Alabama Cottage Food Law: Comprehensive Guide for Home-Based Food Entrepreneurs
This guide provides a detailed, up‑to‑date overview of Alabama’s cottage food law, covering permitted and prohibited foods, sales limits, training, registration, labeling, sales venues, taxes, and practical startup steps. All information is sourced from official Alabama Agriculture & Industries documents and the state’s Farmers Market Authority.
Quick Facts
| Requirement | Alabama |
|---|---|
| Annual Sales Limit | $35,000/year |
| License Required | No state permit required (county notification only) |
| Registration Required | Yes – submit Cottage Food Review Form to county health department (no fee) |
| Home Inspection | No |
| Food Safety Training | Yes – department‑approved food safety course |
| Labeling Required | Product name; name & address; disclaimer “This food is not inspected by the Department or local health department.” (≥10‑pt font); optional: ingredients, allergens, net weight, date |
| Online Sales | Yes, within Alabama with local delivery or pickup |
| Delivery | Yes, local delivery; pickup |
| Shipping | No, out‑of‑state or via carriers shipping prohibited |
1. Overview / Introduction
Alabama’s Cottage Food Law, governed by Alabama Code Section 22‑20‑5.1, allows individuals to produce and sell certain non‑potentially hazardous foods from their home kitchens without requiring a commercial license or inspection. The law took effect in June 2014 and received a significant update in 2023, when the annual gross revenue cap was raised from $20,000 to $35,000 (agi.alabama.gov).
2. Sales Limits
• Annual revenue cap: $35,000 per calendar year in gross sales (standscout.com). • The cap resets on January 1 each year; exceeding it means you must stop cottage food sales or transition to a licensed commercial facility (standscout.com).
3. Licensing & Registration
• No state permit or license required; the process involves simple county-level notification only (standscout.com). • Fee: $0 – no state-level cost (standscout.com). • Process:
- Complete a department‑approved food safety course.
- Contact your local county health department for the Cottage Food Review Form.
- Submit the form with your food safety certificate—no inspection required, and there’s no fee (standscout.com).
4. Training Requirements
• Food safety training is required – must be approved by Alabama Department of Public Health. • Examples include Alabama Cooperative Extension System courses, ServSafe Food Handler, and other ANSI‑accredited courses (agi.alabama.gov). • Renewal: Varies by course provider—some valid for 2–3 years (standscout.com).
5. Home Kitchen Inspection
• No inspection of home kitchen required under this law (standscout.com). • However, basic food safety practices—clean workspace, pet exclusion, handwashing—are required (standscout.com).
6. Allowed Foods
Alabama permits non‑potentially hazardous, shelf‑stable foods. Examples include: • Baked goods: breads, rolls, cookies, brownies, bars, cake (no cream/custard/cream–filled), donuts (cake‑style), fruit‑filled pies, danish, muffins (standscout.com). • Preserved items: jams, jellies, fruit butters, dried fruit and vegetables (standscout.com). • Confections: candies, toffees, brittles, fudge (no cream cheese), chocolate‑covered nuts/pretzels (standscout.com). • Dried/roasted: herbs, herb mixes, dehydrated produce, roasted coffee beans, tea blends (standscout.com). • Other: honey, granola/cereal bars, popcorn (including flavored), roasted nuts, trail mix, dried pasta (standscout.com). Note: These align with the Department’s guidance on non‑potentially hazardous foods under the law (agi.alabama.gov).
7. Prohibited Foods
Foods that generally require time‑ or temperature‑control or pose safety risks are prohibited under the Cottage Food Law: • Meat, poultry, seafood, jerky, canned meats (standscout.com). • Dairy: cheese, milk‑based products, cream cheese frosting, custards, puddings, ice cream, yogurt (standscout.com). • Perishable/refrigerated: cream‑filled pastries, custard pies, cheesecakes, fresh produce, cut fruit/veg, any refrigerated products (standscout.com). • Acidified or low‑acid canned foods: pickled vegetables, salsa, hot sauce, etc. require commercial licensing (standscout.com). • Other: cannabis‑ or alcohol‑infused products, pet treats (regulated differently) (standscout.com). Additionally, low‑acid foods sealed in hermetic containers (e.g., home‑canned green beans) are excluded and unsafe (agi.alabama.gov).
8. Labeling Requirements
Must appear on every packaged product: • Product name (common or usual name) (agi.alabama.gov). • Name and address of business/operator (agi.alabama.gov). • Disclaimer: “This food is not inspected by the Department of Public Health.” (or “This food is not inspected by the Department or local health department.”) (agi.alabama.gov). State PDF uses uppercase version; StandScout gives exact font size requirement (≥10‑point) (standscout.com). Optional but strongly recommended: ingredients, allergens, net weight/volume, date produced/best‑by (standscout.com). Local health departments may require labels submitted for approval prior to sale (agi.alabama.gov).
9. Where You Can Sell
Allowed direct‑to‑consumer venues: • Home pickup (customers pick up from your home) (standscout.com). • Farmers markets (state‑sanctioned), roadside stands, farm stands, community fairs/festivals (standscout.com). • In‑state online orders with local delivery or pickup, via your own website or social media (for Alabama customers only) (standscout.com). Not allowed: • Wholesale (stores, restaurants, cafes, food service establishments) (standscout.com). • Out‑of‑state sales or shipping via mail carriers (USPS, UPS, FedEx) (standscout.com). • Third‑party fulfillment (like Amazon FBA) (standscout.com).
10. Sales Tax
• Yes, cottage food sales are subject to Alabama sales tax (state 4% + local, typically 8–10% total) (standscout.com). • Must register with the Alabama Department of Revenue, collect taxes, and file returns (monthly/quarterly/annual depending on volume) (standscout.com).
11. Special Exemptions or Notes
• Montgomery and Calhoun counties are exempted from the restriction on low‑acid products; specific rules apply—consult county health department (agi.alabama.gov). • Check local city/county business license requirements—even though state law doesn’t require one (standscout.com). • Insurance not required but often required by markets; recommendation: $1–2M general liability ($300–$800/year) (standscout.com).
12. Getting Started: Practical Steps
Week 1: Training & Planning
- Choose products from the permitted list.
- Complete an approved food safety course (2–4 hours).
- Obtain your certificate.
Week 2: Registration & Setup 4. Contact your county health department and request the Cottage Food Review Form. 5. Complete the form (name, address, products, where you’ll sell) and attach your certificate. 6. Submit to the county—no fee, no inspection. 7. Design labels that meet requirements. 8. Register for Alabama sales tax permit. 9. Check local city or county business license rules and obtain if required (standscout.com). 10. (Optional) Arrange liability insurance.
Week 3–4: Launch 11. Print labels, set up bookkeeping, and inventory. 12. Prepare batches and start selling via direct channels. 13. Track all sales to stay under the $35,000 cap. 14. Collect customer feedback and refine processes (standscout.com).
13. Official Resources
Listed below are official state resources to consult for forms, training, and assistance: • Alabama Department of Agriculture & Industries, Farmers Market Authority – for reference brochures and contact: Home‑Processed Products & Cottage Food Law PDF (agi.alabama.gov). • Alabama Department of Public Health (ADPH) – for approved food safety courses and county health department contact details (via ADPH site) (standscout.com). • Alabama Department of Revenue – for sales tax registration and returns (standscout.com). • Alabama Cooperative Extension System (ACES) – offers cottage‑food‑specific food safety training (agi.alabama.gov). • Your local county health department – to submit the review form and ask county‑specific questions.
Official Sources
This guide was compiled from the following official sources:
Important Notes
⚠️ The ADPH PDF link provided returned a 404 error; information regarding public health specifics like course approvals may need direct ADPH confirmation.
⚠️ Montgomery and Calhoun counties may have exemptions allowing some low‑acid foods; these rules are complex — consult the local county health department.
⚠️ Course validity periods vary—check with your chosen training provider for certificate renewal requirements.