What Apartment Owners Association Rules State About Running Small Businesses From Home

If you have a potential business idea or service that you want to try out in mind, it is always wise to consult the managing committee in your apartment association well in advance. Having a small chat with the managing committee members of your apartment association can set a lot of things straight and can help you learn more about the rules and regulations involved with running a business from your flat in the apartment complex.

The Rising Trend

Workspaces are now shifting, and people no longer have to necessarily work from offices. With the advent of the internet, people can work from home with the help of a constant internet connection. Freelancers are popping up everywhere, and this is slowly turning out to be the latest mantra.

It’s likely that many people are continuing to work from home without any idea about the regulations or rules that they may be breaking. This is not a wise move, as this may turn out to be a problem sooner or later when other residents start noticing the general happenings.

Setting up home office can be tricky

Setting up home office can be tricky

So where do apartment complexes in India stand when it comes to using residential houses for commercial purposes?

The answer for this question depends on the type of business carried out. Every apartment association may have a different take on the same issue. In an overall view, using a residential apartment for business use is strictly prohibited, regardless of whether the business is conducted by the members of the household, or by a third party. The general laws state that residential units can be put to commercial use in a scale of 20%.

Do apartment association bodies have byelaws that pertain to this scenario?

Any apartment association worth its salt will have regulations that cite such instances. However, the laws state that a residential unit should not be put to ‘commercial use’. Not all jobs fall under this broad category, and this is exactly why you should consult the members of your apartment association and ask them for their views.

Commercial activities are defined as activities that involve the purchase, production and sale of physical goods, as per the law. Any kind of service provided does not fall under this category, and if that’s what you’re looking to do – your apartment association can give you the go-ahead.

Providing Services

Commercial activities are not allowed in a residential complex by the apartment association mainly because of security concerns. Your neighbors will obviously be annoyed if people keep visiting your house in noisy packs, by parking their vehicles in spaces that are purely meant for residents.

If you’re planning on providing services that are not commercial in nature, like Yoga classes, then you can talk to the managing committee in your apartment association and get the committee’s approval. You can also provide tuitions for school or college students, and other services like arts classes, dance classes and painting classes, provided your services do not interrupt the daily lives of your neighbors.


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This article aims at collating and providing information for benefit of ApnaComplex customers and blog readers. While ApnaComplex has taken every care to ensure the information is accurate, we suggest to please use it only as a guidance for further discussion and action with help of relevant professionals. If you need professional advise on this topic and any other property related matters, please send your request through our contact us form. You may post your questions/inputs in the Comments section below and we will try and get them answered through relevant subject matter experts.