Home Business in Austin, TX (2026)
4 verified home business rules for Austin, Texas, sourced directly from the municipal code and official government pages.
Verified from official government sources
Zoning Restrictions
Austin City Code Chapter 25-2 allows Home Occupations in all residential zones subject to limits: no employees beyond residents, no customer visits except professionals (1 per 30 minutes, 5 per day), no outdoor storage, no signage, and activity confined to 25 percent of the dwelling.
Austin Home Business Zoning
Some RestrictionsCustomer Traffic Restrictions
Austin LDC Section 25-2-901 caps home business customer visits at one every 30 minutes and five total per day, with no commercial parking in front yards. Deliveries are limited to typical residential package volume; commercial vehicle visits over 1 ton require a zoning variance.
Austin Home Business Customer Traffic
Heavy RestrictionsCottage Food Operations
Austin allows cottage food production under Texas Health & Safety Code Chapter 437.001 — no local permit, up to $50,000/year gross, direct and online sales of non-hazardous foods. Labeling requires producer name, address, ingredients, allergens, and the statement 'Made in a home kitchen and not inspected by the Department of State Health Services'.
Austin Cottage Food Rules
Few RestrictionsTex. Health & Safety Code Sec. 437.001(2-b) (Cottage Food Production Operation)
Sec. 437.001(2-b). "Cottage food production operation" means an individual, operating out of the individual's home, or a nonprofit organization that: (A) produces at the individual's home... any food other than: (i) meat, meat products, poultry, or poultry products; (ii) seafood... (iii) ice or ice products... (iv) low-acid canned goods; (v) products containing cannabidiol or tetrahydrocannabin...
Home Occupation Permits
Austin does not require a standalone Home Occupation Permit for compliant home businesses — the use is permitted by right under LDC §25-2-901. Operators should verify zoning, obtain a City of Austin Business Tax Certificate if applicable, and register for Texas sales tax through the Comptroller.
Austin Home Occupation Permits
Few RestrictionsLooking for Travis County county-wide rules?
County ordinances apply to unincorporated areas and may supplement Austin city rules.
Home Business in Travis County →