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Home Based Business

The City of Lethbridge offers resources and guidance to those looking to start a home-based business.

A home-based business is defined by any occupation, trade or craft carried on by a person who lives in a residential dwelling where the business is the secondary use of the dwelling. However, this use excludes woodworking, welding, machine shops, automotive, autobody and/or paint shops.

Getting started with a home-based business

All home-based businesses require a valid City of Lethbridge business licence, unless otherwise federally or provincially exempt. Learn how to get a business license from the City.

Types of home-based businesses

There are three types of home-based businesses:

  • Type A – Type A home-based businesses are businesses with no customer visits. They are permitted in all residential zoning districts and can be easily approved, provided that all performance standards are met.
  • Type B – Type B home-based businesses are businesses with customer visits. They are discretionary uses in all residential zoning districts, which means that when applied for, the application must be advertised in the newspaper and is open to appeal by anyone who feels that they may be negatively affected.
  • Type C – Type C home-based businesses are businesses that offer music instruction to students. They are discretionary uses in all residential zoning districts, which means that when applied for, the application must be advertised in the newspaper and is open to appeal by anyone who feels that they may be negatively affected.

Licence fees

  • Type A (residence is used for desk, phone and authorized vehicle only with no customer visits): $193
  • Type B (other types of home occupations and workshops with customer visits): $288
  • Type C (residence is used for music teachers): $193

Performance standards

The following performance standards must be met by all home-based businesses.

  • Type A home-based businesses must have no customer or student visits; no minimum or on-site parking spaces; and no supplier visits.
  • Type B home-based businesses must have a maximum of six customers per day, one at a time by appointment only; one parking space in addition to other required parking; and one supplier visit per week.
  • Type C home-based businesses must have a maximum of 15 students per day and no more than five at a time; have parking spaces as required by the development authority; and one supplier visit per week.

Home-based business requirements

  • Only permanent residents of the home may carry out any aspect of the home-based business and act as employees.
  • No aspect of the home-based business may be visible from outside the building. Signs are not permitted.
  • Only a passenger vehicle or a truck/van (excluding a cube van), with a maximum of one tonne capacity and six metre length is permitted.
  • No outside storage of goods, materials or equipment is permitted.
  • No offensive impacts on the household or neighbouring households are permitted. This includes, but is not limited to noise, dust, odour, fumes, excessive light or fire hazards.

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