Home-based businesses
A home-based business is a business run from the owner's or tenant's residence. It is a practical description rather than a legal entity; the business may be a sole proprietorship, partnership or company. Its main legal issues are local zoning, business licensing, insurance and any strata or lease restrictions.
How BC law treats it
Municipal zoning and business licence bylaws control whether and how a business may operate from a home, and rules vary by municipality. Strata bylaws or a residential tenancy agreement may also restrict business use.
What it means for your business
A home-based owner should check the municipal bylaws, obtain any licence, and confirm home insurance covers business activity.
Risks and common mistakes
Many home insurance policies exclude business use, so a claim for business equipment, inventory or a visiting client's injury may be denied.
Fulcrum's business and startup lawyers can help with these issues.
General information about British Columbia and Canadian law, current to October 2026. It is not legal advice.
