We analyse the determinants of self-employment and focus on the contextual environment. By distinguishing between commuters and non-commuters we are able to analyse the influence from the work and home environment, respectively. Our results indicate a significant difference between non-commuters and commuters in terms of the role of networks for becoming self-employed. Our results indicate that it is the business networks where people work, rather than where they live that exerts a positive influence on the probability of becoming self-employed. These effects are further robust over educational and occupational categories. © 2015 RSAI.