Cottage Food Laws in California (2026)

California

Moderate

The limits

Sales cap: Tiered and CPI-adjusted annually. Statutory base: Class A = $75,000; Class B = $150,000 (Cal. Health & Safety Code § 113758). Effective January 1, 2026 (current): Class A = $88,878; Class B = $177,756.
You can sell: Non-potentially-hazardous foods on CDPH's Approved Cottage Foods List, including baked goods without cream/custard/meat fillings (breads, cookies, pies with fruit-only filling, etc.), candy and confections, certain high-proof flavoring extracts, dried/dehydrated/freeze-dried foods, jams/jellies/preserves, and other shelf-stable categories; the full list is maintained and periodically updated by CDPH.
You cannot sell: Potentially hazardous/TCS foods not on the Approved List (e.g., cream- or custard-filled baked goods, most meat/dairy-based products) — see CDPH's Approved Cottage Foods List for the current boundary

Getting set up

Permit / registration: Yes — Class A requires registration with the local county Environmental Health Department (no inspection); Class B requires a permit and is subject to inspection, for both direct and indirect (retail/restaurant) sales. CDPH itself does not register or permit CFOs.
Cost: Varies by county — confirm with the applicable Local Environmental Health Department
Training: Yes — CFO must complete Cottage Food Operator Training within three months of registering or being permitted
Kitchen inspection: No for Class A; Class B is subject to inspection as part of permitting
Labeling: Per CDPH's Cottage Food Labeling Requirements — labels must be compliant with state and federal requirements (name/address of operation, product name, ingredient list, net weight, allergens, and required cottage-food disclosure language); see CDPH's Labeling Requirements PDF for full detail

Where you can sell

Permitted venues: Class A — direct sale to the public only (in person, phone, internet, or other digital method). Class B — direct sale to the public or indirect sale through restaurants and food markets.
Online sales: Yes, for both Class A and Class B
Delivery in state: Yes — a direct sale (Class A or B) may be fulfilled in person, via mail delivery, or through any third-party delivery service (USPS, UPS, FedEx, etc.) within California; indirect sales (Class B) may also use mail or third-party delivery
Shipping out of state: No — shipping outside California is prohibited under both California's cottage food law and federal FDA rules governing interstate commerce

The fine print

Statute: California Health and Safety Code (Retail Food Code) § 113758 et seq.; created by AB 1616 (2012), substantially expanded by AB 1144 (effective January 1, 2022)
Recent changes: Annual CPI-based adjustment to sales caps continues (most recent effective January 1, 2026: Class A $88,878 / Class B $177,756, per CDPH's official CPI adjustment schedule). AB 660 (2024) standardizes food date-labeling language ("Best if Used By"/"Use By") beginning July 1, 2026, which affects cottage food labeling as well as broader retail food labeling.
Notes: California also has a distinct Microenterprise Home Kitchen Operation (MEHKO) pathway — a home-restaurant model (not a cottage food operation) authorized county-by-county under a separate framework, generally capped around $100,000 in gross annual sales and limited to 30 meals/day and 90 meals/week where adopted. As of recent counts, roughly 18 California counties/cities have opted in. MEHKO is administered locally and should not be confused with the statewide CFO program described above. ---

Questions that apply in every state — pricing, insurance, labeling, pet treats, sales caps — are answered in the full FAQ.