Can I run a business from home in Saratoga, California?
Yes, for low-impact businesses. Home occupations are a permitted use in Saratoga's R-1 districts if they follow Article 15-40: the work must happen inside the house by a resident, no non-resident employees, nothing visible from outside, and no offices where clients are regularly met. Medical offices are not allowed as home occupations in residential zones.
| Zoning status in R-1 | Permitted use, subject to Article 15-40 [1] |
| Where the business can operate | Inside the dwelling only; not in an accessory structure [3] |
| Employees | Residents of the dwelling only [5] |
| Client meetings | Offices where clients are regularly met are not allowed in A, R-1, HR, R-OS or R-M [8] |
| Medical/healing-arts offices | Not allowed as home occupations in residential districts [4] |
| Business vehicles | Max one truck of 1/2-ton capacity; no semi-trailers [6] |
| Advertising displays | No display of merchandise, products or equipment [7] |
Permitted, with conditions
Saratoga lists home occupations among the permitted uses in its R-1 single-family districts, as long as they follow Article 15-40 [1]. The same applies in the Agricultural district. The code we reviewed does not describe a separate home occupation permit, though a City business license may be required under a separate article we did not review.
Core rules
The business must be run inside the dwelling by someone who lives there and must be clearly incidental to living in the home [2]. You can't run it from a garage workshop, shed or other accessory structure, and you can't store equipment or supplies there or outside the house [3]. No exterior alterations are allowed, and the business must not be apparent from beyond the property line. Only residents of the dwelling may be employed [5]. The business can't create noise, odor, dust, fumes, vibration, smoke or radio/TV interference beyond the site, or traffic significantly above normal for the neighborhood.
Inventory, vehicles and signs
You may not keep stock-in-trade other than products made on the premises, and you may not display merchandise, products or equipment for advertising [7]. Only one truck of no more than one-half ton capacity may be kept for the business, and no semi-trailers [6]. Signs in R-1 districts are governed by a separate sign article we did not review.
Prohibited home occupations
In the A, R-1, HR, R-OS and R-M districts, two kinds of businesses are barred: medical offices for doctors, dentists, chiropractors and other healing-arts practitioners [4], and professional or administrative offices where clients are regularly met on the premises [8]. Consultants and other remote workers who don't host clients generally fit within the rules.
State law
The R-1 district requires a use permit for day care facilities caring for more than six persons [9]. State law treats licensed small and large family daycare homes as a residential use by right and bars cities from prohibiting cottage food operations, so state law may override this provision and the client-visit limits for those specific businesses.
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Next steps
- Check your business against Saratoga City Code Article 15-40: no non-resident employees, no client office visits, nothing visible or audible beyond your property.
- Contact the Saratoga Community Development Department (408-868-1222) to confirm whether a business license or other City registration is required for your home business.
- If you plan a family daycare or cottage food business, get the state license (Community Care Licensing) or county environmental health registration first, then confirm local requirements with Community Development.
Common questions
- Can I run a business from home in Saratoga, California?
- Yes, for low-impact businesses. Home occupations are a permitted use in Saratoga's R-1 districts if they follow Article 15-40, with the work done inside the house by a resident.
- Can I have employees at a home business in Saratoga, California?
- No non-resident employees are allowed. Employees must be residents of the dwelling.
- Can clients visit my home business in Saratoga, California?
- Offices where clients are regularly met are not allowed in residential districts. Nothing may be visible from outside, and no merchandise, products or equipment can be displayed.
- Can a doctor's office be a home occupation in Saratoga, California?
- No. Medical offices are not allowed as home occupations in residential zones.
California state protections for home-based businesses
California has no general statewide home-occupation law. Cities and counties set the rules on employees, signs, customer visits and parking. State law protects a few specific home businesses:
Family child care homes (Health & Safety Code §1597.45):
- A licensed small (up to 8 children) or large (7 to 14 children) family daycare home is a residential use by right under all local ordinances, including zoning. A city can't require a use permit.
- Cities can't charge a business license, fee or tax for operating one, and it isn't a change of occupancy under building codes.
- Local rules may apply only if they are identical to those for other homes in the same zone, whether the home is rented or owned.
Cottage food operations (Gov. Code §51035; AB 1616, effective 2013):
- Cities and counties can't prohibit home cottage food operations. They must allow them as a permitted use or through a permit limited to reasonable spacing, traffic, parking and noise standards.
- A cottage food operation has no more than one full-time-equivalent employee besides family or household members. Class A (direct sales only) is capped at $75,000 a year and Class B at $150,000, adjusted for inflation (H&S Code §113758).
- You must register (Class A) or get a permit (Class B) from the county environmental health agency.
Home kitchens selling meals (microenterprise home kitchen operations): allowed only where the city or county has authorized them, with a permit and a limit of 30 meals a day and 90 a week (§113825).
What the ordinance says
- Sec. 15-12.020(f), City Code Article 15-12 - R-1 Single-Family Residential Districts, p. 1
Home occupations, conducted in accordance with the regulations prescribed in Article 15-40 of this Chapter.
- Sec. 15-40.010(b), City Code Article 15-40 - Home Occupations, p. 1
A home occupation shall be conducted within a dwelling by an occupant thereof, and shall be clearly incidental to the use of the structure as a dwelling.
- Sec. 15-40.010(c), City Code Article 15-40 - Home Occupations, p. 1
A home occupation shall not be conducted in an accessory structure and there shall be no storage of equipment or supplies in an accessory structure or outside the dwelling.
- Sec. 15-40.010(f), City Code Article 15-40 - Home Occupations, p. 1
Medical offices for doctors, dentists, osteopaths, chiropractors and other practitioners of the healing arts are not permitted as home occupations in any A, R-1, HR, R-OS or R-M district.
- Sec. 15-40.010(g), City Code Article 15-40 - Home Occupations, p. 1
No person other than a resident of the dwelling shall be employed in the conduct of a home occupation.
- Sec. 15-40.010(i), City Code Article 15-40 - Home Occupations, p. 1
Not more than one truck, of not more than one-half ton capacity, and no semi-trailers, incidental to a home occupation shall be kept on a site.
- Sec. 15-40.010(k), City Code Article 15-40 - Home Occupations, p. 1
There shall be no display of merchandise, products or other material or equipment for advertising purposes.
- Sec. 15-40.010(l), City Code Article 15-40 - Home Occupations, p. 1
Professional or administrative offices wherein clients or prospective clients are regularly met upon the premises shall not be permitted as home occupations in any A, R-1, HR, R-OS or R-M district.
- Sec. 15-12.030(f), City Code Article 15-12 - R-1 Single-Family Residential Districts, p. 1
Nursing homes and day care facilities, in excess of six persons being cared for at the facility.