Commissary kitchens: business model in a nutshell
Commissary kitchens (a.k.a. shared commercial kitchens) rent licensed, inspected kitchen space—by the hour, shift, or membership—to food entrepreneurs: caterers, bakers, CPG startups, food trucks, pop-ups, and delivery-only brands. Ghost kitchens are production-only facilities (often with multiple “virtual restaurant” brands) optimized for take-out and delivery, without a dine-in area. This model has grown alongside app-based delivery, and in Canada follows the same health protection rules as any other food premises; it’s a change in operations, not a regulatory shortcut. (Food Safety Blog)
Canadian Food Regulations
Food regulation is layered:
- Federal (Health Canada & CFIA): Sets national food safety standards (e.g., allergen, compositional standards) and licenses certain activities (import, export, interprovincial trade, and manufacturing of certain foods) under the Safe Food for Canadians Regulations (SFCR). Use CFIA’s tools to check if your activities require a federal licence. (Government of Canada)
- Provincial/Territorial: Adopt and enforce food-premises requirements (facility, equipment, sanitation, temperature control, operator training, inspections). Many use or adapt the Food Retail and Food Services Code (a national model). (Open Alberta)
- Municipal: Zoning, business licensing, fire code, building permits, parking/traffic, waste/grease disposal.
Quick provincial snapshots (examples)
- Ontario – Food Premises Regulation O. Reg. 493/17 (sanitation, equipment, temperature control, etc.). Public Health Units inspect; Ontario also allows some low-risk foods from home under guidance (but anything higher-risk needs an inspected kitchen). (Ontario)
- British Columbia – Health Authorities (e.g., Vancouver Coastal, Fraser Health) regulate food premises; commissary/servicing-area agreements are common for food trucks and shared kitchens. (Vancouver Coastal Health)
- Alberta – Public Health Act Food Regulation; AHS issues permits. Low-risk home-prepared foods can be sold under specific conditions; higher-risk production needs an approved facility. (Alberta Health Services)
- Québec – MAPAQ requires a Restaurant & Retail Permit for food businesses; MAPAQ enforces provincial food regs. (Food Safety Resources)
Key point: Ghost/commissary operations must meet the same food-premises standards as traditional restaurants; only the business model differs. (Toast POS)
Food Safe Regulations
While details vary by province/territory, expect the following themes:
- Approval/permit to operate a food premises from your local health authority; inspections before opening and ongoing thereafter. (Examples: ON Public Health Units; AHS in AB; VCH/Fraser Health in BC; MAPAQ in QC.) (Leeds Grenville Health Unit)
- Facility standards: Adequate hand-wash and dishwashing sinks, potable water, grease management, pest control, approved surfaces, proper refrigeration/freezer capacity, hot-holding, ventilation, and waste/wastewater systems—aligned with the Food Retail & Food Services Code. (Open Alberta)
- Food safety programs & training: Food-handler certification; written procedures for cleaning/sanitizing, temperature logs, allergen management, labeling where applicable. (Open Alberta)
- Federal licensing (only if applicable): Required for activities like importing food, exporting, or interprovincial trade for certain commodities under SFCR. Use CFIA’s licensing guidance and interactive tool. (Canadian Food Inspection Agency)
Setting UP A Commercial Kitchen In Canada
Options A: Rent time in an existing commissary or shared kitchen
Fastest to market: the operator already meets facility requirements; you obtain your own food-premises approval/notification as required and follow house rules. In BC and elsewhere, commissary/servicing-area agreements are standard to formalize access to sinks, storage, waste, etc. (Vancouver Coastal Health)
Option B: Use an existing restaurant during off-hours
Cost-effective if the space is under-utilized. You’ll still need health-authority approval for your operation, define storage, cleaning, and cross-contamination controls, and often file a commissary-style agreement between you and the restaurant operator. Confirm zoning, business licensing, and insurance endorsements (both parties). (Vancouver Coastal Health)
Option C: Build or retrofit a commercial kitchen
More capital but full control. You must meet the Food Code-style facility standards, pass plan review, comply with fire/building codes, install proper ventilation and grease abatement, and secure business/zoning approvals. (Open Alberta)
Option D: Home or rural environments
Several provinces permit low-risk foods from home kitchens (e.g., certain baked goods, jams) with restrictions; higher-risk foods (meat, dairy, TCS foods) generally require an inspected, separate commercial-grade facility. Always verify the local rule set—Ontario’s and Alberta’s programs are good examples of “low-risk from home with conditions.” (Ontario)
Start Up Challenges: Common hurdles (and how to mitigate them)
- Zoning & occupancy – Kitchens are often limited to specific zones; secure a zoning confirmation early. (Municipal requirement; varies by city.)
- Grease & ventilation – Type I hoods, make-up air, and grease interceptors are costly; get mechanical and plumbing sign-off before leasing. (Open Alberta)
- Shared-space controls – Storage allocation, allergen segregation, sanitation schedules, pest control responsibilities; formalize in your agreements. (Vancouver Coastal Health)
- Permits cascade – Health approval, business licence, fire inspection, building permits, signage, waste contracts; sequence matters—coordinate plan review with health and building departments. (Leeds Grenville Health Unit)
- Insurance & liability – Product liability, tenant improvements, and co-insured requirements with the landlord/host kitchen.
- Labeling & CFIA triggers – If you package foods for sale, labeling and, in some cases, CFIA licensing may apply (especially for interprovincial trade/import/export). (Government of Canada)
- Delivery-only complexity – Ghost kitchens must still meet all food-premises rules and manage third-party delivery food safety risks (hot/cold holding, tamper-evident packaging, timing). (Toast POS)
Bonus: Step-by-step checklist to launch a licensed kitchen operation (Canada)
Planning & site selection
- ☐ Define product scope and distribution (local retail, catering, delivery, interprovincial, import/export) to determine if CFIA licensing is needed under SFCR. (Canadian Food Inspection Agency)
- ☐ Confirm municipal zoning permits a commercial kitchen/food processing use at the address.
- ☐ Choose model: shared commissary, off-hours restaurant, or your own build-out.
Regulatory engagement
- ☐ Contact your local health authority for plan review/approval requirements and pre-opening inspection steps (e.g., Public Health Units in ON, AHS in AB, VCH/Fraser in BC, MAPAQ in QC). (Leeds Grenville Health Unit)
- ☐ If using a shared or host facility, execute a commissary/servicing-area agreement (hours, sinks, storage, wastewater, waste, potable water). (Vancouver Coastal Health)
- ☐ Verify any federal licensing and labelling implications (CFIA/SFCR). (Canadian Food Inspection Agency)
Facility & build-out
- ☐ Ensure Food Code-aligned infrastructure: hand sinks, dishwashing (2- or 3-compartment or commercial dishwasher), food-grade surfaces, adequate refrigeration/freezers, thermometers, pest control, lighting. (Open Alberta)
- ☐ Install required ventilation (hood) and grease interceptor; obtain fire/building approvals. (Open Alberta)
- ☐ Set up secure, segregated storage (dry/cold/frozen) and labeled shelves/bins—especially in shared facilities. (Vancouver Coastal Health)
Operations & people
- ☐ Obtain food premises permit/approval from the health authority (pre-opening inspection). (Leeds Grenville Health Unit)
- ☐ Have at least one certified food handler (or as required locally); post certificates. (Open Alberta)
- ☐ Implement SOPs & logs: receiving, temperature checks, allergen controls, cleaning/sanitizing schedules, pest logs, illness reporting. (Open Alberta)
- ☐ Set packaging & labeling standards (ingredient/allergen statements as required). For wider distribution, check federal labeling rules. (Government of Canada)
Business admin
- ☐ Secure business licence, insurance (general & product liability), and WSIB/WCB as applicable.
- ☐ Arrange waste/grease hauling contracts and laundry (if required).
- ☐ If doing delivery-only, define hot/cold holding, tamper-evident packaging, and delivery time controls. (Toast POS)
Special cases
- ☐ Home/rural: confirm if your products qualify as low-risk for home-based sales (e.g., AB/ON examples); otherwise plan for an inspected commercial facility. (Ontario)
Strategy tips for the Canadian market
- De-risk with existing infrastructure: Start in a reputable commissary or an off-hours restaurant to validate demand before committing to a full build. Document responsibilities via a servicing/commissary agreement. (Vancouver Coastal Health)
- Design for inspections: Align your floor plan and equipment list with the Food Retail & Food Services Code from day one to minimize redesigns. (Open Alberta)
- Plan for scale & CFIA: If you anticipate selling across provinces or importing ingredients, map the path to SFCR licensing early. (Canadian Food Inspection Agency)
- Document everything: Written SOPs and logs aren’t just paperwork—they speed approvals, build consistency, and protect your brand during audits and growth. (Open Alberta)
Bottom line
Ghost and commissary kitchens are compelling, capital-light ways to launch and grow food brands in Canada—but they follow the same public-health rules as dine-in restaurants. Start by clarifying your activities (and any CFIA triggers), choose the right facility strategy (shared, off-hours, or build-out), and work closely with your local health authority to approve your plan, train your team, and operationalize a robust, inspection-ready food safety program. (Toast POS)