Warning Signs:
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No physical place of business, or business operated from house or P.O. Box
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Has been in business for less than 10 years
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Uses high pressure tactics to obtain a signed contract
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Telephone calls are not returned within 24 hours. (If they do not promptly reply to your concerns before you have signed a contract, how promptly will they reply to your concerns after they are under agreement?)
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Contractor requests you obtain the building permit. (The person whose name is on the building permit is responsible for the work. When the builder does not obtain the permit, it is more difficult for the building department to enforce compliance with building codes etc.)
Meet and interview several candidates. Decide beforehand what you want to ask. Here are some lists that may be helpful in your selection process: