Can I run a business from home in Portland, Maine?
Yes. Portland allows home occupations as an accessory use if the business stays incidental to the home and meets the code's standards. Up to 2 nonresident employees may work on site, signs are limited to one unlit sign of 2 sq ft, and clients may visit only from 7 a.m. to 8 p.m. Remote work, and businesses with no employees, no customers and no outside impacts, aren't home occupations and are exempt.
| Approval | Allowed as an accessory use; no separate home-occupation permit found in the Land Use Code [1] |
| Employees | Residents plus no more than 2 nonresident employees on site [4] |
| Signs | One non-illuminated sign, 2 sq ft max, attached to the building [5] |
| Customer/client hours | 7:00 a.m. to 8:00 p.m. [7] |
| Where conducted | Entirely inside the house or an accessory structure (except licensed family child care) [3] |
| Floor area for accessory uses | No more than 25% of the principal building's floor area (general accessory-use cap; applies by inference) [10] |
| Prohibited | Hazardous materials, dispensing medication, storing semi-trucks or heavy equipment, vehicle/engine repair [8] |
| Family child care | Up to 12 children; not subject to accessory floor-area limits [9] |
| Remote work / no-impact businesses | Not home occupations; exempt [11] |
Is it allowed?
The Land Use Code allows accessory uses alongside permitted principal uses like a home [1]. Home occupations get their own standards in Section 6.6.2(E). A home occupation must be incidental to the residential use and can't change the home's essential residential character [2]. You can't make alterations that look non-residential or display products visible from outside. All business activity, storage and equipment must be entirely inside the house or an accessory structure. Licensed family child care providers may also use outdoor space needed for state licensing [3]. Under the general accessory-use rule, accessory uses inside a building can occupy no more than 25% of its floor area [10].
Employees, signs, visitors
Only residents plus no more than two nonresident employees may work on the premises [4]. You may have one non-illuminated sign no larger than 2 sq ft [5]. It must be attached to the building and project no more than 1 foot [6]. Traffic can't exceed what's normal for a residential neighborhood, and client visits are limited to 7 a.m. to 8 p.m. [7].
What's prohibited
A home occupation can't use or store hazardous materials (toxic, explosive, flammable and so on) or dispense medication. It can't produce noise, odor, vibration or other nuisances beyond normal residential levels. Storing semi-trucks, trailers or heavy commercial equipment is prohibited [8], and so is repairing vehicles, heavy machinery or engines. Repairing small electronics or appliances is allowed.
Exemptions
A family child care provider run as a home occupation isn't bound by the accessory floor-area limit but is capped at 12 children [9]. Businesses with no employees, no off-site customers and no external impacts aren't considered home occupations, and remote work is also exempt [11].
A state law effective July 1, 2027 requires towns to treat family child care as a permitted residential use. That may affect how Portland applies its 12-child limit, so check state licensing rules too.
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Next steps
- Check your business against the Section 6.6.2(E) standards: inside the home, 2 or fewer nonresident employees, client visits 7 a.m.-8 p.m., no hazardous materials or vehicle repair.
- If you're just working remotely or have no employees, customers or outside impacts, no home-occupation rules apply.
- Call Permitting & Inspections (207-874-8703) to confirm whether a zoning determination, sign permit, or change-of-use permit is needed for your business.
- Register with Maine Revenue Services for sales tax if you sell taxable goods, and get any state licenses (e.g., home food or child care).
Common questions
- Can I run a business from my home in Portland, Maine?
- Yes. Portland allows home occupations as an accessory use if the business stays incidental to the home and meets the code's standards. No separate home-occupation permit was found in the Land Use Code.
- How many employees can I have in a home business in Portland, Maine?
- Only residents plus no more than 2 nonresident employees may work on the premises.
- Can I put up a sign for my home business in Portland, Maine?
- Yes, one non-illuminated sign no larger than 2 sq ft, attached to the building. Client visits are limited to 7 a.m. to 8 p.m.
- What can't I do in a home business in Portland, Maine?
- You can't use or store hazardous materials, dispense medication, store semi-trucks or heavy equipment, or repair vehicles, heavy machinery or engines. Repairing small electronics or appliances is allowed.
- Do I need a home occupation permit if I just work remotely in Portland, Maine?
- No. Remote work, and businesses with no employees, no off-site customers and no external impacts, aren't considered home occupations and are exempt.
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. 6.6.1(A), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 97
A. Accessory uses shall be permitted in conjunction with permitted or conditional principal uses.
- Sec. 6.6.2(E)(1), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 100
1. A home occupation shall be incidental to the residential use of a dwelling, and shall not change the essential residential character of the dwelling.
- Sec. 6.6.2(E)(3), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 100
entirely within a principal building or accessory structure. This does not apply to the home occupation of licensed family childcare provider, which may include outdoor space needed to meet state licensing requirements.
- Sec. 6.6.2(E)(7), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 100
7. A home occupation shall be limited to residents of the dwelling and no more than two nonresident employees on the premises.
- Sec. 6.6.2(E)(2), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 100
2. Exterior signs shall be limited to one non-illuminated sign not exceeding a total area of two square feet.
- Sec. 6.6.2(E)(2), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 100
Such sign must be affixed to the building, and may not project more than one foot from the façade of the building.
- Sec. 6.6.2(E)(9), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 100
9. Any clients or business-related visitors shall be limited to the hours of 7:00 a.m. to 8:00 p.m.
- Sec. 6.6.2(E)(10), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 100
10. The storage of semi-trucks, trailers, or heavy equipment such as construction or landscaping equipment used in a commercial business, is prohibited.
- Sec. 6.6.2(E)(12), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 101
12. A family childcare provider as a home occupation shall not be subject to floor area limitations for an accessory use, but shall be limited to the care of not more than 12 children.
- Sec. 6.6.1(B), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 98
B. No accessory use or uses within a building shall occupy more than a combined total of 25% of the floor area of the principal building, with the exception of required off-street parking, unless otherwise provided in Subsection 6.6.2 below.
- Sec. 6.6.2(E)(13), Land Use Code (Code of Ordinances Chapter 14, ReCode), p. 101
13. Businesses with no employees, no customers, and no external impacts are not considered home-occupations for the purposes of this subsection, and are exempt from its provisions. Remote work is also not considered a home occupation, and is exempt from these provisions.