To open a bar you need permission to sell alcohol before you commit to premises. In the US that means state and local licences, and in England and Wales a premises licence plus a designated premises supervisor. Check your local rules and speak to a licensing adviser first.
A bar is a licensed, age-restricted business, and the licence is the part that decides your timeline. Concept, premises and budget all come second to whether you can get permission to sell alcohol in that exact location.
Decide what kind of bar you're opening
| Type | Description | Things to think about |
|---|---|---|
| Neighbourhood bar or pub | Regulars, simple drinks, community feel | Location, parking or transport, local competition |
| Cocktail bar | Skilled staff and a focused menu | Training, stock range, stock wastage |
| Wine bar | Curated list, small plates | Storage, supplier relationships, food rules |
| Brewery taproom or bar with food | Drinks plus a kitchen or snacks | Food hygiene, extraction, extra permits |
| Event or pop-up bar | Temporary, festival or venue-based | Temporary event licences, insurance |
Write your concept in three sentences: who it's for, what it serves and why people will choose it over the bar down the road. If you can't, the rest of the plan will wobble.
The rules you check first
In the United States
- Age: the minimum age to buy alcohol is 21 in the US, set by state law under the National Minimum Drinking Age Act.
- Licences are state and local. Each state, and often each city or county, has its own alcohol licensing authority and its own licence types, such as separate categories for beer and wine only versus full spirits, or for on-premises consumption.
- Some areas limit the number of licences, which can make them hard to get or expensive to buy from an existing holder. Ask your state's alcohol authority how it works locally.
- Other permits: food service, health department, building, fire safety, signage and zoning may all apply.
- Liability: many states have rules on a venue's responsibility if it serves someone who is already intoxicated, so ask about liability and server training.
In the United Kingdom
- Age: you must be 18 to buy alcohol, and bars commonly run Challenge 25.
- In England and Wales, the Licensing Act 2003 requires a premises licence from the local council, and a designated premises supervisor who holds a personal licence. Scotland and Northern Ireland have their own systems, so check the rules for where you plan to open.
- Licensing objectives: councils consider crime and disorder, public safety, public nuisance and protecting children from harm. Local residents and authorities can comment on applications.
- Other requirements: food business registration if you serve food, planning permission or change of use, building and fire safety checks, and music licensing if you play recorded or live music.
Rules change. Use GOV.UK, your local council or your state's alcohol authority as the source, and speak to a solicitor who specialises in licensing before you sign a lease.
Choose the premises with the licence in mind
Don't sign a lease until you've checked that the premises can legally operate as a bar. Ask about existing licences, zoning, opening hours restrictions, noise limits, outside seating rules and any restrictions on the building. Make the lease conditional on obtaining the licence, if you can. A great room with a licence you can't get is an expensive hobby.
What to budget for
I'm not giving numbers here because they vary hugely by city and size. These are the categories to price up, with quotes.
- Lease or purchase, deposit and legal fees.
- Licensing and professional fees.
- Fit-out, furniture, bar equipment, glassware and refrigeration.
- Opening stock and a cash float.
- Insurance, including public liability and cover for stock and equipment.
- Staff costs before you open, including training.
- Marketing and the launch.
- A cash reserve for the slow early months.
Suppliers and stock
In many US states you must buy alcohol from licensed distributors, and in the UK you'll typically use licensed wholesalers or brewery direct accounts. Ask suppliers about delivery days, minimum orders and payment terms. Good stock control matters because spirits and kegs tie up cash and go missing without records. My guide to inventory management software for small business covers tools that can help.
Tills, payments and software
You'll need a point of sale system that handles tabs, tips, split bills and reports. Compare options in my guide to POS systems for small business. For card readers and online payments, see Stripe vs Square. Ask any payment provider whether alcohol sales are allowed on your account and read its current list of restricted activities.
Staff, training and responsible service
Your staff are your licence. Train them to check ID, refuse service when someone has had enough, and handle difficult customers calmly. Keep written policies and training records. Many licensing authorities and insurers look at those records first when something goes wrong.
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Marketing within the rules
Alcohol advertising is restricted in many places, and rules cover things like targeting minors and promoting irresponsible drinking. Focus on your venue, your service, your events and your community. Check local rules and industry codes before you run any promotion.
A pre-opening checklist
- Write the concept and a realistic budget.
- Check the licensing rules in your exact location.
- Speak to a licensing solicitor or adviser.
- Secure the premises with the lease conditional on the licence.
- Apply for the licence and any food, music and building permits.
- Arrange insurance.
- Set up suppliers, stock control and your till system.
- Hire and train staff.
- Run a soft opening for friends and neighbours.
- Open, and review your numbers weekly.
This is general information, not legal advice. Alcohol licensing is a specialist area, so get professional help before you commit money.
Frequently asked questions
What licence do I need to open a bar?
In the US you generally need a state alcohol licence and possibly city or county permits. In England and Wales you need a premises licence from the local council and a designated premises supervisor with a personal licence. Check your local authority.
How old do you have to be to open a bar?
The minimum age to buy alcohol is 21 in the US and 18 in the UK. Licensing authorities may also have their own requirements for applicants, so check the rules where you plan to open.
How long does it take to get an alcohol licence?
It varies by location and licence type. Some places have waiting lists or public notice periods, so ask your licensing authority early and plan for delays.
Can I open a bar without experience?
Yes, but many owners hire an experienced manager, take a licensing course and train staff before opening. Experience in running people, stock and cash matters as much as drink knowledge.
