Granola & Dry Cereals

Granola: The Universal Cottage Food

Baked granola is permitted under cottage food law in all 50 states without exception — because baked granola has extremely low water activity and does not require refrigeration. It is one of the cleanest, safest cottage food categories.

What Qualifies

• Baked granola — oats, nuts, seeds, dried fruit, sweetener, oil
• Granola bars — pressed and baked, shelf-stable, no dairy-based coatings
• Trail mix — dried fruit, nuts, seeds, chocolate chips (not fresh ingredients)
• Dry cereal blends

What Does Not Qualify

• Granola with yogurt coating (dairy coating may require refrigeration)
• Fresh granola parfait kits (fresh dairy is TCS)

Building a Granola Business

Granola has exceptional shelf life (3-6 months for well-sealed product), packages beautifully in resealable kraft bags or mason jars, and has high perceived value at $8-16 per bag at market. It is one of the most scalable cottage food products — a single oven load can produce dozens of saleable units. Many cottage food granola sellers grow into licensed food manufacturers when they hit their state's sales cap, often the natural first step to a full food business.