Coco Ding

You cannot ship products in CA. I’m actually working on a bill this year to try to allow in-state shipping.

It depends on what state you live in. 18 states allow in-state shipping. Most of the people selling homemade food on Etsy are doing so illegally.

Bags would certainly be less expensive than bottles.

The thing to compare would be bulk prices on small zipper-closure bags versus some kind of bag where you would use a heat (“impulse”) sealer. For my baked goods, I use plastic food bags and a heat sealer ($30 – $50 on Amazon). Of course, you could use something like a Foodsaver or…[Read more]

haha I appreciate the support ;)
I did actually create an LLC to remove personal liability, but if I find after a year that I don’t need it, I’ll switch to save money.
Next steps are getting FBN validated, then getting a federal EIN, business license, state EIN and then a seller’s permit… I think that covers everything, for now haha

Thank you again

Yes, indeed lots of paperwork to file…will drive you crazy, but you got this!!

Do you plan on having an employee? EIN numbers are generally used if you have employees. If you have no employees you won’t need an EIN.

If you’re just starting without employees (only you and family members) it’s best to start as a sole proprietor and use your own…[Read more]

Yes, great call on the sellers permit. I kind of assumed I’d need that anyway. I looked into it and it appears you need both a federal EIN and state EIN first, and the state EIN requires a business license with the city to obtain one. So many legalities! haha Thanks again

You’re welcome. Yes, the same knowledge applies for class B as well, which is the permit I use to have. It will also be nice for you to be able to buy supplies wholesale with the sellers permit. Good luck with your business :) Take care!

Marlyn,
Thank you so much for your thorough reply- your explanation provides clarity and makes total sense. I will be applying for my Cottage B license, but even so, the same logic still applies. I will go ahead and get a seller’s permit anyway, as I believe my county requires it as well. Thank you again and take care.

Hi Jennifer,
If you are only selling direct to consumers (cottage food operation class A) and your product is served at room temperate (baked good, nuts, chocolate, etc) and no one is eating on site as in like a restaurant space, then you don’t need to charge sales tax. So no sales tax for online orders, delivery, pickup, or farmer’s…[Read more]