What are the exact steps to start a legal "cottage food operation" from my home in California?
To legally start a cottage food operation (CFO) in California, you must register or obtain a permit from your local county health department and comply with state food safety and labeling laws. The exact process depends on whether you choose a Class A or Class B permit.
Here are the steps to start your cottage food operation:
Step 1: Determine Your CFO Class and Product Eligibility
First, decide which class of CFO fits your business. Class A permits are for direct sales only (e.g., from your home, at farmers' markets). Class B permits allow both direct sales and indirect sales through local third-party retailers like cafes or grocery stores. Next, confirm that the food you plan to sell is on the state-approved list of non-potentially hazardous foods, such as baked goods, jams, and dried fruit.
Step 2: Complete the Required Food Handler Training
You must complete a food processor safety training course within three months of obtaining your permit. This course must be from an ANSI-accredited program. You can find these courses online. Keep a copy of your California Food Handler Card, as you will need it for your application.
Step 3: Contact Your Local County Environmental Health Department
Your county's health department is the agency that issues CFO permits. Visit their website or call them to get the official application packet, fee schedule, and a list of their specific local requirements, as these can vary slightly by county.
Step 4: Prepare and Submit Your Application
Fill out the application form provided by your county health department. You will need to provide your business information, a complete list of all food products you will make and sell, and a copy of your proposed product labels. Your labels must include specific information required by law. You will also submit your application fee at this time.
Step 5: Prepare for and Pass a Kitchen Inspection (Class B Only)
If you are applying for a Class B permit, the county health department will schedule an inspection of your home kitchen to ensure it meets health and safety standards. Class A permits do not require an inspection; you self-certify that your kitchen complies with the law.
Important Details and Nuances
Your gross annual sales are capped; as of recent law, the cap is $75,000 for Class A and $150,000 for Class B, but these figures are subject to change. All product labels must include the statement "Made in a Home Kitchen" along with your business name, address, permit number, and a list of ingredients. You will also likely need to obtain a standard business license from your city or county.
Warnings and Limitations
You cannot sell food products that are not on the state-approved list. You are also prohibited from selling to distributors for resale or shipping products across state lines. Be sure to check with your local planning or zoning department to ensure a home-based business is permitted in your area.
This is general information and does not constitute legal advice. For complex situations or specific legal questions about your business, you should consult with a qualified California attorney.
Disclaimer:
This information is for general guidance only and should not be considered as legal advice. Please consult with a qualified attorney for specific legal matters.
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Updated: August 13, 2025
Business Law
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