Addis Ababa, the capital city of Ethiopia, a bustling metropolis is a small-scale fabric ofrnglobal mainstreams, 80% living in slums, 51% working in the informal sector. Among therninformal sector, home-based enterprise is very crucial in Addis Ababa, where 70% of thernpeople are running business reported the same. Hence, this study was motivated to explorernthe implication of accommodating home based work in the domestic space, in areas wherernthe population density is high (E.g. Addis-Ketema, Addis Ababa). Therefore, selfemployedrnwomen in Addis-Ketema are used as a case study.rnMethods employed in data collection include field observation, self -administeredrnin-depth interview with households and key-informants, photo registration,rnmeasurement and drawing of domestic spaces. Drawing on this data, the paperrnexamines implication of domestic space use for home based work.rnThe study found out that home-based enterprise (HBE) is not spatially confined tornthe dwelling and scarcity of space does not prevent from accommodating the HBErnin the dwelling. Home-based workers use the domestic space starting from therndwelling, to the courtyard and neighborhood street. As a result, HBE operatorsrnuse different techniques to configure these spaces, starting from a simplern(cleaning and changing of function of space) to comprehensive (adjustingrnpartitions, extension and enclosure of veranda, replacing the structure step-bystep,rnconstructing rooms & building temporary movable structures).rnThe study has also revealed that the benefits of accomodating this HBE at therndomestic space are: closeness to customers & service (time and money saving),rnsymbiosis in the phenomenon and optimal use of the house, householdrnparticipation and family supervision, and enhancement of security. However, thernchallenges are nuisance related (noise, smell, dust and smoke), risks relatedrn(Such as health, privacy, and security), and crowding.rnThe study found out HBEs are the primary income source to support thernhouseholds. Despite the fact that, respondents have different perceptionrnregarding the use of domestic space for home based work. The integration ofrnHBE activities into the domestic setting is appreciated: when dwellers have smallrnhousehold number, ample room area or where the activity intensively takes placernoutside the dwelling (such as, courtyard and adjacent neighborhood streets).As well as, households support the integration of the HBE activity when there isrnno movement of the working equipment. Surprisingly, households with scarcernspace and having large household number, still have positive perception due tornits being their indispensible income source, enabling them to cover their dailyrnexpenses.rnNevertheless, respondents have a negative perception towards intgration of thernhome based income generation activity in the domestic space, where the activityrncreates health related risk (dust & smoke) and crowdedness.rnBased on the findings, the study concluded that accommodation of the HBE in therndomestic space is an important way through which the low-income householdsrncan earn and boost their living. Hence, understanding the configuration andrnmeaning of the domestic space for this purpose is essential.rnKey Words: Home-based income generation; domestic space configuration, women inrnself-employment (WISE), Addis-Ketema, Addis Ababa