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Butte County, CA Home Business: Zoning & Home Occupation Permits (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Code Section
Zoning Ordinance Section 24-162
Floor Area Cap
25% of dwelling gross floor area
Minor - Employees
Residents only (no outside employees)
Major - Employees
Up to 2 non-resident employees
Minor - Clients
Up to 6 per day
Major - Clients
Up to 12 per day
Outdoor Storage
Prohibited

Summary

Home occupations are permitted in residential zones of unincorporated Butte County under Section 24-162, but only as a use clearly incidental and subordinate to the dwelling. The business may not occupy more than 25 percent of the dwelling's gross floor area, employees other than residents are capped (none for Minor, up to two for Major), customer visits are capped (6 per day Minor, 12 per day Major), and outdoor storage of business goods is prohibited.

City-specific rules exist: Chico has its own zoning & home occupation permits rules that differ from Butte County's county-level regulations. If you live in Chico, check the city-specific page instead.

Employees of a home office and a minor home occupation shall be limited to the persons residing in the dwelling unit. Major home occupations are allowed two (2) additional persons in addition to those residing in the dwelling unit. No clients are permitted to visit a home office. Not more than six (6) clients per day are permitted to visit a minor home occupation. Not more than twelve (12) clients per day are allowed to visit a major home occupation. Operations shall not occupy more than twenty-five (25) percent of the gross floor area of the dwelling unit. Goods and materials associated with a home occupation shall be stored within an enclosed structure. Outdoor storage is prohibited.

Full Breakdown

Butte County Zoning Ordinance Section 24-162 (Article IV - Supplemental Use Regulations, Division 1) sets the standards governing all home occupations in unincorporated areas. Per the Planning Division's published guidance and the PLA-02 application form, employees of a home office and a minor home occupation are limited to persons residing in the dwelling unit; a major home occupation is allowed two additional persons beyond those residing in the dwelling. No clients are permitted to visit a home office; not more than six clients per day may visit a minor home occupation; and not more than twelve clients per day may visit a major home occupation.

Operations may not occupy more than twenty-five percent of the gross floor area of the dwelling unit. Goods and materials associated with a home occupation must be stored within an enclosed structure, and outdoor storage is prohibited. Examples of major home occupations identified by the County include equipment repair, contractor's office, dog grooming, hairdressing, light assembly and shipping, catering, food processing, and home professional offices. The use must remain incidental and subordinate to the primary residential use. Cottage food operations remain governed primarily by California Health & Safety Code Section 113758 (Class A capped at $75,000 gross annual sales; Class B at $150,000), with no separate planning permit needed when sales occur off-site. 1 (Short-term rentals).

Violations & Fines

Operating a home occupation outside the Section 24-162 standards is a Chapter 24 zoning violation. The Planning Division may revoke the Administrative Permit or Minor Use Permit, require the operator to cease the business, and refer the matter to Code Enforcement (530-552-3700). Continued violations can be abated under the County's general code-enforcement authority and may incur administrative fines.

Frequently Asked Questions

How much of my house can I use for a home business in unincorporated Butte County?
Under Section 24-162, the home occupation may not occupy more than 25 percent of the gross floor area of the dwelling unit. The use must remain incidental and subordinate to the residential use of the property.
Can I have non-resident employees at a home business?
Only for a Major Home Occupation. Section 24-162 limits Minor Home Occupations and Home Offices to persons residing in the dwelling unit. A Major Home Occupation - which requires a Minor Use Permit - may have up to two additional employees beyond residents.
Can I store inventory or work equipment outside?
No. Section 24-162 requires goods and materials associated with a home occupation to be stored within an enclosed structure; outdoor storage is prohibited. This applies regardless of permit tier.

Sources & Official References

Other rules in Butte County

All Butte County rules

How Butte County compares: Easiest Cities to Run a Home Business·California rules heatmap·Compare Butte County to another location·View the California home business overview

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