Either is possible.
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Little GirlIf someone teaches music at the client's homeI would not use 'operate' at all; that is for a business.
Little Girlouldn't teaching music on a regular basis classify as the sole trade form of business?Not one that 'operates'. She teaches in/at her home.
Little GirlI hope it is not a strict rule.It is not a matter of rules; it is a matter of fluent usage.
Little GirlYou did not, by the way, answer my other question.I believe I did: She teaches in/at her home.