By Ago Kitchens · Published
Rules and agency pages change. This guide summarizes Minnesota Department of Labor and Industry (DLI) information as a starting point — always confirm current requirements on the official pages linked below.
Step 1: Verify the Contractor's Minnesota License
In Minnesota, residential building contractors and remodelers who contract directly with homeowners for work in more than one "special skill" area — for example, carpentry plus drywall plus flooring — generally must be licensed by DLI. A kitchen remodel usually involves several skills, so the company you contract with should typically hold a residential building contractor or residential remodeler license. DLI explains the details on its who needs a license page.
To check a license:
- Ask the contractor for their DLI license number and the exact business name.
- Search the DLI license and registration lookup by license number or company name. No account is needed.
- Confirm the license status shows as active ("Issued"), the name matches the company on your contract, and note any enforcement actions.
Keep in mind:
- Registration is not a license. Contractors who perform only one special skill may be registered rather than licensed. DLI notes that registered contractors are not licensed to perform work that requires a license and do not carry the same consumer protections.
- Electricians and plumbers are licensed separately. Electrical and plumbing work must be performed by appropriately licensed individuals, which you can also check with DLI's lookup.
Why Hiring a Licensed Contractor Protects You
Beyond showing that a contractor has met state requirements, licensing gives homeowners access to Minnesota's Contractor Recovery Fund. The fund can compensate eligible homeowners for certain out-of-pocket losses caused by a licensed residential contractor — for example, fraud or failure to perform — subject to the program's requirements and limits. It does not apply to work by unlicensed contractors, which is one more reason to verify before you sign.
Step 2: Confirm Insurance
Ask for certificates of insurance showing general liability coverage and, if the contractor has employees, workers' compensation. The safest approach is to have the certificate sent to you directly by the insurance agent, and to check that the policy dates cover your project.
Step 3: Get and Compare Written Bids
- Request written, itemized bids from more than one qualified contractor, based on the same scope.
- Compare line by line: materials, labor, each trade, permits, debris removal, and cleanup.
- Look closely at allowances — placeholder amounts for items like tile or fixtures — and whether they are realistic for your taste.
- Ask what is excluded. A lower bid often leaves out work another bid includes.
Our kitchen remodel cost guide explains what drives the numbers you will see.
Step 4: Read the Contract Before You Sign
A clear written contract protects both you and the contractor. It should include:
- The contractor's legal business name, address, and license number.
- A detailed scope of work, including specific products, models, and finishes.
- Estimated start and completion dates, and how delays will be handled.
- The total price and a payment schedule tied to completed milestones.
- Who is responsible for permits and inspections.
- How change orders are priced, approved, and documented in writing.
- Warranty terms for workmanship, and who handles manufacturer warranty claims.
- Cleanup and debris removal responsibilities.
Understand lien rights. Under Minnesota law, contractors, subcontractors, and suppliers who are not paid can have lien rights against the property they improved, even if you paid your contractor. Contractors generally must provide homeowners a pre-lien notice. Ask for lien waivers from subcontractors and suppliers as you make payments, and consider having a contract reviewed by an attorney for larger projects.
Red Flags to Watch For
- No license number, or a license that does not match the company name on the contract.
- Pressure to sign immediately or "today-only" pricing.
- A request for a large payment up front, or for cash only.
- A suggestion that you pull the permits yourself for work they will perform.
- Reluctance to put the scope, price, or schedule in writing.
- No physical business address or verifiable references.
Questions to Ask Every Remodeler
- What is your DLI license number, and what name is it under?
- Who will be on site day to day, and who are your subcontractors?
- Who pulls the permits and schedules inspections?
- How do you handle hidden conditions found during demolition?
- What is your realistic timeline, including cabinet and countertop lead times?
- Can I speak with recent clients who had similar kitchen projects?
- What warranty do you provide on your workmanship?
If Something Goes Wrong
Start by raising the issue with your contractor in writing. If that does not resolve it, DLI accepts complaints about residential building contractors, and its tips for hiring a contractor page is worth reading before you hire anyone.
Use this checklist with any remodeler you are considering — including Ago Kitchens. Ask about licensing and insurance before you sign, verify what you are given, and see how working with Ago Kitchens starts.