California Cottage Food Law 2026: Class A vs. Class B Explained

Confused about California's Class A vs. Class B cottage food laws? We break down income limits, allowed foods, permits, and which path is right for your food business.

By Amy Larsen1 min read

Save
California Cottage Food Law 2026: Class A vs. Class B Explained
Share it

California has one of the most generous cottage food frameworks in the country, but let's be honest: it's not simple. There are two classes. Different income caps. Different inspection requirements. It can feel like a maze at first.

But once you understand which class fits your business, the path forward is clear. And the opportunity is real: you can build a genuine food business from your home kitchen in California—with income caps that make it viable as more than a side hustle.

The Two Classes: What's the Difference?

Class A: Direct Sales Only, No Inspection

  • Sell directly to end consumers only (no restaurants, no retail stores)
  • No inspection required
  • Must submit a self-certification checklist to your county enforcement agency
  • Income cap: base $75,000, inflation-adjusted to approximately $86,206 for 2025

Class B: Wholesale Allowed, Annual Inspection Required

  • Can sell directly to consumers AND wholesale to restaurants, retail shops, coffee shops
  • Requires a permit from your local health department
  • Annual kitchen inspection required
  • Income cap: base $150,000, inflation-adjusted to approximately $172,411 for 2025

Think of Class A as the farmers market and online path. Class B is for makers who want to supply restaurants and retailers.

What Foods Are Allowed (Both Classes)

Both classes are limited to non-potentially-hazardous foods—meaning nothing that requires refrigeration. Allowed foods include: baked goods (breads, cookies, cakes, muffins—but NOT with cream fillings, custard, or dairy-based frosting), jams and jellies, granola, candy and fudge, dried herbs and spices, honey, roasted nuts, nut butters, and dried fruits.

NOT allowed: anything requiring refrigeration—cream-filled pastries, cheesecake, items with cream cheese frosting, fresh-cut produce, meat, or seafood.

Shop localMade by makers in your communityFind food near you
Italian Sourdough Round
Italian Sourdough Roundby Golden Artisan Price range: $15.00 through $17.00Quick View
Pumpkin Bread
Pumpkin Breadby Caitlyn's Crumb Price range: $3.00 through $11.00Quick View

Training Requirements (Required for Both)

An ANSI-accredited food handler course is required within 3 months of registration. Cost: $15–50 online. Renewal every 3 years.

Class A or Class B: Which Is Right for You?

Choose Class A if: you want to sell at farmers markets or online, you don't expect to exceed $85K annually, you want to avoid permits and inspections.

Choose Class B if: you want to sell wholesale to restaurants or shops, you're planning to exceed the Class A income cap, you're ready to invest in the permit and annual inspection process.

Many makers start with Class A to test the market, then graduate to Class B once demand is proven. That's a smart path.

Important: Permits Are Issued by County, Not State

Class B permits are issued by your county health department—not the state. Timelines and exact requirements vary. Before applying, call your county and ask: how long does permitting take? What kitchen modifications might I need? Can you share the inspection criteria in advance? Most counties will help you prepare.

Learn more at the California Department of Health Cottage Food Website

Your Action Plan

  • Confirm your product is on the allowed list (non-refrigerated).
  • Decide: Class A or Class B based on your sales channels and income goals.
  • Class A: Get the self-certification checklist from your county and submit it.
  • Class B: Contact your county health department to start the permit application.
  • Enroll in an ANSI-accredited food handler course.
  • List your products on Butter & Sage Market and reach buyers looking for exactly what you make.

California Makers: Find Your Customers on Butter & Sage Market

⚠ Legal Disclaimer: This post is for informational purposes only and is not legal advice. Cottage food laws change frequently — always check your state's current statutes or consult a local attorney before starting your food business.

The Butter & Sage newsletterMore like this, straight to your inboxMonthly recipes and weekly updates from your favorite vendors. We never sell our lists and we never spam.

Submit a Comment