What are the latest trends in liquor licensing? You can find out by asking other liquor vendors in your area, but that may just give you the local trends. Find out national trends by reading the latest news and legislation issues that affect liquor licensing before you locate a liquor license for sale.

What can you do to make the licensing process easier? Read how to get a liquor license regulations in your community, and use liquor license services to help smooth out the process. Along with that, you can:

1. Join a licensing organization for the best news and trends in liquor licensing.
2. Read up on licensing news and liquor trends at national news sites.
3. Learn more about federal programs to limit and modify licensing and certification processes.
   

Action Steps
The best contacts and resources to help you get it done

Seek out professional organizations that specialize in liquor licensing laws and solutions

Several membership organizations serve the license industry by helping members with legislative and licensing concerns. They also offer up to the minute news and trends in the licensing industry, so you'll know if there are new regulations and laws applicable to your state or community before you buy liquor license.

I recommend: Find news and the latest legislative issues that may affect your business at American Beverage Licensees (ABL), an organization designed for those who sell alcoholic beverages. The National Alcohol Beverage Control Association (NABCA) offers a variety of free and for purchase publications on operational and regulatory information in the jurisdictions around the country.

Uncover liquor license information at national news sites

In some areas of the country, you can just buy a liquor license and be up and running in a few weeks. In other communities, it's not so easy, and it entails much more than filling out a liquor license application. You may have to get feasibility studies, location or field surveys, and other paperwork before you can get a license. Find out this and other news at national sites with licensing news and information.

I recommend: The Distilled Spirits Council of the United States (DISCUS) offers a page with state licensing issues in the news. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) offers a "What's New" page with the latest in alcohol licensing, taxation, and regulation information on the federal level.

Learn more about federal and local license for liquor issues

Before you buy a liquor license for sale, you need to know what issues face your community and your state. If you're doing business in multiple states, national issues will complicate your licensing process. Liquor license specialists can help you find this information, but there are other resources, too.

I recommend: Kolesar & Leatham offers clients information and representation for liquor licensing issues and initiatives nationally and internationally. The National Conference of State Liquor Administrators offers regularly updated news on its website, as well as an e-newsletter addressing national and state licensing issues, including information on liquor licensing laws.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Even if you think you know about your local and state liquor licensing requirements, it pays to keep current with liquor licensing news and trends because changes happen all the time. States can legislate caps on liquor licenses, remove those caps, mandate no Sunday sales, and many other regulations due to public outcry and support, so keep current and know the legalities before you purchase liquor license for your establishment.

If you want sell alcoholic beverages retail, you need a liquor license from your state liquor authority (SLA), generally known as the State Department of Alcohol Beverage Control (ABC), although the name may vary, depending on your state.

You don't need a federal license — that's only for producers, importers, exporters and wholesalers of spirits. The license laws differ from state to state plus there are thousands of municipal ordinances governing the sale of alcohol and zoning for liquor stores and bars. The two main ways to get a liquor license are:

1. Apply to the state ABC
2. Buy an existing liquor license – some localities limit the number in circulation

Action Steps
The best contacts and resources to help you get it done

Apply to your ABC

Get in touch with your state licensing authority to learn the eligibility requirements and get an application. Some states let you apply for your license online.

I recommend: Here's the complete contact list for each state's boards and licensing authorities. Some states have several boards. Contact the one nearest to you.

Buy a license

Brokers specialize in matching buyers and sellers of liquor licenses.

I recommend: Try Liquor License Specialists, Liquor License Experts or Amlex.

Use an expediter

Professionals specialize in seeing your application through all the state and local hoops.

I recommend: License brokers can do the job for you or hire a member of the member of the National Association of Alcoholic Beverage Licensing Attorneys.

Get the word out

Certain states require that on-premise businesses notify the appropriate government entity (village, town, or city clerk) of an application for a state liquor license.

I recommend: If necessary, post required public notice of your application for an on-premises state liquor license. This may include publishing notice in a newspaper. Look at myPublicNotices.com for examples.

Avoid government monopolies

Forget about your career as a liquor store owner In 18 states and one county -- the government holds all the licenses.

I recommend: Here's the list of jurisdictions where governments have the monopoly.

If you're a producer, exporter, importer or wholesaler…

You and your business partners must apply for a federal license.

I recommend: The Alcohol and Tobacco Tax and Trade Bureau (TTB) issues permits that you'll need before conducting your business in beer, wine or distilled spirits.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  The length of the license period depends on the class or type of license issued, as does the fee structure.
• •  In some states, a DWI conviction will disqualify a liquor license candidate.
• •  Location, location, location. Certain states prohibit a retail liquor store or on-premise business within a specific distance of a school or place of worship.
• •  Check local zoning regulations if you plan to operate at a location not previously used for this type of business.
• •  You need a license to sell alcohol beverage on the Internet.

If you're thinking of opening a restaurant that will serve liquor, make sure you get your license in plenty of time. Often, liquor licenses take a bit of time to be approved--in some cases, 45 to 60 days or more, and even up to a year. Some communities have caps on the number of licenses they can issue, so before you buy a restaurant, check out the pricing and costs of liquor licensing, and make sure you do it early.

Most people know, serving liquor is expensive. Just buying a license in some metropolitan areas can run into the hundreds of thousands of dollars, depending on the size and location or your establishment. It's not unheard of for licenses to cost $250,000 or more in metropolitan areas, but may be down to only a few thousand in other areas. But in addition to the cost of the license itself, there are some hidden and other costs when you buy a license for liquor, and some that you might not think of, too. Before you buy, realize that:

1. Insurance costs may go up when you buy a liquor license.
2. Hidden costs like bartenders, bar backs, and lost liquor can add up.
3. Investing in a beer and wine license instead of a liquor license can make sense and keep costs down, too.
   

Action Steps
The best contacts and resources to help you get it done

Investigate insurance costs before you buy a liquor license for sale

If you buy a liquor license on your own, or through liquor licensing specialists, you may not think about some additional costs, but they can add up. For example, if you buy a full liquor license, you will probably have to buy additional insurance to cover the liability of serving patrons who drink too much and cause an auto accident or other calamity. Called liquor liability insurance, it is a requirement in many states and communities.

I recommend: MostChoice offers liquor liability insurance quotes online for every state. Just fill out the online form for an idea of how much liquor liability insurance will add to your overall costs to buy a license for liquor. Read more about liquor liability insurance at the Lewis-Chester Group's Insurance Glossary.

Check out hidden costs of liquor licenses for sale before you buy

Use liquor license specialists to help you determine all the hidden costs before you fill out a liquor license application. Think about hidden costs, like liquor loss, an experienced bartender, and additional staff, like bar backs, which can add up in the end. Add liquor and glassware costs, and the cost of a liquor license really adds up.

I recommend: PayScale offers detailed information on bartender salaries based on experience and location, and you can read more about hiring bartenders and other bar staff, too. Compliance Service of America (CSA) offers help for businesses ready to buy a permanent or temporary liquor license, so you can be fully informed about pricing before you buy.

Think about buying a beer and wine license instead of a full liquor license

Liquor licenses vary dramatically in cost. A beer and wine license to sell only those items can cost significantly less than a full liquor license, too. For example, in New York City, when you buy liquor license, it can cost upwards of $100,000, but a beer and wine license only costs about $1500. In other communities and states, costs vary widely, but a full license is almost always more than a beer and wine license. Instead of serving hard liquor, consider a beer and wine license, and developing your restaurant's wine and food pairings, if you can't afford the cost of a license for liquor.

I recommend: Check out For Dummies for a list of different types of liquor licenses for different situations, and an idea of how they differ in costs. EJ Gallo offers a food and wine pairing tool to help you develop a menu that supports your wine list and your diner's palates.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  If you live in an area that restricts the number of liquor licenses, your best bet may be to use one of the many local and national liquor license services or liquor license consultants. If you can't find an existing liquor license for sale, that may be the only way you can obtain a liquor license in your area. Remember, transferring licenses takes time too, so start your search as early as possible.

Liquor licensing is an essential tool for many businesses. A bar cannot survive without a liquor license and many restaurants also benefit from the ability to serve alcohol to customers. A business can apply for a liquor license through the state in which the business is located. Since the individual states regulate what businesses receive a liquor license, the requirements may differ. This could affect the ability for chain restaurants to serve alcohol at every location.

Action Steps
The best contacts and resources to help you get it done

In-state producer

An in-state producer is a beer producer that can apply for a liquor license to exclusively sell its product on its premises. The producer may also offer samples if the product is new.

I recommend: The Arizona Department of Liquor License and Control outlines the requirements for a Series 1 liquor license.

Out-of-state producer

An out-of-state producer can refer to a producer that ships products into the state or to an in-state producer that is allowed to ship its product out of state. This often regulates where local wineries can send their products.

I recommend: View the Winery's Shippers License Application from the State of Illinois Liquor Control Commission.

Conveyance

Conveyances are modes of public transportation in which a company can get a license to sell liquor for public consumption. Specific conveyances include trains, airplanes and specific areas of airports.

I recommend: The Colorado Department of Revenue provides an overview of all liquor licenses available in the state, including the public transportation system license for conveyances.

Temporary license

A temporary liquor license is a license that is only valid for a specific amount of time. This is usually acquired for a public or private, one-time event.

I recommend: The City of St. Paul, MN provides an overview of the requirements to obtain a temporary liquor license in that city.

Direct-shipment license

A direct-shipment license allows the license holder to purchase beer or wine from wineries and breweries that are federally certified.

I recommend: The County of Maui, HI lists the stipulations and requirements for obtaining a direct shipment license in Hawaii.

Extension of premises

The extension of premises is the rule that no licensee is allowed to change the physical arrangement of the premise's license to sell liquor. To change the area, the licensee must submit alteration for approval.

I recommend: The Pennsylvania Code provides the specifics of extension of premises.