What local zoning and permit requirements must I check before starting a business from my home office in California?
To start a home-based business in California, you must verify your local zoning rules allow it and obtain the required permits, typically a Home Occupation Permit and a local business license. Here are the steps to ensure compliance with local requirements.
Step 1: Identify Your Local Jurisdiction
First, determine if your home is in an incorporated city or an unincorporated area of a county. You can find this by searching your address on your county's property assessment website or by using an online "am I in a city" tool. This will tell you whether to contact the city or county government offices.
Step 2: Check Local Zoning Regulations
Contact your city or county's Planning or Zoning Department. Ask about the rules for a "Home Occupation" in your specific residential zone. These ordinances, based on California Government Code Section 65850, typically restrict things like customer foot traffic, outdoor storage, signage, noise, and the number of non-resident employees. You can usually find these rules on the department's website.
Step 3: Apply for a Home Occupation Permit
If your business activities are permitted, you will likely need to apply for a Home Occupation Permit (HOP) from the Planning Department. This application usually requires a description of your business, a simple floor plan showing your dedicated office space, and an agreement to abide by all home occupation rules.
Step 4: Obtain a Local Business License
After securing any necessary zoning permits, contact your city or county's Finance or Business License Department to apply for a business license, also known as a business tax certificate. This license is for revenue purposes, as allowed under California Business and Professions Code Section 16000. You will need to provide your business name, address, and federal Employer Identification Number (EIN) or Social Security Number.
Step 5: Investigate Industry-Specific Permits
If your business involves regulated activities, you must obtain additional permits. For example, if you plan to sell food prepared in your home, you must comply with the Microenterprise Home Kitchen Operation (MEHKO) law and get a permit from your county's Environmental Health Department.
Important Considerations:
A Home Occupation Permit (zoning) and a Business License (revenue) are two separate requirements from different departments. Some jurisdictions combine them into a single application, but you must confirm you have met both requirements.
Note:
Operating without the proper permits can result in fines and shutdown orders. Also, these government requirements are separate from any rules your Homeowners Association (HOA) or landlord may have. You must also get their permission if required by your lease or HOA covenants.
This is general information and does not constitute legal advice. For complex situations, consult with a qualified California attorney.
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Disclaimer:
This information is for general guidance only and should not be considered as legal advice. Please consult with a qualified attorney for specific legal matters.
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Updated: August 13, 2025
Business Law
Small business legal requirements, contracts, and regulations
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