How Much Does a Liquor License Cost in Texas?

A Mixed Beverage Permit from the TABC costs $6,281 for the initial two-year term. That is the license most people think of when they say "liquor license" in Texas, and it is the one you need if you want to serve cocktails, spirits, wine, and beer at a bar or nightclub.

But that is not the only license the Texas Alcoholic Beverage Commission issues, and it is not the only cost you will face. The total depends on what you are serving, how you are serving it, and where your business is located. I have walked dozens of bar and restaurant owners through this process, and the number one mistake I see is budgeting for just the headline fee and getting blindsided by everything else.

Here is the full breakdown.

TABC license types and costs for bars and restaurants

The TABC issues different permits depending on whether you are a bar, a restaurant, a brewery, a winery, or a retailer selling packaged alcohol. Each one has its own fee, term length, and renewal cost. Below is a table covering the licenses most relevant to bars, restaurants, breweries, and wineries.

License Type	TABC Code	Initial Fee	Renewal Fee	Term Length
Mixed Beverage Permit	MB	$6,281	$3,531	2 years
Mixed Beverage Restaurant Permit	RM	$5,531	$2,781	2 years
Wine and Malt Beverage Retailer's Permit	BG	$1,006	$506	2 years
Beer Retail Dealer's Off-Premise License	BF	$375	$150	2 years
Brewer's Permit	BP	$1,500	$750	2 years
Brewpub License	PB	$1,500	$750	2 years
Winery Permit	G	$1,500	$750	2 years
Late Hours Permit	LH	$1,500	$750	2 years
Food and Beverage Certificate	FB	$381	$181	2 years

A few things to note about this table. The initial fee includes a filing surcharge that does not apply on renewal, which is why the renewal fee is lower. All TABC permits run on a two-year cycle. And most businesses will need more than one permit from this list.

What each license covers

Mixed Beverage Permit (MB) — $6,281

This is the full bar license. It lets you sell liquor, wine, and beer for on-premises consumption. You need this if you are opening a bar, nightclub, or lounge where alcohol sales are the primary business. If food sales account for less than 50% of your gross revenue, the TABC classifies you as a bar and you need the MB permit.

Mixed Beverage Restaurant Permit (RM) — $5,531

Same as the MB permit but for restaurants where food is the primary product. You must maintain at least 50% of your gross revenue from food and non-alcoholic beverages. The TABC audits this ratio, and if you slip below 50%, you are in violation. The upside is that it costs $750 less than the MB permit upfront and $750 less on renewal. If you are opening a restaurant that serves a full bar, this is the permit you want.

Wine and Malt Beverage Retailer's Permit (BG) — $1,006

This permits the sale of wine and beer (but not spirits) for on-premises consumption. If you are running a wine bar, a taproom, or a restaurant that only serves beer and wine, this is your permit. It is significantly cheaper than either mixed beverage permit because the TABC considers beer-and-wine-only establishments lower risk than full bars.

Beer Retail Dealer's Off-Premise License (BF) — $375

This is for selling beer to go. Think convenience stores, grocery stores, and bottle shops. You cannot serve anything for on-premises consumption with this license alone. If you run a brewery taproom that also sells cans and growlers to go, you may need both a Brewpub License and a BF license.

Brewer's Permit (BP) — $1,500

For breweries that manufacture beer. This covers production and allows limited on-site sales and sampling. Texas brewery laws have changed several times in recent years, so check the current TABC rules for what you can and cannot sell directly to consumers.

Brewpub License (PB) — $1,500

For restaurants that brew their own beer on-site. You can brew up to 10,000 barrels per year and sell it on-premises. Brewpubs can also sell beer to go and self-distribute to retailers in Texas.

Winery Permit (G) — $1,500

For wineries that produce and sell wine. Covers manufacturing, on-site tasting rooms, and direct sales to consumers. Texas wineries can ship directly to consumers in-state, which is a significant revenue channel for smaller operations.

Late Hours Permit (LH) — $1,500

If you want to serve alcohol past midnight, you need a Late Hours permit in addition to your primary permit. In most of Texas, the standard cutoff for alcohol sales is midnight on weekdays and 1 AM on Saturdays. The Late Hours permit extends your service to 2 AM seven days a week. Nearly every bar in Austin, Dallas, Houston, and San Antonio holds one of these.

Food and Beverage Certificate (FB) — $381

Required for any establishment that holds a Mixed Beverage Permit (MB or RM) and serves food. This is not optional. If you have an MB or RM permit and you serve so much as a basket of fries, you need the FB certificate. It is a separate application and a separate fee.

Total cost for a typical bar in Texas

Let me put together a realistic example. You are opening a bar in Houston that serves food and stays open until 2 AM. Here is what you are looking at from the TABC alone:

Mixed Beverage Permit (MB): $6,281
Late Hours Permit (LH): $1,500
Food and Beverage Certificate (FB): $381

Total TABC fees: $8,162

And that is just the state level. You still need a city business license, a health permit, a fire inspection, a sign permit, and a sales tax permit. For a full list, check what permits a Texas bar needs.

Total cost for a restaurant with a full bar

Now let's say you are opening a restaurant in Dallas that serves cocktails and closes at midnight. Your TABC costs look like this:

Mixed Beverage Restaurant Permit (RM): $5,531
Food and Beverage Certificate (FB): $381

Total TABC fees: $5,912

No Late Hours permit needed because you are not serving past midnight. And the RM permit saves you $750 over the MB permit. Restaurants get the better deal here, which is one of the key differences I covered in my post on what permits you need to open a bar.

Total cost for a beer-and-wine-only restaurant

If you skip the spirits entirely and only serve beer and wine, the math gets much friendlier:

Wine and Malt Beverage Retailer's Permit (BG): $1,006

Total TABC fees: $1,006

No Food and Beverage Certificate required (that only applies to MB and RM permits). This is why a lot of small restaurants in Texas start with beer and wine only. The permitting is simpler, cheaper, and faster.

How long does the TABC application take?

The typical processing time for a TABC permit is 60 to 90 days from the date your application is complete. I want to stress that word: complete. The clock does not start when you mail it in. It starts when the TABC has every document, every form, every signature, and every fee. If anything is missing, they send it back and you start over.

Here is what affects your timeline:

Background checks: Every owner, officer, and manager listed on the application goes through a criminal background check. If your business has multiple partners, this adds time.
Location approval: The TABC checks your proposed location against distance restrictions (churches, schools, hospitals). If there is a question, it triggers additional review.
Protest period: After you file, there is a public notice period where residents and nearby businesses can protest your application. Protests trigger a hearing at the State Office of Administrative Hearings, which can delay your permit by months.
Local government sign-off: Some cities require additional local approvals before the TABC will issue your permit.

The 60-to-90-day timeline is for straightforward applications with no protests and no missing paperwork. I have seen contested applications take six months or longer. If you are planning a bar opening, submit your TABC application before you start your buildout, not after. For more detail on the timeline, see my guide on how long it takes to get a liquor license in Texas.

Penalties for operating without a license

This is the part people skip, and it is the part that matters most.

Operating without a valid TABC permit in Texas is a Class A misdemeanor. That means:

Up to $4,000 in fines
Up to 1 year in county jail
Seizure of all alcoholic beverages on the premises
A criminal record that makes it harder to get a permit in the future

The TABC has field agents across the state who conduct inspections. They show up unannounced. If they find you selling alcohol without a permit, they do not give you a warning. They shut you down and file charges.

The same penalties apply if your permit has expired. Letting your TABC permit lapse is not a gray area. The day after expiration, you are operating illegally. I wrote about this in more detail in my post on the hidden cost of an expired business license.

City-specific requirements in Texas

Texas is a big state, and the major cities each layer their own requirements on top of the TABC permit. Here is what to expect in the four largest markets.

Houston

The City of Houston requires a Certificate of Occupancy for any establishment serving alcohol. You also need to check the city's sexually oriented business ordinances, which include buffer zones that can affect bar locations near residential areas. Harris County has its own health inspection process for food service.

Dallas

Dallas has specific use regulations for bars in certain zoning districts. A Specific Use Permit (SUP) may be required for establishments where alcohol is the primary product. The SUP process involves a public hearing before the City Plan Commission and approval by the Dallas City Council. Plan for 2 to 4 months for this process alone, on top of your TABC timeline.

Austin

Austin is relatively bar-friendly, but the city requires a Certificate of Occupancy and compliance with its noise ordinance, especially for venues on 6th Street and in entertainment districts. The city also has specific requirements for outdoor patios and sidewalk service areas that serve alcohol.

San Antonio

San Antonio requires a city-issued liquor establishment permit in addition to your TABC permit. The city also enforces buffer zones around schools, churches, and hospitals that are stricter than the TABC's minimum requirements. Check with the San Antonio Development Services Department before you sign a lease.

Wet and dry counties

Texas still has dry and partially dry counties where alcohol sales are restricted or prohibited entirely. As of 2024, there are still areas in Texas where you cannot sell liquor at all, or where you can only sell beer and wine, or where sales are limited to private clubs.

Before you pick a location, verify the local option status with the TABC. Their website has a lookup tool that shows the alcohol sales status for every county, city, and justice of court precinct in the state. If your location is in a dry area, you will need to organize a local option election before you can even apply for a permit, and that is a whole separate process.

Additional costs beyond the TABC

The TABC permit is the biggest single expense, but it is not the only government fee you will pay. A Texas business license involves several other agencies. Here is a rough budget for the non-TABC permits a typical bar or restaurant needs:

City business license: $50 to $500 (varies by city and revenue)
County health department permit: $200 to $1,000 (annual, depends on county)
Fire inspection: $50 to $300
Sign permit: $50 to $200
Sales tax permit (TX Comptroller): Free
TABC server training (per employee): $10 to $30

All in, you are looking at $8,500 to $10,000 or more in government fees before you have purchased a single bottle of liquor or hired your first bartender.

How to budget for renewal

Every TABC permit renews every two years. Renewal fees are lower than the initial filing, but they still add up. For that same Houston bar example from earlier:

MB renewal: $3,531
LH renewal: $750
FB renewal: $181

Total TABC renewal: $4,462 every two years

That is $2,231 per year if you want to budget monthly. The TABC sends renewal notices, but they go to the address on file. If you have moved, changed your mailing address, or if the notice gets lost, you will not get a second reminder. And once the expiration date passes, you are operating illegally.

This is exactly the kind of deadline that slips through the cracks. If you are tracking permits across multiple agencies with different renewal cycles, a spreadsheet might not cut it. Check your full permit list and let PermitDue send you reminders at 90, 60, 30, and 7 days before every expiration date.

Start your TABC application now

The TABC application process takes 60 to 90 days in the best case. If you are planning to open a bar, restaurant, brewery, or winery in Texas, the permit application should be one of the first things you do. Waiting until your buildout is done and then discovering you have a three-month wait for your license is how opening dates get pushed back and money gets burned.

Run the free permit checker to see every permit your Texas business needs, with fees, agencies, and direct links to the application pages. It takes two minutes.