Experienced Chicago contractors know the inspection timeline and sequence. They schedule inspections proactively and communicate results to you. Vague answers here suggest limited local experience.

What a Chicago Contractor Bid Should Include

The Illinois Home Repair and Remodeling Act sets the minimum — a written contract for any job over $1,000. But a real bid goes much further:

Specific materials by brand, product line, and quantity
Permit costs (itemized separately)
Start date and projected completion date
Payment schedule tied to project milestones, not calendar dates
The contractor's IDFPR license number (for roofing) or city license number
Insurance carrier and policy number with coverage amounts

In Chicago, also confirm whether HOA or condo association approval is needed before work begins. A contractor who doesn't ask about this hasn't done many Chicago projects.

Find Verified Contractors in Chicago

Above Board Pros connects Chicago-area homeowners with pre-screened, licensed contractors across the metro.

For the complete step-by-step hiring checklist — including how to compare bids, what every contract must contain, and what to do if you've been scammed — see our complete Midwest contractor guide.

Report fraud in Illinois: Illinois AG Consumer Protection at illinoisattorneygeneral.gov or 1-800-386-5438.