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Overview of Liquor License

For selling any type of alcohol in any shop, cafe, club, bar, lounge, or any restaurant, Liquor License from the government is mandatory. It is given by the state’s exercise department that allows manufacturing, selling, and transporting alcoholic beverages in a particular state. It is a permission that will authorize you to sell and market alcohol. If anybody is caught manufacturing, selling, and transporting alcoholic beverages or any type of alcohol without the above-mentioned license then he or she will have to face heavy penalties. To make your business safe and hustle-free you must get this license before starting a business related to alcohol. Business-related to alcohol is one of the most profitable businesses if everything will be done legally.

What is Liquor License?

Permission given by the state exercise department to manufacture, transport, or sell alcoholic beverages or any type of alcohol in any shop, restaurant, café, club, lounge, bar, etc in the form of a license is called a Liquor License. Obtaining this license will take your time, money, and energy. All three of them are very important, hence whenever you want this license applied carefully.

Benefits of Liquor License

Following is the elaborate list of the benefits of the liquor license-

  • Make the market clean and safe.
  • Saves you from penalties.
  • Secures your business.
  • Convert bribes into tax.
  • Fulfillment of legal compliance.
  • Business can be done freely without any fear.
  • It gives monetary benefits to the government.
  • Good for the consolidated fund.
  • Helps in curving the black market of alcohol.
  • Helps in maintaining law and order.
  • Serving alcohol will increase the profit of the food business owners, for instance, hotels, restaurants, etc.
  • Adulteration of the alcohol can be curved.
  • Government can easily check an eye on the activities of the business owner.

Liquor License

Why one should get a Liquor License?

One who wants to deal in alcoholic beverages and drinks must get a Liquor License because it makes your business safe and customer friendly. It will save your business from penalties and fines which you need to pay in the absence of this license. This license adds goodwill and attracts customers. It helps in building trust in the market. Liquor license is one of the compliance of the alcohol-related businesses; hence to fulfill this compliance is your duty. Because of the above-mentioned reasons, one should get a Liquor License.

Conditions when Liquor License can be revoked?


Are different Liquor Licenses needed for different states?

A Liquor License is provided by the State exercise department which is a state authority. Hence we can say that it is a state license. If you want to do business related to alcohol or alcoholic beverages in different states, you need a different license for every such state, where you want to do business. If it is found that you are doing such business in different states without having a proper working license from the respective state exercise department, you will be penalized. Hence to save your business from penalties and fines always get a different license for different states.

What are the documents required for a Liquor License?

Liquor License is provided by the government so that they can provide security to the market as well as consumers. Before providing a it government takes care of documentation very strictly. Hence you should know the exact documents required for getting the above license. Following is the list of the documents required for the above-mentioned license-

  1. Identity proof of the applicant.
  2. Address proof of the applicant.
  3. Passport Size photo of the owner of the business.
  4. Address proof of the place where you want to serve or sell the liquor.
  5. Affidavit of the owner about the declaration of the actual possession of the property used for the business.
  6. Physical possession and the layout plan.
  7. Challan regarding the fees of the license.
  8. Security amount which is refundable.
  9. Document regarding interior design asper the applicable rules.
  10. No Objection Certificate Which is known as NOC from the Fire Department and Municipal Corporation.
  11. Application with all the business detail.
  12. If an applicant is a company then a certificate of incorporation of the company, Memorandum of Association (MOA), and Article of Association (AOA) are also required.
  13. Copy of the Income Tax Return which you have filed very recently.
  14. Affidavit regarding the applicant where it should be mentioned clearly that the applicant does not have any criminal background.
  15. Invoice of the refrigerator.
  16. Affidavit regarding the applicant about the payment of the dues.

Procedure to get Liquor License-

  1. The Very first step is to visit the state exercise department’s official website.
  2. Select the type of Liquor License which you need.
  3. Download the required form for the type of license that you need.
  4. Collect all the above-mentioned documents which are mandatory for the license.
  5. Fill out the form with due care and attach all the required documents with the form.
  6. Then submit the form and after that pay the fees and get the challan of the fees submission.
  7. After that the concerned authority will verify the documents and also raised the query if required.
  8. In case of no query, a notice will be displayed at the location for some time. During this period if local people have any objection, then the applicant has the right to defend himself. In case of no objection, you will get the license.


Renewal of the Liquor License

Liquor License is not a one-time license, in the beginning, it has been given for 1-3 years; it depends on state to state. It needs to be renewed after the expiry period. Every owner needs to renew the above-mentioned license. It can be canceled or suspended before the expiry period as well if it is found that the owner of the Liquor business is doing something which is against the government norms.


The process of obtaining a Liquor License involves various steps after which this license will be issued. Strict verification is done by the concerned authorities after that they will notify the local public. If the public does not have any objection then they will proceed forward. A single mistake can result in the disapproval of the issuance of the license. Both getting a license and renewing it are not easy tasks. Both need a lot of formalities where mistakes can delay your license and you have to do all the work again. The rules and regulations regarding this license are very strict because it is directly related to the health and safety of the people. Hence to save your time and money; expert advice like BizAdvisors is suggested.

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Frequently Asked Questions

It is a permission given by the state exercise department to manufacture, transport, or sell alcoholic beverages or any type of alcohol.

State Exercise Department which is also known as SED will provide the this license after the proper verification.

No, it is not a permanent license as the owner needs to renew it after the expiry period. It can also be canceled or revoked or suspended if anything malicious or against the government norms is found.
The minimum age required for obtaining this license is 21 years but it can also differ from state to state because it is not fixed or universal.
The expiry period for the above-mentioned license is not fixed as it differs from state to state. But mostly it has been given for the 1-3 years.
Steps to get the above license are given below-
  • Visit the website
  • Download the form
  • Submit the form with documents
  • Verification of the application
  • Query if any
  • Notice for the public
  • In case of no objection get the license
If anyone wants to manufacture, transport, or sell alcoholic beverages or any type of alcohol in any shop, restaurant, café, club, lounge, bar, etc, he or she mandatorily has to take this license. If in any case it was found that somebody is working without this license then heavy penalties can be levied.
It will create goodwill in the market, increase sales, helps in building trust, saves from heavy penalties and fines, etc.

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