8 min read

License to Sell Food

Quick answer

License to sell food rules come from your state, county and city. FDA's part is registering food facilities and setting the rules for making and labeling food; the licenses and permits themselves come from state and local agencies. Which one you need depends on two questions: where the food is made, and who buys it. A home kitchen selling straight to customers usually falls under your state's cottage food law, which can mean no permit, a registration or a permit. A commercial kitchen selling to stores usually needs a state food processor license and FDA registration. Every route ends with a label on the package.

License to sell food routes shown as three paths: a home kitchen with a cottage food registration, a commercial kitchen with a processor license, and a market stand with a local permit
Where you cook and who buys decide the license
01

Who issues a food business license

There is no single "food license" that covers the whole country. A food business usually deals with three levels of government, each with its own job:

LevelWhat it handlesTypical paperwork
City or countyFood sold and served to consumers: restaurants, food trucks, market stands. Also the general business licenseRetail food permit from the local health department, business license from the city or county
StateThe cottage food law for home kitchens (in some states run by counties, like California), and commercial plants that make packaged foodCottage food registration or permit, or a food processor license
FDAFacilities that manufacture, process, pack or hold food, and the federal rules for safety and labelsFood facility registration, unless the facility is exempt
FDA: How to Start a Food BusinessContact your local health department to determine if you will be required to meet state and local laws. These offices issue licenses or permits for food prepared and sold to consumers.
02

Find your route in three questions

  • Where is the food made: your own home kitchen, a rented commercial kitchen, or your own plant?
  • Who buys it: the person who eats it, or a store, cafe or distributor that resells it?
  • Where does it go: only inside your state, or across state lines and online to other states?
Your situationUsual routeFDA registration?
Home kitchen, selling directly to customersYour state's cottage food law: nothing to file, a registration or a permitNo: a private home is not a facility
Home kitchen, selling through local shopsOnly where your state's law allows it, sometimes with a higher permit levelNo: a private home is not a facility
Commercial or shared kitchen, selling wholesaleA state food processor or manufacturer licenseYes, unless an exemption fits
Food truck, stand or shop selling to the publicA retail food permit from the local health departmentNo: retail food establishments are exempt
21 CFR 1.227The private residence of an individual is not a facility.
03

Selling from home: the cottage food route

Every state sets its own cottage food rules, and the paperwork runs from none at all to a permit with an inspection. Four states from our state pages show the range:

StateWhat you fileWorth knowing
AlaskaNo state permit or inspection under the homemade food exemptionCities and boroughs can have their own rules
ArkansasNo health permit under the Food Freedom ActA shop can sell your food, and a carrier can deliver it
ArizonaOnline registration with ADHS, renewed every three yearsNo annual program fees
AlabamaNo food service permitA food safety course and a county review of your certificate and label

The catch in every state is the food list and the sales channel. Cottage food laws are written for food made and sold in a particular way, so check that your product and your way of selling are both covered before you buy jars. Pick your state below:

04

Growing past the home kitchen: the processor license

Selling to grocery stores, shipping to other states, or making a food your cottage law excludes usually means moving to a licensed kitchen. Our state pages show the pattern in different words: in Arizona, selling across state lines or moving production out of your home means a licensed food establishment; in California, going past the Class B cap or selling out of state means a licensed food facility.

  • A state license for the kitchen or plant, from the state health or agriculture department
  • FDA food facility registration before you start making food there, renewed every other year
  • A DUNS number from Dun & Bradstreet, which FDA asks for before you register
  • Current good manufacturing practice (21 CFR 117): food made under safe and sanitary conditions
  • Records that show where each ingredient came from and where each shipment went

Some foods bring extra federal rules on top: juice (a HACCP plan under 21 CFR 120), acidified foods like pickles and hot sauce, low-acid canned foods, and seafood. Plan for those before you sign a lease.

21 CFR 1.230(a)You must register before your facility begins to manufacture, process, pack, or hold food for consumption in the United States.
Food Processor License →
05

Food trucks, market stands and shops

If you serve or sell food straight to the public from a place of business, the local health department is your licensing office. FDA's own examples of food businesses it does not regulate are retail food establishments, such as grocery stores, restaurants and food trucks, and farmers markets.

The same idea runs through FDA's registration rule. A retail food establishment, one that sells more food directly to consumers than to all other buyers combined, does not register with FDA, even when it makes the food it sells there.

FDA: How to Start a Food BusinessRetail food establishments (such as grocery stores, restaurants, drive-throughs, cafeterias, and food trucks), which are regulated by state and local government.
Farmers Market Permit →
06

A food permit is not a business license

Food permits are about safety. A business license is about running a business in your city or county, and you can need one even when your state asks nothing for the food itself. Our Alaska and Arkansas pages both point this out. Ask your city or county clerk what applies to your address, and if you rent or belong to an HOA, check those rules too.

07

Every license ends with a label

Whichever route you take, the inspector, the market manager and the store buyer will all look at the package. What goes on it depends on the route:

RouteLabel
Cottage foodWhatever your state lists, often the food's name, who made it and where, the ingredients and allergens, plus a home-kitchen statement copied exactly
Licensed kitchenThe full FDA label: name, net quantity, ingredients, allergens, name and place of business, and Nutrition Facts unless an exemption applies
FDA: How to Start a Food BusinessProper labeling, including nutrition labeling and labeling for the major food allergens, is required for most prepared foods.

Our label maker does both. Type your recipe, confirm each USDA match, and get the ingredient list, the allergen statement and an FDA-rounded Nutrition Facts panel, with print sheets for common Avery labels. The preview is free.

Make your food label →
08

Food business license checklist

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Questions

Questions

No. FDA registers food facilities and writes the federal rules for safety and labeling. The licenses and permits come from your state and local agencies.

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