Location & Compliance

Most businesses start at home! Locating your business at home may mean fewer costs compared to other business locations. However, some types of businesses cannot be legally operated out of a home so be sure of any relevant regulations or permits. Here are questions to consider for a home-based business location:

Does the zoning of your home allow for a business? Many residential areas do not allow for commercial or retail businesses so it’s important that you make sure your zoning allows you to operate legally. Contact Columbus Building & Zoning Services if you’re located in Columbus or Franklin County Economic Development & Planning if you’re located in unincorporated Franklin County. Otherwise, please contact the municipality in which your home resides to get more information. You may also need a building permit if you’re making any changes to your home.

Do you need a license to operate your business? If you’re making taxable retail sales you will need a Vendor’s License from the State of Ohio. You will need a license from the Ohio Department of Agriculture if you plan to develop a cottage food operation, wholesale bakery products, home bakery products, meat or poultry products, dairy products, syrup or extract, frozen food, cannery products, and more. If you have a retail food business then either Columbus Public Health (if your business is in Columbus or Worthington) or Franklin County Public Health (if your business is in Franklin County but not in Columbus or Worthington) will need to license and inspect your business. Contact your local jurisdiction for additional requirements on licensing a business. For more information on business licenses please refer to the Following the Law page.

A professional alternative to a home-based location is a coworking space. Coworking spaces offer, for a regular fee, professional community and networking as well as access to high-speed internet, conference rooms, and flexible work spaces. However, they may be less flexible in terms of legality and amenities for certain businesses. Use coworker.com to identify a coworking option suitable for your business.

Incubators and accelerators may provide physical space, programming, expertise, mentorship, and financial support to help a business scale up and grow. In general, incubators offer intense mentorship for a limited period of time to help an entrepreneur launch their business. Accelerators, on the other hand, generally help an entrepreneur grow existing businesses to a larger scale. Each incubator or accelerator offers its own mix of resources and services for businesses, so it’s important to do your own research.

Here are a few questions to consider if you want to join an incubator or accelerator:

Can you afford the cost? Incubators and accelerators are not free. To secure a spot you may need to sacrifice equity in your business or pay hundreds/thousands of dollars. If your business has long-term growth potential then this may be an effective strategy for your company. But there are no promises of success!

Is this particular incubator or accelerator setup to handle food businesses? Some are created with food businesses in mind, while others may not have the right space or equipment to meet your needs.

Do you need a license to operate your business? If you’re making taxable retail sales you will need a Vendor’s License from the State of Ohio. You will need a license from the Ohio Department of Agriculture if you plan to develop meat or poultry products, dairy products, syrup or extract, frozen food, cannery products, wholesale bakery products, home bakery products, and more. If you have a retail food business then either Columbus Public Health (if your business address is in Columbus or Worthington) or Franklin County Public Health (if your business address is in Franklin County but not in Columbus or Worthington) will need to license and inspect your business. Contact your local jurisdiction for additional requirements on licensing a business. For more information on business licenses please refer to the Following the Law page.

There are many organizations that offer incubation and acceleration services in Franklin County, including some that offer services specifically for food businesses:

• ECDI Food Fort (Nonprofit) - Full range of services including commercial kitchen space, prep stations, cold/dry storage, specialized trainings, support for marketing and sales, and networking
• 1400 Food Lab (For-Profit) - Offers rentable commercial kitchens, prep stations, cold/dry storage, and coworking space for startup food businesses
• COhatch (For-Profit) - Offers a rentable commercial kitchen space at their Worthington location, in additional to meeting rooms and coworking spaces
• EDGE Innovation Hub (For-Profit) - Incubation services for food technology entrepreneurs, including networking and educational events
• North Market (Nonprofit) - Public food market providing rentable brick-and-mortar incubation space to retail food businesses
• OSU South Centers - Endeavor Center (Public University) - Large mixed-use business incubator with rentable office space

Below is a list of other incubators and accelerators:

• Converge Technologies (For-Profit) - Offers commercial engineering and business advisory services to support design, prototyping, development, and manufacturing of products
• Cultivate (Nonprofit) - Offers workshops, networking, coaching, and rentable workspaces to business startups
• The Destiny Center (For-Profit) - Offers rentable office space, coaching, and training for business owners and entrepreneurs from under-resourced and minority communities
• Dublin Entrepreneurial Center (Nonprofit) - Offers office space, meeting space, and connections to business support organizations
• Innovate New Albany (Nonprofit) - Works closely with Rev1 Ventures to provide incubator services to technology-focused startup businesses
• The Point at Otterbein (Private University) - Offers maker spaces with state-of-the-art tools, coworking space, event space, professional development, and networking for business startups
• Rev1 Ventures (Nonprofit) - Wide range of resources and services for tech startups, including networking, training, rentable space, professional connections, networking, and capital access
• SEA Change (Nonprofit) - Intensive training program for social entrepreneurs that includes mentorship, partnerships, training, and a competitive pitch event for financing
• Social Ventures (Nonprofit) - Supports social entrepreneurs from initial concept through to financial viability using advocacy, education, and access to capital
• Women’s Small Business Accelerator (Nonprofit) - Offers mentorship, training, and networking for women entrepreneurs and business owners

A mobile business location allows your business to maintain flexibility and move from place to place to serve different customers. The most common example of a mobile food business is a food truck or food cart. A mobile business location can be a permanent business model or it can be a transitional business model on the way to scaling up to a “brick and mortar” commercial property. Two excellent resources for beginning a mobile food business are the Central Ohio Food Truck Association (COFTA) and ECDI Food Fort

Here are a few questions to consider if you’re starting a mobile food business:

Can you afford the cost? A food truck or food cart is more expensive than you might think. The truck itself will likely cost $50,000-$100,000 and then you will need to pay for insurance on the vehicle, fuel costs, food supplies, a point-of-sale technology, and any additional permits, certifications, or licenses. And that’s not including employees!

Do you need a license to operate your business? If you’re making taxable retail sales you will need a Vendor’s License from the State of Ohio. You will need a license from the Ohio Department of Agriculture if you plan to develop meat or poultry products, dairy products, syrup or extract, frozen food, cannery products, wholesale bakery products, home bakery products, and more. You will need to obtain a license and submit to inspection for your mobile food business from either Columbus Public Health (if your business address is in Columbus or Worthington) or Franklin County Public Health (if your business address is in Franklin County but not in Columbus or Worthington). Contact your local jurisdiction for additional requirements on licensing a business. For more information on business licenses please refer to the Following the Law page.

Where will you be allowed to operate your mobile food business? Once you have a license to operate your mobile food business, you’ll want to identify a suitable location that is zoned correctly and allows for retail food sales. If you want to operate your mobile food business within the City of Columbus on private property or within the public right-of-way you will need to obtain a Mobile Food Vending license from the Columbus Department of Public Safety, which includes different requirements based on where you will operate your food business. If you want to operate your mobile food business in unincorporated Franklin County you will need to contact Franklin County Economic Development & Planning (EDP) to ensure compliance with the zoning code. If you want to operate your business elsewhere within Franklin County you will need to contact the appropriate jurisdiction to ensure compliance with their zoning codes. Street Food Finder is another useful online tool for mobile food businesses to identify and reserve locations that are suitable for their business. The Ohio Department of Agriculture (ODA) - Food Processing and Warehousing Registration is required for businesses who will use a food processing or warehousing site in addition to their mobile food location. This registration allows a business to store food between shifts or overnight.

A commercial property (also known as “brick and mortar”) is a physical location such as a storefront, office building, warehouse, or land where you plan to build. Many businesses need commercial property to correctly and legally operate their business. You can purchase a commercial property but most businesses start by leasing. Before you purchase or lease a commercial property you want to make sure that you can legally operate your business in that space.

Here are a few questions to consider if you’re thinking about leasing or purchasing a commercial property:

Can you afford the cost? It’s important to understand your business’s financial situation before taking this step. Commercial property can be very expensive when you include monthly rent, utilities, and any remodeling costs over the course of a full lease agreement. Purchasing commercial property is even more expensive because of the sizable upfront cost.

How much space do you need and do you need room to expand? Commercial properties come in all sizes and shapes and you will likely sign a long-term lease so you want to be sure that you know exactly how much square footage you need right now. Additionally, if you plan to expand over the course of your lease, you want to make sure that you can expand within that space.

Can you legally operate your business on a commercial property? Local zoning code regulates how land can be used and what types of commercial activities can utilize the land and any structures on the land. Building code regulates the details and construction of any structures on the land. Before you sign a lease or purchase a property you want to make sure that your business can legally operate at that location. Contact Columbus Building and Zoning Services (BZS) if your business is located or operating within the City of Columbus and they will be able to assist you with commercial building and zoning services. Contact Franklin County Economic Development & Planning (EDP) if your business is located or operating within unincorporated Franklin County for anything related to zoning. For a commercial building permit in unincorporated Franklin County you will need to reach out to the State of Ohio Department of Commerce Division of Industrial Compliance. If your business is located within another jurisdiction in Franklin County please contact the appropriate local government office to ensure compliance. For more information on compliance with local zoning codes please refer to the Following the Law page.

Do you know anything about the area in which you want to locate your business? It’s important to understand the demographics and market around your business location, particularly if you are running a retail food operation. Columbus Metropolitan Library offers assistance to entrepreneurs with market research and houses online a variety of resources to determine your target market and business location. It may be beneficial to contact local chambers of commerce, business associations, and/or boards of trade operating in your location - the Networking & Mentorship page includes additional information and resources on these organizations. If your business is a food retail establishment then the Ohio Restaurant Association or the Ohio Grocers Association may be especially helpful for you. For additional food organizations please refer to the Food System Resources page.

You’ve found a building but are you ready to sign a lease? Commercial leases are complex legal documents that lay out the terms of the relationship between you and the owner of a property. We recommend that you consult with a real estate attorney before you sign any lease. You can find additional information and resources for legal assistance on the Professional Services page. The Balance - Questions to Ask Before Signing a Commercial Lease may be a helpful resource to review as you consider your next steps. Be sure to consider the following items before you sign a lease:

• Whether utilities are included in the lease price or not, who will be responsible for property maintenance, repairs, and bringing the property up to code, the cost and timeline of obtaining the necessary permits and inspections
• How much rent will increase over time
• Who will pay for property taxes
• What happens if the owner sells the property, your options to sublet, transfer, or terminate the lease
• Requirements to carry liability insurance

Do you need a license to operate your business? If you’re making taxable retail sales you will need a Vendor’s License from the State of Ohio. You will need a license from the Ohio Department of Agriculture if you plan to develop meat or poultry products, dairy products, syrup or extract, frozen food, cannery products, wholesale bakery products, home bakery products, and more. You will need to obtain a license and submit to inspection for your mobile food business from either Columbus Public Health (if your business address is in Columbus or Worthington) or Franklin County Public Health (if your business address is in Franklin County but not in Columbus or Worthington). Contact your local jurisdiction for additional requirements on licensing a business. For more information on business licenses please refer to the Following the Law page.

Do you need land for a community garden, urban farm, or other urban agriculture site? The Land Bank Center lists vacant lots available for lease and/or purchase from the Columbus Land Bank and the Central Ohio Community Improvement Corporation (COCIC), which serves as Franklin County’s landbank outside Columbus. There are rules and restrictions associated with purchasing or leasing a Land Bank property so please direct any inquiries to the City of Columbus Land Development office. Farm Commons offers free resources securing access to farmland, including writing farmland lease agreements and entering a land contract. For additional urban agriculture support please refer to the Food System Resources page.