Two years ago, when personal investment adviser Michael McTighe decided to start his own business, he considered renting an office but quickly decided it was too expensive.
So he carved out a space in his basement – somewhere between the power tools and old furniture – to become one of 1,200 home businesses in Roseville.
The city is revamping its home-based business ordinance to make it easier for startup entrepreneurs like McTighe and to bring old regulations up to date with technology.
The last time Roseville's home occupation rules were updated was about 1996, said Economic Development Analyst Karen Garner.
"Technology has changed so much since then. It's very possible in this day and age to run a global business out of your home office," Garner said. "You just need a computer, a phone line and Internet access, and you're good to go."
Twelve years ago, it wouldn't have been possible for McTighe, who relies on cell phone, laptop and wireless Internet access, to operate his business from home.
Dial-up was still the quickest way to access the Internet, and there was no such thing as Wi-Fi "hot spots."
"The world has changed," McTighe said. "Just think about the Internet and all the wireless communication devices that we have now. We're much more mobile and able to access more information."
Not only has technology advanced, but McTighe's clients also have become more accustomed to a mobile world.
"It's OK to meet at Starbucks," McTighe said. "Before, people felt that they needed brick-and-mortar to feel that somebody's business was stable."
When he was starting out, he decided he didn't have enough clients to cover the cost of renting an office.
His home, which lies within a floodplain, had been raised, and the ground-level basement was the perfect place to set up a temporary office.
"It's my objective to get a commercial space, but until I get to that level of income, having the expense of real estate is almost prohibitive," McTighe said. "It's just a really big financial strain, and I'd rather use the money for marketing and other materials than try to pay for office space."
Garner, who worked with members of the city's Economic Development Advisory Council and the chamber of commerce, said over the years, it's become more difficult to find "starter" office space in Roseville.
"Home-based businesses are important in these economic times. As people get laid off or (are) changing jobs, we need to help them out as best we can," Garner said, adding that the city wants to encourage innovation.
"We realized that if the people who started Hewlett-Packard were to start their company in Roseville, it would be against our regulations."
One of the easiest proposed changes deals with the city's rules for office deliveries. The current ordinance restricts home office deliveries to twice a month.
"We all kind of laughed," Garner said. "Some of us get deliveries from eBay more often than that, just for our own personal stuff."
Some of the bigger recommended changes for the ordinance include allowing owners of home businesses to have employees. The proposed revision would permit one employee to work in the home with the owner at a time.
The new rules would let customers come to the home businesses on an appointment basis, with no more than one vehicle at a time.
Currently, customers are prohibited from visiting businesses unless the owner obtains a conditional use permit, which costs more than $3,000, Garner said.
The proposed changes also would allow multiple business under a single roof, so a husband and wife could both work from home and run their own enterprises.
"We want to help businesses grow," Garner said. "We want our regulations constructed in a way that when you get to a certain point and you're no longer able to meet those regulations, then it's probably time to find commercial space somewhere."
Hopefully, Garner added, those businesses will set up shop in Roseville.
The proposed new home-business ordinance is expected to go to the Planning Commission for approval later this month and then to the City Council in May.
Call The Bee's Jennifer K. Morita, (916) 773-7388.
