A Blog Cover Single Image
A Client Image
Evan Knox
Cofounder, Homegrown
Getting Started

How to Start a Cottage Food Business in Tennessee (2026)

To start a cottage food business in Tennessee, you confirm what you're making is allowed, label it with the required statement, and start selling — under the Food Freedom Act there's no license, no permit, no inspection, and no sales cap, and the allowed list is broad enough to include cream pies, cheesecakes, and (since July 2025) some dairy and eggs. This is the step-by-step playbook; for the full legal detail, see our Tennessee cottage food law guide.

The short version: The Tennessee Food Freedom Act exempts home-based food from state licensing, permitting, inspection, and most packaging rules. There's no revenue cap and no production limit. You can sell shelf-stable AND many perishable foods (cream pies, cheesecakes, acidified and canned foods, and as of July 2025 pasteurized dairy and eggs). Shelf-stable items can be sold online and shipped within Tennessee; perishables must be sold in person. Just include the required "private residence... exempt from state licensing" statement on your label. You can start today.

How Do You Start a Cottage Food Business in Tennessee? (Step by Step)

  1. Confirm what you're making is allowed. Tennessee's list is broad, including many perishables. Check yours in our Tennessee cottage food law guide.
  2. No license, permit, or registration needed — Food Freedom Act foods are exempt.
  3. Set up safe home production. There's no inspection, but safe handling protects customers (and the Department of Health can investigate reported illness).
  4. Label every product with "This product was produced at a private residence that is exempt from state licensing and inspection. This product may contain allergens." plus honest product info.
  5. Choose how you'll sell — direct and, for shelf-stable items, online and shipped within Tennessee (perishables in person only).
  6. Make your first sale — with no cap, scale as fast as demand allows.

How Much Does It Cost to Start a Cottage Food Business in Tennessee?

Tennessee is one of the cheapest states to start because there are no fees:

  • License / permit / registration: $0 (exempt under the Food Freedom Act)
  • Labels and packaging: $20–$100 to start
  • First batch of ingredients: $30–$150
  • Optional food-safety course: $10–$15 (good practice, not required)
  • Online storefront: $10/month with Homegrown (0% commission)

Most Tennessee sellers start for under $150.

How Long Does It Take to Start in Tennessee?

You can legally start the same day — there's nothing to apply for. The realistic timeline:

  • Day 1: Confirm what you're making, design your label, buy packaging.
  • Day 2–3: Make your first batch, photograph products, set up a storefront.
  • Day 4+: Take your first orders — in person, or online for shelf-stable items.

What Can You Sell as a Tennessee Cottage Food Business?

Tennessee's list is unusually broad: breads, cookies, cakes, and pies — including cream pies, cheesecakes, and cream-filled pastries — plus candies, fudge, chocolates, jams, jellies, preserves, marmalades, fruit butters, applesauce, chutneys, acidified and canned foods, and (since July 2025) some pasteurized dairy and eggs. The full allowed/prohibited lists and labeling rules are in our Tennessee cottage food law guide and cottage food labeling guide.

Where Can You Sell in Tennessee?

Tennessee is very flexible, with one rule about perishables:

  • Directly to customers in person and from home
  • At farmers markets, fairs, and events
  • Online and shipped within Tennessee — for shelf-stable items
  • Perishable items (cream pies, cheesecakes, dairy, eggs) — in person only
  • Not out of state

Because Tennessee allows online sales and in-state shipping for shelf-stable items, a real storefront makes selling far easier than juggling DMs. Homegrown gives Tennessee cottage food sellers an online storefront with built-in payments and pickup for $10/month at 0% commission — you keep every dollar except standard card processing. Start a free trial and have a Tennessee-ready storefront live in about 15 minutes.

How Much Can You Make Selling Cottage Food in Tennessee?

There's no cap — you can earn as much as demand allows, and the broad allowed list means more products to sell. To get the most out of it:

  • Sell high-margin perishables — cream pies, cheesecakes, and now dairy/eggs are allowed (in person).
  • Price for profit — cover ingredients, packaging, your time, and card processing, then add margin.
  • Sell shelf-stable items online — ship anywhere within Tennessee.
  • Build repeat buyers — weekly pickup, pre-orders, and seasonal boxes make income steady.
  • Reinvest — with no cap, growth is limited only by your capacity.

What Mistakes Should You Avoid When Starting in Tennessee?

  • Shipping perishables — cream pies, cheesecakes, dairy, and eggs must be sold in person.
  • Shipping out of state — Tennessee cottage food can ship within Tennessee only.
  • Skipping the label statement — the "private residence... exempt from state licensing" line is required.
  • Mishandling perishables — no inspection means safe handling is on you.
  • Underpricing — new sellers often forget to pay themselves; cost out your time.

Do You Need an LLC or to Worry About Taxes in Tennessee?

Starting a cottage food business doesn't require an LLC, but it's worth understanding the basics: see whether you need an LLC to sell food from home and how cottage food taxes work on Schedule C. Tennessee has no state income tax on wages, but you may need a sales tax registration with the Department of Revenue depending on what you sell.

Frequently Asked Questions

Do you need a license to start a cottage food business in Tennessee?

No. The Food Freedom Act exempts home-based food from state licensing, permitting, and inspection. You can start today as long as you label honestly.

How much does it cost to start a cottage food business in Tennessee?

Often under $150 — there are no state fees, so your main costs are labels, packaging, and ingredients. An online storefront adds $10/month.

How much can you make selling cottage food in Tennessee?

There's no sales, income, or production cap — one of the most permissive frameworks in the country.

What can you sell as a Tennessee cottage food business?

A very broad list: baked goods including cream pies and cheesecakes, candies, jams, canned and acidified foods, and (since July 2025) some pasteurized dairy and eggs.

Can you sell cottage food online in Tennessee?

Yes for shelf-stable items, which can be shipped within Tennessee. Perishable items must be sold in person, and out-of-state shipping isn't allowed.

How long does it take to start in Tennessee?

You can start the same day — there's nothing to apply for.

Do you need an LLC to sell food from home in Tennessee?

No. Most sellers start as sole proprietors. An LLC is optional and mainly about liability protection if you scale.

Start Your Tennessee Cottage Food Business

Tennessee's Food Freedom Act is about as permissive as it gets: no license, no cap, and a broad list that includes perishables. Confirm what you're making, label it correctly, and set up an easy way for customers to order and pay. Set up a Homegrown storefront to take Tennessee cottage food orders online, see the best platform to sell food from home, read the full Tennessee cottage food law, and compare other states on our cottage food laws by state hub.

*This guide is general information, not legal advice. Cottage food rules change — verify current requirements with the Tennessee Department of Agriculture before you start selling. Last verified: June 2026.*

Selling at farmers markets? See our Tennessee farmers market vendor permit guide for the permits you need on market day.

About the Author

Evan Knox is the cofounder of Homegrown, where he works with hundreds of small food vendors across the country to sell online. He and his Co-founder David built Homegrown after seeing how many local vendors were stuck taking orders through DMs and cash-only sales.

Your Store Could Be Live Tonight

15 minutes. That's all it takes. Add your products, share your link, and start taking orders. Free for 7 days.
Start Your Free Trial
Start Your Free Trial

7-day free trial · $10/mo after · Cancel anytime