Aside from getting away with food creations for a bake sale, charity event and sometimes farmers markets - selling home baked goods is just now starting to come back in legal style.
Federal code practically banished the idea, but with the recession and job losses, new state laws are slowly peeling back the red tape to increase local economies. These became known as "cottage food laws." Before, a person selling baked goods from home was treated like and punished as a commercial establishment.
A California man was becoming locally famous for his baked bread. When it reached a newspaper feature, he and the stores selling his bread were descended upon by the health department. This treatment eventually led to the California Homemade Food Act in January 2013. Since then, over 1,200 homemade businesses were launched in California.
New Jersey is getting in on the homemade food action - with a twist. New Jersey's lower house of legislature just unanimously passed a cottage food bill that would allow baked goods to be sold from home kitchens. Unlike some state laws, there is no income cap. All that is needed is a visible placard stating that the food was prepared at home. There are around 20 other states that finally do not have a revenue cap. (source)
If New Jersey's law goes through - there are only four more states left that do not have cottage food laws. If it does not fully pass, New Jersey remains under current rule that in order for anyone to sell homemade food, they must rent a commercial kitchen or install one in their homes - and essentially be treated as a commercial business. to read more: activistpost.com
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