Here’s How You Get a Liquor License in Tennessee: 2025 Update

If you're a bar owner, manager, bartender, or alcohol server in Tennessee, understanding liquor laws is crucial for your business and career. Whether you’re opening a new establishment, managing an existing one, or working as a server, compliance with Tennessee's alcohol regulations ensures smooth operations and avoids legal trouble.
Mar 20
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A common point of confusion is the difference between a Tennessee Liquor License and a Tennessee Server Permit (Bartending License). A Liquor License is required for businesses selling alcohol, while a Server Permit is mandatory for individuals serving alcohol. This guide will break down the requirements, costs, types of liquor licenses, and how to obtain the right certification.

Additionally, Tennessee state law mandates that all alcohol servers complete state-approved alcohol awareness training. The Certification Experts offers state-approved Tennessee Alcohol Awareness Training Courses, ensuring that bartenders, managers, and servers stay compliant with regulations.

Understanding Tennessee Liquor Licenses vs. Tennessee Server Permits

Before diving into the process of obtaining a Tennessee Liquor License, let’s clarify the distinction:

Tennessee Server Permit (Bartending License)

  • Required for individuals who serve alcohol (bartenders, servers, managers).
  • Must be at least 18 years old and complete a state-approved training program.
  • Applications are submitted via the Tennessee Alcoholic Beverage Commission (TABC) RLPS portal or the MyTN App.
  • Validity: As of January 1, 2025, server permits last two years.

Tennessee Liquor License

  • Required for businesses selling alcohol, such as bars, restaurants, and retail stores.
  • Issued by the Tennessee Alcoholic Beverage Commission (TABC).
  • Costs range from $300 to $1,000, depending on the type of license.
  • Requires local approval in addition to the TABC application.

Types of Tennessee Liquor Licenses

The TABC issues different types of licenses based on how and where alcohol is sold. Here are the most common types:

  1. Liquor-by-the-Drink License – Required for restaurants, bars, and nightclubs serving alcohol for on-premises consumption.

  2. Retail Package Store License – For businesses selling liquor for off-premises consumption.

  3. Beer Permit – Issued at the local level for selling beer.

  4. Winery License – For businesses producing and selling wine.

  5. Caterer’s License – Allows licensed caterers to serve alcohol at private events.

  6. Wholesaler License – Required for businesses distributing alcohol to retailers.


Understanding the right license type for your business is key to operating legally in Tennessee.

Step-by-Step Guide: How to Get a Liquor License in Tennessee

1. Determine the Type of Liquor License You Need

The first step is understanding whether you need a Liquor-by-the-Drink License, Retail License, or another type.

2. Research Local Requirements

In addition to state laws, local governments often impose additional regulations. Contact your city or county government to verify local liquor laws and zoning requirements.

3. Submit an Application to the TABC

Applications are submitted through the Tennessee Alcoholic Beverage Commission (TABC) via the RLPS (Regulatory Licensing and Permitting System) online portal.

Documents Required:

  • Business license
  • Lease agreement or proof of property ownership
  • Sales tax certificate
  • Background check for owners/managers

4. Pay the Licensing Fee

Liquor license costs vary based on the type:

  • Liquor-by-the-Drink License: $300–$1,000
  • Retail Package Store License: $850–$1,200
  • Beer Permit: Varies by city/county

5. Attend a TABC Hearing (If Required)

For certain license types, the TABC may require a public hearing before approval.

6. Obtain Local Approval

Many cities require local approval before state approval. Check with the local government for zoning and business permit requirements.

7. Receive and Display Your License

Once approved, you will receive your Tennessee Liquor License, which must be displayed prominently at your establishment.

Trends & Innovations in Tennessee’s Alcohol Industry

1. Online Alcohol Training

With digital transformation, online alcohol training programs have become the preferred method for employees to obtain their Tennessee Server Permits. Courses like the Certification Experts' Tennessee Alcohol Awareness Training offer convenience and efficiency for bartenders and alcohol servers who need to get certified quickly and legally.

2. Alcohol Delivery Services

Tennessee has updated its liquor laws to allow delivery of alcohol to consumers, with specific regulations for restaurants, retailers, and delivery services. Businesses looking to expand their services should explore obtaining the appropriate delivery permits and partnering with food delivery apps.

3. Craft Distilleries Growth

There has been a steady increase in craft distilleries across Tennessee, with more entrepreneurs seeking permits for small-batch whiskey and spirits production. These businesses often require specialized licenses and should ensure compliance with both state and federal alcohol laws.

4. Expanded Liquor-by-the-Drink Laws

More businesses, including breweries, hotels, and music venues, are applying for Liquor-by-the-Drink Licenses. The flexibility of these permits allows non-traditional venues to increase revenue through alcohol sales.

5. Sustainability Initiatives

Eco-conscious consumers are influencing sustainability trends in the alcohol industry. Many Tennessee bars and liquor stores are shifting toward:

  • Eco-friendly packaging (recyclable and biodegradable materials)
  • Locally sourced ingredients in craft beverages
  • Waste reduction programs, such as eliminating single-use plastics and using refillable bottles


Business owners should consider integrating sustainability into their branding and operations to appeal to environmentally conscious consumers.

Common Challenges and Tips for Getting a Liquor License in Tennessee

Securing a liquor license in Tennessee can be a complex process that requires precision, patience, and compliance with state and local regulations. Many applicants encounter obstacles that delay approval or result in rejection. Below are the most common challenges—and how to overcome them effectively.

1. Confusion Between Liquor Licenses and Server Permits

A Tennessee Liquor License (for businesses) is not the same as a Server Permit (for individuals).

Tip: Business owners must apply for the appropriate Liquor-by-the-Drink or Retail Package License through the TABC, while all staff who serve or sell alcohol must obtain a personal TABC Server Permit after completing state-approved training such as the Tennessee Alcohol Awareness Training by the Certification Experts.

2. Document Mistakes or Omissions

One of the most common reasons for application delays is incomplete paperwork—missing signatures, outdated business registration certificates, or incorrect ownership details.

Tip: Review your application packet carefully before submitting it to the TABC. Ensure all supporting documents (corporate filings, lease agreements, floor plans, and local approvals) are accurate and up to date.

3. Fee Errors or Payment Omissions

Submitting incorrect fee amounts or omitting required payments can stall your application indefinitely.

Tip: Always verify the latest fee schedule directly with the TABC before submitting your application. Retain your receipt or proof of payment, as this may be required during compliance checks or hearings.

4. Zoning or Location-Based Restrictions

Zoning laws vary widely between Tennessee cities and counties. Many local governments restrict alcohol sales near schools, churches, and residential zones.

Tip: Before you sign a lease or begin renovations, confirm with your local zoning office or city planning department that your location qualifies for an alcohol license.If your premises are still under construction, ensure that the layout you submit to TABC matches the approved building plan.

5. Tenancy or Ownership Issues

Disputes or unclear documentation regarding who owns or leases the property can delay your liquor license.

Tip: Provide a current, legally binding lease agreement or property deed showing that your business has full rights to operate at the listed address. All listed owners and partners must also disclose their percentage of ownership and complete background checks if required.

6. Disqualifying Police Records or Liens

Applicants with certain felony convictions, unresolved tax liens, or legal judgments may be denied a license or subjected to additional review.

Tip: Be transparent about any past convictions or financial issues. The TABC may still approve your application after review if full disclosure is made and all obligations are settled. Concealment can result in immediate disqualification.

7. Inspection and Compliance Checks

Before final approval, the TABC will conduct an inspection to ensure your premises meet safety and operational standards for alcohol service.

Tip: Prepare by confirming that all required signage, storage procedures, and equipment are in compliance. Staff should be trained and ready to demonstrate responsible alcohol service during the inspection.

8. Quota System and Location Limits

Some Tennessee cities and counties operate under a quota system, limiting the number of liquor licenses available in a given area.

Tip: Check with your local government or TABC regional office to see if your area is subject to quota restrictions. If licenses are at capacity, you may need to join a waiting list or consider an alternative jurisdiction.

9. Lengthy Approval Timeline

Processing times vary depending on the license type, the completeness of your documents, and local review schedules.

Tip: Begin your application process at least 60–90 days before your intended opening date. Early preparation ensures that local, state, and building approvals align without causing launch delays.

10. Compliance with Ongoing Training Requirements

Even after obtaining your license, maintaining compliance is an ongoing responsibility.

Tip: Ensure your team stays current with Tennessee Alcohol Awareness Training, which helps prevent over-service, ensures proper ID verification, and reduces liability risks under Tennessee’s dram shop and safe-service laws.

Pro Insight: Many licensing setbacks occur not because of state denials, but due to small local zoning or documentation issues. By working closely with your county clerk, city planning office, and the TABC, you can prevent delays and streamline approval.

Required Documentation

Applying for a liquor license in Tennessee requires submitting several key documents to the TABC to verify business legitimacy, financial stability, and compliance with health and safety regulations.

1. Proof of Business Ownership

Provide documentation showing your business is legally registered in Tennessee, such as:

  • Articles of Incorporation or LLC Agreement

  • Certificate of good standing from the Secretary of State

  • Partnership or operating agreement (if applicable)

Ensure all business names and addresses match your application and lease.

2. Property and Floor Plan

Submit either a lease agreement or property deed confirming lawful occupancy.

Include a detailed floor plan showing bar areas, storage, and exits to help TABC verify your layout meets inspection standards.

3. Financial and Tax Records

Demonstrate financial readiness with:

  • Recent financial statements or bank records

  • Proof of capital and latest tax returns

  • Disclosure of any liens or outstanding debts

4. Background Checks

Owners or partners with 5%+ ownership must complete fingerprinting and criminal background checks before approval.

5. Health, Safety, and Compliance Certificates

Provide required local permits such as:

  • Health department or occupancy permits

  • Certificates of inspection for fire or building compliance

  • Zoning or local beer board approval, if applicable

Tip: Incomplete paperwork and mismatched details are the most common causes of licensing delays. Double-check all forms before submission, and ensure staff complete Tennessee Alcohol Awareness Training to prepare for inspections and compliance checks.

Practical Tips for Business Owners & Managers

  • Ensure all staff complete alcohol training to avoid penalties and ensure responsible service.

  • Check local requirements before signing a lease to prevent zoning or licensing issues that could delay your opening.

  • Keep track of renewal dates for liquor licenses and Server Permits to avoid disruptions in business operations.

  • Consult with legal and industry experts to stay informed about changes in Tennessee’s alcohol laws and compliance requirements.

  • Implement clear policies and training programs for staff to handle alcohol-related incidents responsibly.

  • Develop strong relationships with local authorities and the TABC to stay updated on regulatory changes.

  • Stay proactive with compliance checks and internal audits to ensure that all staff and business operations meet state and local alcohol laws.

Follow the Steps and Get Your Liquor License!

Understanding and securing the right Tennessee Liquor License is crucial for business owners and alcohol servers. By following the correct application process, complying with state and local laws, and ensuring that all staff hold a valid Tennessee Server Permit, businesses can operate smoothly and legally.

For bartenders, servers, and managers, completing state-approved alcohol training is not just a legal requirement—it’s a vital part of ensuring responsible alcohol service. The Certification Experts offers Tennessee Alcohol Awareness Training to help businesses and employees stay compliant.

By taking the right steps now, you’ll set your business up for long-term success while maintaining full legal compliance.