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Step 2:

Taking the Next Step — Opening Your Business at Home

Starting a business out of your home can be a great way to reduce initial overhead costs. However, there are some things you should know to ensure that the business does not negatively impact your neighbors. Before considering operating a business in your home, we recommend that you review the previous section on business plan development, financial resources, and technical resources. 


Home-Based Business Regulations

A home-based occupation is any activity carried out by a resident for economic gain and conducted in the home. The following regulations pertain to home-based businesses in Woodridge: 


Employees - Not more than one person other than members of the immediate family residing in the home may be employed on the premises.


Signage - No outside signage is permitted.


Home Alterations - The home may not be structurally altered so as to change its character from that of a house. Not more than 25% of the gross floor area of one story of any home may be devoted to the business. The business must be conducted completely within the home.


Outdoor Storage - No outdoor storage is permitted


Permitted Uses – The Village has a list of permitted home occupations in the community.


Though home occupations do not require a Village business license, many are required to be licensed by the State of Illinois. To confirm that your businesses will be allowed as a home-based business, contact the Community Development Department at 630-719-4750.


Commercial Vehicles in Residential Districts

No commercial vehicle bearing a class designation other than A or B shall be parked or stored in a residential neighborhood, except when making a delivery or rendering a service at such premises. Additionally, no commercial vehicle exceeding nine feet in height or twenty feet in length shall be parked, stored, or located in a residential neighborhood, except when making a delivery or rendering a service at such premises.


Registering with the State of Illinois

If you conduct business in Illinois or with Illinois customers, you must register with the Illinois Department of Revenue. This includes sole proprietors, exempt organizations, and government agencies withholding for Illinois employees. All businesses that sell goods and collect sales tax must obtain an Illinois Business Tax Identification Number. That number must be tied to a physical location within the Village of Woodridge. Businesses with multiple locations may share the same IBT number, but each must have a unique location assigned. Businesses operating temporarily within the Village (e.g.,fairs, trade shows, and farmers markets) must also have an IBT number indicating that the sale took place within the borders of the Village. 


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