Small Business Tips

Applying for a Beer and Wine Liquor License? Follow These 5 Steps

Nov 28, 2023 • 5 min read

Beer is the third most-consumed beverage on earth, ranking just behind water and tea. And if you want to tap into that market and start selling beer, wine, and other non-distilled alcoholic drinks, you need a beer and wine liquor license.

Opening a beer and wine shop can be exciting, but before stocking your shelves, you need to obtain the right liquor licenses and maintain the proper permits. The path to securing that essential license can seem like a maze, so let this post be your guide. We'll take you through every step, unraveling the process and ensuring you're well-prepared to navigate the complexities.

This post will cover the steps to apply for a beer and wine liquor license. After reading, you’ll know the basics and be able to start applying for the licenses you need.

Beer and Wine Liquor License Basics

If you want to open a beer and wine store, you need to understand some of the basics of alcoholic beverage licenses and regulations. Your license requirements will vary depending on the types of products you intend to sell in your store and your location.

Every state requires stores to acquire a permit or license to sell alcoholic beverages, and most require different levels of licensing for liquor and other spirits versus stores selling beer, wine, and malt beverages only. You must consult your state’s overseeing regulatory office to ensure you get the proper licenses for your state and locality. Examples of offices include Texas’ Alcoholic Beverage Commission (TABC) and Iowa’s Alcoholic Beverages Division (ABD).

Across the country, similar bodies regulate the sale and distribution of alcoholic beverages, ensuring businesses obtain specific licenses tailored to different alcohol types. Your regulatory office will define what licenses you need to remain compliant with the law in your state.

Generally speaking, obtaining a beer, wine, and other malt beverages license is easier than obtaining a wholesale liquor license. However, you should check your state and local requirements before planning your store’s grand opening.

Let’s move into our step-by-step process for applying for a beer and wine liquor license, giving you the foundational information you need to get started.

Step 1: Determine Your License Type

The first hurdle you must cross when applying for a beer and wine liquor license is determining the appropriate type of license for your store. You can explore multiple options, and the license you need will depend on the type of alcohol you plan to carry, and whether or not customers will be able to consume alcohol on-site at your store.

Some licenses you may explore include:

Retail Liquor License: Permits the sale of all alcoholic beverages for consumption off-premises. This includes spirits, beer, wine, and sometimes even high-proof alcohol.
On-Premises Liquor License: Allows the sale of alcoholic beverages for consumption on the premises of bars, restaurants, or other entertainment venues.
Beer and Wine License: Permits the sale of beer and wine, but not hard liquor or spirits. Depending on state regulations, it may include on-site and off-site consumption.
Brewpub License: This license enables a brewery to sell its beer on-site directly to consumers and often allows for limited food service.
Distillery License: Authorizes distilled spirits or hard liquor production, storage, and sale.
Winery License: Permits wineries to produce, store, and sell wine on-site. It may also allow for wine tastings and direct-to-consumer sales.
Special Event Permit: Temporary permit for serving alcohol at specific events, such as festivals, weddings, or fundraisers.

Most craft beer stores and wine shops will need only a beer and wine license, but you may explore special event permits if you also choose to have periodic tastings or other events at your store where customers will consume alcohol on-site.

Step 2: Calculate License Cost

Once you have determined the licenses your store requires, your next step is determining how much your application or renewal fee will be for those licenses. Your cost will vary wildly depending on your state and the type of licensing you need. For example, licensing in Delaware ranges from $150 to over $3,000 depending on the type of license you require.

Generally speaking, a beer and wine license will cost less than a retail or on-premises liquor license. You must also budget to renew your license, as most states require annual license renewal fees to remain compliant and keep your license.

Step 3: Consider Premises Requirements

Once you have identified the licenses you need and the cost, you need to consider the non-financial requirements for obtaining the licenses in question. Your establishment must adhere to certain conditions set forth by your state or locality’s alcohol regulatory body.

What conditions might you be required to meet? A few required by many states include:

Proper ownership of the licensed premises
Compliance with zoning laws
Compliance with cleanliness and structural requirements

Suppose you intend to serve alcoholic beverages on-site. In that case, you may need to prove you provide adequate restrooms to your customers, and you may also have a minimum or maximum seating capacity for your floor space.

Step 4: Submit Your Application

The next step you must take when applying for your beer and wine liquor license is… submit your application! It sounds simple enough, but submitting your application requires navigating multiple stages and steps with your regulatory office.

You will likely have to follow the steps below to submit your application:

Complete an initial application filing
Notify the governing body of your application
Comply with the regulatory body’s investigation
Submit to a final review
Receive your license

NOTE: Depending on your jurisdiction, additional prerequisites might exist, such as posting public notices, publishing announcements in local newspapers, sending notifications to neighboring residents, or obtaining zoning permits.

Step 5: Regularly Renew Your License

Step five technically takes place after you receive your beer and wine license, but it’s a vital step to maintaining that license for your store. You need to renew your license periodically as mandated by your state or locality.

License renewals usually involve submitting a renewal application within a specified timeframe before the expiration date. Ensure you adhere to the appropriate timelines for your state to avoid disrupting your store’s licensing, which could devastate your operations and profits.

Renewal applications often require updated information, including changes in ownership, location, or other pertinent details. Please note that providing inaccurate or false information during the renewal process can lead to complications or the potential revocation of your license.

Beyond Your Beer and Wine Liquor License: Managing Your Store

This step-by-step guide should give you the foundational information you need to successfully apply for your beer and wine liquor license. However, receiving your store’s beer and wine license is only the beginning of your journey to running a profitable store. If you want your store to succeed, you need to invest in the right tools and processes.

Implementing efficient inventory management systems, conducting thorough staff training on responsible alcohol service, and conducting thorough age verification processes for all purchases are essential to maintaining your license and keeping your store afloat. This can feel like a juggling act to manage, but it doesn’t have to be a headache with the right tools in place.

Enter: Bottle POS.

Bottle POS is a point of sale solution designed for beer, wine, and liquor stores. Our solution helps you automate repetitive inventory tasks, streamline operations, and free up your staff to prioritize responsible alcohol sales and customer service.

Witness firsthand how our solution can empower your beer and wine store, simplifying inventory management, ensuring compliance, and providing a conducive environment for responsible alcohol sales. Experience the power of optimized store management by scheduling a demo of Bottle POS today.

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