Cottage food rules
Cottage Food Permit El Dorado County: Class A vs B Rules
Learn the two permit types for El Dorado County and which one you need to sell baked goods from home.
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What to remember
- Class A is for direct sales to consumers.
- Class B is for sales to stores or other third parties.
- Class B requires a yearly health department inspection.
- You must submit a new application and pay fees for a permit.
- Your products must appear on the approved cottage food list.
Your cottage food permit in El Dorado County depends on how you plan to sell. The rules are different for selling at a farmers market versus selling to a local cafe. You must register for Class A if your gross sales are below $75,000.
Class A vs Class B Permits
El Dorado County follows California’s two-tier system. Class A is for direct-to-consumer sales. This includes sales at farmers markets, from your home, or online for pickup. You do not need a health department permit for Class A.
Class B is for indirect sales. This means selling your goods to a third party like a retail store, restaurant, or coffee shop. A Class B permit requires you to obtain a permit from the local health department.
How to Apply for a Class B Permit
Get the application packet
Download the Cottage Food Operation application packet from the El Dorado County website.
Prepare your documents
Fill out the application completely. Gather any associated documents the county requires.
Submit with payment
Send your application, documents, and payment of fees to the county. Fees are determined by the Board of Supervisors.
Schedule your inspection
After submitting, you will schedule the yearly inspection required to obtain your Class B permit.
The process to obtain a new permit is outlined in the same guide. You must submit a new application, associated documents, and payment of fees determined by the Board of Supervisors. After the county reviews your materials, you will schedule the required inspection.
Approved Foods Under California Law
California’s cottage food law includes a specific list of allowed foods. You must confirm your baked goods appear on this list before you apply. The approved food list is part of the application materials.
Selling items outside the list is not allowed under a cottage food permit. Make sure every baked good you plan to sell appears on the approved list. This includes any frostings or decorations you add.
Preparing for Your Yearly Inspection
Class B permits require a yearly inspection from the local health department. Your kitchen must meet basic standards before the inspector arrives. Clean all surfaces and store ingredients properly. The inspection confirms your home kitchen is safe for commercial food production.
Have your workspace ready before the scheduled date. Store all ingredients in sealed containers. The inspector will check for cleanliness and proper food storage.
Costing Your Goods for a Permit
A batch of 24 frosted cupcakes uses $8 in ingredients. Your labor for baking and decorating is $15. Overhead for packaging and utilities is $5. You must also add your permit fee to this overhead.
The total batch cost is $28 plus the permit fee. If you sell each cupcake for $3.50, your batch revenue is $84. Your margin after ingredients, labor, and overhead is $56 minus the permit fee.
What to Check Before You Commit
Do not pay fees until you are sure about your sales model. If you are only selling directly to consumers, Class A registration is likely sufficient. If you are approaching a local store, you will need the Class B permit process.
Second, review the approved food list to make sure your baked goods are allowed. Third, plan for the inspection if you need Class B. Your kitchen must meet basic standards before the inspector arrives.
Renewing Your Permit and Tracking Sales
Class B permits require a yearly inspection and renewal. Mark your calendar to submit a new application and pay fees each year. You must also track your gross sales throughout the year. If your sales exceed $75,000, you may need a different permit type or business structure.
Check the county rules for specific thresholds and transition requirements. Staying under the limit keeps your cottage food operation valid. Renewal is not automatic, so start your application early.
For more on navigating local rules, visit our rules hub.
Next Steps After Your Permit
Once you have your El Dorado County cottage food permit, you can set up your shop. You will need a way to take orders and get paid. A tool like Brevl gives you a shop with your own photos and colors. It takes card payments through your own Stripe or Square account, plus Venmo and Cash App.
Focus on building your customer base and fulfilling orders on time. Keep good records of every sale and every expense. Accurate records help you track gross sales and manage your renewal.
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Common questions
What is the difference between Class A and Class B?
Class A is for selling directly to your customer, like at a market. Class B is for selling to a third party like a store. Class B requires a health department permit and a yearly inspection.
How much does the El Dorado County permit cost?
The county states fees are determined by the Board of Supervisors. You must check the current fee schedule for the exact amount when you apply.
Do I need a permit to sell at a farmers market in El Dorado?
If you are selling directly to the consumer, you likely need a Class A registration. You do not need a health department permit for Class A direct sales.
What happens if my sales go over $75,000?
If your gross sales exceed $75,000, you may need to transition to a different permit type or business structure. Check the county rules for specific thresholds.
Sources
This guide provides general information about El Dorado County cottage food rules. It is not legal advice. Always check official county sources for the most current regulations.