The following is a post from 2010 that I am sharing once again with you. A question asked and was answered regarding starting a cake business from home. To be frank…I would not want to eat from a bakery that have animals walking around. The same should apply at home. No difference.
Question: I ultimately want to open my own bake shop, but while transitioning from part-time work to this dream, I have entertained the idea of baking goods in my home kitchen and selling them. I do, however, have a cat. Will I be able to get the proper license and health certification?
Answer: Most states do not approve a animals in a home if you are going to bake there like the state of Colorado. Some states will allow you to set up shop in another building on the same lot, but not in the building that you live in.
So for instance, you can get a license or permission from your state first and then turn your garage into a bake shop. You are not in the same space, but you are still actually working from home.
You would need to get a food service license from your local area. Also, incorporate your business. I highly suggest an LLC. You can do that via legal zoom.