Do You Need a License to Sell Baked Goods from Home
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Do You Need a License to Sell Baked Goods from Home
States that Have Requirements for Their Cottage Food Laws
In most states (there are exceptions, as well as many of specifics and regulations), the following is normally required in order to obtain recognized as a Cottage Food Kitchen. However, there are exceptions. Bear in mind that this is only some general guidance, the rules differ from state to state and are also always being updated, so make sure to follow the links below to view the most recent information for your state:
Do You Need a License to Sell Baked Goods from Home
an examination of the kitchen in some way,
a clearance or permit from the local zoning authority, department of agriculture, or department of health in order to operate in the desired location.
a license to conduct business.
It's possible that you won't be able to bring your pet inside (or in the kitchen)
Who does this pertain to exactly?
people on their own, not businesses. Although in some instances the rules are also directed at small enterprises, particularly farms and home-based industries, the majority of the time the target audience is consumers.
Do You Need a License to Sell Baked Goods from Home
Baked goodies (cakes, cookies, pies, and breads)
Jellies and conserves
Dry cake and cookie mixes, dry nut mixes, dry cereals, granola, and popcorn are examples of products that are sold in dry form.
Some sweets or candies
Where and how can you sell your wares?
Under the laws of the majority of states, people are only permitted to sell their wares to other individuals and not to companies such as restaurants or grocery shops. Some states restrict the selling of goods that have been processed at home to only farmers markets, bake sales, and other charitable activities. In most cases, even if you have a website to promote your items, you are not allowed to sell them online or in other states even if you have one.
Do You Need a License to Sell Baked Goods from Home
In the states of California, Maine, and Ohio, making indirect sales (such as through restaurants, retail, or wholesale) is legal. Only at farmers markets and on the premises of producers is it legal to consume it indirectly in New Hampshire and Pennsylvania. See these overviews (and then verify the rules for your state below) if you are thinking of selling baked goods such as cookies, cakes, or sweets.
Books
There are many states that have limits on the amount of money that can be made in sales each year. These limits can be as little as $5,000 or as high as $50,000 in some jurisdictions. The average cost ranges from $12,000 to $20,000.
Table 1 shows the states that have labeling requirements for products.
The majority of states have labeling regulations that specify what must be included on the label, such as a list of ingredients, the name of the person who made it, the address of the location where it was created, and other relevant information. In some states, additional regulations must be met, such as the necessity to include a disclaimer stating that the food has not been inspected by the state. As of the year 2017, the only state that does not need labeling is Wyoming. Your product's label could also need to conform with federal label regulations and the new rule governing the labeling of foods based on their nutritional value, but that will depend on the size of your company. You'll find a PDF version of the FDA Food Labeling Guide available for download on this page; it's an illustrated booklet that should address all of your concerns.
Do You Need a License to Sell Baked Goods from Home
Mandatory Requirements for Registration, Permits, and Licenses
In a number of states, registering your vehicle or obtaining a permit or license is obligatory in some form or another. See the second table.
Under the laws of the majority of states, people are only permitted to sell their wares to other individuals and not to companies such as restaurants or grocery shops. Some states restrict the selling of goods that have been processed at home to only farmers markets, bake sales, and other charitable activities. In most cases, even if you have a website to promote your items, you are not allowed to sell them online or in other states even if you have one. In the states of California, Maine, and Ohio, making indirect sales (such as through restaurants, retail, or wholesale) is legal. Only at farmers markets and on the premises of producers is it legal to consume it indirectly in New Hampshire and Pennsylvania.
Do You Need a License to Sell Baked Goods from Home
Taxes
Cottage food sales are subject to sales taxes, which must be collected, reported, and remitted. For more information, see this page.
Table 2 of the Training Manual: State License for Homemade Foods
In certain states, those who make food must complete an intensive training program, earn certification, and show proof of having done so.
States that DO NOT permit the sale of Cottage Foods - A summary organized by state of the states that DO NOT permit sales of Cottage Foods
If the state you live in is not on the list that follows, Check out this rundown of the states that, as of October 2017, do not permit sales of food prepared in private homes.
Links to Information Pertaining to Cottage Foods in Each State
Keep in mind that the descriptions provided above are general; you will need to examine the laws of your state to obtain information that is specific to your circumstances and area.
Departments of Public Health at the State Level
In most cases, the department of public health in your state serves as the local authority for laws and regulations pertaining to cottage food in your state.
Do You Need a License to Sell Baked Goods from Home