Business type guide
Last updated: August 1, 2026
A cottage food business makes approved food in a home kitchen and sells it under a state cottage food law, home processor rule, or similar exemption. There is no single U.S. cottage food license.
Your steps depend on your state, product, kitchen, and sales method.
Bottom line
You may be able to sell cookies, breads, candies, jams, dry mixes, or other shelf-stable foods made at home. First, prove that your exact recipe fits your state program. Then check registration or permit rules, food-safety training, labels, sales limits, allowed sales methods, local zoning, local business registration, and tax accounts.
A cottage food exemption is not the same as an LLC, DBA, seller’s permit, or city business license. Our guide to business licenses, LLCs, DBAs, and seller’s permits explains those separate items.
Quick start: check these before you sell
- Write down every product and ingredient. Include fillings, frostings, toppings, oils, dairy, eggs, meat, produce, and anything that needs cooling.
- Find your state’s official cottage food page. The program may be run by agriculture, health, food safety, or a local environmental health office.
- Confirm the product is allowed. Do not rely on another state’s list or an old social media post.
- Check the approval path. Your state may require a permit, annual registration, food handler course, kitchen inspection, water test, recipe review, label review, or no state food license.
- Check how you plan to sell. Farmers markets, home pickup, delivery, online orders, shipping, wholesale, and retail-store sales can have different rules.
- Check your address. Read our guide to running a business from home, then ask your city or county about zoning, customer pickup, signs, parking, storage, and deliveries.
- Check tax and name filings. Ask the state tax agency whether your products are taxable and whether you need a sales tax account.
- Keep written proof. Save approvals, training records, recipes, labels, sales totals, renewal dates, and agency emails.
Does your food qualify as cottage food?
Start with the product, not the business name. A state may allow a plain cookie but reject the same cookie when it has a cream filling that must stay cold. A cake may qualify with a shelf-stable icing but not with cream cheese frosting. A tested fruit jam may qualify while salsa does not.
Foods often allowed
- Breads, rolls, biscuits, and many cookies
- Cakes or cupcakes that do not need refrigeration
- Candies, brittle, popcorn, granola, and dry snack mixes
- Dry herbs, spice blends, teas, and baking mixes
- Certain jams, jellies, preserves, and fruit pies
Foods that often need another path
- Cheesecake, custard, cream pies, and dairy fillings
- Meat, poultry, seafood, jerky, and meal-prep foods
- Salsa, low-acid canned food, infused oils, and many sauces
- Hot meals, catering trays, beverages, and food service
- CBD or THC foods, alcohol products, pet food, and pet treats
Facts that can change the answer
- Whether the food needs time or temperature control
- The final pH or water activity
- How it is packed, stored, delivered, or shipped
- Whether you sell direct or through another business
- Whether you make it in your primary home kitchen
Do not guess with canned, fermented, or refrigerated food
Acidified and low-acid canned foods can trigger process filing, testing, and commercial processing rules. The FDA acidified and low-acid canned food page explains federal duties for commercial processors. Ask your state food agency whether your home recipe is allowed before you sell it.
A home bakery may fit cottage food rules, but not every baked product does. See the home bakery license guide for bakery-specific checks. Hot food, mobile cooking, and service from a vehicle usually follow a different path covered in our food truck permit guide.
Cottage food license and permit layers
| Layer | What it may control | Where to start |
|---|---|---|
| Federal | Food facility rules, packaged-food labeling, major allergens, special canned foods, meat, poultry, some egg products, and federal tax IDs. | FDA food business guidance, USDA, and IRS. |
| State | Allowed foods, registration or permit, training, inspection, label text, sales cap, sales methods, shipping, wholesale, and state tax accounts. | Your state agriculture, health, food safety, revenue, or tax agency. |
| County | Local health role, zoning in unincorporated areas, county business license, assumed-name filing, event rules, and well-water checks. | County health or environmental health, planning, clerk, and tax offices. |
| City or town | Business license, business tax certificate, home occupation approval, zoning, signs, parking, pickup, traffic, and local events. | City clerk, finance, business license, planning, or zoning office. |
| Private | Lease, HOA, insurance, farmers market, event, payment platform, and marketplace rules. | Landlord, HOA, insurer, market manager, event organizer, and platform. |
These layers are separate. A state cottage food approval does not automatically satisfy a city business registration. A city license does not prove that your recipe is allowed. Read city license vs. county license vs. state registration when you need help sorting the offices.
Federal rules: what most home sellers should check
Most cottage food sellers work mainly with state and local agencies. The FDA says home food businesses should also check federal rules. A commercial kitchen, warehouse, manufacturing site, or mixed model can change the answer. Use the FDA food facility registration page when your operation moves beyond a normal home kitchen.
USDA’s Food Safety and Inspection Service regulates meat, poultry, and certain egg products. Those foods are commonly outside cottage food programs. Review the USDA small and very small plant guidance if your plan includes meat or poultry processing.
An Employer Identification Number is a federal tax ID, not a food permit. The IRS issues EINs for free. You may need one if you hire workers, form certain entities, or meet other IRS rules.
How state cottage food rules differ
The examples below show why a national checklist cannot give one final answer. Check the linked state page on the day you apply.
| State example | Current official path | Practical lesson |
|---|---|---|
| California | The California Department of Public Health keeps the approved food list, but local environmental health agencies register Class A operations and permit Class B operations. | State guidance can send you to a county or city agency for the actual approval. |
| Minnesota | The Minnesota Department of Agriculture requires annual registration before selling. Current rules use sales tiers, training, a sales cap, and a direct-delivery rule. Changes passed in 2026 are scheduled for August 1, 2027. | Check both today’s rules and the effective date of future changes. |
| New York | The New York Home Processor Registration currently has no fee or expiration date, but it is location-specific. A move requires a new request. Private wells require a qualifying water test. | An exemption can still require registration, product approval, labels, and address-specific records. |
| Texas | The Texas Department of State Health Services explains the law effective September 1, 2025. Registration is required for operations selling time-and-temperature-control foods and for cottage food vendors. Food handler training and label rules apply. | Newer state laws may allow more foods but add handling, registration, or vendor duties. |
| Georgia | The Georgia Department of Agriculture cottage food program says food-safety training is required. HB 398 removed the state cottage food license and fee on July 1, 2025, but general local business licensing and zoning can still apply. | No state food license does not mean no local steps. |
| Florida | Florida Statutes section 500.80 provides a permit exemption for qualifying cottage food operations, sets a $250,000 annual gross-sales limit, requires labels, and does not allow wholesale. | Sales caps and wholesale limits can decide whether cottage food still fits. |
| Washington | The Washington State Department of Agriculture requires a permit before sales. The current fee is $355 for a two-year permit, and the state reviews labels and inspects the home operation. | Some states require a full application, fee, label review, and inspection before the first sale. |
Use the official program name
Search for your state name plus terms such as cottage food, home processor, home bakery, homemade food, or domestic kitchen. Start from a .gov page. The Arizona Department of Health Services Cottage Food Program is one example of a state-run registration program with its own terms and process.
Build the label before you print it
Most programs require a state-specific label. Do not copy another seller’s label.
- Business, operator, or producer name
- Home address or state registration number, when the state allows that choice
- Common product name
- Ingredients in order by weight
- Sub-ingredients for packaged ingredients such as chocolate chips or frosting
- Major food allergen statement
- Net weight or volume
- Required home-kitchen disclosure
- Production date, batch number, safe-handling statement, or other state item when required
The FDA food allergen page explains federal labeling for the nine major allergens: milk, eggs, fish, crustacean shellfish, tree nuts, peanuts, wheat, soybeans, and sesame. Your state may require the ingredient list and a separate “Contains” statement.
Nutrition Facts rules can depend on business size, sales, claims, and the product. Do not assume you are exempt if you write “high protein,” “low sugar,” or another nutrition claim. Review the FDA small business nutrition labeling exemption and your state rule before making claims.
Markets, online sales, shipping, and wholesale
Sales rules can change by order, delivery, and buyer. Check each method before advertising it.
| Sales method | What to verify | Common problem |
|---|---|---|
| Farmers market or craft fair | State cottage food proof, event application, local vendor rules, tax account, labels, sampling rules, and insurance. | The state allows the product, but the market requires extra papers or bans home pickup of unpackaged samples. |
| Home or porch pickup | Zoning, home occupation rules, customer visits, parking, pickup hours, signs, lease, and HOA rules. | Too many visits or cars can violate local residential rules. |
| Local delivery | Who may deliver, allowed area, label timing, temperature controls, and whether delivery must be direct to the final buyer. | A third-party driver may not be allowed even when the owner may deliver. |
| Website or social media order | Whether online payment is allowed, what label facts must appear before payment, delivery limits, and platform rules. | A seller takes payment before showing required label or disclosure text. |
| Shipping | In-state or out-of-state limit, mail-order permission, product safety, tax, and federal food rules. | The state allows online orders but not shipping. |
| Wholesale or retail store | Indirect-sales permission, buyer registration, packaging, date marking, commercial license triggers, and local opt-outs. | A cafe order moves the operation outside a direct-to-consumer exemption. |
An online order is still a local business activity. Read whether online businesses need a business license before assuming that a website or social media page removes city or county rules.
City and county rules for a home kitchen
Your state may control food production while your city or county controls home use. Ask zoning whether the activity is allowed at your address. A home occupation permit is separate from state cottage food registration.
Local rules can cover customer visits, pickup hours, parking, signs, deliveries, employees, storage, odors, waste, outdoor activity, and commercial equipment. Rules vary even between nearby cities. For example, the City of Raleigh home-based business page says some home occupations no longer need an application but must still follow the code. The City of Portland home occupation page uses a permit path for certain home businesses.
Also check a lease, landlord rule, condo rule, or HOA covenant. Government approval does not cancel a private restriction. Ask an insurance professional whether your home policy covers business equipment, inventory, customer pickup, and food claims.
Tax accounts, business names, and entity filings
A cottage food permit does not create an LLC, register a DBA, or open a sales tax account.
- Local business license or tax certificate: A city or county may require one even when the state food program does not.
- DBA or assumed name: Check this if you sell under a name that is not your own legal name or your entity’s exact legal name.
- LLC or corporation: Forming an entity does not replace food, zoning, or local license steps.
- Sales tax account: Food tax rules depend on the state, product, and sale. The New York sales tax vendor page, for example, says sellers of taxable property or services must register before beginning business. The California seller’s permit page explains when retail or wholesale sellers need a permit.
- Resale certificate: This is usually used to buy items for resale without paying sales tax at purchase. It is not permission to make food.
See seller’s permit vs. business license for a plain-English comparison. Tax treatment can be technical, so ask the state revenue agency about your exact products and sales locations.
Checklist by operating model
Home-made shelf-stable food sold direct
- Product appears on the official allowed list
- State registration, permit, or exemption step is complete
- Required training and water testing are complete
- Label matches the state checklist
- Local zoning and business registration are checked
- Sales cap and renewal date are tracked
Online orders with pickup or delivery
- State allows online orders
- Required label facts appear before payment
- Delivery person and delivery area are allowed
- Pickup traffic fits local zoning and private rules
- Platform, refund, privacy, and tax settings are reviewed
Wholesale, shipping, refrigerated food, or rapid growth
- State law clearly allows the sales method and product
- Any TCS registration, process review, or lab test is complete
- Commercial kitchen or food processor license need is checked
- FDA or USDA duties are checked when the model triggers them
- Sales totals are monitored before the cottage food cap is reached
Step-by-step plan before the first sale
- Create a product sheet. List each recipe, ingredient brand, filling, topping, storage method, package, and sales method.
- Match each product to the state list. Mark it allowed, prohibited, or unclear. Ask the state agency about every unclear item.
- Complete the food approval path. Apply, register, take training, test well water, submit labels, or schedule an inspection as required.
- Check the business address. Ask city or county zoning about home food production, pickup, deliveries, signs, storage, and employees.
- Check business and tax registrations. Review your business name, entity, local business license, state tax account, and EIN needs.
- Approve the label. Compare every line with the current state checklist. Recheck sub-ingredients and allergens when an ingredient brand changes.
- Approve each sales channel. Do not add shipping, wholesale, or online payment until the state allows it.
- Build a record folder. Keep recipes, labels, batch notes, supplier receipts, training cards, permits, agency answers, sales totals, complaints, and renewal reminders.
- Start small and review changes. Recheck the rules before adding a new recipe, moving, using a commercial kitchen, hiring help, or selling through another business.
The business license checklist for beginners can help you organize the non-food steps.
What to ask the agencies
State food agency
“I plan to make [product] in my home kitchen in [city and state]. It contains [key ingredients] and will be sold by [market, pickup, delivery, online, shipping, or wholesale]. Does it fit the current cottage food program? What registration, permit, training, testing, label review, sales cap, and renewal rule applies?”
City or county
“I plan to run a small home cottage food business at [address or neighborhood]. Customers will [visit or not visit], and I expect [number] pickups or deliveries each week. Do I need a business license, business tax certificate, home occupation approval, zoning clearance, or health department review?”
State tax agency
“I will sell [products] through [sales methods] in [locations]. Are these sales taxable? Do I need a seller’s permit, sales tax permit, certificate of authority, vendor registration, or event account before the first sale?”
Record the agency, date, answer, form, fee, deadline, and next office. Ask for the written rule if the answer is unclear.
Common mistakes to avoid
- Calling every approval a “cottage food license” when the state uses a registration, permit, exemption, or local approval.
- Selling a product because it is legal in another state.
- Using a cream filling, meat ingredient, fresh garnish, or frosting that changes a shelf-stable product into a refrigerated one.
- Printing hundreds of labels before the state confirms the wording.
- Forgetting sub-ingredients and sesame or another major allergen.
- Taking online payment before posting required label and disclosure facts.
- Assuming online orders mean shipping is allowed.
- Selling to a cafe or store before checking wholesale or indirect-sales rules.
- Ignoring zoning, parking, pickup, lease, HOA, or insurance limits.
- Confusing an LLC, EIN, DBA, or seller’s permit with permission to make food.
- Missing an annual renewal or failing to track gross sales under a state cap.
- Changing recipes, ingredient brands, address, or sales methods without rechecking the approval.
Useful official starting points
- U.S. Small Business Administration license and permit guidance
- Washington Cottage Food Operation Permit summary
- Georgia HB 398 cottage food FAQ
Use these as examples and federal starting points. Your own state, county, and city pages control the steps for your location.
Related business license guides
Start with the closest next-step guides, then explore other BLG location and licensing resources.
Best next guides
Explore more BLG guides
Frequently asked questions
Do I need a cottage food business license?
There is no single national cottage food license. Your state may require a permit, registration, exemption request, training, inspection, or no state food license. Your city or county may still require a local business license, tax certificate, or zoning approval.
Can I sell any food made in my home kitchen?
No. Each state has its own allowed and prohibited foods. Shelf-stable baked goods and dry foods are common, while refrigerated foods, meat, seafood, low-acid canned foods, and hot meals often need another license or kitchen.
Can I sell cottage food online or through social media?
It depends on your state. Some states allow online orders but limit delivery, shipping, or who may hand the food to the buyer. Some also require label and disclosure facts to appear before payment.
Can I ship cottage food to another state?
Do not assume so. Many programs limit sales or delivery to the same state. Interstate shipping can also raise federal, destination-state, labeling, and tax questions. Confirm it with your state food agency before offering shipping.
Can I sell my products to a coffee shop or grocery store?
Only where the state allows wholesale or indirect sales. Some states permit limited store or restaurant sales, while others require direct sales to the final consumer. A commercial food license may be needed when cottage food rules do not cover the sale.
Do I need a seller’s permit for cottage food?
Maybe. Sales tax rules depend on the state, product, and sales location. A cottage food exemption from food licensing does not automatically remove tax registration or tax collection duties.
Does an LLC replace a cottage food permit?
No. An LLC is a business entity. It does not prove that your food, kitchen, label, address, or sales method meets cottage food, zoning, health, or tax rules.
What happens if I move or change recipes?
Recheck the program before selling. Some registrations and permits are tied to the person, home address, product list, recipe, or label. A move, new ingredient, new product, or new sales method may require a new application or update.
Important disclaimer
This guide is for general information only. It is not legal, tax, accounting, insurance, zoning, licensing, food-safety, or other professional advice. Cottage food laws, approved foods, fees, forms, sales limits, labels, tax rules, agency names, and local policies can change. Confirm important details with the official agency or a qualified professional before you make food, print labels, take payment, or sell. BusinessLicenseGuide.com does not guarantee approval, compliance, income, safety, or results.
Review notes
Last updated: August 1, 2026
Next review: November 1, 2026
This update checked current federal food, allergen, tax-ID, and small-business sources; current cottage food pages for California, Minnesota, New York, Texas, Georgia, Florida, Washington, and Arizona; current New York and California sales tax guidance; and current local home-business examples from Raleigh and Portland.