Michigan Cottage Food Law Update: How Food Vendors Can Sell More
- JCFM Staff
- 1 day ago
- 4 min read
Updated: 7 hours ago
There’s good news for Michigan food vendors! The Michigan Cottage Food Law has been revised under Michigan House Bill 4122 (which was originally introduced in 2025), allowing cottage food business owners to expand how they operate.
The Michigan Cottage Food Law supports entrepreneurs and individuals who want to sell homemade food products directly to customers without the benefits of having a licensed commercial kitchen. This law is ideal for entrepreneurs and other food processors who are testing their business model for owning a food-based business before upscaling and investing further. It also removes the barriers to entry for food entrepreneurs with limited budgets that are just getting started.
How to Sell Cottage Foods in Michigan
According to the Michigan Department of Agriculture & Rural Development (MDARD), when you own a “cottage food operation,” you’re allowed to sell certain types of food products prepared in your home-based kitchen, which must be located in your primary residence, under the Michigan Cottage Food Law. It doesn’t give you the complete freedom to sell any type of food you want to prepare in anyone’s home kitchen.
Cottage foods are foods that do not require refrigeration or other temperature controls and can be stored at room temperature. These foods are considered low risk for foodborne illnesses. Cottage foods include: baked goods like breads, cookies, muffins, and celebration cakes for special occasions, such as birthdays, weddings, baby showers, and anniversaries. You can also sell a range of sweet treats and candies made without alcohol; and popcorn, dry soup, vinegars, and baking mixes, among other food products
(Click here to see the cottage food qualifications list at MDARD).
Although some fruit jams and jellies are allowed under the cottage food law, other foods that are not permitted include: vegetable jams and jellies, as well as meat and fish products, salad dressings, sauces and other condiments like hot sauce, ketchup, mustard, and barbecue sauce. Any beverages as well as pies and cakes that require refrigeration, like lemon meringue or custard pies, and cheesecakes are also among the foods not permitted under the Michigan Cottage Food Law. To sell these types of foods, your business must operate using a licensed commercial kitchen.
Although “cottage food operations” are exempt from certain licensing and inspection requirements, owners are still required to follow other state and federal laws and local ordinances. You must also maintain accurate sales and tax records and provide them upon request to a food inspector from MDARD.
Proper labeling of your food products is also required for consumers who may be allergic to certain ingredients. You must also be sure to safely store and handle your food according to the guidelines of the Michigan Food Law. This is to ensure that you maintain sanitary conditions free from insects, household chemicals and other hazardous unsanitary conditions to prevent adulteration. These requirements are necessary to protect both the business owner and the customer, as owners launch their food products into the consumer market.
New Changes to the Michigan Cottage Food Law
The Michigan Cottage Food Law was enacted to protect the health and safety of Michigan residents, while providing economic opportunities for new food entrepreneurs to create new businesses.
For transparency, the Michigan Cottage Food Law requires food operators to sell directly to consumers in a person-to-person environment. This may include farmers’ markets, food stands, and by other means that allow owners to sell directly to the consumer. Owners are not allowed to sell through resellers, such as: retail stores, restaurants, wholesalers, brokers, and food distributors. There’s also a limit to the amount of money that cottage food business owners can earn. While these conditions are mandatory, Michigan legislators have made some revisions to the Michigan Cottage Food Law that food vendors are sure to get excited about.
Selling Michigan Cottage Foods Online
Under the new law, effective as of March 24, 2026, Michigan food vendors can now earn more and expand their customer reach.
Under the old law, cottage food business owners were not allowed to sell through the Internet or by mail order. However, these requirements have been lifted to allow owners to sell their products online as well as by mail order.
Cottage food operators can also have their food products delivered to consumers using third-party food delivery platforms. However, according to MDARD, “the consumer must have directly interacted with the cottage food operation” before the product has been sold for delivery. While online delivery platforms like DoorDash and Uber Eats require their merchants to have a fully licensed commercial kitchen, cottage food operators can use alternative delivery methods for getting products to their customers, such as using a local courier service. Some businesses have reported using a Square Integration for DoorDash deliveries. However, cottage food operators must ensure their delivery method aligns with Michigan Cottage Food Law requirements as well as the requirements of the delivery service they use. Also, keep in mind that Michigan cottage food business owners can only sell and deliver products within the state of Michigan.
How Cottage Food Vendors Can Earn More
In regard to sales and income, under the old law, cottage food businesses were not allowed to earn more than $25,000 annually in gross sales. To earn more, owners had to operate using a licensed commercial kitchen. Thankfully, under the new law, the income cap has increased, allowing cottage food business owners to earn up to $50,000 annually. In some cases, owners can also earn up to $75,000 a year if the cottage food operation sells cottage food products that cost $250 or more per unit.
To learn more about the new Michigan Cottage Food Law and how to launch and operate a Michigan cottage food business, visit: https://www.michigan.gov/mdard/food-dairy/michigan-cottage-foods-information
