Today's large-scale biodiesel production facilities offer economies of scale based on conventional process technologies and equipment. This presents a unique challenge and opportunity to develop smaller scale biodiesel production systems using advanced process technologies resulting in a potentially enormous paradigm shift in production logistics. This paper will explore the technologies required for such a shift, as well as the ensuing benefits and implications for various biodiesel consumer models at the community scale. Included in the discussion will be feedstock criteria, reaction parameters, production logistics, product quality, side-stream management, production economics and social impact.