What You Need to Know about Home-Based Food Licenses or License Exemptions

You will need a home-based food license if you operate a bakery, make prepared food for sale direct-to-customer, or prepare food for cooking later at an event in your home kitchen. 

How to Get a Home-Based Food License or License Exemption
Do I need a license?
License typeis needed to:
Home Bakery License
  • Make bread, cakes, muffins, cookies or other baked goods, that do not require refrigeration or temperature control, from your home kitchen using home appliances.  

Home bakeries with less than $6,500 gross annual sales may qualify for a license exemption. Go to the next question: "Can I get an exemption?" for more information.

Home Caterer License
  • Make prepared food for sale direct-to-customer.
  • Prepare food for cooking later at an event or farmers market (you may also need a Temporary Food Service License).  

After you decide which license you need, submit the application and supporting documents online at least 30 days before you plan to start operating. You will be assigned a public health inspector for your opening inspection. The Health Department will email you the license once you pass the inspection. 

Home Bakery and Home Caterer licensees must follow the Health Regulations for Food Service Establishments.

Can I get an exemption?

If you want to operate under a license exemption, you must submit a Self-Certification of License Exemption.

Exemption Typeis needed to:
Home Bakery Exemption
  • Sell bread, cakes, muffins, cookies or other baked goods, that do not require refrigeration or temperature control, from your home kitchen using home appliances  

You are allowed up to $6,500 in gross annual sales under the home bakery license exemption. 

Food Processor Exemption
  • Sell processed food items such as jams, jellies, candies, chocolates, salsa, sauces, snack foods or salad dressing

You are allowed up to $10,000 in gross annual sales under the food processor license exemption. 

Food made under a license exemption cannot be sold to restaurants or other licensed food establishments.

You are not exempt from following food safety and sanitation requirements in the Manufactured Food Rule. A public health inspector may inspect your establishment to make sure you are meeting requirements. 

Other Steps You Need to Take

What do I need to know about working from a home kitchen?
  • You must be able to wash, rinse and sanitize equipment and utensils in separate compartments.  
    • If your kitchen has a two-compartment sink, a plastic tub can be used as the third compartment for sanitizing.  
  • A manual sanitizing step is still required if you use a dishwasher.
    • You must use a test kit or sanitizer test strips to check the concentration of sanitizer solution.
    • Be sure the sanitizer you use is approved for food service.
  • Use gloves, tongs or other utensils to avoid bare hand contact with ready-to-eat food.  
  • Keep a thermometer in the refrigerator to make sure the temperature stays at 41°F or below.
  • Use a probe thermometer to take internal food temperatures if applicable.  
  • Separate the food you sell from food you prepare for yourself or other people or pets in your home.
  • Prepare food you sell when there are no other activities happening in the kitchen.
  • Keep small children and pets out of the kitchen while preparing food you sell. 
What other steps do I need to take?
  • If you use a private well for water, test water annually for total coliform bacteria and E. coli at a certified lab. You must submit a copy of acceptable test results before an inspection can be done.
  • If you rent, contact your landlord or property manager for permission to operate a home-based business.
  • Contact your city or town to determine if your space follows local land use, development, and zoning for residential properties.  
  • Depending on how your business is structured, you may need to register with the Secretary of State’s office.  
  • Contact the Department of Taxes to set up a tax account if necessary.  
What do I need to know about product labels?

What needs to be labeled?

Food that is sold in packaged form needs to be labeled. Food items sold from bulk containers do not need to be individually labeled, but can instead display a clearly visible sign, placard or table tent at the service location that bears the label information. 

What needs to be on my product labels?

  • The name and address of the producer
  • The name of the food product  
  • The ingredients of the food product from those used in the greatest amount to the smallest amounts  
  • The net weights or volumes of the food product  
  • Allergen information as specified by federal labeling requirements  
  • You must use nutritional labels if any claims are made about nutrient content, health benefits, or if other nutritional information is provided.  
  • If operating under a license exemption, write the following statement: “Made in a home kitchen not inspected by the Vermont Department of Health” in at least 10-point font in a contrasting color to the background label. 

Example of a Label

Here is an example of a label for chocolate chip cookies with allergens:  

Required elements of a food product label

Tips for Food Allergen Labeling

There are nine major food allergens: milk, eggs, fish, crustacean shellfish, tree nuts, peanuts, wheat, soybeans and sesame.  

You can list food allergens on a label by:

  1. Using parentheses after the name of the ingredients. Example: Flour (Wheat), Soy Lecithin (Soy), Nonfat Dry Milk (Milk).
  2. Using a “Contains” statement after the ingredients list. Example: Flour, Soy Lecithin, Nonfat Dry Milk. Contains Wheat, Soy, and Milk.” 

Nutritional Labeling

Almost all home-based establishments and exempt food manufacturers are exempt from nutritional labeling requirements based on gross annual sales and the volume of food manufactured. However, a Nutrition Facts Panel is required if you make a nutrient content or health claim on the label. Examples of these include “sugar-free,” “low fat” or “reduces risk of heart disease.” 

Contact Us

Food & Lodging Program

Mailing address:

VT Dept of Health
Environmental Health
Food & Lodging Program
280 State Drive
Waterbury, VT 05671-8350

Phone: 802-863-7221 or 800-439-8550 (toll-free within Vermont)

Fax: 802-863-7483

Email: [email protected]

Find the public health inspector in your area

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