To open a restaurant, extensive study, thought and planning are necessary. The process is
considerably more complex if you intend to open the bar and the restaurant. To do so,
substantial documentation and compliance procedures such as permits and registrations are
required. These facilities, however, enable businessmen to diversify their business model and
generate food and liquor revenues. Business owners require a license to sell alcoholic goods
lawfully in India for the bar and restaurant market. Any restaurant or facility wishing to offer
liquor in India must be licensed accordingly. A bar can result in huge fines, shutdowns and
legal consequences without the license. Business owners must contact their local excise
commissioner in order to apply for this. Because liquor regulations differ between States,
businesses have to investigate and apply local excise rules. The Liquor License is a legal right
issued in respect of those who seek to sell or distribute alcoholic drinks or drinks in a certain
area by the State Excise Department. Each country has a separate set of liquor rules and
regulations to be followed by any person who wants to sell the beverages, beer and so on.
ADVANTAGES OF A LIQUOR LICENSE
The advantages of a liquor license are as follows:
Provides their guests with a good dining experience.
Alcohol may be sold lawfully by restaurant or hotel.
The license for Liquor improves the restaurant's seating.
A liquor licensed restaurant can offer its clients a range of drinks.
Improving market opportunities for improved access.
TYPES OF LIQUOR LICENSE
In certain states, a particular kind of liquor license has to be applied for. The application for
licenses to license liquors depends on the nature and kind of business of the liquor. The
following are the different licenses in India for liquors:
Beer and Wine Liquor License:
This sort of liquor license is available in the restaurants and bars, who want to offer
soft liquors like beer and wine. The owners are not afterwards eligible to deal
with hard liquor.
Restaurant Liquor License:
Any restaurant on its premises that wishes to offer any alcohol can use this kind of
license. It is worth noting, however, that the percentage of alcohol-related areas must
be restricted to 40%.
Tavern Liquor License:
This sort of license is needed by this company which serves meals but accounts for
half its earnings from selling alcohol.
Brewpub Liquor License –
This type of license is needed by those who serve micro-brewery or manufacture their
own beer.
LIST OF LIQUOR LICENSE ISSUED IN INDIA
List of some of the liquor licenses issued in India is as follows:
L-1 License:
A business, partnership, company or company that operates a manufacturing unit, is
given this licence. In addition, this licence is granted by the State Excise Department.
The State Excise Department also releases Public Notices in prominent journals and
on the official website for inviting licence applications.
L–3 License:
This sort of licence is required for bottling plants or distillers. For obtaining this sort
of licence, the State Government issues bids.
L-6 License:
Indian Liquor retailers require such a licence. In addition, this licence is exclusively
awarded to chosen companies by the State Government.
L–9 License:
This licence is required for a retail dealer dealing with the liquor for a foreign brand.
In addition, only that foreign brand license can be obtained by an L-1 licence holder.
L-10 License:
If anybody wants a retail licence to sell both Indian and international liquor brands,
they are licenced under L-10.
P-13 License:
This licence may only be obtained from the granting authorities for hotels, clubs and
restaurants. This license allows hotels, clubs and restaurants to offer foreign spirits on
a certain day in their premises when they hold a certain party or function.
P-10 License: Government gives this license to serve liquor everywhere in the city
except in public parks at any particular occasion or celebration.
Some other licences issued by different governments include the following: L-11,
L-12, L-15, L-16, L-17, L-18, L-19, L-20, L-21, L-28, L-26, L-29, L-30 and L-28.
DOCUMENTS REQUIRED FOR THE PROCUREMENT OF A LIQUOR LICENSE
IN INDIA
Applicant's identity proof.
Applicant's address proof.
Address evidence of the location used to serve/sell/store/make alcohol.
State Fire Department and City Society No Objection Certificate (NOC).
Request containing applicant's personal and business data.
Copy of MOA and AOA for businesses.
Recent copy of ITR.
Photo of the applicant.
A declaration affidavit indicating the applicant has not had any previous criminal
records.
An affidavit indicating the applicant does not have pending duties.
STEP-WISE PROCEDURE FOR OBTAINING A LIQUOR LICENSE IN INDIA
Kindly utilize the steps given below to integrate legally and securely a liquor license and get
the benefits in the form of better-quality sales and satisfied clients:
STEP 1:
Each State has a separate set of rules on alcohol buying, selling and consuming. You must be
fully familiar with the liquor regulations in this state before applying for a licence. The State
Excise Department stipulates liquor legislation. Anyone who want to get a licence to obtain
liquor may ask or enquire about the same on the State Excise Department Website, visit the
licencing body directly, or visit local stores. One must get a liquor licence before preparing to
begin purchasing, selling or consuming a liquor. It should be noted that it is a time-
consuming procedure to obtain a license. Planning is therefore needed to get a liquor license.
The cost of a license for liquors varies throughout countries since State legislation is
different. In addition, it is easy to acquire an estimate of the cost of licensing liquor together
with other information from the State Excise website.
STEP 2:
The applicant must complete a form with all the data necessary. In addition, the application
form and the application money must be sent to the authorities involved. The documents must
be provided together with the application form differ from licence to licence. However,
documents such as identity proof of the applicant, residency proof, proof of legitimate
address and/or address proof, certificate of incorporation (in the case of commercial bodies),
copy of ITRs, etc. are all necessary.
STEP 3:
The State License Authority will review and verify, after the application form is received, the
credentials supplied by you and may also request for further documentation.
STEP 4:
The notice should be displayed on your person or company address and shall state the name
and licensing details by the appropriate State Authority after verification. Any concerns made
by the local population, reported to the department involved, shall be subject to the displayed
notice.
STEP 5:
You will have the right to defend yourself in the event of an objection. If there are no
objections, the Authority will evaluate the request and award the Liquor License.
NOTE: The License is renewed yearly, meaning that each renewal is payable at the renewal
price of the license. Every individual wishing to renew his/her license must apply for the
licence in addition to paying the renewal cost before thirty days from the expiry date. In
addition to the form, Challan should be accompanied by proof of payment of the application
cost of 25 rupees, and the renewal of the liquor license charge determined from time to time
by the State Governments.
The State Excise Authorities will revoke the liquor license, on the happening of any of the
following incidents –
1. Liquor served on Dry Days
2. Liquor served to Minors
3. Violations of the rules and regulations prescribed by the State Excise department.
CONCLUSION
Business owners require a license to sell alcoholic goods lawfully in India for the bar and
restaurant market. Any restaurant or facility wishing to offer liquor in India must be licensed
accordingly. A bar can result in huge fines, shutdowns and legal consequences without the
license. Business owners must contact their local excise commissioner in order to apply for
this. Because liquor regulations differ between States, businesses have to investigate and
apply local excise rules. The Liquor License is a legal right issued in respect of those who
seek to sell or distribute alcoholic drinks or drinks in a certain area by the State Excise
Department. Each country has a separate set of liquor rules and regulations to be followed by
any person who wants to sell the beverages, beer and so on.
