Can You Run a Home Bakery Business in Louisiana?

Professional bakers and those with creative recipes for baked goods and cakes can start a home-based bakery business in Louisiana. These individuals must follow Louisiana laws and regulations for home-produced foods and baked goods to ensure the public is consuming healthy products that are prepared in sanitary environments. You must contact the proper departments in Louisiana to get approved permits to operate a home-based bakery before mixing the flour and baking the goods.

Bakery Business License

All operating businesses in Louisiana, including home-operated food and bakery businesses, must apply to get a standard business license from the state. The application for a business license differs depending on the business structure the home-bakery operates as. Sole proprietors or single-owner bakeries must contact the local county clerk’s office to apply for the license, while partnership or corporation bakeries with a home office and bakery must apply with the Louisiana Department of Revenue. The application process can be completed online using the department of revenue’s online application portal.

Bakery Taxes

Bakeries operated out of the private home must pay income tax on all earnings made from sales of baked goods. The process of filing bakery taxes depends on the structure filed when registering the business for the bakery business license. If you operate as a sole proprietor or a lone owner, use your Social Security number when filing quarterly income taxes. Running the home bakery as a partnership or corporation requires a tax number from the Internal Revenue Service, as the number identifies the bakery with the earnings reported. Apply for the free tax number through the IRS’s website.

Permit for Production

Louisiana must also approve the kitchen or space where the baked goods will be produced to ensure it meets sanitation standards outlined by the Louisiana Department of Health and Hospitals. A representative will visit the space, inspect it to ensure products are stored at proper temperatures, ensure there are no infestations, and grade the overall home kitchen. A food-establishment permit is issued from the department of health and hospitals if the space passes inspection.

Permit for Sales

While home bakery owners can have people come to the home to purchase goods, some prefer to prepackage the goods and sell them elsewhere, such as in local stores or through vending machines. The Louisiana department of revenue requires that you obtain a permit that allows you to sell all packaged food products. For example, you must get a vending machine permit to sell small cakes or cookies baked in the home through a vending machine.

References

• Louisiana Department of Revenue: Online Business Registration
• Internal Revenue Service: Do You Need an EIN?
• Louisiana Department of Health and Hospitals: Sanitarian Services -- Retail Food
• Louisiana Department of Health and Hospitals: Sanitarian Services -- Retail Food Services
• Official Guide to Doing Business in Louisiana: Permits & Licenses