How Much Does a Liquor License Cost in California?

March 6, 2026 · Daniel Amar·Last updated: March 6, 2026

The sticker price vs the real price

When I was researching liquor license costs across all 50 states we cover, California had the biggest gap between the official fee and what people actually pay. On paper, fees range from about $1,000 to $13,800. That's the government number.

But several license types are subject to quota limits. When no new licenses are available, you have to buy one from an existing holder — and the market price can be 10 to 50 times the government fee.

License fees by type

License typeDescriptionABC feeSecondary market price
Type 20 (Off-Sale Beer/Wine)Grocery, convenience stores. Beer & wine to go$714Not quota-limited: N/A
Type 21 (Off-Sale General)Liquor stores. All alcohol to go$1,232$25,000 - $100,000
Type 41 (On-Sale Beer/Wine, Eating)Restaurants, beer & wine on-premises$1,070Not quota-limited: N/A
Type 42 (On-Sale Beer/Wine, Public)Bars, beer & wine only, no food required$714Not quota-limited: N/A
Type 47 (On-Sale General, Eating)Restaurants, full liquor, beer, wine$13,800Not quota-limited: N/A
Type 48 (On-Sale General, Public)Bars, full liquor, no food required$13,800$50,000 - $200,000+
Type 75 (Brewpub)Brew and sell beer on-premises$1,390Not quota-limited: N/A

Why Type 48 licenses cost so much

California limits Type 48 (bar) and Type 21 (liquor store) licenses based on county population. Each county gets one license per 2,000 residents. Once they're all issued, the state stops issuing new ones until the population grows enough to justify more.

In densely populated counties like Los Angeles, San Francisco, and San Diego, all the quota licenses have been issued for years. The only way to get one is to buy it from someone who's selling theirs or from a broker who specializes in license transfers.

Prices vary wildly by county:

  • Los Angeles County: Type 48 licenses sell for $80,000 to $150,000.
  • San Francisco County: $100,000 to $200,000+. Limited supply in a small county drives prices up.
  • San Diego County: $60,000 to $120,000.
  • Sacramento County: $30,000 to $60,000. More availability keeps prices lower.
  • Rural counties: $10,000 to $30,000 where demand is lower.

The Type 47 workaround

Type 47 licenses aren't subject to quota limits. The ABC issues them freely to qualified restaurants. That matters a lot. A restaurant in San Francisco can get full liquor service for $13,800, while a bar next door might pay $200,000 for a Type 48.

The catch: the ABC requires bona fide meal service. Your kitchen must be equipped to prepare meals, you need a real menu (not just bar snacks), and meals must be available during all hours of alcohol service. The ABC can and does investigate whether a Type 47 location is actually functioning as a restaurant or secretly operating as a bar.

Beyond the license fee: other costs

The license itself is just the beginning. Budget for these additional costs:

  • Liquor license attorney/consultant: $2,000 to $10,000. In California, this is money well spent.
  • License transfer fee (if buying): $1,000 to $6,700 to the ABC, depending on license type.
  • Background check fees: $87 per person fingerprinted.
  • Annual renewal fee: $360 to $1,104 depending on license type.
  • RBS certification: Required for all servers. $3 to $10 per person for the training course.

How to save money

  • Consider beer and wine only. A Type 41 (restaurant) or Type 42 (bar) license costs under $1,100 with no quota restrictions. If your concept works without spirits, you save tens of thousands.
  • Structure as a restaurant. If you can legitimately offer bona fide meals, a Type 47 gives you full liquor without quota costs.
  • Look outside major metros. Quota licenses in suburban and rural counties cost a fraction of what they cost in LA or SF.
  • Watch for license auctions. The ABC occasionally auctions unclaimed or forfeited licenses. Prices are often below market.

Budget before you commit

A liquor license is one of the biggest single costs of opening a bar or restaurant in California. Know the real price — the actual market cost — before you sign a lease or start a buildout.

For the full timeline on getting your license, read our California liquor license timeline guide. And make sure you understand whether you're a restaurant or a bar — it could save you $100,000+.

Use the free permit checker to see every permit and license your California business needs, with realistic cost ranges for your specific county.

DA

Daniel Amar

Founder, PermitDue

Daniel spent 3 years in hospitality management before launching PermitDue. After watching two bars he worked at get hit with fines for lapsed permits — one for $4,200 — he built the tool he wished existed. He's personally researched permit requirements across 10 states and 157 cities.

Learn more about PermitDue

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