Eagan is an exceptional place for small business owners to grow and establish their companies, but some entrepreneurial residents may not know that the City has restrictions for businesses located within their home.

While some commercial activities are permitted in a residential zone under City Code, home businesses should not change the character of the surrounding neighborhood, and any activities related to running the business should not impact the use of the property as a dwelling.

The Eagan City Code of Ordinances outlines some specific standards that all home businesses (known as "home occupations") must follow:

  • A home business is any business or profession by the occupant of a home which is minor and less significant than the residential use of the home, does not change the character of the home, and complies with code requirements.
  • A home business shall be clearly incidental and secondary to the use of the residence, and shall not change the character of the residence.
  • Home occupations should not involve any sales of merchandise.
  • No more than three people can be active in the home occupation.
  • No more than three off-street parking spaces are allowed for use by employees and visitors.
  • The home occupation should be conducted within the home and not out of a garage or shed, with only the main entrance to the home used to access the business.
  • Home occupation activities should not be visible from the street, including any outdoor storage of tools, equipment, and/or vehicles, or any advertising signs.

If you have any questions about whether a home occupation meets the standards within the City Code, call Code Enforcement staff at (651) 675-5690.