How to Start a Landscaping Business in California



Last updated: February 23, 2026

California is the largest landscaping market in the country, with year-round demand across residential, commercial, and municipal sectors. But the state draws a hard line between maintenance gardeners (mowing, trimming, pruning) and landscape contractors (design, installation, hardscaping). If your work stays on the maintenance side, you can operate without a state contractor license. The moment a project hits $500 or more in combined labor and materials and involves construction or installation, you need a CSLB C-27 Landscaping Contractor License.

This guide covers both paths – maintenance-only operations and full landscape contracting – including every license, permit, bond, insurance requirement, and cost you need to know before launching in California.

Landscaping Business Requirements in California at a Glance

RequirementAgencyCostTimeline
LLC Formation (Articles of Organization)CA Secretary of State$703-5 business days (online)
Statement of Information (LLC-12)CA Secretary of State$20Due within 90 days of formation
California Franchise TaxFranchise Tax Board (FTB)$800/year (1st year exempt)Due annually by 15th day of 4th month
Federal EINIRSFreeImmediate (online)
CSLB C-27 Landscaping Contractor LicenseContractors State License Board$450 app + $200-$350 initial4-6 months (experience verification + exams)
Contractor’s License BondSurety company$25,000 bond (premium: $100-$500/year)Same day
Bond of Qualifying IndividualSurety company$25,000 bond (if qualifier is not owner)Same day
Qualified Applicator License (QAL) – PesticidesDept. of Pesticide Regulation (DPR)$180 app + $115/exam2-4 weeks
Maintenance Gardener Pest Control (Subcategory Q)Dept. of Pesticide Regulation (DPR)$140/2-year renewal2-4 weeks
City/County Business LicenseLocal city or county$50-$3001-2 weeks
General Liability InsuranceCommercial insurer$800-$2,000/yearSame day
Commercial Auto InsuranceCommercial insurer$1,800-$4,000/yearSame day
Workers’ Comp InsuranceCommercial insurer or State Fund$3-$8 per $100 payrollSame day
State Landscaping License (maintenance only)N/ANot required

How to Start a Landscaping Business in California (Step by Step)


Step 1: Form Your California LLC

File your Articles of Organization online at bizfileonline.sos.ca.gov. Filing fee: $70. Processing takes 3-5 business days for online filings.

Within 90 days, you must also file a Statement of Information (Form LLC-12) for $20. This is a separate filing that lists your LLC’s managers or members and agent for service of process. You must refile this statement every two years.

Your LLC name must include “LLC,” “L.L.C.,” or “Limited Liability Company” and must not be the same as or misleadingly similar to an existing entity on file with the Secretary of State. If you want to operate under a different name, file a Fictitious Business Name Statement with your county clerk (typically $10-$50 plus publication costs of $30-$100).

Franchise tax note: California imposes an $800 annual franchise tax on all LLCs, due by the 15th day of the 4th month after formation. New LLCs formed in 2024 or later are exempt from the $800 tax in their first year, thanks to AB 150. Starting in year two, the $800 is due regardless of revenue.

Step 2: Get Your Federal EIN

Apply for a free Employer Identification Number at IRS.gov. You receive it immediately when applying online. You need an EIN to open a business bank account, file taxes, and hire employees.

Step 3: Decide Your Service Scope – Maintenance vs. Contractor

This is the most important decision for your California landscaping business. The Contractors State License Board (CSLB) draws a clear line between two types of work:

  • Maintenance gardeners: Mowing, trimming, pruning, basic planting, weeding, blowing, and general garden upkeep. No CSLB license required.
  • Landscape contractors (C-27): Design, installation, construction of landscape features (retaining walls, patios, irrigation systems, grading, drainage, hardscaping, planting plans). CSLB license required for projects $500+ in combined labor and materials.

The $500 threshold includes both labor and materials combined. If a client wants a new patio, irrigation system, or landscape design and the project total is $500 or more, you must hold a C-27 license. Operating without one is a misdemeanor that can result in fines up to $15,000 and possible jail time.

Many landscapers start with maintenance-only services while building the experience hours needed for the C-27 license. This is a legitimate path – maintenance work can generate strong revenue without the licensing overhead.

Step 4: Get Your CSLB C-27 Landscaping Contractor License

If you plan to offer installation, construction, or design services, you need a C-27 Landscaping Contractor License from the CSLB. Here is what it takes:

Experience Requirement

  • 4 years of journey-level experience in landscaping construction/installation
  • Experience must be verifiable – CSLB will contact your references
  • Trade school or apprenticeship programs can substitute for some experience

Examinations

  • Business and Law Exam: 2 hours, 125 questions (covers contracts, liens, safety, labor law)
  • C-27 Trade Exam: 4 hours, covers landscape design, grading, drainage, irrigation, plant identification, hardscape construction
  • Both exams are administered at CSLB testing centers

Fees

  • Application fee: $450 (non-refundable, even if denied)
  • Initial license fee: $200 (sole owner) or $350 (non-sole owner)
  • Active renewal (every 2 years): $450 (sole owner) or $700 (non-sole owner)

Bonding

  • Contractor’s License Bond: $25,000 – required for all CSLB licensees. You buy a surety bond (annual premium typically $100-$500 depending on credit).
  • Bond of Qualifying Individual: An additional $25,000 bond is required if the qualifying individual (the person whose experience qualifies the business) is not an owner of the business.

Processing time: Plan for 4-6 months from application to active license. CSLB verifies experience references, schedules exams, and processes paperwork sequentially. Do not wait until the last minute.

Step 5: Get Pesticide Application Permits

If you will apply any pesticides, herbicides, or fungicides, California requires certification through the Department of Pesticide Regulation (DPR). There are two main paths depending on your business model:

Qualified Applicator License (QAL) – For Business Owners / Supervisors

  • Category B: Landscape Maintenance Pest Control
  • Application fee: $180
  • Category exam fee: $115 per exam
  • Renewal: $270 per 2-year cycle
  • Allows you to supervise pesticide applications and apply restricted materials

Qualified Applicator Certificate (QAC) – For Employees

  • Alternative for employees working under a QAL holder’s supervision
  • Lower cost and fewer exam requirements than a full QAL

Maintenance Gardener Pest Control (Subcategory Q)

  • Designed specifically for maintenance gardeners who apply pesticides as a minor part of their services
  • Renewal: $140 per 2-year cycle
  • Less comprehensive than a full QAL Category B

Neonicotinoid restriction: As of January 1, 2025, neonicotinoid pesticides are restricted to certified commercial applicators only in California. If you or your crew use products containing imidacloprid, clothianidin, thiamethoxam, or dinotefuran, you must hold the appropriate DPR certification. This affects common grub and pest control products used in landscape maintenance.

Visit the DPR license application page for current application packets and exam schedules.

Step 6: Get Your City and County Business Licenses

California does not issue a single statewide business license. Instead, you need a business license from each city or county where you maintain a physical location. Some cities also require a license if you perform work within city limits, even without an office there.

  • Cost: $50-$300 depending on the jurisdiction
  • Home-based: Most cities offer a home occupation permit at a lower rate
  • Multiple locations: If you serve clients across several cities, check each city’s requirements – some only require a license if you have a fixed place of business
  • Renewal: Annual, dates vary by city

If you operate from an unincorporated area, your county handles licensing. Major counties (Los Angeles, San Diego, Orange, Riverside, Sacramento) each have their own requirements and fee schedules.

Step 7: Get Insurance

General Liability Insurance

Covers property damage, bodily injury, and third-party claims. Essential for any landscaping operation – most commercial clients and HOAs require proof of coverage.

  • Cost: $800-$2,000/year
  • Typical coverage: $1 million per occurrence / $2 million aggregate
  • CSLB requirement: General liability is effectively required to obtain and maintain a CSLB license

Commercial Auto Insurance

Required for any vehicle used for business purposes. Personal auto policies do not cover commercial use. California has some of the highest commercial auto rates in the country.

  • Cost: $1,800-$4,000/year
  • California minimum liability: $15,000/$30,000/$5,000 (but commercial policies should carry significantly higher limits)

Equipment / Inland Marine Insurance

Covers your mowers, trimmers, blowers, and other equipment against theft, damage, and loss – including while on your trailer or at a job site.

  • Cost: $500-$1,500/year depending on equipment value

Workers’ Compensation Insurance

Workers’ compensation is mandatory in California for all employers – no exceptions. Unlike many states, California has no minimum employee threshold. If you have even one employee, you must carry workers’ comp.

  • Landscaping rates: $3-$8 per $100 of payroll (varies by classification and experience mod)
  • CSLB exemption: C-27 license holders with no employees can file a Certificate of Exemption with CSLB to waive the workers’ comp requirement
  • SB 1455 (effective January 1, 2028): All CSLB licensees will be required to carry workers’ comp regardless of employee count. If you currently operate solo with an exemption, plan for this added cost by 2028.
  • State Compensation Insurance Fund: If private insurers decline coverage, California’s State Fund acts as the insurer of last resort

Step 8: Register with the EDD and Handle Tax Obligations

If you hire employees, register with the Employment Development Department (EDD) for:

  • State income tax withholding
  • Unemployment Insurance (UI): 1.5%-6.2% on first $7,000 of wages per employee
  • Employment Training Tax (ETT): 0.1% on first $7,000
  • State Disability Insurance (SDI): 1.1% (employee-paid, you withhold)

Seller’s permit: If you sell plants, mulch, or materials at retail (separate from installation), register for a seller’s permit with the CDTFA (free). Landscaping labor and installation services are generally not taxable in California, but standalone retail sales of materials are.

California-Specific Regulations for Landscapers

Water Use and Drought Restrictions

California’s Model Water Efficient Landscape Ordinance (MWELO) applies to new and renovated landscapes. If you design or install landscapes, you must comply with maximum applied water allowance (MAWA) calculations. Many water districts also impose permanent water waste prohibitions including restrictions on watering times, runoff, and irrigation system requirements. Staying current with local water district rules is essential for any California landscaper.

OSHA and Cal/OSHA Heat Illness Prevention

California’s Heat Illness Prevention Standard is stricter than federal OSHA. If you have employees, you must provide shade, water, rest breaks, and a written heat illness prevention plan when outdoor temperatures exceed 80 degrees F. High-heat procedures kick in at 95 degrees F. Violations carry significant penalties – Cal/OSHA actively enforces in the landscaping industry.

Leaf Blower Restrictions

Many California cities restrict or ban gas-powered leaf blowers. The state phased in restrictions on small off-road engines (SORE) starting in 2024. Check local ordinances before purchasing equipment – electric blowers may be required in your service area.

AB 5 and Worker Classification

California’s AB 5 law applies the “ABC test” to determine whether a worker is an employee or independent contractor. If you hire crew members, they are almost certainly employees under California law, not independent contractors. Misclassification carries steep penalties including back taxes, insurance premiums, and fines.

Cost to Start a Landscaping Business in California

Maintenance-Only Operation ($22,000-$40,000)

ItemCostNotes
LLC Formation (Articles of Organization)$70One-time
Statement of Information (LLC-12)$20Due within 90 days, refile every 2 years
Franchise Tax (Year 1)$01st year exempt; $800/year starting year 2
Federal EINFreeOnline at IRS.gov
DPR Subcategory Q (pest control)$140/2 yearsIf applying pesticides
City/County Business License(s)$50-$300Annual renewal
General Liability Insurance$800-$2,000/yearRequired for most commercial clients
Commercial Auto Insurance$1,800-$4,000/yearRequired for business vehicles
Equipment / Inland Marine Insurance$500-$1,500/yearCovers mowers, trimmers, etc.
Truck (used)$8,000-$15,000Half-ton or 3/4-ton pickup
Trailer + Registration$1,500-$4,000Open landscape trailer
Mowers, Trimmers, Blowers$3,000-$8,000Commercial grade
Marketing / Website / Cards$300-$1,500Optional at start
Estimated total: $22,000-$40,000

Full Landscape Contractor ($35,000-$60,000)

ItemCostNotes
All maintenance items above$22,000-$40,000Base setup
CSLB C-27 Application$450Non-refundable
CSLB Initial License Fee$200-$350Sole owner vs. non-sole owner
Contractor’s License Bond ($25,000)$100-$500/yearSurety bond premium
Bond of Qualifying Individual ($25,000)$100-$500/yearIf qualifier is not owner
QAL Category B (pesticide license)$295$180 app + $115 exam
Additional Equipment (compactor, skid steer rental, hardscape tools)$3,000-$8,000For installation work
Plant/Material Inventory$1,000-$3,000Initial stock
Enhanced Marketing / Branding$500-$2,000Professional presence
Estimated total: $35,000-$60,000

Small Crew Operation – 1-3 Employees ($55,000-$95,000)

ItemCostNotes
All contractor items above$35,000-$60,000Base setup
Workers’ Comp Insurance$3,000-$8,000/yearMandatory in CA
Additional Equipment (second mower set)$3,000-$6,000Crew efficiency
Payroll Setup / Accounting$500-$2,000/yearSoftware or service
EDD Taxes (UI, ETT, SDI withholding)VariesBudget for employer-side taxes
Uniforms / Safety Gear$300-$800Per crew member
Larger Trailer or Second Vehicle$3,000-$10,000If running multiple crews
Estimated total: $55,000-$95,000



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Frequently Asked Questions

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

It depends on your services. Maintenance work (mowing, trimming, pruning, basic garden care) does not require a state contractor license. However, any project involving construction, installation, or design work totaling $500 or more in combined labor and materials requires a CSLB C-27 Landscaping Contractor License. The C-27 requires 4 years of journey-level experience, passing two exams, a $450 application fee, and a $25,000 contractor’s bond. If you apply pesticides, you also need separate DPR certification.

What is the difference between a gardener and a landscape contractor in California?

The CSLB distinguishes between maintenance gardeners and landscape contractors. Gardeners perform ongoing upkeep – mowing, trimming, pruning, weeding, and basic planting. Landscape contractors perform construction and installation work – grading, drainage, irrigation systems, retaining walls, patios, hardscaping, and designed plantings. Gardeners do not need a CSLB license. Contractors need a C-27 license for any project at $500 or above.

How much does a CSLB C-27 license cost?

The total cost includes the $450 non-refundable application fee, the $200-$350 initial license fee (depending on ownership structure), and a $25,000 contractor’s license bond (annual premium typically $100-$500). If your qualifying individual is not an owner, add another $25,000 bond. Renewal costs $450-$700 every two years. Budget roughly $850-$1,800 for your first year including bond premiums.

Is workers’ compensation required for landscaping businesses in California?

Yes. Workers’ comp is mandatory in California for all employers with no minimum employee threshold. CSLB licensees without employees can currently file a Certificate of Exemption. However, SB 1455 (effective January 1, 2028) will require all CSLB licensees to carry workers’ comp regardless of whether they have employees. Rates for landscaping typically run $3-$8 per $100 of payroll. The State Compensation Insurance Fund serves as an insurer of last resort if private carriers decline your application.

How much does it cost to start a landscaping business in California?

A maintenance-only operation (no contractor license needed) typically costs $22,000-$40,000 including truck, trailer, equipment, insurance, and LLC formation. A full landscape contractor setup with CSLB C-27 license runs $35,000-$60,000 due to licensing fees, bonds, and additional equipment. A small crew operation (1-3 employees) costs $55,000-$95,000 when you add workers’ comp, payroll, and extra equipment. Note that California’s $800 annual franchise tax kicks in during your second year.

Do I need a pesticide license to apply weed killer in California?

Yes. Any commercial application of pesticides or herbicides requires DPR certification. Maintenance gardeners can obtain Subcategory Q certification ($140 per 2-year renewal). Business owners and supervisors should get a Qualified Applicator License (QAL) Category B ($180 application + $115 per exam, $270 per 2-year renewal). As of January 1, 2025, neonicotinoid pesticides are restricted to certified commercial applicators only, which affects common grub and pest control products.