Raleigh, NC Home Business: Home Occupation Permits (2026)

Raleigh takes a streamlined approach to home business authorization. If your activity meets all standards in UDO Section 6.7.3 (clearly secondary use, under 25 percent of floor area, one non-resident employee, 4 daily visitors max, no exterior signs, no outdoor storage, no prohibited uses), no zoning permit or home occupation permit is required. The City relies on the Raleigh Business Registration, a $50 annual filing required of any business operating within city limits regardless of home or commercial location. Registration is handled online through the Raleigh Revenue Services portal and requires business name, NC Secretary of State entity number if applicable, federal EIN, description of activities, and confirmation of compliance with applicable zoning. State professional licenses (contractor, real estate, cosmetology, insurance) must be obtained separately and referenced on the registration. For operations that exceed standard home occupation thresholds, such as a home-based boarding kennel, a yoga studio with small classes, or a practice with more than 4 daily clients but that still fits the residential scale, owners may petition for a Customary Home Occupation Special Use Permit under UDO Sec 10.2.9. The Board of Adjustment conducts a quasi-judicial hearing with notice to adjacent property owners, findings of fact on compatibility, and conditions tailored to the specific use. Filing fee is $400 and typical processing takes 60 to 90 days. Approvals attach to the property and the specific operator; sale of the home does not transfer the permit. Certain uses remain absolutely prohibited regardless of Special Use approval, including auto repair, medical clinics treating patients on site, and adult entertainment.