Checklist for a Small, Food-Based Business Startup in Nebraska

Checklist for a Small, Food-Based Business Startup in Nebraska

LB 232 of 2024 amended the Nebraska Pure Food Act which is administered by the Nebraska Department of Agriculture (NDA). The types of foods a producer can sell have changed. It is recommended to review the final list of foods that are and are not allowed. For sales which are not at a Farmers Market, as of July 19, 2024, a person may prepare and sell food directly to the consumer at a public event or for pick up or delivery without obtaining a food establishment permit so long as the person preparing and selling the food (producer) complies with the following:

  1. The producer has completed an accredited food safety course:
  2. The producer registers with NDA and includes all required information; https://appengine.egov.com/apps/ne/cottage_food_producer
    • About Registration:
      • Registration can only be completed if a food safety course is shown; 
      • Confirmation of your registration is not automated, however; 
      • You can confirm registration by viewing the list of registered cottage food producers online – please note it can take up to 10 days for your registration to be added.  
  3. If you are participating in temporary events or farmers' markets in Douglas County, you will also need to fill out this Cottage Food Vendor Packet (fillable PDF) and provide the completed registration form (page 2) to the coordinator of the event/market. The coordinator is responsible for turning in all food vendor applications to the health department prior to the event/market, and fill out the NDA registration. 
  4. Cottage Food Producers in the Lincoln-Lancaster area and three miles out need to fill out a Cottage Food Operation Application and an NDA registration.  https://app.lincoln.ne.gov/city/health/environ/Food/pdf/CFOApplication.pdf 
    • In all Nebraska Counties, the Cottage Food Producer must follow all food safety and handling guidelines required by the county, city, or village where the food is sold.  
  5. Once you have become a registered Cottage Food Producer, you must consider the following guidelines: 
    • Know what foods you can and cannot sell. 
    • The consumer must be visibly notified that the food was prepared in a kitchen that is NOT subject to regulation and inspection and the food may contain allergens; 
    • The name and address of the producer is on the package or container label; 
    • The food is delivered in person or by direct delivery to the actual consumer (the food cannot be sold at wholesale (i.e. grocery stores, restaurants, or other commercial food establishments); 
    • The producer complies with food safety guidelines required by the county, city or village for sale at public events;  
    • If the producer is using private well water, the well water must be tested for nitrates and coliform bacteria. For more information on water well testing, visit the Nebraska Public Health Environmental Lab's website. 
    • State law does not require that a producer (under LB 232) register with the NDA if the producer is only selling at Farmers Markets. However, to sell at a farmers market, the producer is still required to comply with: 
    • Notifying the customer in a clear and visible way that the food was prepared in a kitchen that is not subject to regulation and inspection by the regulatory authority, and may contain allergens;  
    • Providing the name and address of the producer to the consumer on the package or container label.

Information for Selling TCS Foods

The following information does not apply to a producer of food that is not time/temperature control for safety (TCS) food selling directly to the consumer at a farmer’s market. If you are selling a TCS food, you need to follow these regulations:

  • The producer shall inform the consumer by a clearly visible notification that the food:
    • Was prepared in a kitchen that is not subject to regulation and inspection by a regulatory authority; and
    • May contain allergens.
  • For sales conducted at a farmer’s market, fair, festival, craft show, or other public event, such notification shall be provided at the sale location. (For example, on your table at your booth).
  • For sales conducted for pickup or delivery, such notification shall be provided at the producer's private home, on the producer's website, if such website exists, and in any print, radio, television, or Internet advertisement for such sales.
  • The producer shall label the food so that the name and address of the producer is provided to the consumer on the package or container label. (An email or phone number does NOT fulfill this requirement). Food that is time/temperature control for safety food shall also have labeling that includes ingredients in descending order of predominance.
  • Food that is not time/temperature control for safety food may be delivered by United States mail or a commercial mail delivery service.
  • Food that is time/temperature control for safety food shall be delivered only by the producer to the consumer in person. When transported, such food shall be maintained at a temperature in accordance with the Nebraska Pure Food Act and not be transported for longer than two hours. This means cold food will stay below 41˚F and hot food must stay above 135˚F during transportation.
  • The provisions of this section supersede and preempt any ordinance, rule, regulation, or resolution regulating food safety and handling adopted or enacted by a political subdivision that is not in conformance with this section.

Things to Consider Once You Are Registered to Sell Non-TCS Foods

  • How will you advertise? Social media, word of mouth, strictly at Farmer’s Markets? 
  • It is very important that you do your research before starting your at home food business as the food industry is very competitive.  Are there others selling the same product in your area?  Are they doing well?  Is there room for others?  
  • Are you selling food as a hobby, or for profit? 
  • Check out tax considerations. 
  • What types of payment will/can you accept? 
  • Will you create a marketing brand with a specific logo and name? You’ll need to determine how you’ll create a brand that your customers use to recognize your product.  
  • Who is your target market? 
  • Are you selling seasonally or all year? 
  • Where will you get your supplies?
  • Look into LLC’s. Do you need this? What are your liabilities? 
  • What will you sell: Are you filling a niche with a specific item only or selling a broad range of items? 
  • What is your menu and your prices? 
  • Can you prepare your items by yourself or do you need help from others? 
  • Do you have the space and the equipment to create your food items? 
  • Will you deliver, have customers pick up at your house, or mail your food? 
  • What types of containers will you place your food in? To sell? To ship? 
  • Always create great customer service.