Georgetown, TX Home Business: Home Occupation Permits (2026)

Whether a Georgetown home business needs a City permit depends on whether it qualifies as a no-impact home-based business under Texas law. The Unified Development Code's zoning use regulations (Chapter 5) set the local standards for home occupations as an accessory residential use. However, the Texas Home-Based Business Fairness Act (HB 2464, 89th Legislature) prohibits a municipality from requiring a license, permit, or other approval to operate a no-impact home-based business, and bars cities from requiring rezoning to a non-residential use or mandating fire sprinklers in single-family or duplex homes for such a business. A no-impact home-based business is one where total employees, clients, and patrons on the property stay within the municipal occupancy limit, with no substantial traffic or on-street parking, no activity visible from the street, and no substantial increase in noise. For a business meeting that test, Georgetown cannot require a home-occupation permit. Businesses that fall outside the no-impact definition (for example, those drawing regular customer visits or employees) remain subject to the City's UDC standards and may require approval. Note that Georgetown generally does not issue a residential Certificate of Occupancy, and the City confirms the State of Texas does not require a general business license for most industries, though specific professions and uses (food service through Williamson County Health District, alcohol through TABC) have their own permits. Owners should confirm their specific situation with Georgetown Planning before assuming either a permit is or is not required.