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Legal
Considerations for Your Home Freelance Business
by Rachel Goldstein owner of Allfreelancework.com
- 1000s of freelance jobs
So you are ready to set up your freelance business
in your home? There are a few legal regulations that
you should keep in mind.
ZONING
LAWS
There
are millions of businesses being run from a home office
in violation of local zoning regulations. You might
want to check with your local county office or zoning
department to find out what the zoning laws are in your
area. Only then will you know for sure if it is legal
to run your business from your home. If your business
is going to be run in a residentially zone area, you
will need to follow strict guidelines. Some of these
guidelines might be where the home business is allowed,
type of business, and the amount of space. These guidelines
may not inhibit the running of your business at all,
but you should find out what these regulations are.
And, if you are renting an apartment, check your lease
to make sure that you are allowed to run a business
from it.
SALES
TAX PERMITS
Are
you planning to buy goods for resale or purchasing materials
used in creating a product? Then you require a sales
tax number. You will be collecting tax from the buyer
and then sending it to the government tax office. An
example of this is an artist selling his art. Contact
your state or provincial tax office for more details.
BUSINESS
NAME
You
will need to register your business name
INSURANCE
Whether
you are renting or own your own living establishment,
you most likely have insurance. With a standard homeowner
policy, your home business will not be covered. This
means that your homeowner's policy won't cover you for
accidents involving your business. To cover your business,
you should look into extending your liability insurance.
You should also look into a policy endorsement, which
will increase your business-related coverage and liability
protection.
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