The Foundation

What Makes a Food Shelf-Stable?

California cottage food law is restricted to non-potentially hazardous foods — the regulatory term for products that do not support rapid bacterial growth when stored at room temperature. In plain English: food that is safe to leave on a pantry shelf without refrigeration. Understanding this classification is the key to knowing what you can and can't sell.

Food safety scientists use two measurable properties to determine shelf stability. A food qualifies as non-potentially hazardous when its water activity (Aw) is at or below 0.85 and its pH is below 4.6. Meeting both criteria means bacteria that cause foodborne illness — including Salmonella, E. coli, and Listeria — cannot multiply fast enough to pose a safety risk at ambient temperatures.

Shelf-Stable in Practice — What This Looks Like

California does not ask sellers to measure or verify their own Aw or pH values. Instead, the CDPH Approved Cottage Foods List acts as the pre-vetted shelf-stability guide — if your product matches a category on the list, it qualifies. This makes the system simpler than self-certifying food safety metrics, but also more restrictive: you cannot sell a product just because you've measured its pH as safe. It must be on the list.

Annual Revenue Limits

California's Sales Caps

California is one of the few states with inflation-adjusted sales caps — the limits grow automatically each year in line with the California Consumer Price Index (CPI), so your earning ceiling increases without requiring new legislation. The base caps were set at $75,000 (Class A) and $150,000 (Class B) by AB 1144 in 2021.

2025 CPI-Adjusted Annual Sales Limits · Source: CDPH
Class A · Direct Sales Only
$86,206
Sell from home, online, farmers markets, events, and ship within California. No wholesale. No home inspection.
Class B · Direct + Wholesale
$172,411
Everything in Class A, plus sell to stores, restaurants, and cafés. Annual home kitchen inspection required.
Verify 2026 figures: Caps adjust every January. Contact CDPH at [email protected] or check cdph.ca.gov for the current year's limits before advising buyers on income potential.

What Counts Toward Your Cap?

What Happens When You Hit the Cap?

Your cottage food registration or permit does not automatically expire, but you are legally required to stop selling cottage food once you reach your annual limit. Exceeding the cap while still operating as a CFO is a violation of the California Health and Safety Code. Your options at that point:

Two paths forward from the cap: Transition to a licensed commercial kitchen (opens all product categories, no sales limit, requires facility licensing and inspections), or apply for a Microenterprise Home Kitchen Operation (MEHKO) permit — a different home-kitchen framework that allows hot prepared foods with a separate $107,121 adjusted cap (2025) and a 30 meals/day limit. MEHKOs are county opt-in programs; not all California counties participate.
Sales Channels

Where You Can Sell in California

California's cottage food framework is notably flexible in where you can sell — both classes allow online sales, farmers markets, and third-party delivery that many states prohibit. The key restriction is geography: all sales and deliveries must remain within California.

🏠

From Your Home

Open · Both Classes

Sell directly to customers who visit your home. No additional permit needed beyond your CFO registration.

🛒

Farmers Markets

Open · Both Classes

Attend any certified farmers market in California. Most markets accept cottage food vendors. No limit on how many markets you attend.

🎪

Events & Festivals

Open · Both Classes

Holiday bazaars, bake sales, food swaps, community events, and pop-up markets are all permitted sales venues.

💻

Online Sales

Open · Both Classes

Take orders through your website, social media, or online marketplaces. Delivery or shipping must stay within California.

📦

Shipping (In-State)

Open · Both Classes

Ship via USPS, UPS, FedEx, or other carriers to California addresses. Shipping outside California is prohibited — interstate commerce rules apply.

🛵

Third-Party Delivery

Open · Both Classes

Platforms like DoorDash, Postmates, and UberEats are permitted delivery channels — a distinction that sets California apart from many states.

🏪

Retail Stores & Grocery

Class B Only

Sell to local grocery stores, gift shops, and other retailers. Requires Class B permit and home kitchen inspection. Statewide since 2022.

🍽️

Restaurants & Cafés

Class B Only

Restaurants can purchase your cottage food products as ingredients. They must inform customers on their menu that homemade items are included.

🚀

Out-of-State Shipping

Not Permitted

Prohibited for all CFOs. Selling across state lines is interstate commerce, which falls under FDA regulation — not California's cottage food exemption.

CSA (Community Supported Agriculture) subscriptions are allowed under Class A. If you sell weekly or monthly subscription boxes of cottage food products to local customers, this qualifies as direct-to-consumer sales and no additional permits are required.
Home Kitchen Requirements

Storage & Handling in Your Home Kitchen

Whether you are Class A or Class B, California law sets specific sanitation and operational requirements for your home kitchen during production. These aren't inspected upfront for Class A sellers (you self-certify), but county Environmental Health officers can and do conduct follow-up inspections after complaints — and Class B sellers receive annual inspections.

🚫

No Concurrent Domestic Activity

During food prep, no laundry, dishwashing, kitchen cleaning, or meal preparation for your family. One activity at a time.

🐾

No Pets or Small Children

Pets and small children must be out of the kitchen during all food preparation, packaging, and handling.

🧼

Sanitize Before Every Use

All food-contact surfaces, equipment, and utensils must be washed, rinsed, and sanitized before each production session.

💧

Potable Water Required

Only safe drinking water from a municipal system or tested private well may be used. Well water requires quarterly bacterial testing.

🏠

Primary Residence Only

Production must occur in your primary home — where you actually live. Second homes, vacation properties, and RVs do not qualify.

📦

Store in Your Home

All cottage food products and related ingredients must be made and stored within your registered home. No off-site storage facilities.

🤒

No Sick Workers

Any person with a contagious illness must stay out of the kitchen. This applies to the operator, employees, and helping family members.

🪲

Pest-Free Environment

All food prep, storage, and equipment storage areas must be maintained free of rodents, insects, and pests at all times.

One employee allowed: Beyond household members and immediate family (who can assist freely), California permits one full-time equivalent non-family employee. All people involved in food preparation — including that employee and any household helpers — must complete the ANAB-accredited food handler training within 3 months of starting.
📊

California Sales Limit Tracker

Log your sales and automatically track your progress against California's annual cap — with alerts when you're approaching your Class A or Class B limit.

Create Free Account to Use This Tool →
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