Frequently Asked Questions
What type of permit/license should I apply for?
The type of business determines what type of license you should apply for. If you are opening a Restaurant or Bar, then you need to decide if you are going to serve beer only, beer/wine, or beer/wine/mixed drinks for on-premise consumption. If you are opening a convenience store or grocery store, you need to decide if there is a demand in your area for heavy wines (up to 24% volume content) or if the low percent wine license (up to 17% volume content) will be sufficient. Liquor stores, Wholesaler's etc. have their own set of licenses.
Do I qualify for an alcohol permit/license in the state of Texas?
The general qualifications require that the owner(s) can not have a felony conviction or felony probation within the last 5 years to have an interest in an alcoholic beverage license. In addition, persons residing in the United States legally have the right to apply for license. Any person who has not resided in Texas continuously for at least one year prior to the date of application must provide a certified criminal record from each State or Country in which they have resided for the last 5 years. Also, a person may only hold an interest in one level of the Alcoholic Beverage Industry: Retail, Wholesale, or Manufacturing. The TABC does not allow a person to have an interest in more than one level which may include employment, residence, property ownership and financing , but there are a few unique exceptions to this rule.
Do I have to be a Texas resident for a year before you can apply for an alcohol permit/license?
You no longer have to be a Texas Resident to have an interest in a TABC license. Any person (including their spouse and anyone over 18 residentially domiciled) who has not resided in Texas continuously for at least one year prior to the date of application must provide a certified criminal record from each State or Country in which they have resided for the last 5 years.
Are alcohol permits/licenses transferable to another state or another owner?
TABC licenses are not transferable to another state or any location outside of Texas. TABC licenses are generally not transferable to another owner. However, any license that is owned by a Corporation, Limited Liability Company, Limited Partnership, or Limited Liability Partnership is retained by that entity even if the Shares of Stock, Membership Interest, or Partnership interest is transferred. This means that if you sell the stock or interest in the entity that owns a TABC license, then the new shareholders, members or partners will have the option to continue using the existing TABC license. Remember that any changes to the owners, officer, members, managers, or partners of an entity that owns a TABC license must be reported to TABC on a separate Supplemental Application. Some types of changes require a waiting period. Please always file with our office first to notify TABC of the changes before transferring ownership to be certain that you do not violate any waiting periods.
Can I apply for a permit/license before I sign a lease for a location?
You can begin your application process for TABC license before signing a lease or purchasing a property. In fact we have obtained license for numerous properties before any construction has begun while the location is still flat dirt to be certain that the location will qualify before an investment is made. You may start your application with the local authorities before signing a lease, but the TABC will expect you to sign your lease during the application process. TABC will not issue a license to you if you are not granted a lease and the TABC will expect your lease to be in effect before you begin selling alcoholic beverages at the location. We suggest that you make your lease contingent upon your ability to obtain an alcoholic beverage license at the location so that you are not contractually obligated to pay the rent in the event that you or the location is denied a license. Keep in mind that the address of your location is critical and that any changes in the address can cause your application to require a re-file from the beginning. So be certain that your address is correct.
What is the difference between an alcohol permit and license?
The words Permit and License were used by the TABC for different types of alcoholic beverage sales authorization when the various classes of permits and licenses were established. Today these words are used almost interchangeably. It is the type of License or Permit that you apply for which is important - not whether it is followed by the words license or permit.
How long will it take to get a license? New licenses typically take anywhere from 2 to 3 months. While some licenses are issued in as few as 4 weeks, others can take much longer depending on the City, County and TABC approval.
But TABC told me it would only take 2 weeks? TABC cannot begin processing your application until the City and County give their approvals. Every City and County is different and many can take a month or more for approval before the TABC will have an opportunity to review your application.
Will I need to interview with TABC? If you do not currently own the same type of TABC license that you are applying for, then yes you will need to interview. Some County jurisdictions may require an interview regardless of whether you already own a permit based on the requirements of the TABC District Office that serves your County.
Do you handle every permit I will need? No, we do not handle Health Permits and you will find that, for example, convenience stores in the City of Houston require approximately 50 different permits. We only handle a specific set of permits and you must be certain that you request, sign for, and pay for the permits that you wish for us to handle.
Do I have the option of getting a One-year TABC permit? No, every TABC State permit is a Two-year permit as required by law. The TABC does not issue refunds for State permits even when a permit is not used for the entire two year period.
If the TABC denies my application can I get a refund? The TABC does allow you to apply for a refund of your permit fees if your application is denied.
Are all County and City Permits also 2 year permits? No, every County and City is different. Some Counties and Cities have chosen to continue with one year permits while other Counties and Cities have chosen 2 years. And Harris County, for example, is issuing 2 year Beer County Permits while issuing 1 year Wine and Liquor County Permits.
Can I use someone else's license? No. It's is illegal for you to use someone else's license and it is illegal for someone to try to give their permission for you to use their license.
Can I use different owner names/corporations for different licenses at one location? No. The owner name or owner entity must be the same for all permits at a location. There are a few exceptions to this rule, but please contact us or your attorney before you attempt to have multiple entities operating at one location.
I received a ticket (or an administrative case letter) from TABC, should I hire an attorney? To be certain you fully understand your legal rights we recommend you hire an attorney. If your ticket or case is for a serious offense or if TABC is trying to cancel your license, you should definitely hire an attorney. Contact us and we'll recommend an attorney that will help represent you with TABC.
I don't have an address yet, can I start my TABC application? No. The two most important things that will be considered for approval by TABC are the location address and the ownership. You must have the address of the location to begin applying. If the address changes during the application process or during your construction phase, then you may be required to start the application process again from the beginning. If your location has a suite number or more than one address, be sure it is stated on your lease and the address you provide on your TABC application must also match your Certificate of Occupancy and Building Permits for the location.
What is an "Alcohol-Free Zone?" An area where alcohol is not allowed to be sold or consumed.
Should I worry about Schools, Churches, Day Cares and Hospitals near where I'm applying for TABC license? Yes. Any of these can possibly cause your application to be denied. In general, your location must be more than 300 feet from a school or day care measured property line to property line and more than 300 feet from a church or hospital measured door to door. Some areas have adopted more stringent standards such as Zoning regulations. And the City of Houston, for example, requires that any bar or liquor store must be more than 1,000 feet from a school measured property line to property line.
What is a protest and should I hire an attorney? Any person may protest your application for TABC license. A protesting person is trying to argue to the Judge and TABC that you should not be able to obtain a license at a specific address. If someone files a protest then a specific Protest Hearing will be scheduled and you will need to hire an attorney to represent you in the protest hearing. Hiring an attorney does not guarantee that you will win the protest hearing. If the person protesting does not have a good reason to protest, then the Judge and TABC may grant the license . And protests can be filed against the renewal of your application as well.
Once I receive my license can it be taken away? Yes. If you receive too many tickets from TABC, violate City or County ordinances, fail to file and pay sales tax, fail to file and pay franchise tax, fail to file and pay property or business personal property taxes, etc. then your license could be cancelled. Failure to report changes in ownership to TABC can also result in cancellation of your license.
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