Local projects are custom bits of software the user provides. These bits reside somewhere local to a project - perhaps a directory into which the user checks in items (e.g. a local directory containing a development source tree used by the group).

The canonical method through which to include a local project is to use the externalsrc class to include that local project. You use either the local.conf or a recipe's append file to override or set the recipe to point to the local directory on your disk to pull in the whole source tree.

For information on how to use the externalsrc class, see the "externalsrc.bbclass" section.