Here's How to Get a Liquor License in California (Updated)

If you're starting a restaurant, bar, liquor store, or brewery in California, one of the first hurdles you’ll need to clear is getting a liquor license. With thousands of licenses issued across the state and strict regulations enforced by the California Department of Alcoholic Beverage Control (ABC), this process can be confusing and time-consuming.
Mar 31
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Whether you're a business owner setting up shop in Los Angeles, a manager in San Francisco, or a server in San Diego, it's essential to understand the requirements for legally selling or serving alcohol. Equally important is ensuring that your team has completed the necessary Responsible Beverage Service (RBS) certification — a mandatory training requirement for staff in establishments with on-sale alcohol licenses. Our California Alcohol Server Training makes this process fast, easy, and state-compliant.

In this complete guide, we’ll break down the different types of California liquor licenses, the costs involved, how to apply, training requirements, and key compliance tips for smooth sailing.

Who Regulates Liquor Licenses in California?

The California Department of Alcoholic Beverage Control (ABC) is the only agency in the state that issues liquor licenses. Established in 1955, the ABC governs all alcohol-related activities under the California Alcoholic Beverage Control Act, which is part of the state’s Business and Professions Code.

ABC handles more than 80,000 active licenses across California. Its responsibilities include:

  • Issuing on-sale and off-sale licenses to eligible businesses
  • Conducting background checks and public hearings
  • Enforcing compliance through inspections and penalties
  • Preventing sales to minors or intoxicated persons


The ABC operates through local district offices, and all applications must be submitted directly through these channels. No other state or city agency has the authority to issue or approve a liquor license.

Types of Liquor Licenses in California

California liquor licenses are categorized based on where the alcohol is sold or consumed (on-site vs. off-site), the type of alcohol sold, and the nature of the business. Here’s a breakdown of the most common types:

Off-Sale Licenses

Type 20 is an Off-Sale Beer and Wine License. This allows businesses such as grocery stores, convenience stores, and some gas stations to sell beer and wine for consumption off the premises. It does not permit the sale of distilled spirits.

Type 21 is the Off-Sale General License. This license is typically used by liquor stores and other retailers who wish to sell beer, wine, and distilled spirits for off-premises consumption.

On-Sale Licenses

Type 41 is the On-Sale Beer and Wine – Eating Place License. Restaurants that do not serve hard liquor but want to serve beer and wine with meals can apply for this license. Distilled spirits are prohibited under this type.

Type 47 is the On-Sale General – Eating Place License. This is for full-service restaurants that wish to serve beer, wine, and distilled spirits on the premises. At least 50% of the establishment’s revenue must come from food sales.

Type 48 is the On-Sale General – Public Premises License. This license is intended for bars, nightclubs, and lounges that serve all types of alcohol but do not serve food and do not allow minors on the premises.

Type 75 is the On-Sale General – Brewpub License. This license is typically issued to breweries that produce beer on-site and wish to serve beer, wine, and spirits in a restaurant-style setting.

Manufacturing Licenses

Type 01 is the Beer Manufacturer License. Breweries producing more than 60,000 barrels of beer annually require this license. It permits sales to licensed retailers and on-site tastings.

Type 02 is the Winegrower License. This license applies to wineries that produce and sell wine. On-site tastings and food service in affiliated areas are permitted under certain conditions.

Specialty Licenses

Type 07 is the Rectifier License. This permit allows the blending, rectifying, and packaging of distilled spirits or wine for sale to licensed retailers.

Type 17 is the Beer and Wine Wholesaler License, which allows incidental sales of beer and wine to other licensed businesses.

Type 37 is the Daily General License, typically issued for short-term fundraising events where alcohol will be sold to the public.

Type 77 is the Event Permit, which allows licensed establishments to temporarily expand alcohol service to adjacent properties during special events.

How Much Does a Liquor License Cost in California?

One of the most important questions prospective business owners ask is: How much is a liquor license in California? The answer varies significantly depending on the license type, location, and market availability.

Here’s a general breakdown:

  • Type 20 or Type 41: $100 to $400 annually (application fees may vary by location)

  • Type 21 or Type 47: $1,000 to $15,000+ (depending on availability and market demand)

  • Type 48: $12,000 to $50,000+ on the open market

  • Type 01/02 (Manufacturing): Varies, but often in the $1,000–$5,000 range


In highly competitive counties like Los Angeles, San Diego, and San Francisco, Type 47 and 48 licenses are limited in number. As a result, many businesses purchase licenses from existing holders through brokers or license exchanges, which can significantly drive up the cost.

In addition to the base license fee, other costs may include:

  • Local zoning approval and conditional use permits
  • ABC application fees and processing fees
  • Legal or brokerage services (if acquiring on the open market)
  • Background check and fingerprinting fees

How to Get a Liquor License in California: Step-by-Step

If you're ready to apply for a liquor license in California, here's a basic roadmap to follow:

Step 1: Identify the Appropriate License Type

Review your business model, hours of operation, and alcohol service goals to determine which license suits your needs best. Visit ABC’s official licensing page to explore license types and use their “License Type Query” tool.

Step 2: Prepare Documentation

Before applying, gather the following:

  • Business formation documents (LLC, Corporation, etc.)

  • Zoning permits or CUP (Conditional Use Permit) from your local planning office

  • California seller’s permit from the CDTFA

  • Lease agreement or proof of property ownership

  • Site plans or floor plans

  • Escrow agreements (if purchasing an existing license)

Step 3: Submit Your Application to the Local ABC Office

Applications are filed with your local ABC district office. Most require an in-person appointment. Applications may take 30–90 days or more, depending on complexity.

Step 4: Undergo Background Checks and Public Notice Posting

The ABC will conduct a background check on the applicant(s), and you’ll be required to post a public notice at your business location for 30 days to allow for community input or objections.

Step 5: Inspection and Final Approval

An ABC inspector will visit your premises to ensure compliance. If approved, your license will be issued, and you’ll be legally allowed to begin alcohol service.

License Transfer and Renewal in California

Understanding how liquor license transfers and renewals work is essential for business owners, especially in a state as highly regulated as California. Whether you’re purchasing an existing business, moving locations, or maintaining compliance year after year, the California Department of Alcoholic Beverage Control (ABC) has strict rules governing how licenses can be transferred and renewed.

Transferring an Existing Liquor License

Liquor license transfers are common in California because many areas operate under a license quota system (especially for on-sale general licenses like Type 47 and Type 48). Since new “original licenses” may not be available in quota counties, business owners often purchase an existing license through a private sale.

There are two main types of transfers:

  1. Person-to-Person Transfer
    Used when you’re transferring ownership (e.g., buying an existing restaurant or bar) but keeping the same location.

    Example    : Purchasing a bar with a Type 48 license and continuing operations under new ownership.

  2. Premises-to-Premises Transfer
    Used when moving a license from one physical address to another.
    This includes:

    - Moving a Type 41/47/48 license to a new building
    - Relocating a beer and wine license to a new site
    - Transferring a warehouse license such as a Public Warehouse License

Certain licenses, such as distilled spirits importer’s general license, distilled spirits rectifier’s general license, or wine broker licenses, may also require special operating permits before transfer.

The Escrow Requirement

Most liquor license transfers require an escrow account, especially when purchasing an existing business. The ABC requires that funds be held in escrow until:

  • The license transfer is approved

  • All state and federal tax holds are cleared

  • The seller can legally transfer the license

Escrow protects both buyer and seller from financial or regulatory disputes.

Duplicate Licenses

Businesses operating across multiple locations or premises (public warehouses, alternating proprietorships, or importers of beer and wine) may require duplicate licenses. Duplicate licenses allow operations at more than one site without needing to apply for an entirely new “original license.”

Fees for License Transfer

Transfer costs depend on:

  • License type (e.g., Type 47, Type 48, beer/wine importers)

  • Whether you’re transferring ownership, location, or both

  • Whether additional operating permits or special licenses are required

ABC publishes an annual application fee schedule outlining transfer fees for each license category.

Renewing an Existing Liquor License

All California liquor licenses must be renewed annually. The ABC sends renewal notices, but it’s ultimately the licensee’s responsibility to renew on time.

Key points:

  • Renewal fees vary by license type

  • Late renewals incur penalties

  • Licenses expire at midnight on the last day of the month indicated on the license

  • A license that remains expired for more than 60 days may require full reinstatement

  • Certain licenses (e.g., wholesalers, importers, warehouses) must maintain additional regulatory compliance to renew properly

Businesses involved in alternating proprietorships, import operations, or rectifying spirits must also ensure their operating permits remain current at the time of renewal.

To Summarize

If you’re buying, moving, or maintaining a liquor license in California:

  • Expect to work through escrow

  • Understand the transfer type you need

  • Review annual fee schedules

  • Ensure no “financial holds” exist with tax agencies

  • Renew annually to avoid delays or lapses

A well-managed transfer or renewal keeps your business compliant and operating smoothly.

RBS Certification: Mandatory Training for Alcohol Servers

In California, a liquor license isn’t the only legal requirement when it comes to alcohol service. Anyone who serves or manages the sale of alcohol at an on-sale licensed location must also complete Responsible Beverage Service (RBS) Certification.

This training is required by law for servers, bartenders, managers, and even some supervisors. It teaches:

  • How to prevent underage sales
  • How to identify signs of intoxication
  • The legal liabilities of over-serving
  • Best practices for checking IDs and handling difficult situations


 California’s RBS training became mandatory in 2022 under Assembly Bill 1221. Businesses are responsible for ensuring their staff completes the certification through a state-approved provider.

Our California Alcohol Server Training program is officially recognized and provides all the necessary modules your team needs to comply with the law and serve safely.

Common Mistakes to Avoid

Even well-intentioned businesses can run into trouble during the liquor license process. Here are some common pitfalls to avoid:

  • Applying for the wrong license type: Double-check the qualifications for each type before applying.

  • Skipping local requirements: City zoning permits or CUPs are often needed before applying.

  • Delaying RBS training: All on-sale staff must be certified before alcohol service begins.

  • Assuming cost is fixed: Market prices vary, especially for Type 47 and 48 licenses.

  • Not budgeting enough time: Licensing can take months — start early.

FAQs: Liquor Licensing in California

  • What are the most common liquor license types for restaurants and bars?
    The most common on-premises liquor licenses in California are Type 47, which authorizes the sale of beer, wine, and distilled spirits in restaurants, and Type 48, which applies to bars and nightclubs where alcohol is consumed on site and food service is not required. For off-sale retailers such as liquor stores or markets, a Type 21 license allows the sale of packaged beer, wine, and spirits for customers to consume off the premises.

  • Why is it so hard to get certain liquor licenses in California?
    California enforces strict license quotas, particularly for full liquor licenses like Type 47 and Type 48. Many counties have reached their quota limits, meaning no new “original licenses” can be issued in those areas. As a result, business owners often must purchase an existing license through the open market, which can significantly increase costs due to demand and scarcity.

  • What fees are involved when applying for a liquor license?
    Liquor license fees generally include an application fee and an annual renewal fee, both of which vary depending on the license type. Fees differ between original licenses and transfers, and the California ABC publishes an updated application fee schedule each year. Costs can range widely, so applicants should confirm the current fee structure before submitting their application.

  • What is community opposition and how does it affect my license?
    Community opposition occurs when local residents, law enforcement agencies, or city officials object to a proposed liquor license. Concerns often include neighborhood noise, crime risks, proximity to schools or churches, or an already high concentration of alcohol outlets. When community opposition arises, the ABC may hold hearings, impose additional conditions, or require the applicant to address specific concerns before granting the license.

  • What are “financial holds,” and why do they delay licensing?
    A financial hold occurs when a business or applicant has outstanding debts with government agencies such as the Franchise Tax Board, Board of Equalization, or the Department of Labor. The ABC cannot approve, transfer, or renew a liquor license until all financial obligations are resolved, making it critical for applicants to clear any tax or payroll-related issues early in the process.

  • What are operating permits and when are they required?
    Some businesses need operating permits in addition to their main liquor license. These may include catering permits, event permits, warehouse permits, and specialized permits for activities such as importing or rectifying distilled spirits. Businesses must secure the appropriate operating permits before conducting these activities and must renew them as required to remain compliant.

  • What is the difference between an original license and a transferred license?
    An original license is newly issued by the ABC when a license type is available under county quota rules. In contrast, a transferred license refers to an existing license that changes ownership or moves to a new location. Transfers are far more common in counties where original licenses are no longer available due to quota limitations.

  • What are common problems applicants run into during the licensing process?
    Many applicants face challenges such as incomplete or missing documents, zoning conflicts, community protests, license quotas limiting availability, selecting the wrong license type, financial holds, escrow complications, and submitting diagrams or floor plans that do not meet ABC requirements. Anticipating these issues early can shorten the approval timeline and reduce delays.

  • Can an existing liquor license be transferred to a new owner?
    Yes. Most California liquor licenses can be transferred to a new owner, although the specific process depends on the license type and the business structure involved. Transfers require ABC approval, background checks, financial verification through escrow, and sometimes local government review to ensure the new owner meets regulatory standards.

  • Can I move my liquor license to a new location?
    Yes. Moving a license to a different premises is known as a premises-to-premises transfer. While this is allowed, approval is not automatic. The ABC must confirm that the new location complies with zoning laws, public convenience considerations, and any municipal permitting requirements before authorizing the relocation.

  • How long does it take to get a liquor license in California?
    Processing times vary widely. A straightforward beer-and-wine license may be issued in 60–90 days, while full-service licenses such as Type 47 or Type 48—especially those involving quotas, protests, or escrow—may take three to nine months or longer. Delays are common when applications are incomplete or when community objections arise.

  • Why might my renewal be denied or delayed?
    Renewal delays typically occur when annual fees are not paid on time, required operating permits are outdated or missing, or when the licensee has unresolved compliance violations. Financial obligations such as unpaid state taxes can also trigger holds. Incorrect or incomplete renewal paperwork is another frequent cause. Renewing early and reviewing all requirements in advance helps prevent interruptions in licensure.

Final Thoughts: Getting Licensed and Staying Compliant

Getting a liquor license in California can be a complicated journey — but with the right information and preparation, it’s entirely manageable. From choosing the right license type to completing all paperwork and ensuring staff is properly trained, each step plays a critical role in your long-term success.

 Remember, your liquor license is only half the battle. California law also requires alcohol-handling staff to complete RBS training to ensure responsible service and reduce legal risk. Our California Alcohol Server Training offers a convenient, state-approved way to get your team certified quickly and affordably.

 With your license in hand and your staff trained, you’ll be well on your way to running a safe, successful, and fully compliant alcohol-serving business in California.