When people think about the foodservice industry, they usually think of restaurants, not cottage food businesses. A cottage food business runs out of someone’s home, where they make and then sell food directly to their customers. These foods, known as cottage foods, are typically sold right out of the operator’s house but, in some states, may also be sold at food stands or farmers markets.
Farmers markets, in particular, often host many types of vendors who may be classified as cottage food businesses, such as at-home bakers.1 While cottage food businesses are run out of someone’s home, that doesn’t mean they’re exempt from food safety laws.
The general accessibility of selling cottage food may seem appealing as a business venture, so if you’re thinking about opening this type of business, you should familiarize yourself with the laws and regulations that govern this area of food service.
This blog will help break down this broad area of food safety regulations.
Read on to learn:
What foods can a cottage food business sell?
What food safety guidelines must cottage food businesses follow?
What food safety training is required for cottage food businesses?
What are cottage food laws?
Cottage food laws regulate cottage food businesses–also known as at-home businesses–and are set by each state.
Cottage food laws vary dramatically throughout the United States. Each state legislature sets regulations and guidelines for how a cottage food business should operate. Cottage food laws define the kind of food that can be sold, where it can be sold, and how much a cottage food business can sell in a year.
For example, some states, like Illinois, may allow online sales of cottage foods, while others, like Michigan, do not.2,7
Since these laws are up to the discretion of each state, you’ll need to check your state’s regulations regarding cottage food and what specific requirements you might need to meet to run a cottage food business.
What foods can a cottage food business sell?
In many states, cottage food businesses must obtain various licenses and registrations before selling cottage foods. For instance, in most counties in California, cottage food businesses must become registered through their local county’s environmental health agency, and the state requires cottage food business operators to hold a business license.3
In applying for these licenses, the state will confirm what foods a cottage food business can and cannot sell and how much food they can sell each year.
Typically, cottage food businesses may sell:
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Candy,
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Breads,
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Jams and jellies,
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Tea and coffee,
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Dry mixes (including popcorn and granola), and
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Baked goods that don’t require refrigeration.
Generally, foods must be considered low-risk and not potentially hazardous to qualify for sale as part of a cottage food business.
What food safety guidelines must cottage food businesses follow?
Many states have additional food safety guidelines and requirements that cottage food operators must meet. For example, most states require cottage food businesses to adhere to labeling guidelines, meaning that cottage food products for sale must have a label.
In Florida, state law dictates that prepackaged cottage food products must have a label containing information such as the name and address of the cottage food business, the name of the product, and allergen information as specified by federal labeling requirements.
Florida also requires cottage food operators to visibly print the statement, “Made in a cottage food operation that is not subject to Florida’s food safety regulations,” on each label.4 Other states that require operators to include a similar phrase on cottage food products include South Carolina, Texas, and Mississippi, among others.8
Some states, like Maryland and Florida, don’t subject cottage food businesses to other statewide food safety regulations beyond their labeling requirements.
Always check with your local and state health departments to verify the food safety regulations and guidelines required for cottage food businesses.
What food safety training is required for cottage food businesses?
Many states–like Connecticut and Nebraska–require you to pass a basic food safety course before they can open and operate a cottage food business.5
Food handler cards and food manager training may also be required in some states (like New Mexico).6
Cottage food laws may vary, but food safety remains key
Cottage food laws may look different throughout the country; however, each state will provide you with guidance about which foods you can sell and whether or not you must complete food safety training before opening your business. Remember, even if it is not required, food safety training can only benefit your business. Knowing your state’s cottage food laws is the first step toward success for a cottage food business! Learning to prevent foodborne illnesses and maintain high standards for your food and personal hygiene will help you build a good reputation and loyal following.
Sources:
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Economic Research Service: Growth in the number of U.S. farmers markets slows in recent years
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The National Agricultural Law Center: Cottage Food Law Statutes: Michigan
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California Office of the Small Business Advocate: Business Quick Start Guide – Cottage Food Operation
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The Florida Legislature: Fla. Stat. 500.80 – Cottage Food Operations
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The National Agricultural Law Center: Cottage Food Law Statutes: Maryland
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Department of Consumer Protection: Food Safety Classes for Cottage Food Operators
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Institute for Justice: Selling Homemade Food in Illinois
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The National Agricultural Law Center: Cottage Food Laws
