If you are starting a home-based business, you will need to be aware of any restrictions on the operation of your business, and any licenses or permits that will be required—whether you are baking pies, washing cars, babysitting children, grooming dogs, or providing counseling services. Some of the common sources and types of these restrictions, licenses, and permits are: (1) local zoning laws—including for signs for your business; (2) restrictions from your HOA (homeowners’ association), property deed, or residential lease agreement; (3) tax permit (sales and use tax) or resale/reseller’s certificate; (4) occupational license; (5) city or county business license; and (6) health and safety permit.

In Arkansas, starting a home-based business requires compliance with various regulations. Local zoning laws may restrict the type of business activities you can conduct in a residential area, including the placement and size of signs. It's important to check with your city or county zoning office for specific rules. If you live in a community with a homeowners association (HOA), you must also adhere to any HOA covenants that may impose additional restrictions. Your property deed or residential lease agreement may have clauses affecting your ability to run a business from home. For tax purposes, you may need a tax permit for sales and use tax if you're selling goods or services, and a resale/reseller's certificate if you're purchasing products for resale. Certain professions require an occupational license, which is regulated by state boards or agencies. A city or county business license may also be necessary, depending on your location. Lastly, if your business involves food preparation, childcare, or other activities that impact health and safety, you may need a health and safety permit from the appropriate state or local department.