the glossary of selling locally

the words you run into when you sell homemade food or handmade goods, in plain english, with links to the full story.

a clay potter tying a price tag onto a handmade blue mug
on this page1the words

the words, a to z

acidified food
a low-acid food with acid added so it reaches a pH of 4.6 or lower, like pickles or salsa. many states have extra rules for selling it from home, such as a tested recipe.
card processing
the fee for taking a card payment, usually a percentage plus a fixed amount per order, like 2.9% + 30¢. compare fees on every platform ›
consignment
when a shop sells your work for you and keeps a share of each sale, paying you once it sells.
cottage food
food made in a home kitchen and sold under a state law that lets you skip a commercial kitchen, usually foods that are safe at room temperature, like breads, cookies, candy and jams. cottage food laws by state ›
cottage food producer
someone who makes and sells cottage food. many states ask producers to register, take a short food safety course and label everything. how it works in minnesota ›
custom domain
your own web address, like yourshop.com, instead of one that belongs to the platform you sell on. how to get one ›
direct-to-consumer
selling straight to the person who’ll eat or use what you make, not to a store that resells it. most cottage food laws only allow this.
drop
a small batch released for preorder during a set window, then picked up at a set time. popular with home bakers and pop-ups. apps for drops and preorders ›
food freedom law
a state law that lets you sell a much wider range of homemade foods than a cottage food law, straight to the person who’ll eat them, usually with fewer rules. the food freedom states ›
food handler card
a certificate from a short food safety course. some states require one before you sell cottage food.
google business profile
a free listing that puts a business on google search and maps. a business that serves customers somewhere else can list its service area instead of its address. how to show up on google ›
listing fee
a fee to post an item for sale, like etsy’s 20¢ per listing. wareby has none. wareby vs etsy ›
local delivery
delivery by the seller, inside an area they choose, instead of shipping. in some states, like minnesota, cottage food has to be delivered this way. the minnesota rule ›
local multiplier
how much of each dollar spent at a business keeps circulating nearby. civic economics found independent retailers put 52.9% of their revenue back into the local economy, compared with 13.6% for chains. where your money goes ›
marketplace
a site where many sellers list and shoppers browse and buy, like etsy, amazon handmade or wareby. it brings shoppers to you, for a cut of each sale. the best platforms to sell on ›
offsite ads
etsy’s program that advertises sellers’ listings on other sites and charges 15% of an order it brings in (12%, and required, for shops over $10,000 a year). how it works ›
pickup window
a set time when customers collect their orders, like saturday 9 to 11 am. sellers often cap how many orders fit in each.
preorder
an order placed before the item is made or ready, for pickup, delivery or shipping later.
referral fee
amazon’s fee on each sale. on amazon handmade, it’s 15% of the order, shipping included. wareby vs amazon handmade ›
sales cap
the most a cottage food law lets you sell in a year. above it, you need a licensed kitchen or the license your state requires. sales caps by state ›
sales tax permit
a registration with your state to collect and send in sales tax on taxable sales. most states with a sales tax require one before you sell.
shelf-stable food
food that’s safe at room temperature without refrigeration, because it’s dry enough or acidic enough. the foods cottage food laws usually allow.
shop small
buying from small, independent businesses instead of big chains. small business saturday, the saturday after thanksgiving, was started by american express in 2010.
store builder
software for building your own online store, like shopify, square online or squarespace. lower fees per sale than a marketplace, but you bring every visitor. what a store really costs ›
take rate
the share of all sales a marketplace keeps in fees, ads and services. etsy, inc. reported 24.2% for 2025.
tcs food
time/temperature control for safety food: food that has to be kept hot or cold to stay safe, like cheesecake, cream pies or meat. cottage food laws usually don’t allow it.
transaction fee
a percentage a platform takes from each sale, also called a sale fee. on wareby, it’s 6 to 10% of the items, never of delivery or shipping. seller plans ›
verified local
wareby’s check before a shop opens: a real person confirms the owner’s id, the address they sell from, and a food permit for anyone selling food. what it means ›
warebucks
wareby’s rewards for shopping local: 2 for every $1 spent at a shop, and every 100 take $1 off a future order at any shop on wareby. the shop is still paid in full. how warebucks work ›
water activity
a measure of how much free water is in a food, from 0 to 1. dry foods with low water activity (0.85 or lower is a common line) don’t support the bacteria that make food unsafe.
wholesale
selling to a business that resells what you make, like a cafe or a shop. most cottage food laws don’t allow it.