
You've likely enjoyed a specialty bagel or a pastry treat at your local farmers' market or craft fair. Perhaps you love baking for family and friends but dream of sharing your confections with the public. The good news: You don't need to invest in a commercial kitchen or rent a business location.
You can sell your baked goods from your New York home. To start a home-based food business in New York, you just need to apply for a Home Processor Exemption from the New York State Department of Agriculture and Markets. The process is easy and free.
A "home processor exemption" is a type of licensing exemption available to someone who processes approved non-potentially hazardous foods in their home for commercial sale. Home food processors are exempt from the licensing requirements of Article 20-C (of the Agriculture and Markets Law) as long as certain conditions are met. (1 NYCRR § 276.4 (2025).)
The Home Processor Exemption is New York's version of cottage food laws. "Cottage food laws" is a general term used for laws that govern the sale of low-risk food prepared in a home.
In New York, "processing" food includes any method of treating food that risks worsening its quality if the food isn't handled properly. "Processing" can include:
(N.Y. Agric. & Mkts. Law § 251-z-2 (2025).)
While food processing includes all these methods and more, home food processors are limited in the food they can sell. You'll need to follow a set of conditions to qualify for this exemption, including food restrictions and labeling requirements.
It's easy and free to apply for a home processor exemption. You must submit a completed Home Processor Registration Request to the Department of Agriculture and Markets. You can mail or email the request form to the Department's Division of Food Safety and Inspection. There's no fee.
The request form will ask for:
If your home kitchen uses a private well, you'll need to attach a copy of a water potability report. The test results must show negative or absent results for Total Coliform and E. Coli. The test must be performed by a certified lab.
The exemption request is specific to your location. If you move, you must submit another request for your new location.
If you plan to add products later on, then you'll need to complete a second registration. You should note on your second form that the request is for a supplemental registration. Don't forget to list the new products that you'd like to start selling.
New York has relatively few requirements for home processors. You don't need to complete any training requirements to qualify for the home processor exemption. You also don't need to have your home kitchen inspected before receiving your registration.
Your home processor exemption registration never expires.
The Department of Agriculture and Markets maintains a list of foods that you can sell and ones that you can't. You can see a full, up-to-date list of approved and prohibited foods on the home processing page of the Department website.
You can sell the following kinds of foods from your home in New York:
Some of the approved foods listed above require further limitations. For example, you must use commercially roasted nuts for granola and trail mix. In addition, you can't top any food with chocolate or candy melts. And, you can only use high-acid fruits in your baked goods, jellies, jams, and marmalades.
You're not allowed to make:
You can't process and sell any food product that requires refrigeration. Before you start selling food out of your home kitchen, make sure your desired product appears on the list of approved home-processed foods.
You can sell your home-cooked food in a variety of places within the State of New York. You can sell home-processed food at wholesale or retail via:
You can also sell your approved food products online, such as through a business website or on social media. But remember, if you sell your products online, you can only make sales within the state.
You'll need to put a label on all of your finished product containers. Each label must include the following information:
(1 NYCRR § 276.4 (2025).)
You should also include one of the following phrases on your label:
Use a font size of 1/16th inch or larger.
Your label must identify all allergens in the product ingredient statement. Allergens include:
You can include the allergen in parentheses after the common ingredient name. Alternatively, you can include the word "contains" followed by a list of allergens. You can find examples of these methods directly below.
| Allergen in Parenthetical | Allergen After "Contains" |
|
Ingredients: sugar, high fructose corn syrup, whey (milk), eggs, vanilla, lecithin (soy) |
Ingredients: sugar, high fructose corn syrup, whey, eggs, vanilla, lecithin Contains: wheat, milk, eggs, and soy |
In addition to proper labeling, your containers must be clean and sanitary, and free from adulteration and misbranding. The law also requires you to use rigid metal covers with glass containers for jams, jellies, marmalades, and similar products. (1 NYCRR § 276.4 (2025).)
If you have questions, you should contact the Department's Home Processor Registration team. You can call or email them. If you need professional legal advice about best practices for product labeling, talk to a local business lawyer who has experience working with other food processors and establishments.
Just like with any venture, you'll need to make sure you're complying with all legal requirements for your home business. You'll need to decide on the best business structure, look at insurance policies,, and follow housing and zoning rules.
One of the first steps to setting up your home kitchen is selecting a business structure. Some of the main types of entities include:
If you've started your business alone, then you've automatically created a sole proprietorship. Or, if you've launched your home kitchen with one or more people, you've created a partnership.
If your business is very small, running it as a sole proprietorship might be the only economically viable option. Keep in mind, however, that as a sole proprietor, you're personally responsible for every aspect of the business—from paying taxes to absorbing the risks of a lawsuit if your food products cause illness or injury to a customer. If you operate as a sole proprietor, you should purchase liability insurance to protect your personal assets (see below).
If you want to protect your personal assets from your business debts and obligations, you should consider forming an LLC or corporation. You'll need to file formation paperwork with the state to start an LLC or corporation.
You should figure out sooner rather than later whether you're allowed to operate a food business from your home. Take a look at your local zoning ordinances first. Your city or town might restrict commercial activity in residential areas.
If you're allowed to run a food business out of your home, you might face other restrictions like limits on:
In addition to checking local zoning laws, you should also review your residential lease or any covenants, bylaws, or rules applicable to your home. Make sure your lease or these governing documents doesn't restrict commercial activity.
New York doesn't require home kitchens to have insurance. But it's a good idea to invest in this form of liability protection. Food businesses, including home kitchens, face unique risks. For example, a customer could get sick from or find a foreign object like glass or plastic in your food. Moreover, you're more at risk for hazards like fire and property damage.
Your homeowners' or renters' insurance policy likely won't cover your business operations. To protect yourself and your business, you'll want to consider insurance options like:
You can talk to a qualified insurance agent to figure out the best insurance plan for your business. You might be able to find a comprehensive insurance policy tailored to home kitchens. Ask other food-business owners for recommendations and insights. Look for an insurance agent who has experience writing policies for food businesses.
If you use a car or truck for deliveries or other business travel, be sure your vehicles are also properly insured.
If you decide to hire an employee, you should learn about basic employment law issues such as:
For more information on employer responsibilities, check out our human resource articles.
If you'd like to start a home kitchen in New York, the best place to start is the home processing page of the Department of Agriculture and Markets' website. This page breaks down the basic legal requirements for home processors, including guidance on labeling and approved foods. You can also find answers to many frequently asked questions.
The Division of Food and Safety also released a Best Standard for Home/Commercial Kitchens. This handout covers relevant topics such as zoning, labeling, allergens, and employment. You can also speak with local government officials to learn more about zoning rules, permit requirements, and general business resources.
You might eventually outgrow your home kitchen and decide to open a traditional restaurant. Be sure to research the licensing and permitting requirements for restaurants before you move forward.