What Are Cottage Food Laws?
Texas Cottage Food Laws allow individuals to prepare and sell certain low-risk foods made in their home kitchens without needing a commercial kitchen or food manufacturing license. The idea is to enable small-scale entrepreneurs to sell homemade foods while ensuring public safety.
Types of Foods Allowed
The Texas Department of State Health Services specifies the types of foods that can be sold under cottage food laws.
These include:
Baked goods: Cakes, cookies, breads, and pastries that do not require refrigeration.
Jams, jellies, and preserves: Must be made from fruits and not require refrigeration.
Candy: Includes chocolates, caramels, fudge, and hard candies.
Dry goods: Herbs, seasonings, dry baking mixes, and dry tea mixes.
Canned goods: Pickles, salsas, and other acidified foods (must have a pH of 4.6 or less).
Other items: Popcorn, granola, coffee, and some roasted nuts.
Note: Foods that require temperature control for safety, such as dairy products, meats, and cooked vegetables, are not allowed.
Labeling Requirements
Every product sold must have a label that includes the following information:
The name of the food product.
Your business name and physical address (no P.O. boxes).
A statement saying, “This food is made in a home kitchen and is not inspected by the Department of State Health Services or a local health department.”
A list of all ingredients in descending order by weight.
Any allergens must be clearly listed.
Net weight or volume of the product.
Example Label:
Sales and Distribution
Direct Sales Only: You can sell your products directly to consumers. This includes from your home, at farmers’ markets, farm stands, community events, and other direct-to-consumer venues.
Online Sales: Online sales are allowed, but products must be delivered directly to the customer by the seller or their employee. Shipping products is not allowed.
No Wholesale: You cannot sell your products to grocery stores, restaurants, or other third-party vendors.
Annual Sales Limit
Cottage food operators in Texas are limited to $50,000 in gross annual sales. This cap is meant to keep the operation small-scale.
Food Handler’s Certification
Before starting your cottage food business, you must complete a food handler’s training course that is accredited by the Texas Department of State Health Services. This course teaches basic food safety practices.
The certification typically costs around $7-$15 and is valid for two years.
Prohibited Foods
Temperature-Sensitive Foods: Foods requiring refrigeration, freezing, or hot-holding for safety are prohibited. This includes meats, dairy, cooked vegetables, custards, cheesecakes, cream pies, and sauces.
Non-Acidified Canned Goods: Canned vegetables, soups, and anything else with a pH above 4.6 cannot be sold.
How to Start a Cottage Food Business in Texas
Choose Your Products
Decide what types of foods you want to make and sell. Ensure they fall within the allowed categories under Texas Cottage Food Laws.
Set Up Your Kitchen
Cleanliness is essential. Make sure your home kitchen is well-organized, clean, and safe for food production.
Invest in good-quality equipment that you’ll need for preparing, baking, or canning your products.
Obtain Food Handler’s Certification
Take the required food handler’s course and get certified. Keep your certification up to date as it needs renewal every two years.
Develop a Business Plan
Outline your business goals, target market, pricing strategy, and marketing plan.
Calculate your costs, including ingredients, packaging, and any marketing expenses.
Label Your Products
Create labels that comply with Texas requirements, including all the necessary information about your product and business.
Market Your Business
Build a brand for your cottage food business. You can create a logo, design packaging, and establish a social media presence.
Attend local farmers’ markets, fairs, and community events to sell your products directly to consumers.
Consider creating a website or social media pages to promote your products and allow for online orders (remember, no shipping).
Keep Records
Track your sales carefully to ensure you do not exceed the $50,000 annual revenue cap.
Maintain records of your expenses, sales, and any customer feedback.
By following these steps and adhering to the Texas Cottage Food Laws, you can successfully start and grow your home-based food business.
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