When deciding whether to sell food on Shef, it's important for you to understand the laws in your city and state. As a marketplace, we do not provide legal advice, but we want to provide useful links and information that may help you better understand laws and regulations in California. This list is not exhaustive and there may be additional requirements or considerations based on your individual circumstances.
California Home Cooking Laws
The California Homemade Food Act (AB1616), also known as the Cottage Food Act allows small food businesses that produce "low-risk foods" (such as baked goods, candies, jam/jellies, desserts, and nuts) to operate out of a private home with limited regulatory oversight, as long as certain criteria are met. This law was updated in 2021 to allow in-state shipping of cottage food products, raise the annual sales limit, and ease the restrictions on indirect sales throughout the state.
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On January 1, 2019, AB 626 went into effect which authorized Microenterprise Home Kitchen Operations (MEHKOs). A MEHKO is a type of food service that is owned and operated by the resident in a private home where food is stored, handled, and prepared to be served or delivered to customers. Under this new law, each city or county must adopt local rules to authorize MEHKOs within their jurisdiction. More information on local implementation of this law can be found on the Cook Alliance website. A follow-up bill (AB 377) was later adopted that clarified inspections, banned dairy products such as cheese and ice cream, and allowed for third-party delivery services to deliver food from a MEHKO to individuals with mental and/or physical conditions.
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Counties across California have regulations governing the sale of other home-cooked food products to the public, including San Francisco, Orange, Riverside and Los Angeles Counties. Cooks are required to follow all state and local rules. If you would like to sell food items that are not covered by these laws, you are required to cook out of a commercial kitchen or other legal facility.
Commercial Kitchen Rentals
If you determine you need commercial kitchen space based on the regulations in your jurisdiction and your menu, there are many spaces for rent including but not limited to a list we maintain for your convenience below:
Please note, we can't verify they'll meet your specific needs so be sure to do your own diligence before partnering with any location.
Taxes & Business Registration
Shef will determine whether sales tax is applicable, and will collect and remit those sales taxes on behalf of cooks and consumers. The sale of most grocery and food items are exempt from sales tax in California, including cold prepared meals sold through the Shef platform.
Additionally, shefs should consult a tax professional regarding their own personal income or other taxes. Cooks may need to obtain a business registration depending on where they live and should check their local city or county website for additional information.
Food Safety
Maintaining the safety of the Shef community is our number one priority. All cooks are required to pass an accredited food safety certification exam, a food quality assessment, and must maintain minimum quality ratings. More information for cooks on food safety licenses and training can be found here.