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Little Elm, TX Home Business: Cottage Food Operations (2026)

Few Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

State Law
TX HSC Ch. 437
Annual Sales Cap
$50,000
Local Permit
Not required (TX LGC 250.008)
Sales Method
Direct to consumer only
Labeling
Name, address, date, home kitchen disclaimer

Summary

TX HSC Ch. 437 allows home kitchen food sales up to $50,000/year without permits. TX LGC 250.008 bars cities from banning cottage food. Direct-to-consumer sales only with required labeling.

Sec. 437.0192. REGULATION OF COTTAGE FOOD PRODUCTION OPERATIONS BY LOCAL GOVERNMENT AUTHORITIES PROHIBITED; COMPLAINTS. (a) A local government authority, including a local health department, may not: (1) regulate the production of food at a cottage food production operation; or (2) require a cottage food production operation to obtain any type of license or permit or pay any fee to produce or sell directly to a consumer or cottage food vendor, or to provide samples directly to a consumer, a food other than a food described by Sections 437.001(2-b)(A)(i)-(vi). (b) Each local health department and the department shall maintain a record of a complaint made by a person against a cottage food production operation.

Source: TX Health and Safety Code Ch. 437View official code

Full Breakdown

Texas Health and Safety Code Chapter 437 (Texas Cottage Food Law, amended by HB 1926 effective September 2019) permits individuals to produce and sell certain non-potentially-hazardous foods from their home kitchen without a food handler permit, food establishment license, or health department inspection. Annual gross sales cannot exceed $50,000. Foods must be sold directly to consumers at the point of production, farmers markets, farm stands, or through the internet with delivery by the producer. No wholesale, restaurant, or retail store sales. Permitted foods include baked goods, candy, coated and uncoated nuts, unroasted nut butters, fruit butters, canned jams and jellies, dried fruits and vegetables, popcorn, cereal, granola, dry mixes, vinegar, pickled fruits and vegetables, mustard, roasted coffee, dried pasta, and fermented vegetables.

Each package must bear a label with the producer's name and address, the production date, and the statement: This food is made in a home kitchen and is not inspected by the Department of State Health Services. 008 explicitly prohibits municipalities from banning cottage food production in residential zones. Little Elm cannot require a local cottage food permit or restrict these operations beyond state law.

Violations & Fines

No local penalties for compliant cottage food operations. State enforcement by DSHS for exceeding $50,000 sales cap, selling prohibited items, or failing to label properly. Operating without proper labeling: DSHS may issue cease-and-desist.

Frequently Asked Questions

Do I need a permit to sell baked goods from home in Little Elm?
No local permit is required. Texas HSC Chapter 437 allows direct sale of non-potentially-hazardous foods from home kitchens up to $50,000/year. Texas LGC 250.008 prohibits cities from banning these operations.
Can I sell cottage food at the Little Elm farmers market?
Yes. Texas cottage food law permits direct-to-consumer sales at farmers markets. Each package must include your name, address, production date, and the required home kitchen disclaimer.
Can I sell through DoorDash or Uber Eats?
No. Cottage food must be sold directly by the producer to the consumer. Third-party delivery services and wholesale to restaurants or retail stores are not permitted under Texas cottage food law.

Sources & Official References

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