Merced County, CA Home Business: Zoning Restrictions (2026)

Under Merced County's Title 18 Zoning Code (the Unified Development Ordinance, effective November 21, 2019), the residential zone use table (Table 2-3) lists Home Occupations as Permitted (P) in every residential zone: R-R, R-1, R-1-5000, R-2, R-3, R-4, and M-H. Although shown as allowed by right, Section 18.60.080 requires review and approval of a Zoning Clearance before operating. The standards keep the use subordinate to the dwelling: the home occupation must be operated by individuals who reside in the household, with the exception of one nonresident employee; business operations such as deliveries and traffic must not change the residential character of the neighborhood; no mechanical equipment may be used other than for domestic or hobby purposes; merchandise or products may not be publicly displayed; and the appearance of the structure may not be altered by separate entrances, colors, materials, lighting, signs, or emissions of noise or vibration. The space for the home occupation, including related storage, is limited to the lesser of 250 square feet or 25 percent of the living space, must be enclosed within the structure, may not occupy required off-street parking, and outside storage is prohibited. Certain uses are prohibited as home occupations: beauty and barber shops; medical, dental, or chiropractic offices; on-site vehicle repair, bodywork, and painting; large appliance and machine repair; and contractor storage yards.