If you’re starting a new business or thinking about buying or selling a liquor license in California, one of the first steps is figuring out which type of license fits your needs. With so many different license types and specific rules for each, it’s easy to feel overwhelmed or confused.
Whether you’re opening a restaurant, launching a bar, or running a retail store, understanding the differences between California liquor license types can help you move forward with confidence.
License Types Explained
California’s Department of Alcoholic Beverage Control (ABC) issues more than 90 different types of liquor licenses. But most buyers and sellers are dealing with a smaller set of the most common types. Here’s a quick breakdown of the main ones used in restaurants, bars, and retail businesses:
Type 20 – Off-Sale Beer and Wine
Allows retail stores like convenience stores and grocery stores to sell beer and wine for consumption off the premises. Spirits are not included.
Type 21 – Off-Sale General
Permits the sale of beer, wine, and spirits for off-site consumption. Typically used by liquor stores and large grocery chains.
Type 41 – On-Sale Beer and Wine for Bona Fide Eating Place
Used by restaurants that serve food and want to offer beer and wine for on-site consumption. No spirits allowed. This license is often less expensive and easier to obtain.
Type 47 – On-Sale General for Bona Fide Eating Place
Allows restaurants to serve beer, wine, and spirits on the premises. Food service is required, and a full kitchen must be maintained.
Type 48 – On-Sale General Public Premises
This license is for bars, nightclubs, and similar businesses that serve alcohol for on-site consumption without the requirement of food service. Minors are not permitted.
How to Choose the Right One
Ask yourself the following questions to narrow down the license you’ll need:
- Will alcohol be consumed on-site or taken to go?
- Do you plan to serve spirits, or just beer and wine?
- Is your business a restaurant, retail store, or bar?
- Will you meet food service requirements if needed?
- What does your city or county allow for your zoning?
It’s also important to check local restrictions, as cities and counties may have additional limitations beyond what the state ABC requires.
Why This Matters for Buyers and Sellers
If you’re buying a license, choosing the right type upfront can save time, money, and legal complications. If you’re selling a license, knowing what you have and how it applies to different types of buyers can help position it properly on the market.
At License Locators, we help match the right license to the right buyer. We also assist sellers in determining the most strategic way to list and price their license based on type and location.
Not Sure Where to Start? Let’s Talk
If you’re unsure which license type is right for your business or if you’re holding a license and want to better understand its value, we’re here to help. Our team is available to walk you through your options so you can make a confident move.
