Colorado Retail Food License: Who Issues It, Fee Ceilings by Size, Plan Review and December Renewal
Colorado Retail Food License: Who Issues It, Fee Ceilings by Size, Plan Review and December Renewal
If you plan to sell food to the public from a fixed location in Colorado, you need a retail food establishment license. The Colorado retail food license does not come from one statewide office. Depending on where your business operates, it comes from the Colorado Department of Public Health and Environment (CDPHE), a county or district board of health, or the City of Denver. This guide explains who issues the license, what the statutory fee ceilings are by size of operation, how plan review works, and how the December renewal cycle affects your timing.
This article is informational content, not legal or tax advice. Fees and procedures are set by state statute and by local agencies, and a local agency may charge less than the statutory ceiling. Confirm every figure with the agency that will issue your license before you budget, sign a lease, or buy equipment. If your situation is complex, such as a multi-location operation, a business with unusual tax questions, or a property with zoning issues, consult a qualified Colorado attorney or CPA.
What You Need Before You Start
Gather the following before you contact a licensing agency. Having these ready helps prevent delays.
- Your legal business name and entity type. If you are forming an LLC or corporation, file the formation document with the Colorado Secretary of State first. The filing fee for either is $50. The documents are the Articles of Organization for a Limited Liability Company or the Articles of Incorporation for a Profit Corporation.
- A Colorado registered agent. Your entity must name one, and the agent needs a physical Colorado street address where documents can be received during business hours. A P.O. box will not work.
- The premises address and a floor plan. Plan review requires a drawing of the space and the equipment layout. Your agency will tell you what format it accepts.
- Your seat count and square footage. If you serve food on site, know your seat count. If you sell packaged food, know the square footage devoted to it, because license categories depend on these numbers.
- A sales mix estimate. Estimate what share of your sales will be prepared food and what share will be prepackaged food. This determines which license category applies.
- A written menu and process list. List every item you plan to sell and how you will prepare, hold, cool, reheat and store it.
- Your Department of Revenue account, if you collect tax. Most sellers of taxable food need a sales tax license, covered in Step 5 below.
Step-by-Step: Getting Your Colorado Retail Food License
- Confirm which agency issues your license. This is the most important first step, because applying to the wrong office wastes time and money. CDPHE licenses retail food establishments directly in only nine counties: Clear Creek, Dolores, Gilpin, Moffat, Ouray, Park, Pitkin (except the City of Aspen), Rio Blanco and San Juan. In every other county, a county or district board of health issues the license under C.R.S. 25-4-1603 and 25-4-1606. The City of Denver licenses by ordinance. If your business is in the City of Aspen, confirm with the city which agency handles your license. Ask the agency that controls your address in writing which office you should apply to.
- Set up your legal entity and any required accounts. Colorado has no general state business license. You form your entity with the Secretary of State, open a Department of Revenue account if you collect or withhold tax, and then obtain the licenses and permits for your activity from the state, city or county. If you will operate under a name other than your legal name, file a Statement of Trade Name. Trade names are filed statewide with the Secretary of State, not with the county. The fee is $20 to file online and $5 to renew. If you form an LLC or corporation, you owe no periodic report in its first year. The $25 periodic report begins in the second year.
- Identify your license category. The statute sets different annual fee ceilings for seating-based establishments, limited establishments, prepackaged-only operations, mixed retail and prepared food operations, and oil-and-gas worker camp kitchens. Your category depends on your seat count, your square footage, and your sales mix. Read the fee table in the next section, then ask the agency which category it will assign to your plans. Put that answer in writing.
- Complete plan review before you build out. Ask your agency whether plan review is required before construction, and when you should submit it. The statute sets a $100 application fee for plan review and caps the review cost at $580. Local agencies set their own review process, so request their checklist and timeline. A well-prepared plan review submission generally reduces the number of correction rounds.
- Find out what manager certification your agency requires. Check with your local public health agency whether a certified food protection manager must be on staff, and what training it expects from food workers. Do not assume a statewide food handler card is required. Requirements can differ by jurisdiction, so get the rule in writing from the agency that will license you.
- Obtain a sales tax license if you sell taxable food. A sales tax license is required to sell taxable food. The state sales tax rate is 2.9 percent, plus any special district taxes that apply to your location. Apply through the Department of Revenue at tax.colorado.gov. Home-rule cities, including Denver, Aurora, Colorado Springs, Boulder and Fort Collins, collect and license their own city sales tax. A state sales tax license does not cover them, so if you operate in one of those cities, apply directly to the city as well. Services are generally not subject to state sales tax. Whether a specific item is taxable is a question for the Department of Revenue or a CPA.
- Submit your license application and pay the annual fee. Use the application form from your licensing agency, and pay the fee for your category. Your agency will schedule an inspection. The annual fee is the only inspection fee you will pay, except for special events. Keep copies of everything you submit, including your plan review approval and any correction notices.
- Calendar your December renewal from day one. The license runs on the calendar year and expires December 31. Renewal applications are filed in December. The fee is not reduced for a partial year, so a business that opens late in the year pays the full annual fee. Ask your agency how the first-year license is billed and when your renewal window opens.
Fee Ceilings by Size and Category
The statute sets maximum annual fees, found in C.R.S. 25-4-1607. Counties may set lower fees. The annual fee is the only inspection fee, except for special events. Denver sets its own fees by ordinance, so check with Denver Environmental Health for current amounts.
| License category | Statutory annual fee ceiling |
|---|---|
| Seating, 0 to 100 seats | $385 |
| Seating, 101 to 200 seats | $430 |
| Seating, over 200 seats | $465 |
| Limited establishment | $270 |
| Prepackaged only, under 15,001 sq ft | $195 |
| Prepackaged only, larger tier | $353 |
| Mixed retail plus prepared food | $375 or $715, depending on the tier that applies to you |
| Oil-and-gas worker camp kitchen | $855 |
Read these as ceilings. Your county may charge less, and your category assignment determines which line applies. For the mixed retail and prepared food category, ask your agency which of the two amounts applies to your operation before you finalize your budget.
Plan Review: What It Costs and How to Approach It
Plan review is the agency's check of your proposed layout, equipment, and food handling process before you open or remodel. The statute sets a $100 application fee and caps the plan review cost at $580. The actual review process, submission format, and timeline belong to your local agency, so your first call should be to ask for its written procedure.
Prepare for plan review by drawing a scaled floor plan that shows sinks, cooking equipment, refrigeration, storage, restrooms, and the flow of food from receiving to service. List every piece of equipment with its model and capacity. Where your menu involves cooling, reheating, or holding food, describe how you will do it. Inspectors typically look at these areas first, so a plan that addresses them clearly tends to move faster.
The December Renewal Cycle
Colorado retail food licenses run on the calendar year. They expire on December 31, and renewal applications are filed in December. This timing affects three planning decisions. First, budget for the full annual fee even if you open late in the year, because the fee is not reduced for a partial year. Second, calendar the renewal window in the fall so you are not scrambling in December. Third, keep your contact information, menu, and equipment list current, because your agency will rely on those records when it processes renewal.
Where Cottage Food and Mobile Units Fit
This guide covers a fixed retail food establishment. Cottage food operations and mobile food units follow different rules, and each has its own requirements. If you plan to produce food in a home kitchen or operate a vehicle, read those topics separately before you assume this process applies to you. Mixing up the categories is a common source of wasted fees and delayed openings.
Tips and Common Mistakes to Avoid
- Calling the wrong office. Confirm your county, and whether it is one of the nine CDPHE counties, before you submit anything. If you are in Denver, your application goes to the city.
- Signing a lease before you confirm licensing. Ask the licensing agency to review the space or your plan before you commit to a long lease, especially if the space previously held a food business or needs significant changes.
- Treating the statutory ceiling as your final fee. The ceiling is a maximum. Ask your agency for its actual fee in writing.
- Forgetting the city sales tax license. A state sales tax license does not cover home-rule cities. If you operate in Denver, Aurora, Colorado Springs, Boulder or Fort Collins, you also need to deal with that city.
- Mixing up entity and trade names. Your LLC or corporation name and your public-facing brand name may differ. The brand name may require a Statement of Trade Name with the Secretary of State.
- Assuming a statewide training card. Ask your local agency what food safety training it requires for managers and staff. Do not rely on what a neighboring county requires.
- Overlooking the December deadline. Put the renewal window on your calendar the day you receive your first license, and ask your agency what happens if a renewal is filed late.
What to Expect From the Process
Most applicants find that the process moves in stages: entity setup, licensing agency contact, plan review, construction or remodel, inspection, and then the license decision. Each stage can take longer than expected, especially if your plan review needs corrections or your inspection finds items to fix. Timing depends on your agency's workload and how complete your submissions are, so build a buffer into your opening date. Many operators find that a clear checklist from the agency and a complete first submission help keep the process on track, though no agency can promise a specific timeline in advance.
Official Colorado Resources
- Colorado Secretary of State, Business Organizations Division: https://www.coloradosos.gov/pubs/business/businessHome.html
- Colorado Secretary of State business entity search: https://www.coloradosos.gov/biz/BusinessEntityCriteriaExt.do
- Statement of Trade Name information: https://www.coloradosos.gov/pubs/business/FAQs/tradeNames.html
- Colorado Department of Revenue, Taxation Division: https://tax.colorado.gov/
- How to apply for a Colorado sales tax license: https://tax.colorado.gov/how-to-apply-for-a-colorado-sales-tax-license
- Colorado Small Business Development Center Network: https://sbdc.colorado.gov/
- U.S. Small Business Administration, Colorado district: https://www.sba.gov/district/colorado
For retail food licensing itself, search the CDPHE website for its list of directly licensed counties, and contact your county or district board of health or Denver Environmental Health for the current application form, fees, and plan review procedure.
Next Steps
Start with the question that controls everything else: which agency licenses your location. Once you know that, file your entity paperwork, pick your license category, and request your local plan review checklist. Keep all written answers from the agency in one file. If your setup involves a multi-location operation, a shared kitchen, or a tax question you cannot resolve with the Department of Revenue, speak with a qualified attorney or CPA before you commit.
Disclaimer: This article is informational only and is not legal or tax advice. Fees, procedures and deadlines can change, and local agencies may set different requirements. Verify all current figures with the licensing agency and the appropriate state or city office before you act.
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