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Montgomery County, MD Home Business: Zoning & Home Occupation Permits (2026)

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

Key Facts

Floor area cap
33% of dwelling or 1,500 sq ft
Low Impact employees
1 non-resident, in any 24 hrs
Major Impact employees
2 non-resident, in any 24 hrs
Registration agency
Dept. of Permitting Services (DPS)
Excluded cities
Rockville, Gaithersburg, 5 others

Summary

Montgomery County zoning caps home occupations at 33% of dwelling floor area or 1,500 sq ft, whichever is less, and requires DPS registration for any Low or Major Impact tier that hires non-resident help.

City-specific rules exist: Gaithersburg, and Rockville have their own zoning & home occupation permits rules that differ from Montgomery County's county-level regulations. If you live in one of those cities, check the city-specific page instead.

Home Occupation means any occupation that provides a service or product and is conducted within a dwelling unit by a resident of the dwelling unit. ... The maximum amount of floor area used for the Home Occupation must not exceed 33% of the total eligible area of the dwelling unit and any existing accessory building on the same lot, or 1,500 square feet, whichever is less.

Source: Montgomery County DPS — Home OccupationView official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-90: Montgomery County Code contains legislation effective through May 7, 2026 | Zoning Updated Effective: April 13, 2026 | COMCOR Regulations effective as of July 1, 2026).

Full Breakdown

Chapter 59 defines Home Occupation and splits it into three tiers: No Impact (resident-only, no registration, 5 visits/week cap), Low Impact (1 non-resident employee, DPS registration, 20 visits/week), and Major Impact (2 non-resident employees, DPS registration or conditional use, 35 visits/week). All tiers must stay within 33% of eligible floor area or 1,500 sq ft, ban exterior storage and in-home vehicle repair, and bar hazardous-material use. This zoning chapter does not apply inside Rockville, Gaithersburg, Brookeville, Poolesville, Laytonsville, Barnesville, or Washington Grove, which set their own rules.

Violations & Fines

DPS inspects on complaint, must rule within 90 days, and issues a warning notice giving 30 days to correct before citing under Division 7.8 or requiring a conditional-use hearing.

Frequently Asked Questions

Do I need a permit to run a business from my Montgomery County home?
Only if you hire a non-resident employee or exceed No Impact limits: then you must register the Home Occupation (Low or Major Impact) with DPS.
Can I store business inventory in my garage?
Only inside the dwelling or one accessory building, capped at 33% of eligible floor area or 1,500 sq ft, with no exterior storage or display.

Sources & Official References

Other rules in Montgomery County

All Montgomery County rules

How Montgomery County compares: Easiest Cities to Run a Home Business·Compare Montgomery County to another location·View the Maryland home business overview

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Zoning & Home Occupation Permits in Cities Across Montgomery County