Riverside, CA Home Business: Home Occupation Permits (2026)

To legally operate a home-based business in Riverside, a resident must apply for a Home Occupation Permit with the Planning Division and register for a Business Tax Certificate with the City's Business License Office. The HOP is a ministerial, over-the-counter review that verifies the proposed use meets the standards in RMC Chapter 19.440 — no employees from outside the household, no exterior evidence of the business, limited client visits, no outdoor storage, and so on. The application form asks for a description of the business, expected client traffic, hours of operation, and a sketch showing the portion of the home used. Application fees are modest (generally under $100). Once approved, the HOP remains valid as long as the business continues to comply; material changes (adding client traffic, switching from online to in-person service) require an amendment. The Business Tax Certificate is a separate annual registration based on gross receipts and must be renewed each year. Certain occupations require state licensing on top of the HOP — contractors (CSLB), real estate agents (DRE), attorneys (State Bar), cosmetologists (Board of Barbering and Cosmetology). Cottage Food Operations, family daycares, and short-term rentals have their own separate permitting tracks outside the standard HOP. Renting a home entirely to a tenant who then operates a business also requires landlord awareness and, typically, landlord acknowledgment on the HOP. Operating without a permit can lead to code-enforcement citations and closure orders.