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Town News

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Home-Based Businesses/Home Occupations

The Town of Collierville values the small business endeavors of its citizens; however, it also has a goal and obligation to protect the residential character of its neighborhoods. To accomplish this goal, §151.205(D) of Collierville's Zoning Ordinance allows "Home-based Businesses/Home Occupations," which are businesses, professions, occupations, and trades as defined by §151.003 of the Zoning Ordinance as being conducted "within a residential dwelling unit and is incidental and secondary to the residential use of the lot and that does not adversely or preceptively affect the character if the lot or surrounding area".

To preserve and protect residential neighborhoods, home-Based businesses/Home occupations are categorized into two (2) distinct types and permitted only in certain Zoning Districts as identified in the Land Use Table included in §151.025(D) of the Zoning Ordinance. Each type has "performance standards" to specific limits on impacts as they pertain to the business aspect of the home.

  • Type 1 Home-based businesses/Home Occupations:

These types of home-based businesses are those that create no increase in traffic to the neighborhood, and are not visibly detectable. Non-residents (customers, special deliveries, visits by off-site employees) are only allowed to visit the home on a very limited basis.  Type 1 Home-based businesses/Home Occupations are permitted "by right" in all dwellings in Town; however, a business license may be required. Collierville residents interested in a Type 1 Home-based business/Home Occupation should contact the Finance Department (457-2282) to determine if a business license is required. The Finance Department will ask that applicants to complete a questionnaire about the operation of the home-based business and sign a statement that they understand and agree with the zoning regulations applicable to home-based businesses. Certain home-based businesses may not require a business license, but residents are still encouraged to complete the questionnaire and submit it to the Planning Division to insure that they do not violate any of the Town's regulations designed to preserve and protect residential neighborhoods.

  • Type 2 Home-based Businesses/Home Occupations:

Type 2 Home-based Businesses/Home Occupations, are similar to a Type 1 Home-based businesses/Home Occupations, but allow for home-based businesses on larger lots (single family dwellings on 2 acres or more to have limited traffic increases due to customers or deliveries. Only the Board of Mayor and Aldermen (BMA) can approve Type 2 Home-based businesses/Home Occupations at a residential address through a process called a Conditional Use Permit (CUP). Type 2 Home-based businesses/Home Occupations are able to use accessory structures in the operation in greater ways (i.e office space) thank a Type 1 can.

Collierville residents interested in a Type 2 Home-based businesses/Home Occupations should complete a questionnaire about the operation of the business and contact the Planning Division at 901-457-2360 to schedule a Pre-application Conference to begin the CUP process.  Nonrefundable fees apply if a CUP is needed. Allow sixty (60) days or more for the processing of a Type 2 Home Occupations, as two public meetings (Planning Commission, Board of Mayor and Aldermen) are applicable to approve the CUP.

It should be noted that issuance of a business license by the Town of Collierville, does not mean that a business is permitted in a home by zoning. Also, the Town's limitations on home-based businesses/home occupations apply only to activities at the home and are not intended to regulate business activities that occur off-site. Agricultural uses are not considered home occupations and instead are regulated as principal uses per §151.021, which is the Use Table.