Business & LicensingQuestion 1384 of 1605
A sole owner of a licensed sole proprietorship wants to convert the business to a new corporation and transfer the license number. What does the license law allow?
a.License numbers can never be reissued
b.Under specified conditions, the Registrar may reissue the same license number to a successor entity
c.The corporation automatically inherits the number
d.Only the CSLB board can approve by public vote
Explanation
Under B&P Code section 7075.1, when a licensed business changes form (for example, sole owner to corporation) and there is continuity of ownership, the Registrar may reissue the same license number to the successor entity if statutory conditions are met.
Law Reference: B&P Code §7075.1Practice all 1605 questions free — no signup required.
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Sen Lin, PrepPass Founder · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)