Running A Home-Based Business Is Legal In Florida

Can you just start a business from your home? Of course, home based businesses have always been around, but what about a business that may require that you see clients or customers, and which may result in some customer foot traffic coming to and from your home?

Law Change Makes Home Based Businesses Legal

For a long time, in Florida, zoning laws and municipal ordinances would have made this illegal; you would have had to be in areas zoned specifically for business or mixed use zoning, in order to just run a business from your home.

But many people may have missed a recent law change that now makes it much easier for people to run businesses out of their homes.

A recent law passed in Florida requires that many home based businesses now be legal, and restricts the abilities of cities to ban home based businesses. The business purpose must be secondary to the residential purposes—this is a business run from your home, not you living in a house that you bought to run your business out of.

The change originally came out of the pandemic; as so many people had to move their businesses to their homes for COVID reasons, many just set up shop there, and no longer wanted to pay money to go back out and get office space again.

Law is Controversial

While the change is positive for some business owners, it may not be so positive for their neighbors; many people have concerns that excess foot and car traffic in residential neighborhoods isn’t a good thing. People may be concerned that their driveways and cubs may be used as makeshift parking lots for business home based businesses.

Others have concerns that less desirable businesses, or businesses that they have moral or ethical disagreements with, may open in the house next door.

Still Some Limitations

It is important to remember though that although cities can’t restrict your ability to run a business from your home, homeowners associations or condominium associations still can-you should always check with your HOA before starting or continuing to operate a home based business. Defying HOA bylaws can result in serious fines which, if not paid, can end up with your home being foreclosed on by the HOA.

The law also doesn’t require that a condominium association, neighborhood or apartment complex, provide additional parking for home based business employees or customers. In fact, it is illegal for your business to generate a parking need that is disproportionate to the parking needs of residences that don’t have businesses.

Corporate Requirements Still Apply

Another important reminder is that even if your business is being run out of your home, that doesn’t excuse any other corporate formalities. Everything from workers compensation laws (if you have the required number of employees),  to the requirement for partnership agreements, management agreements, shareholder agreements, corporate resolutions, and every other corporate formality, still apply to you, no matter where you run your business from.

Call our Fort Lauderdale business lawyers at Sweeney Law P.A. at 954 440-3993 for help with your next business project or business related lawsuit.

Sources:

flsenate.gov/Committees/billsummaries/2021/html/2546

thecapitolist.com/desantis-signs-home-based-business-bill-into-law/