Legal Guide

Home Businesses - Zoning Pitfalls for the Unwary

by: Bruce M. Sattin

First, think about how your business will affect your neighbors. What neighbors complain about, and what sets the wheels of local government regulators in motion, are noise, traffic, pickups and deliveries, the presence of a sign, strangers in the neighborhood, cars taking up parking spaces on the street, and similar annoyances.

The second step is to determine whether your business is allowed in your zoning district (most homes are in some type of residential district). Many municipalities permit a "home occupation" use in some or all of its residential districts. If home occupations are not permitted, you may need a use variance to operate a business from your home.

If home occupations are permitted, there are restrictions. Most zoning ordinances limit the amount of space in the home devoted to the business; limit the number of non-family employees; and limit the types of businesses. Usually, the town limits home occupations to personal services, such as accountants, photo studios, financial consultants, artists, lawyers and therapists. Approval of even a permitted home occupation may require an application to the local planning board. The business owner must demonstrate compliance with certain technical standards and, in some cases, must obtain a "conditional use" approval. It may also be necessary to submit plans of the property and a diagram of the space within the home devoted to business uses. If this sounds like a hassle, it often is; but once the permit is issued, the permission for the home occupation is permanent. A change in the type of business use would, however, require a new permit.

The best way to simplify the process and increase your chances of obtaining the necessary approvals for your use is to seek competent, professional advice before starting the business in your home.

Szaferman, Lakind, Blumstein, & Blader, P.C.
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