---
title: Colwood home-based business rules
question: "Can I run a business from my home?"
place: Colwood, British Columbia, Canada
place_path: ca/bc/colwood
category: Starting and running a business
owner: municipal
owner_body: City of Colwood
sources_read: 2026-11-05
review: machine_checked
canonical: "https://govhandbook.com/ca/bc/colwood/home-based-business/"
json: "https://govhandbook.com/ca/bc/colwood/home-based-business.json"
---

# Colwood home-based business rules

**Question:** Can I run a business from my home?

**Short answer:** Yes, in Colwood you can run a home occupation if your zone allows it and you hold a City business licence ($100). It must be carried on inside the home, leave its outside appearance unchanged, and have at most one employee who does not live there.

**Who handles it:** Municipal (City of Colwood, https://www.colwood.ca)  
**Cost:** $100 for a Home Crafts/Home Occupation business licence, non-refundable (Fees and Charges Bylaw 1603).  
**Where:**
- Online: Online Business Licence Application, https://ca.services.docusign.net/webforms-ux/v1.0/forms/06eaafe0b0b583af859ba3ab891c1940
- Phone: Planning, 250-294-8153
- Email: Planning, planning@colwood.ca
- Phone: City Hall, 250-478-5999

## Key facts

- **Allowed:** Yes, in zones that list home occupation as a permitted use (for example R1, R2, R4, AR1, AG1). An office-only home occupation, secondary to a residential use, is permitted in any zone unless the zone excludes it. Section 2.1.07 conditions apply.
  - Source: [Land Use Bylaw No. 151, 1989 (consolidated to August 24, 2026), section 2.1.07, s. 2.1.07](https://colwood.civicweb.net/document/1999)
  - Official wording: "A home occupation when permitted in any zone shall be subject to the following regulations" … "Except where specifically excluded the following uses shall be permitted in any Zone:" … "5. Home occupations – office use only, secondary to a residential use;"
  - Source: [Land Use Bylaw No. 151, 1989 (consolidated to August 24, 2026), section 2.1.07, s. 2.1.10](https://colwood.civicweb.net/document/1999)
  - Official wording: "5. Home occupations – office use only, secondary to a residential use;"
  - Source: [Land Use Bylaw No. 151, 1989 (consolidated to August 24, 2026), section 2.1.07, s. 5.6.01 (R1 zone)](https://colwood.civicweb.net/document/1999)
  - Official wording: "the following uses and no others shall be permitted in the Residential 1 (R1) Zone" … "3. Home occupation;"
  - Check: wording matched the official text retrieved 2026-11-06
- **Business licence:** Yes, a business licence is needed. Home Crafts/Home Occupation licence: $100 (non-refundable).
  - Source: [Business Licence Bylaw No. 1812, s. 6(b)](https://colwood.civicweb.net/document/165)
  - Official wording: "No person shall carry on within the City, any business unless they are the holder of a valid and subsisting Licence"
  - Source: [Fees and Charges Bylaw No. 1603, Schedule I](https://colwood.civicweb.net/document/177)
  - Official wording: "Home Crafts/Home Occupation $100"
  - Source: [Business Licence Bylaw No. 1812, s. 3 definitions](https://colwood.civicweb.net/document/165)
  - Official wording: "Home Crafts/Home Occupation” means an occupation or profession which is clearly incidental to the use of a dwelling unit for residential purposes"
  - Check: wording matched the official text retrieved 2026-11-06
- **Limits:** Carried on wholly inside the dwelling unit (lots of 5,000 m² or more may use an accessory building up to 40 m²). No change to outside appearance. Residents plus one non-resident employee. One unlit sign up to 0.3 m². No outside storage. No extra noise, odour, dust or traffic.
  - Source: [Land Use Bylaw No. 151, 1989 (consolidated to August 24, 2026), section 2.1.07, s. 2.1.07](https://colwood.civicweb.net/document/1999)
  - Official wording: "A home occupation shall not cause or result in any variation or alteration in the external residential appearance of the land and premises" … "Persons employed in a home occupation are limited to residents of the dwelling unit plus one non- resident employee." … "It shall be carried on wholly within a dwelling unit" … "An accessory building so used shall be no larger than 40 m2 in area" … "Except for one un-illuminated sign not exceeding 0.3 m2 in area" … "There shall be no storage external to the dwelling unit or accessory building"
  - Check: wording matched the official text retrieved 2026-11-06
- **Businesses not allowed:** The dwelling unit or accessory building cannot be used for manufacturing, welding or other light industrial use, and the business cannot produce noise, vibration, smoke, dust, odour, litter or heat beyond what a home normally does, or cause a fire hazard, electrical interference or traffic congestion.
  - Source: [Land Use Bylaw No. 151, 1989 (consolidated to August 24, 2026), section 2.1.07, s. 2.1.07(6)](https://colwood.civicweb.net/document/1999)
  - Official wording: "The dwelling unit or accessory building shall not be used for manufacturing, welding or any other light industrial use" … "shall not produce noise, vibration, smoke, dust, odour, litter or heat, other than that normally associated with a dwelling"
  - Check: wording matched the official text retrieved 2026-11-06
- **Bylaw:** Land Use Bylaw No. 151, 1989 (s. 2.1.07 Home Occupations, s. 2.1.10); Business Licence Bylaw No. 1812, 2020; Fees and Charges Bylaw No. 1603, 2016 (Schedule I)
  - Source: [Land Use Bylaw No. 151, 1989 (consolidated to August 24, 2026), section 2.1.07, s. 2.1.07](https://colwood.civicweb.net/document/1999)
  - Official wording: "Colwood Land Use Bylaw No. 151, 1989"
  - Source: [Business Licence Bylaw No. 1812, Whole bylaw](https://colwood.civicweb.net/document/165)
  - Official wording: "City of Colwood Business License Bylaw No.1812, 2020"
  - Source: [Fees and Charges Bylaw No. 1603, Schedule I](https://colwood.civicweb.net/document/177)
  - Official wording: "Fees and Charges Bylaw, No. 1603, 2016"
  - Check: wording matched the official text retrieved 2026-11-06

## How it works

[Land Use Bylaw 151](https://colwood.civicweb.net/document/1999) (s. 2.1.07) allows a home occupation in zones that list it as a permitted use, for example R1, R2, R4, AR1 and AG1. An office-only home occupation, secondary to a residential use, is permitted in any zone unless the zone excludes it. "Office use only" means no clients, customers or non-resident employees come to the home. You also need a City business licence ($100), and the City may require a fire inspection.

## Steps

1. Check that your zone allows a home occupation: call Planning at 250-294-8153 or email planning@colwood.ca.
2. Complete the Online Business Licence Application and pay the $100 fee.
3. If the City asks for a fire inspection, call 250-478-8321 and ask for the Prevention Division.

## Good to know

- The business must be carried on wholly inside the dwelling. On a lot of 5,000 m² or more, an accessory building up to 40 m² may be used, set back 20 m from the front lot line and 10 m from other lot lines.
- No change to the home's outside appearance. One unlit sign up to 0.3 m² is allowed.
- Staff: residents of the home plus one non-resident employee.
- No outside storage.
- No manufacturing, welding or other light industrial use, and nothing that produces noise, vibration, smoke, dust, odour, litter or heat beyond what a home normally does, or that causes a fire hazard, electrical interference or traffic congestion.
- Food or drink businesses need Medical Health Officer approval. Day care home occupations: no more than 10 children.
- Where a suite exists, a home occupation is allowed only if it creates no extra traffic or parking need (with exceptions for older licensed ones).
- Licence fees are non-refundable.

## Official forms and pages

- [Land Use Bylaw 151, section 2.1.07 Home Occupations (PDF)](https://colwood.civicweb.net/document/1999)
- [Business Licensing (City of Colwood)](https://www.colwood.ca/business-building-development/business/business-licensing)
- [Business Licence Bylaw 1812 (PDF)](https://colwood.civicweb.net/document/165)

## Related questions

- [Colwood business licences: who needs one, fees and how to apply](https://govhandbook.com/ca/bc/colwood/business-licence.md)

## The same question elsewhere

- [Home-based business rules in British Columbia, by municipality](https://govhandbook.com/ca/bc/home-based-business.md)
- [View Royal](https://govhandbook.com/ca/bc/view-royal/home-based-business.md)
- [Esquimalt](https://govhandbook.com/ca/bc/esquimalt/home-based-business.md)
- [Langford](https://govhandbook.com/ca/bc/langford/home-based-business.md)
- [Victoria](https://govhandbook.com/ca/bc/victoria/home-based-business.md)
- [Metchosin](https://govhandbook.com/ca/bc/metchosin/home-based-business.md)
- [Highlands](https://govhandbook.com/ca/bc/highlands/home-based-business.md)

## Sources

- [Land Use Bylaw No. 151, 1989 (consolidated to August 24, 2026), section 2.1.07 (PDF)](https://colwood.civicweb.net/document/1999) (read 2026-11-05)
- [Business Licence Bylaw No. 1812 (PDF)](https://colwood.civicweb.net/document/165) (read 2026-11-05)
- [Fees and Charges Bylaw No. 1603, Schedule I](https://colwood.civicweb.net/document/177) (read 2026-11-05)
- [Business Licensing, City of Colwood](https://www.colwood.ca/business-building-development/business/business-licensing) (read 2026-11-05)
- [Development, City of Colwood](https://www.colwood.ca/business-building-development/development) (read 2026-11-05)

_Checked by script, not yet by a person: the official wording behind 5 of 5 facts was matched to the official text. Gov Handbook is an independent guide, not affiliated with City of Colwood. How answers are checked: https://govhandbook.com/methods/ · Canonical page: https://govhandbook.com/ca/bc/colwood/home-based-business/_