The Contractor Association of Minnesota (CAM) is a beacon of excellence in the construction industry, promoting integrity, professionalism, and high standards among its members. To ensure that only the most qualified and reputable contractors join CAM, we have established stringent membership requirements. Here’s what it takes to become a CAM member and why these criteria matter.

Established Business History: Minimum of 3 Years in Business

A fundamental requirement for CAM membership is that a contractor must have been in business for a minimum of three years under their current legal name and operate as an entity other than a sole proprietor. This requirement is crucial for several reasons:

  • Business Stability: According to the Small Business Administration (SBA), one-third of all businesses fail within the first two years, often due to financial mismanagement. By requiring a minimum of three years in business, CAM ensures that members have navigated early financial challenges and proven their stability.
  • Reputation Building: Three years with the same legal name allows contractors to establish a track record with the Better Business Bureau and other monitoring sources. This helps build a reputation and provides homeowners with the ability to validate the contractor’s services and reliability.

Prohibition of “Partnering” or “Set” Practices: Ensuring Transparency and Quality

CAM strictly prohibits the practice of “partnering” or working as a business “set.” This rule is in place to protect property owners from deceptive practices:

  • False Security: Out-of-area contractors using the reputation of local contractors can mislead homeowners, often resulting in substandard repair work that undermines the local contractor’s reputation.
  • Informed Decisions: This practice is unfair to property owners as it prevents them from making informed decisions about the company completing the project.

Ethical Business Practices: Integrity in Operations

CAM members must adhere to ethical business practices, including:

  • Honest Invoicing: Submitting fraudulent invoices or engaging in insurance fraud (such as waiving deductibles or offering cash back to secure a project) is strictly prohibited. Such actions are illegal and can severely damage trust between contractors and property owners.
  • Proper Signage Use: Members must place company signs on private properties only with permission. Unauthorized signage is considered dishonest advertising and, in many areas, is illegal unless permitted by the property owner after contracting services.

Respecting Existing Contracts: Professional Conduct

CAM members must not interfere with existing contractual agreements between property owners and other companies. It is disingenuous and often illegal for a contractor to coerce or entice a property owner to break an existing contract. CAM members are committed to fair competition and respect for existing business relationships.

Compliance with Licensing and Regulations: Adherence to Legal Standards

Compliance with local and state licensing regulations is non-negotiable for CAM members:

  • Licensing and Permits: Contractors must carry the proper licensure and performance bonds as required by federal, state, and local authorities. Avoiding licensure and permit requirements is considered unscrupulous behavior and undermines the safeguards designed to protect property owners.
  • Quality Assurance: Ensuring all work is performed to the state, county, or jurisdiction’s code guarantees that the highest standards of safety and quality are met.

By upholding these rigorous requirements, the Contractor Association of Minnesota ensures that its members are among the best in the industry. These standards not only promote excellence and integrity but also provide homeowners with the confidence and peace of mind that they are working with reliable, trustworthy professionals. If you are a contractor committed to maintaining high standards and ethical practices, consider becoming a CAM member and join us in setting the benchmark for excellence in Minnesota’s construction industry.