Selling Cakes Out Of Your Home In Ohio Yes You Can!

Business By deijha Updated 7 Jun 2008 , 12:47am by MichelleM77

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deijha Posted 5 Apr 2006 , 1:48am
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Hi all I read a post (can't remember who posted) earlier in this section about the laws for Ohio about baking in your home, and there was a link in it to another post with this web address http://www.ohioagriculture.gov I went to it and typed in the search cottage foods, that post was make by ge978 (thank you for your research) and I printed it and read it. I called a friend who works for the Health dept in Columbus and asked him about it and he said yes, its called a cottage business, so go read this. We can bake and sell out of our homes without inspection and without licensing, as long as you follow the rules and label everything (there are 5 rules) . I asked him if I use a cake mix can I just put commercial base (I was trying the easy way), but he said no you have to list everything on the cake mix ingredent list, and anything else you use. He did warn me that if I use anything that isn't cooked you can't use it. Like I use a recipe for buttercream that uses milk, so I can't use that. So I guess I am going to be busy typing out cake mix ingredients lists for each different mix I use. But I'm so glad that I don't have to worry about getting caught and fined. Again to ge978 thank you for finding this information so that all we had to do was follow your link.
Jeanne

29 replies
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mmdd Posted 5 Apr 2006 , 1:52am
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That's great! I'm so glad to hear it and I'm so happy for you!!!!!!!

I wish there was a way to do that in Kentucky!

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dianagreen Posted 5 Apr 2006 , 1:56am
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thanks, thats a nice thing to know, if i ever have to make something and sell it, thanks for sharing this info
-Diana

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ge978 Posted 5 Apr 2006 , 3:51am
post #4 of 30

Diejha: no problem...I'm happy to help. thumbs_up.gif Good Luck!

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jen1977 Posted 5 Apr 2006 , 1:09pm
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We don't even need a vendors license? I was under the impression that we did, guess not. We DO need a vendors license if we want to register our name or hand out business cards though right?

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ge978 Posted 5 Apr 2006 , 1:36pm
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Jen1977: The auditor usually issues the vendor's license. What it does is alert the state & taxation department that you have a business. The cost for the vendor's is $25.00. There are different types depending on your business & basically anyone can obtain one. But also, anyone that obtains one should be prepared to claim their business, file a tax return for it & pay sales tax. Try looking up your county auditor's website & it will list some info for you.

Ohio is one of the less strict states when it comes to home businesses. For the cottage foods you can bake out of your home without license & inspection as long as ALL ingredients are labeled. Even if you wanted to sell foods like cheesecakes, cream pies, etc. obtaining the license to be a home bakery is ridiculously easy. They do not require a separate kitchen. Their main things are no carpet in the kitchen & no pets. There are some other requirements but they are very minor.

I urge any of you in Ohio to click on the link to the agric. department.

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KHalstead Posted 5 Apr 2006 , 1:41pm
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This is soooooooooo great to know!!!!!!! I'm selling my house in Jersey and moving back to Ohio and the town I'm moving to has only one lady that decorates cakes and she doesn't do wedding cakes!!!!!!!! I'm planning on trying to open up a cake business (once we remodel the garage into a kitchen) but it's nice to know that I could sell out of my house up until the garage is ready without a ton of hassle!!!!!!! Thanks so much for all of your research on this ge!!!!!!!

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jen1977 Posted 5 Apr 2006 , 1:45pm
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From what I've read, we don't need to pay taxes on our cakes because we pay taxes on the ingredients. I may be wrong.

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slejdick Posted 5 Apr 2006 , 1:45pm
post #9 of 30

KHalstead, where in Ohio are you moving to?

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ge978 Posted 5 Apr 2006 , 2:53pm
post #10 of 30

Jen1977: some of the sales tax laws are a little murky...here's a link that may be helpful. Its the secretary of state's website...you can check bus. name availability, etc.

http://www.sos.state.oh.us/

Also this may help: It gives info on vendor's licenses & taxes

www.ohio.gov

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MariaLovesCakes Posted 5 Apr 2006 , 3:23pm
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okay, then, I am moving to Ohio!!!! icon_biggrin.gif

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ge978 Posted 5 Apr 2006 , 3:28pm
post #12 of 30

MariaLovesCakes: Come on over!! icon_wink.gif

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deijha Posted 5 Apr 2006 , 11:12pm
post #13 of 30

You can come to Ohio, where the weather changes every five minutes. LOL We would love to have you.

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MariaLovesCakes Posted 6 Apr 2006 , 12:26am
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Quote:
Originally Posted by deijha

You can come to Ohio, where the weather changes every five minutes. LOL We would love to have you.




Well, I am used to that... icon_lol.gificon_lol.gif I live in Florida where the sun is shinning one minute and then its raining the next... icon_surprised.gif

Or the temp is 88 and then the next day is 40.... icon_biggrin.gif

So, Ohio will be just like home to me!!! I am packing my bags! icon_biggrin.gif

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ellepal Posted 8 Apr 2006 , 11:26pm
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Maria...try this one on for size: the Sun is shining and 80 one day, and then the very next day it's snowing and 31....in May. That would be Ohio.....so come on up!!

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ellepal Posted 8 Apr 2006 , 11:28pm
post #16 of 30

Just one other thing: It may be worth your while to pay the 10 dollars to have your home kitchen licensed so that you can avoid the hassle of labeling everything. The only thing is that you can't have pets. It was easy....call the Dept. of Agriculture, the inspector will call you back and set up an appointment, and then they send you a license for custom work.

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deijha Posted 9 Apr 2006 , 9:38pm
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I will have to think about getting licensed,, but I have a cat (he is about 16 years old), hhmmmm guess i'll have to wait. I could try to hide him icon_lol.gif Or kick him out for a couple days... Well no can't do that, its his house to. Avery labels here I come. icon_lol.gif

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deijha Posted 10 Apr 2006 , 2:01pm
post #18 of 30

Hi all, I think I have figured out why Ohio has this great cottage law. Its because we have such a large Amish population. In my area we have a big community and they sell there baked goods everywhere. Thank you Amish ladies whereever you are.

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edc1997 Posted 10 Apr 2006 , 3:47pm
post #19 of 30

Does anyone know the rules in Texas? I'm in the Dallas area. I've been doing cakes for people I know, but I'm hesitant to really start doing business until I know all the rules. I know other people in the area have cake businesses out of their homes, but I'm not sure if they've done anything formal or legal to be able to do it.

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slejdick Posted 10 Apr 2006 , 4:02pm
post #20 of 30

edc, you'll probably get a faster answer if you start a new thread asking about the Dallas area - it's unlikely, I think, that many people from Texas will find your post buried in the Ohio thread. icon_smile.gif

Laura.

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barbaranoel Posted 11 Apr 2006 , 3:22am
post #21 of 30

Thank you for the back up info about Ohio. I spent 300$ on a lawyer to tell me that. Tomorrow morning when I'm seeing straight, I'll check out the other website.

Barb

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deijha Posted 11 Apr 2006 , 9:22pm
post #22 of 30

OH Barb,, Ouch!!

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butterluv05 Posted 13 Apr 2006 , 2:08am
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is there any boody who knows about the laws in michigan for a home bussiness are there any ways to het around any rules

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KHalstead Posted 5 Jun 2008 , 6:35pm
post #24 of 30
Quote:
Originally Posted by jen1977

We don't even need a vendors license? I was under the impression that we did, guess not. We DO need a vendors license if we want to register our name or hand out business cards though right?




just wanted to say I've just emailed the dept. of agriculture about whether or not I'm allowed to advertise (because I thought I read on here that you can't) anyhow here is what they said


Dear Kristina Halstead: It is perfectly okay to advertise about your Cottage Food business. Just remember that Cottage Foods are only Jams, Jellies, Fruit Butter, Candy and Non-Potentially Hazardous Baked Goods. And these products are only permitted to be sold in Ohio. They are not permitted to be sold to customers out of state. Therefore, if you use a website, you must keep that in mind.

Regards,
XXXXX XXXXXXXX


oh and as far as the taxes go.......... they said this about charging sales tax ON the cakes


" The sale of food and food ingredients for human consumption off the premises where sold is exempt from sales tax under R.C. 5739.02 (B)(2). Food consumed on the premises is subject to sales tax.

Thank you for your eMail inquiry. "

good stuff.........I have now decided that I LOVE Ohio and will NEVER leave it!! Unless of course I can afford to open up my own bakery elsewhere lol

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Trixyinaz Posted 5 Jun 2008 , 8:18pm
post #25 of 30

Dang, I'm only 60 miles from the Ohio border....why couldn't we live in OH. I hate MICHIGAN! icon_lol.gif

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KHalstead Posted 5 Jun 2008 , 10:47pm
post #26 of 30

I told him that I'm selling cakes and cookies and that while I'm not a FANTASTIC baker, I am pretty certain they are non-hazardous! lol He emailed back and said
"very good, you made me chuckle, good luck with your business " LOL TOO FUNNY!! I could almost hear him saying it in a monotone voice hehehe

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barbaranoel Posted 5 Jun 2008 , 11:31pm
post #27 of 30
Quote:
Originally Posted by Trixyinaz

Dang, I'm only 60 miles from the Ohio border....why couldn't we live in OH. I hate MICHIGAN! icon_lol.gif




Go ahead and move here, most of us hate Michigan too!!! lol

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Trixyinaz Posted 6 Jun 2008 , 1:48am
post #28 of 30
Quote:
Originally Posted by barbaranoel

Quote:
Originally Posted by Trixyinaz

Dang, I'm only 60 miles from the Ohio border....why couldn't we live in OH. I hate MICHIGAN! icon_lol.gif



Go ahead and move here, most of us hate Michigan too!!! lol




icon_lol.gif Go BUCKEYES!!!!!

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beccakelly Posted 6 Jun 2008 , 1:24pm
post #29 of 30

heres the thing to remember about sales tax: you must tax delivery fees and rental fees. so no, the cake itself is not taxed, but my $30 delivery fee, and my $25 stand rental fee are both taxed. so if you do either of those things, you must get a vendors license and turn in your sales tax twice a year.

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MichelleM77 Posted 7 Jun 2008 , 12:47am
post #30 of 30

Well that stinks, about the delivery fees and such. Hmmm, might have to make everyone start picking up their orders or add it in another way. Hmph!

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