With the pandemic, many entrepreneurs prefer to carry out their idea in a safe space and thus minimize expenses and increase security. following this line Hispanic Entrepreneurs tells you which ones Tennessee Cottage Food Business Licenses you need.
Tennessee Food Freedom Act
The rules for selling cottage food in Tennessee were eased in 2012 with changes to the Domestic Kitchen Laws. These reforms allowed entrepreneurs to sell their products directly to consumers.
There was another amendment in 2017 that authorized increasing the types of places where home cooking could be offered. In 2022, Tennessee gave these businesses the green light to hire full-time employees and place the food at points of sale or for sale in retail stores and online. It also prohibited municipalities from applying additional regulations to the sector.
This new food safety law almost completely eliminates restrictions on the production of non-perishable foods and changed labeling requirements. Products such as sauces, pickles, low-acid canned foods, pickles and fermented foods are prohibited.
According to the new report from the Institute for Justice, Baking Bad, the state happened to have the seventh best regulatory environment in the country for starting a cottage food business. The idea is to promote small-scale, home-based food businesses.
Tennessee Cottage Food Business Licenses
In this state they do not require a special license to open a home business. There are many people who have successfully built their small business selling baked goods prepared in their home kitchen.
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In the new law enacted by Tennessee Governor Bill Haslam it is stated that Are not necessary licenses to sell food, nor inspections and permits. Individuals may sell home-made baked goods, jams, and jellies that have proper labeling. The label must contain the name of the ingredients, the net quantity, the name, address, city, state and zip code of the manufacturer.
They will not require inspections and permits from the Division of Regulatory Services of the Department of Agriculture. But those who forgo this step under the new law must warn consumers with signs. There is also no sales limit.
Entrepreneurs who wish to obtain a license to demonstrate their level of competence and food safety can apply. Nor do they require certification with a food handling course, permission as a food manufacturer, etc.
Where can I sell homemade food
With the updated legal framework, it is allowed to sell homemade food at community events, flea markets and farmers markets within the state. They must display an 8.5-by-11-inch with 0.75-inch sign at the site of the sale.
It must say "these food products were manufactured in a private house without a license or inspection." In addition, they will assume responsibility if the food causes food poisoning or allergy due to incorrect labeling.
If they have the license granted by the Regulatory Services Division of the TDA, they can offer their product anywhere, including supermarkets and restaurants.
Before starting your cottage food business, contact your city, county, or municipal government. Find out if a business license is required, if there are zoning restrictions, or if you need to register with your local tax department.
For example, in Madison County home-based businesses must be reviewed by the Building Department. The process has a cost of $50.
What is considered comfort food in Tennessee?
Among the non-hazardous foods, that is, they do not make people sick if they are not refrigerated, that can be prepared at home are the following:
Cookies
Cakes (no wedding cakes as they are regulated by the health department and would not be eaten in a home)
Breads.
Sweet and salty cookies.
Bagels.
Brownies.
Sweet bread.
Tortilla.
Sugar candy.
Jellies.
Preserves.
Dry baking mixes.
Spice mixes.
Big wave.
Cakes without pastry cream fillings and without meat.
Pies without fish or poultry.
Buns.
Popcorn.
Churros.
Empanadas.
pretzels.
Donuts.
Advantages of home cooking business
There are still some myths about home-prepared food for sale. But this has its advantages like any business. First, cases of diseases transmitted by this type of food are very rare.
In addition, homemade food is local, so the money stays in the sector where it is developed. It generates jobs because apart from the business owner, there are the employees who help in the preparation. The product is transparent because the consumer knows what he is buying from the information on the label.
Generally, it is prepared by women, which gives them the option of empowerment by becoming their main source of income. The sector also expands consumer options, fills some gaps in the market. They offer gluten-free, vegan, kosher, peanut-free, halal, etc. alternatives.
Whether citizens have the right to serve customers at their businesses from home is currently being debated in the Tennessee Supreme Court. This is being done at the request of two individuals who were ordered by Nashville law to close their businesses for this reason.
We hope that the information has served you, if you want to know more about business licenses in tennessee We invite you to visit Hispanic Entrepreneurs often.
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