Starting a Home Based Business? Here are Some Considerations

It’s easy to forget if you have a home based business, that even though you’re physically in your home, you still ate a legal business, and still have all the legal obligations that any business has. But while being in a home based business in many ways can make your life easier, there are still some considerations that you might have with a home based business, that you wouldn’t have otherwise.

Yes, You Can Have One

Florida passed a law about 3 years ago that generally says that municipalities and cities must allow people to have and operate home based businesses; they cannot zone them out of business or make them illegal entirely. But that doesn’t mean it’s a free-for-all; there are still many restrictions when it comes to home based businesses.

Your HOA

One immediate concern is your HOA; there is no obligation that an HOA allows you to operate a business out of your home.

And while many HOAs don’t care or won’t know if your business is just you and your computer, if your business does entail traffic, and cars, and parking, or noise, anything that would affect the outside community, your HOA can still penalize you or restrict you if you violate their rules. Make sure that you know your HOA’s rules, before starting that home based business.

Special Businesses

While cities cannot just zone an area in a way that restricts all home based businesses, it can put in place other zoning restrictions, especially those that restrict the kind or type of business that is being operated.

If you are in a business that is generally heavily regulated (think adult entertainment, medical services, anything hazardous, medicines and pharmaceuticals, or food service, to name a few) you should make sure you are allowed, under zoning laws, to operate your business.

Zoning laws, like HOAs, can also restrict traffic or parking, so keep that in mind if customers or clients will be coming to you.

Traffic and Parking

You’ve probably noticed a running theme in these potential problems: parking. The law says that your business cannot draw more traffic or need more parking, than any other unit or house in your area.

So, for example, if the average home in your community has a two car garage, you can expect to be allowed to have no more than 2-3 cars parked at your home based business at a time. In plain terms: you can have people over for business, but don’t have so many cars coming to you that you’re clearly sticking out in a bad way.

Insurance Issues

Remember that anytime people come to your business, even if you aren’t in a dangerous or risky business, those people can get injured in your home.

Your standard homeowners insurance policy usually will not insure you for injuries on your property, when the person is there for business. Talk to your insurance carrier about getting a commercial liability policy, to avoid getting sued for injuries if someone is physically injured while doing business with you on your property.

Starting any kind of business? Get help from the start. Call our Fort Lauderdale business law attorneys at Sweeney Law P.A. at 954-440-3993 for legal help.

Source:

flsenate.gov/Laws/Statutes/2021/559.95