What is a Hobby Business?
Hobby businesses are usually run from home (renting an office would be too expensive) and are often based on semi-recreational activities near and dear to the owner, thus earning them the nickname “hobby businesses.” There are as many types of hobby businesses as there are hobbies. A basement jewelry studio, a jazz band for hire, and an antique refinishing business might all qualify. Often a person’s hobby or sideline business is a labor of love rather than a reliable source of income. This is most often the case when the business owner or freelancer has other means of financial support — such as a regular job or a working spouse — that effectively underwrites the microbusiness.
