Can I run a business from home in Mount Desert, Maine?
Yes. Most home occupations and home offices in Mount Desert need a permit from the Code Enforcement Officer, unless they are temporary or casual. Besides you, the business can employ up to 3 family members who live there or up to 2 people who live elsewhere, and all goods sold must be made on the property. A sign can be up to 2 sq ft.
| Approval | Code Enforcement Officer permit (except temporary or casual activities) [1] |
| Employees | Up to 3 resident family members, or up to 2 non-residents [2] |
| New building for the business | Needs a separate CEO permit [3] |
| Goods sold | Must be produced on the property [4] |
| Max sign size | 2 sq ft [6] |
| Districts where prohibited | Stream Protection and Village Residential 3 [7] |
| Bed and breakfast | Host lives there; max 3 guest rooms and 8 guests [8] |
What counts
A home occupation is a job or profession customarily carried on in a home or on residential property that is clearly incidental to and compatible with the residential use [5]. Mount Desert treats home occupations and home offices the same way. Except for temporary or casual activities, they need a Code Enforcement Officer permit to make sure they meet the standards [1].
Standards
- Employees: besides the resident family member, the business can employ either up to three family members who live on the property or up to two people (family or not) who live elsewhere [2].
- Space: the business must be run in a structure that exists when you apply. You can't build or use another structure for it without a CEO permit [3].
- Sales: all goods sold on the property must be produced there [4].
- Parking: off-street parking may be required [4].
- Compatibility: the activity must be compatible with the home and the neighbors [1].
Signs
A sign showing the name, address and profession of a permitted home occupation is allowed if it's no larger than 2 sq ft [6]. Bigger permanent signs need a building permit.
Where it's allowed
The use table lists home occupations as needing a CEO permit in every district except Stream Protection and Village Residential 3, where they are prohibited [7].
Bed and breakfast
A bed and breakfast is allowed in the host's own legal residence if the host lives there. It's limited to 3 guest rooms and 8 guests, with off-street parking [8].
Not addressed
The ordinance doesn't list specific banned home businesses or limit customer visits. The cover of our copy lists amendments through May 5, 2026; confirm with the town that it is current.
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Next steps
- Check that the business fits the employee limits and will run in an existing building on your property.
- Apply to Mount Desert Code Enforcement / Planning (207-276-5731) for a home occupation permit, describing the activity, who works there and where customers will park.
- If you want a sign larger than 2 sq ft or a new building for the business, include that in your application.
- If you're in the Stream Protection or Village Residential 3 district, ask the CEO first, since home occupations aren't allowed there.
Common questions
- Can I run a business from my home in Mount Desert, Maine?
- Yes. Most home occupations and home offices need a Code Enforcement Officer permit, unless they are temporary or casual. The activity must be compatible with the home and the neighbors.
- How many employees can a home business have in Mount Desert, Maine?
- Besides you, up to 3 family members who live on the property, or up to 2 people who live elsewhere.
- How big can a home business sign be in Mount Desert, Maine?
- A sign showing the name, address and profession can be up to 2 sq ft. Bigger permanent signs need a building permit.
- Where are home businesses not allowed in Mount Desert, Maine?
- They are prohibited in the Stream Protection and Village Residential 3 districts. A bed and breakfast is allowed in the host's own home with at most 3 guest rooms and 8 guests.
Maine state rules for home businesses
Maine has no statewide home-occupation law. Whether you can run a business from home, and with what limits, is mostly up to your town's zoning. A few state rules may apply:
- Sales tax registration: If you regularly sell taxable goods or services from home, you must register with Maine Revenue Services and collect sales tax.
- Home food businesses: Making shelf-stable foods (baked goods, jams and similar) to sell requires a Home Food License from the Maine Department of Agriculture, Conservation and Forestry. It costs $20 a year and needs an initial kitchen inspection. Foods that must be refrigerated need a commercial license instead.
- Family child care: A state law (30-A M.R.S. §4364-D) makes family child care providers a permitted use in residential zones, under the same zoning rules as a single-family home. As amended in 2026, towns must follow it starting July 1, 2027. State child care licensing applies separately.
- Shoreland zone: The DEP's model shoreland ordinance defines a home occupation as one clearly incidental to the home, with no more than 2 employees besides family members living there. It requires a planning board permit in Limited Residential, Resource Protection and Stream Protection districts, and a code officer permit in Limited Commercial districts.
What the ordinance says
- Sec. 6B.10, Home occupations and home offices, Land Use Zoning Ordinance, p. 53
Home occupations and home offices (except those of a temporary or casual nature) shall require a permit from the Code Enforcement Officer to insure compliance with the following standards:
- Sec. 6B.10.1.2, Land Use Zoning Ordinance, p. 53
employs, in addition to the resident family member, either: a. no more than three family members residing on the property, or b. no more than two persons (family members or not) who do not reside on the property and;
- Sec. 6B.10.1.3, Land Use Zoning Ordinance, p. 53
is conducted in a specified structure, existing at the time of the application. No additional structure shall be built or used to accommodate the occupation, without first being granted a permit from the Code Enforcement Officer.
- Sec. 6B.10.1.4-5, Land Use Zoning Ordinance, p. 53
All goods sold on the home property must be produced on the home property. 5. Off-street parking may be required.
- Sec. 8, Definitions: Home Occupation, Land Use Zoning Ordinance, p. 112
HOME OCCUPATION: An occupation or profession which is customarily conducted on or in a residential structure or property and which is clearly incidental to and compatible with the residential use of the property and surrounding residential uses.
- Sec. 6B.16.5.2, Home occupation signs, Land Use Zoning Ordinance, p. 57
Signs announcing the name, address, and profession of a permitted home occupation or a lawfully existing non-conforming home occupation are allowed, providing such signs do not exceed two (2) square feet in display area.
- Sec. 3.4, Permitted, Conditional, and Excluded Uses by District (table), Land Use Zoning Ordinance, p. 16
Home occupation CEO CEO CEO CEO CEO CEO CEO CEO X X
- Sec. 6B.10.2, Bed and breakfast, Land Use Zoning Ordinance, p. 53
Bed and Breakfast accommodations are permitted in the legal residence of the host/hostess who shall reside on the premises. There shall be not more than three (3) rooms devoted to guests nor more than eight (8) people accommodated. Off-street parking is required.