ABA Family Legal Guide

Forming and Operating a Small Business

Starting a Business

Working from Home

I've heard that zoning can be an issue for home-based businesses. What is zoning, and how does it affect me?

Zoning is a way of keeping neighborhoods from getting cluttered. Property values in your nice suburb would plummet if your next-door neighbor opened a combination mink farm and roller rink in the backyard. That's why your town or city probably has zones for heavy industry, commercial space, and residential space, as well as some for mixed use.

If you want to run a business from your home, you may face a problem if your neighborhood is strictly zoned for residential use only. You can find out by tracking down your local zoning office (it might not be easy to find), and asking some questions based loosely on the business you're thinking of starting. The quieter and less obtrusive it is, the more likely that you're okay with the law. Red flags are apt to be raised by