Unlike selling food in a restaurant, your items are not meant to be consumed on your property. The Food and Feed Safety Division issues food licenses and conducts food safety inspections for a variety of businesses in Minnesota. You can choose from two types of permits, depending on whether you want to sell products directly to customers or through other local businesses like shops or restaurants. However, the profit margin for this business could be high due to low material costs compared to potential sales revenue at events or fairs. 3. that is a practical guide for specialty food and start-up food Oregon The typical cost of buying a used, commercial-grade machine is around $2,000. Q:Do I need a business permit number to form an LLC? North Dakota - Cottage Food Law One of the best ways to spread the word about your business is to partner with charities. A cotton candy business qualifies under the food service category in many locations. In most states, these organizations are considered private groups. home, if you are making the candies at home. Q:Do I apply for an EIN by preparing Internal Revenue Service (IRS) Form SS-4 and filing it with the IRS?. Employers, Independent Contractors, LLCs, Partnerships, and Corporations are required to obtain it. The best place to start is by checking out public events and festivals to see if cotton candy is already popular and being sold by someone. This will make it easy for you to accept payments from customers and keep track of your finances. Wyoming, North Dakota, Utah, Montana, and Oklahoma all currently have food freedom laws that allow food operations that dont need permits. inspections that you may - or may not - be subject to. What type of candy are you selling? The least restrictive way to get into candy selling would be to purchase candy from a wholesaler that has already been made and packaged. //-->. One of the advantages of selling cotton candy is that it has a high-profit margin as the ingredients used are relatively cheap.