Cottage Food Operations (CFO)

 

There are two types of CFO: Class A and Class B

CLASS A

CLASS B

Direct sales only to the end user within the state. Limited to gross annual sales of $75,000* Not subject to routine home inspections. Additional fees may apply for inspections conducted in response to a consumer complaint or food-borne illness investigation. New operating permit application fee $435 (required at time of application submittal) Annual permit to operate:  $290.00** (required at time of application approval)

Direct sales and indirect sales (3rd party) allowed within the state. Indirect sales:  The 3rd party retailer must have a valid health permit. A CFO product sold or served by a 3rd party retailer must identify it as made in a home kitchen on their menu or provide the CFO product label to the customer. Limited to gross annual sales of $150,000* One routine home inspection per year. New operating permit application fee $435 (required at time of application submittal) Annual permit to operate: $635.00** (required at time of application approval)

*Annually adjusted based on Consumer Price Index after 2022.

**A 25% late penalty fee applies for permit renewals if payment is not received by permit expiration date.

Additional time to review revisions or resubmittals, complaint investigations, and follow-up inspections are subject to a fee of $290.00 per hour. 

 

Additional Information:

A CFO is an individual who operates a cottage food operation in his or her private home and is the owner of the cottage food operation.  A CFO Permit will not be issued to a Limited Liability Company (LLC), Corporation (Inc.), Partnership, etc. The Department will not accept a CFO permit application that has an LLC/Inc/partnership on the CFO permit application or product labels.

Advertisements to the public, including through an internet website, social media platform, newspaper, newsletter, or other public announcement, shall include the following:

• The county of approval
• Permit number
• A statement that the food is “Made in a Home Kitchen” or “Repackaged in a Home Kitchen,” as applicable

Cottage food products may be delivered to the customer in person or through a third-party delivery service. Transactions and deliveries are limited to occur within the state.

CFO Permits are valid for one year and not transferrable.  If the operator moves, a new permit is required.

The CFO permit allows cottage food operators to make and sell approved cottage foods from their home kitchen. To sell at an offsite location, such as a community event or certified farmers’ market, additional permits are required.  For more information:

• Temporary Events - Consumer Protection Division - County of Santa Clara (sccgov.org)

• Certified Farmers' Market - Consumer Protection Division - County of Santa Clara (sccgov.org)

Organic claims (products and ingredients): You must register with the California Department of Food and Agriculture if you identify your product or any ingredients as organic. For more information, visit their website: CDFA - California State Organic Program

Gluten free claims (products and ingredients): Not allowed for CFOs. Use of the gluten free term (or similar) is regulated by FDA and is not allowed for CFOs, even if you use ingredients claiming they are gluten free.

CFOs must ensure they have zoning approval to operate the CFO business from their home kitchen. Proof of zoning approval from your local city jurisdiction is not required to be submitted with your CFO permit application. This does not negate the requirement for CFOs to obtain zoning approval from their local city jurisdiction. Contact your local city office for correct CFO zoning approval requirements. 

 

CFO Permit Application Submittal:

Submit your CFO Permit application packet, including all supporting documentation and payment of the applicable new operating permit application fee, to the Department.  Applications may be submitted:

• By mail
• In person at our office   
• By email as a single PDF to the Department e-mail address [email protected]. 
• The Department will e-mail an invoice for the applicable new permit application fee and instructions on how to submit an online payment.  

Incomplete applications will be rejected.  Review of your CFO Permit application will not begin until applicable fees are paid in full. Application submittals requiring revisions may be subject to additional fees.  Fees are not refundable or transferable.

When your CFO permit application is ready to be approved, you will be invoiced for the applicable permit fee. Payment must be received prior to permit issuance.

Microenterprise Home Kitchen Operation (MEHKO)

A MEHKO may prepare, cook, and serve potentially hazardous foods (i.e., meat, poultry, rice, pasta, eggs, cooked vegetables etc.) to customers. All food must be prepared, cooked, and served on the same day. A MEHKO is different from and not a CFO. A residence may only have one CFO or one MEHKO.  For more information: Microenterprise Home Kitchen Operations (MEHKO) - Consumer Protection Division - County of Santa Clara (sccgov.org)

 

Application and Documents

Cottage Food Operation Permit Application and Self-Certification Checklist

Affidavit for a Veteran’s Exemption

CDPH Labeling Requirements for Cottage Food Products

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Related Items

• CDPH website Cottage Food Operations (ca.gov)
  • Approved Cottage Food List
  • Request to Add Food to the Approved Cottage Food List
  • Cottage Food Labeling Requirements
  • Sanitation Requirements
  • Frequently Asked Questions (FAQ)
  • AB 1144 Fact Sheet

• Title 21 Part 150: Standards for fruit butters, jellies, preserves and jams

• Organic claim (for products or ingredients):  California Department of Food and Agriculture
  • CDFA - California State Organic Program
  • CDFA Frequently Asked Questions (ca.gov)
  • Registration for Organic Food Processors Infographic 

• Food Handler Card information:  SB 602 - Food Handler Cards - Consumer Protection Division - County of Santa Clara (sccgov.org)