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Home Business

How Lakewood Handles Home Business: A Practical Guide

By CityRuleLookup Editorial Team

Lakewood maintains 126 local ordinances across all categories, and 3 of those deal specifically with home business. Here is a breakdown of what the city actually requires, what is prohibited, and where Lakewood falls on the strict-to-permissive spectrum compared to other cities.

Zoning & Home Occupation Permits

Lakewood zones minor home businesses (up to 25% of floor area) as an accessory use with resident/employee caps, while major home businesses (25-50%) need special-use approval and an arterial-intersection location.

Key details: Minor tier size: Up to 25% of floor area. Major tier size: 25%-50% of floor area. Minor employees: 2 residents + 1 employee/volunteer. Major review: Special-use permit via Article 2. Major location: Within 150 ft of arterial intersection.

Running a home business beyond its size tier's employee cap, storing inventory outdoors, or operating a major home business without City special-use approval violates Lakewood's Zoning Ordinance and can draw code enforcement.

Signage Rules

Lakewood limits a home business to one wall sign, 6 square feet for a minor home business, 25 square feet for a major one, and bans freestanding signs entirely.

Key details: Minor home business: 1 wall sign, 6 sf, 8 ft. Major home business: 1 wall sign, 25 sf, 10 ft. Freestanding signs: Prohibited. Applies: All zone districts.

A home-based business that erects a freestanding sign, or a wall sign larger than its size class allows, is out of compliance and subject to Lakewood code enforcement action.

Home Daycare

Lakewood's Zoning Ordinance allows home child or adult day care as an accessory use if state-licensed, caps adult day care at six clients, and bars front-yard play equipment and residential-character-changing alterations.

Key details: State license: Required for all home day cares. Adult day care cap: Maximum 6 adults. Parking: Street frontage, driveway, garage, or carport only. Play equipment: Barred from the primary front yard.

Operating an unlicensed home day care, exceeding six adults in an adult day care, or placing child-care play equipment in the front yard violates Lakewood's Zoning Ordinance and can trigger code enforcement.

The Bottom Line

Lakewood's home business rules are a mixed bag. Some areas are strict, others are relaxed, and the details matter. The best approach is to check the specific rule that applies to your situation rather than assuming Lakewood is broadly strict or permissive.

All of the above reflects Lakewood's municipal code as of our last review. If you need specifics on fines, exemptions, or filing requirements, the detailed ordinance pages linked above have the full breakdown.