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Post by Fat Rabbit Coffee on Dec 9, 2022 1:13:34 GMT -5
I'm not at the stage of selling chocolate bars yet but I already sell my coffee to the local market and individual customers so this is on my mind. I'm planning to sell 'standard size' chocolate bars. How do you all figure out pricing for something like that?
Not sure if it makes a difference but I'm talking pretty micro scale to start.
Do you have any kind of food retail license? Here in California I can get a cottage food permit. May not be necessary in the early stages but technically I believe I'm supposed to have it for selling any food product whether at farmers markets or grocery stores.
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Post by Thomas on Dec 9, 2022 21:26:51 GMT -5
California’s Cottage food permit is per county and only allows one to sell directly to a consumer within the county. No wholesale to any retail establishment. There are also labeling requirements. For one, it must be labeled ‘Made in a Home Kitchen’ with a given font size. There are also other requirements as well. You’ll also need seller permit so you can send in your quarterly sales tax. At least this is how it was when I lived there a few years ago and I assume it’s the same for your coffee. Cottage food is very different than commercial. You will need to check your county for specific requirements.
I’ll let others give their thoughts on pricing.
- Thomas
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Post by Fat Rabbit Coffee on Dec 10, 2022 12:29:30 GMT -5
Here in Los Angeles there are two classes for a cottage food permit. Class A is as you described but Class B (more money) allows selling indirectly to consumers through restaurants, grocery stores, and food trucks.
I went through this with coffee years ago and paid the fee for a year but didn't see the point in continuing especially as another fairly popular local roaster runs his business on a much bigger scale and never bothered. Technically we should, but...
...and but I might reconsider with chocolate since it's more of a 'food' item. I can't remember but coffee falls under some sort of category that allows it various exemptions. Probably not the case with chocolate.
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Post by Thomas on Dec 10, 2022 12:59:23 GMT -5
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