Do you need the permission of your scheme executives?

We live in an ever-changing world, one which saw significant changes during Covid in particular, and more specifically in the working habits of people.

In this article, we share some ideas on this interesting topic and invite scheme executives to contact their respective Relationship Managers to receive the ideal wording for the next revision of the scheme’s Conduct Rules.

Is there a difference between working from home and running a business from home? Absolutely!

Working from home means that the entity for which one works has premises elsewhere. They simply allow their staff to work from remote locations ie not on the business premises.

Running a business from home means that your home is the business address of the entity concerned. You might receive deliveries, entertain clients and other visitors etc.

What about municipal bylaws? Depending on the type of business, the municipal bylaws are unlikely to prevent the running of a business from home, provided that the property is used predominantly for residential purposes. It is the responsibility of the resident to ensure compliance with any municipal bylaw.

The good news is that working from home does not require the consent of the scheme executives. But you will still need to ensure that your work does not disturb your neighbours in any way, nor should it result in a security risk to the scheme.

On the other hand, running a business from home should require scheme executive approval if the Conduct Rules have been drawn up correctly. It is essential that the scheme executives control, for the benefit of all members, the running of businesses from residential properties.

For those contemplating running a business from home (or those already doing so without the written permission of the scheme executives), simply drop your Whitfields customer care consultant an email with the details of your business, and your scheme executives will consider your application at their next meeting.

What if the scheme executives decline your application? Scheme executives are obliged to consider all applications on their merits. If an application is unreasonably declined, you would simply follow the dispute resolution procedure as outlined by the CSOS (which is a free service), to have your application reviewed.

Whitfields has recommended wording for the Conduct Rules to ensure that they adequately address the above. Scheme executives should chat to the Relationship Managers for further details.

Does letting out one’s property, or a portion thereof, constitute running a business from home? We will look at this contentious issue next month….