Running a home-based business should be simple enough: you get your license, register yourself with the IRS and you start operating. Actually, it is a little more complicated. There is an issue called zoning which can effectively prevent you from running certain kinds of businesses out of your home.
What Are Zoning Laws?
The development of American cities follows a certain pattern: you have business areas, industrial areas and residential areas. The zoning laws tell people owning or renting property what kind of activities they can perform in a specific area. For example, you would not open a children’s park in the middle of an industrial area with lots of factories, heavy machinery and pollution. And you would not open an adult entertainment facility in an office building.
Now, when it comes to residential areas, the inherent value of properties depends on how the respective area is perceived by potential buyers: safe for children, quiet, a civilized, helpful and friendly community, etc. In order to safeguard these values, the zoning laws limit various activities, even if you believe that they are not impacting your neighbors and the community as a whole.
These are the key aspects related to your home business which make it ineligible according to zoning laws:
1. Vehicle Parking
Whether you live in a residential complex or in a detached home, there are limitations to the number of vehicles you may park in your designated parking area, usually two or three. Therefore, if your business involves many deliveries, or the use of commercial trucks and vans, you may be in violation of your zoning laws with regard to vehicle parking.
A solution for this issue is to rent a mail address where you can receive your supplies and bring them home in your own car. This will also solve the problem of giving your home address to every delivery agent and supplier.
2. Customers Coming to Your Home Office
Residential communities are very careful about safety. Nobody likes to see a constant coming and going of strangers. This is even less acceptable if you live in a gated community or a residential complex. Your neighbors could and will complain to the administrator of the residential area and you may be forced to stop running your business.
There are options for you in this situation, as well: meet with clients in cafés, or rent office space by the hour in special business incubator hubs which offer small entrepreneurs the chance to conduct their activities in a professional environment.
3. Noise
Noise is a big no-no in all residential communities. Once they came back from their busy jobs, people want to relax and rest at home. They certainly do not want to hear you crafting products or operating any machines which cause noise. Most certainly, you cannot run these machines even in your garage.
The only solution is quite expensive: you should soundproof your workshop to your neighbors’ satisfaction.
4. Keeping Dangerous Goods
Chemicals of all kind, and flammable or potentially explosive materials are completely forbidden in residential homes. If your home-based business involves working with such substances and goods, then you should consider renting an adequate workshop in an area which permits such substances.
5. Signage
Displaying a sign for your home-based business is also forbidden in residential areas. According to local or homeowners’ association regulations, you may be even required to maintain the aspect of your house in a specific manner. Any changes, including signage, are not acceptable.
The only way out is to challenge the rules by official proceedings or try to obtain an exception for your home.
Last, but not least, when you start planning your home business, imagine your neighbors doing the exact thing you want to do. Would their activities impact your life? This initial consideration will help you decide whether you can run that business from home according to the zoning laws in your area.