How the COVID-19 Pandemic Helped Home Bakers

 Dena Lumbang, owner of Kalani Kakes in Elk Grove, presents her bestselling Hawaiian-inspired cake, the Endless Summer cake, made with passion fruit/orange/guava chiffon with whipped mascarpone, passion fruit curd, macarons from Sophie's Sweets, and edible orchids. Photo by Debbie Cunningham
Dena Lumbang, owner of Kalani Kakes in Elk Grove, presents her bestselling Hawaiian-inspired cake, the Endless Summer cake, made with passion fruit/orange/guava chiffon with whipped mascarpone, passion fruit curd, macarons from Sophie’s Sweets, and edible orchids. Photo by Debbie Cunningham

When Life Gives You Lemons, Make Lemon Cake

In the Hawaiian language, “kalani” means “heavenly.” So it’s only fitting that Elk Grove resident Dena Lumbang named her home-based bakery Kalani Kakes to reflect her passion for the island paradise.

Also known as Heavenly Island Desserts, her business is inspired by the place she treasures. Her parents grew up in Hawaii, her husband was born there, and she has spent many heavenly vacations there with her three children.

Lumbang, who launched Kalani Kakes in 2019, has loved baking since she was a young girl. Her grandmother was a baker and her uncle owned a bakery, so it was only natural she would follow in their footsteps and one day open a business of her own.

But as she got older, life got in the way of her aspirations. Having a storefront while raising three children just wasn’t doable. So she set her goals aside and worked a corporate job, later opening an automotive business with her husband. But the passion just wasn’t there, and the bakery dream lingered in the back of her mind.

Everything changed when she learned about the home-based food industry, known as Cottage Food Operations (CFO). She realized she could pursue her passion without the strains of owning a brick-and-mortar shop, all while staying home with her children. It was the work-life balance she craved.

The California Homemade Food Act, which took effect in 2013, made home-based food operations possible for many aspiring business owners. Previously, these bakers, cooks, and candy makers were subject to the same regulations governing commercial food establishments. They were required to rent commercial kitchen space to prepare foods, thus making their endeavors cost prohibitive and, in many cases, time prohibitive.

“If I didn’t have the cottage food option, I’m not sure I would have started a business,” Lumbang says. “I always thought I’d have a bakery. I just didn’t know how I’d do it. It was really important for me to have a work-life balance. I knew I wanted to be home.”

 Lumbang frosts her Endless Summer cake in her home kitchen in Elk Grove, where she operates her cottage food business. Photo by Debbie Cunningham
Lumbang frosts her Endless Summer cake in her home kitchen in Elk Grove, where she operates her cottage food business. Photo by Debbie Cunningham

Though only open a few years, Kalani Kakes has made a name for itself among sweet-toothed residents throughout the Sacramento region. Not only does Lumbang sell her desserts through her website (Kalanikakes.com), but she also sells via Sinful Treats (Sinfultreats.net), an online marketplace of home-baked goodies.

Lumbang’s menu reflects her passion for Hawaii, featuring flavors such as guava, pineapple, and Kona coffee. She uses ingredients sourced directly from the islands or California and accents her desserts with tropical toppings such as macadamia nut brittle and fresh orchids. She makes everything from scratch, including buttercream and fruit jams.

“I wanted to be farm to fork as much as possible,” Lumbang added. “I use local ingredients and those from Hawaii. It’s all high quality, through and through.”

When Lumbang and her family were unable to travel to Hawaii, they watched the romantic comedy 50 First Dates, which was filmed there. As an homage to their favorite movie, she named her desserts after characters or lines from the film, such as Henry Roth and Forgetful Lucy.

“I realized I should do something inspired by the place we all love as a family — Hawaii,” she says. “I knew I needed to stand out and have my own specialty.”

Four Hawaiian-themed cupcake varieties from Kalani Kakes. Photo by Debbie Cunningham
Four Hawaiian-themed cupcake varieties from Kalani Kakes. Photo by Debbie Cunningham

The Pandemic: A Boost for Home Bakers

It’s no secret that COVID-19 had a profound effect on the food industry, with many restaurants closing, and its ramifications can still be felt today.

But for the cottage food industry, especially cottage food bakers, the lockdowns were a boon to their businesses. Kalani Kakes, for example, was able to switch gears and focus on mini cakes and delivery options, thus offsetting losses from canceled weddings and parties.

“Being able to pivot during the pandemic really helped me grow my business,” Lumbang says. “Many people have traveled to Hawaii, and when the pandemic hit they couldn’t go. But they wanted something that reminded them of Hawaii.”

David Crabill, a Sacramento-based fudge maker, is a co-founder of Forrager.com, nationwide online community dedicated to the cottage food industry. He says for cottage food operators, the positive impacts of the pandemic far outweigh the negative. Many people, especially those in food service, were out of work and looking for ways to bring in extra money. On the consumer side, there was a notable increase in the number of cottage bakers — especially sourdough bread bakers.

“People were looking for comfort food. It was an uncomfortable situation, and they turned to food to make it easier,” he says.

But by far the biggest contributing factor to the rise of the cottage food industry was an increase in spare time. Consumers simply had more time to care about cottage food and home bakers, Crabill says.

“[Before COVID], people were so busy in their normal day-today lives,” he says. “When people were stuck at home during the pandemic, they didn’t have much to do. They explored Instagram, explored Facebook, and explored what was in their local neighborhoods. People [became more concerned] about small home-baking businesses; they had more time to get something unique, something handmade.”

Because counties are charged with issuing permits, there is no statewide database of approved CFOs. However, Crabill estimates the number hovers around 5,000, with many of those permits issued during the 2020 lockdown.

“A lot of people had this dream in the back of their heads that maybe they could start food businesses,” Crabill says. “They work at jobs they might not care about, and when they’re forced to be at home, a lot of people started to explore that dream and consider it. We saw a lot of upstart businesses during that time and, combined with an increased interest in homemade foods and a reduction in spending money at restaurants, that money was shifted. It caused a lot of businesses to launch, and I’ve seen many of them continue to succeed.”

In California, cottage food operators fall into two tiers: Class A, which allows vendors to sell directly to consumers from their homes or via farmers’ markets or special events; and Class B, which allows vendors to sell their products through third-party retailers, such as restaurants and grocery stores.

Cottage food operators are required to follow specific guidelines as outlined in the law. They include completing a food-processing training course and establishing compliant labels, which must list ingredients, declare allergens, and contain the phrase “Made in a Home Kitchen.” Proprietors must also meet specific operational requirements, such as keeping children and pets out of their kitchens, washing their hands properly, and cleaning and sanitizing utensils and equipment. Although Class A CFOs are not subject to inspections, they must each declare they have met all the requirements by filling out and signing a self-certification checklist.

 Cottage food operations are required to label their products as being made in a home kitchen. Photos by Raoul Ortega
Cottage food operations are required to label their products as being made in a home kitchen. Photos by Raoul Ortega

The law also dictates what types of foods are allowed to be sold under cottage food licenses. These are low-risk foods that do not support the growth of potentially hazardous micro-organisms or toxins and don’t require time and/or temperature control for safety. The approved list includes everything from cakes and breads to toffee and fudge, plus savory foods such as infused vinegars and spice blends.

New Year, New Regulations

Nearly a decade after the California Home Food Act was passed, the law was changed again. Assembly Bill 1144, which took effect Jan. 1, 2022, raised the sales limit to $75,000 for Class A licensees and to $150,000 for Class B — from $50,000. It also allows CFOs to have their products delivered via third-party delivery services such as Postmates and DoorDash, and to ship their products within the state, which was not allowed under previous law.

“It should not only improve the ability for the home bakers in California to sell their products anywhere in the state, but it also should increase awareness about the industry in California,” says Crabill, who spearheaded the legislation.

Cottage Cookier

Brittney Crabtree is the owner/operator of Ruby Cakes Cookies, based in Rocklin. She specializes in custom-decorated sugar cookies with themes ranging from cacti and butterflies to beer steins and llamas. She didn’t set out to become a professional cookier (yes, it’s a word); rather, she started doing this as a creative outlet.

“Baking and cooking were a big part of my life growing up,” she says. “As I got older and had babies, I needed something to get me out of ‘mommy mode.’”

Crabtree is mom to three kids, two of whom are on the autism spectrum. She is actively involved in autism awareness and cohosts the podcast Moms Talk Autism. Cookies allow her to take a step back and focus on her own creative pursuits.

“Autism played a big role in me starting my business. I needed something that wasn’t autism. I needed an outlet. I needed a break. It was a type of therapy for me,” she says. “I’d put my babies to bed, go into the kitchen, and create something. The great thing about cookies is that you can push other things out of your mind and focus on making something beautiful.”

Brittney Crabtree, owner of Ruby Cakes Cookies in Rocklin. Photo by Raoul Ortega
Brittney Crabtree, owner of Ruby Cakes Cookies in Rocklin. Photo by Raoul Ortega

Crabtree says she chose cookies because of the creativity they afford. They are smaller, more portable, and easy to work with.

“You can put anything on a cookie!” she says. “The creativity is limitless. What’s so fun is when customers are willing to take a risk and let me make something on my own. They give me an idea, and I just go with it.”

Cottage food laws allowed Crabtree to level up her baking. She became official in 2014, expanding to sell at vendor fairs and events, meeting other cottage food operators, and forming a community of cookiers. Now she bakes hundreds of cookies a month during high season and, at the time of this writing, planned to attend her first CookieCon cookie art convention (yes, it’s a thing) this March.

“It’s been really great to connect with local cookiers in the area,” Crabtree says. “It’s a friendly group. It’s collaborative.”

Search online and you’ll see the collaborative nature of cottage food operators is apparent. In addition to Forrager.com, which has state-by-state discussion threads, there are dozens of groups on Facebook addressing issues surrounding the cottage food industry, ranging from laws and regulations to marketing and pricing.

“I didn’t realize how easy it would be to collaborate with other people from the food industry,” Lumbang says. “I thought it would be more competitive. But there’s enough demand for all of us to be successful.”

Kalani Kakes
Kalanikakes.com

Ruby Cakes Cookies
Rubycakescookies.com

Resources

Forrager
Forrager.com

California Department of Public Health
Food and Drug Branch
800-495-3232 • Cdph.ca.gov

For information about cottage food regulations and business licensing for CFOs in your area, visit the following county websites:
El Dorado: Edcgov.us
Placer: Placer.ca.gov
Sacramento: Saccounty.gov
Yolo: Yolocounty.org