By Aubrey Lenyard, Georgia Tech, FBA
Big changes took effect in Georgia’s cottage food industry on July 1, and for many local food makers, the shift is already having an impact. House Bill 398 removed the state licensing requirement for cottage food operators, replacing it with a new system that emphasizes self-regulation, simplified labeling, and expanded business opportunities.
For years, Georgia was considered one of the stricter states for cottage food laws. Entrepreneurs who wanted to sell breads, cookies, jams, candies, and other shelf-stable goods from home needed to go through the Georgia Department of Agriculture (GDA)’s licensing process, which included an application, inspection, and an annual fee. That step is no longer required.
Instead of obtaining a license, operators can now register for a GDA-issued identifier to place on labels, replacing their home address – a change many see as a boost to privacy and professionalism. While inspections are no longer tied to licensing, operators must still follow food safety rules, complete an ANSI-accredited food handler course, test well water if applicable, and meet labeling requirements.
To better understand what this means for the people already in the industry, I spoke with three current cottage food license holders about their experiences and hopes for the future.
Meet the makers
Amal Jabbie owns Dar Amal in Fulton County and is a Georgia Tech Food and Beverage Accelerator member who creates handcrafted French baked goods. You can find her on Instagram at @Daramalatlanta.
Corinne Mathews runs Eco Sun Farms in DeKalb County and is also a member of the Georgia Tech Food and Beverage Accelerator. Her boutique farm focuses on increasing access to nutrient-rich, chemical-free, locally grown food using sustainable agricultural methods. Learn more at ecosunfarms.com.
Kelli Sterling owns Sinfully Sweet Keto in Bartow County, creating treats for those living a keto-friendly lifestyle. Visit sinfullysweetketo.com to see her creations.
Starting from a place of passion
Some entrepreneurs started their cottage food businesses to navigate unexpected life changes. Kelli obtained her license in 2021 after leaving a job during the pandemic. What began as a small handful of products has grown into a full-blown business with more than 40 items on her menu today.
Amal, who has held a license for two years, saw her business venture as an opportunity to share her love of baking with her community. She described the original licensing process as so smooth and easy. For Corinne, who received her license in July 2024, the process was also straightforward. “I took a few pictures of the space, created labels, and reviewed the rules with the rep,” she explains.
Mixed first impressions
When each of them learned about HB 398, the reactions varied. Amal says she felt confused and disappointed, unsure how the removal of licensing would affect consumer trust in cottage food brands. Corinne calls it a crazy decision and worries it removes the small amount of oversight that existed. Kelli, however, sees it as a step in the right direction, especially given Georgia’s historically strict approach.
The benefits for new businesses
One of the most significant advantages of the new law is the potential for expanded sales. In the past, cottage food operators were unable to legally sell to other businesses, which meant that wholesale and retail partnerships were off the table. For Kelli, this change is monumental. “We’ve had to turn down opportunities to place our products in shops or offer wholesale because the law didn’t allow it. Now, we can finally explore those partnerships and expand our reach,” she says.
Another welcome change is the removal of home addresses from product labels; in their place will be a state-issued identifier. Corinne sees the development as a major improvement for safety and privacy. “I thought having to list your home address was dangerous. Commercial products do not list an address you can walk up to, so why should cottage food?” Amal agrees, saying that this new step is good for professionalism.
“The elimination of licensing fees will not make anyone rich, but for new entrepreneurs, every dollar matters. Margins are slim, so every little bit helps,” says Kelli, who plans to reinvest savings into the business. Amal says her savings will go toward online marketing.
Maintaining quality without inspections
One question many have is how operators will maintain customer confidence without the state’s annual inspections. For Kelli, the answer is straightforward. Her business is still registered with the Georgia Secretary of State, carries full liability insurance, and follows rigorous food safety practices. “Our customers know we never cut corners,” she says. Corinne believes other certifications and licensing could help reassure customers. Amal plans to continue following the same safety standards she always has.
Looking ahead
Not everyone is convinced that the change will benefit the industry in every way. Both Amal and Corinne express concern about untrained operators entering the market without any hygiene checks, which could affect consumer trust. Corinne compares it to a large potluck event, where guests avoid certain dishes because of uncertainty about how they were made.
Still, the consensus is that the law opens the door for more people to turn their home kitchens into business ventures, which could enrich Georgia’s local food economy. New entrepreneurs can now test products, build brands, and connect with customers more easily, without the initial licensing step slowing them down.
For existing operators like Kelli, the changes present an opportunity to grow. “The ability to sell to other businesses is a significant change that could transform our business,” she says. “We have built a client base that trusts us and that will not change.”
A month into this new chapter, Georgia’s cottage food community is adjusting to life without the licensing requirement. There are questions to answer and trust to maintain, but there is also real potential for growth and innovation. For food founders who have been dreaming of getting their start, the oven is already warm.
Aubrey Lenyard is co-director of the Georgia Tech Food and Beverage Accelerator (GT.FBA). Learn more online at https://gtfba.innovate.gatech.edu/.
This article was originally published in the Farmers and Consumers Market Bulletin and is republished here with permission.
