If you wish to run a business from your place of residence the following information will help determine if it’s possible or if you need development consent.
There are four types of home-based business:
- home business
- home industry
- home occupation
- home occupation (sex services)
The main definition of all the types home based commercial enterprises is that there is no impact on the neighbourhood by way of emission of noise, vibration, smell, fumes, smoke, vapour, steam, soot, ash, dust, wastewater, waste products, grit or oil, traffic generation or otherwise.
If your proposed development will likely have one or more of the above impacts, it will not meet the definition of the following uses and a HBCE will not be permissible.
Home Business means a business, whether or not involving the sale of items online, carried on in a dwelling, or in a building ancillary to a dwelling, by 1 or more permanent residents of the dwelling and not involving the following:
(a) the employment of more than 2 persons other than the residents,
(b) interference with the amenity of the neighbourhood because of the emission of noise, vibration, smell, fumes, smoke, vapour, steam, soot, ash, dust, waste water, waste products, grit or oil, traffic generation or otherwise,
(c) the exposure to view, from adjacent premises or from a public place, of unsightly matter,
(d) the exhibition of signage, other than a business identification sign,
(e) the retail sale of, or the exposure or offer for retail sale of, items, whether goods or materials, not produced at the dwelling or building, other than by online retailing,
but does not include bed and breakfast accommodation, home occupation (sex services) or sex services premises.
Home Industry means an industrial activity, whether or not involving the sale of items online, carried on in a dwelling, or in a building ancillary to a dwelling, by 1 or more permanent residents of the dwelling and not involving the following:
(a) the employment of more than 2 persons other than the residents,
(b) interference with the amenity of the neighbourhood because of the emission of noise, vibration, smell, fumes, smoke, vapour, steam, soot, ash, dust, waste water, waste products, grit or oil, traffic generation or otherwise,
(c) the exposure to view, from adjacent premises or from a public place, of unsightly matter,
(d) the exhibition of signage, other than a business identification sign,
(e) the retail sale of, or the exposure or offer for retail sale of, items, whether goods or materials, not produced at the dwelling or building, other than by online retailing,
but does not include bed and breakfast accommodation or sex services premises.
Industrial activity means the manufacturing, production, assembling, altering, formulating, repairing, renovating, ornamenting, finishing, cleaning, washing, dismantling, transforming, processing, recycling, adapting or servicing of, or the research and development of, any goods, substances, food, products or articles for commercial purposes, and includes any storage or transportation associated with any such activity.
Home occupation means an occupation that is carried on in a dwelling, or in a building ancillary to a dwelling, by one or more permanent residents of the dwelling and that does not involve:
(a) the employment of persons other than those residents, or
(b) interference with the amenity of the neighbourhood by reason of the emission of noise, vibration, smell, fumes, smoke, vapour, steam, soot, ash, dust, waste water, waste products, grit or oil, traffic generation or otherwise, or
(c) the display of goods, whether in a window or otherwise, or
(d) the exhibition of any signage (other than a business identification sign), or
(e) the sale of items (whether goods or materials), or the exposure or offer for sale of items, by retail,
but does not include bed and breakfast accommodation, home occupation (sex services) or sex services premises.
Home Occupation (sex services) means the provision of sex services in a dwelling that is a brothel, or in a building that is a brothel and is ancillary to such a dwelling, by no more than 2 permanent residents of the dwelling and that does not involve:
(a) the employment of persons other than those residents, or
(b) interference with the amenity of the neighbourhood by reason of the emission of noise, traffic generation or otherwise, or
(c) the exhibition of any signage, or
(d) the sale of items (whether goods or materials), or the exposure or offer for sale of items, by retail,
but does not include a home business or sex services premises.
Under clause 5.4 of the Newcastle Local Environmental Plan 2012 there are restrictions on the maximum floor area that a Home business and Home Industry can have:
- Home Business – 30m²
- Home Industry – 50m²
- Food Business: If your proposed commercial enterprise involves food handling, such as cooking, repackaging or combining food; you will need to register the business with City of Newcastle as a New Food Business.
- Skin Penetration: If your proposed commercial enterprise involves Skin Penetration procedures, you will need to register the business with City of Newcastle as a Skin Penetration Business.
It is recommended that contact is made with our Environmental Health Team on 02 4974 2000 to discuss either of the above in more detail.
Development consent may not be required for a Home Business, Home Industry or Home Occupation.
The State Environmental Planning Policy (Exempt and Complying Development Codes) 2008 provides for exempt development for a home business, home industry or home occupation as long as:
- The use does not involve the manufacture of food products or skin penetration procedures
- Does not involve a change of building use (under the Building Code of Australia, a change of building use involving a floor area greater than 10% of the floor area of a building would cause the building to contravene the development standard).
A home business or home industry does not exceed the maximum floor area prescribed by the Local Environmental Plan (please see: 'Maximum floor area for certain development' as above).
The Newcastle Local Environmental Plan 2012 permits Home Occupation (this does not include Home Occupation (Sex Services)), without needing to obtain development consent within the following land zones:
- R2 Low Density Residential
- R3 Medium Density Residential
- R4 High Density Residential
- B1 Neighbourhood Centre
- B2 Local Centre
- B3 Commercial Core
- B4 Mixed Use
- RE2 Private Recreation
- E2 Environmental Conservation
- E3 Environmental Management
- E4 Environmental Living
If your proposed development does not meet the exempt development criteria or development permitted without consent, development consent may be sought through a development application with Council.
First you will need to determine if your type of HBCE is permissible with consent within the zoning of the property address.
To find the zoning of your property you may search your address on the NSW Planning Portal.
See the following table to determine if your type of HBCE is permitted in your zoning.
Lodgement method and details to submit can be found on our website, at Lodging an Application.