Opening a business that sells alcohol in South Africa is a significant undertaking that requires a thorough understanding of the liquor licensing process. One of the most common questions is the cost of obtaining a liquor license. While it might seem like a straightforward answer, several factors can influence the final price. On average, the cost typically ranges from R20,000 to R45,000. This informative guide is designed to empower entrepreneurs with a comprehensive overview of the costs associated with obtaining a liquor license in South Africa. By gaining a deep understanding of the financial requirements and procedures required by South African Law, you can confidently navigate this crucial step in establishing your business.

Types of Liquor Licenses

South Africa offers several types of liquor licenses, each catering to different business needs and models:

On-consumption License:

It is intended for businesses where alcohol is consumed on the premises. Typical for restaurants, bars, pubs, and nightclubs.

Off-consumption License:

This is for businesses selling alcohol that will be consumed elsewhere. Suitable for liquor stores and bottle shops.

Special Event License:

Temporary license for specific events such as festivals, concerts, or private functions. Duration and conditions depend on the nature of the event.

Micro-manufacturer’s License:

This is for businesses involved in producing alcoholic beverages, such as microbreweries or craft distilleries.

Understanding which license type best fits your business is the first step toward estimating the costs involved.

Factors Affecting Liquor License Costs

The type of liquor license you need significantly impacts the cost. On-consumption licenses generally differ in cost from off-consumption licenses, while special event licenses have their unique pricing structure. Each province and municipality in South Africa has its own regulations and fee structures, and urban areas often have higher fees due to higher business potential and demand. Compliance with local zoning laws is crucial, and fees may vary depending on whether the area is designated for commercial activities. Larger establishments or those with extended operating hours might face higher costs due to additional compliance and safety requirements. Many businesses opt to hire professionals to assist with the liquor license application process, and these fees can vary widely based on the complexity of the application, such as meeting health, safety, and zoning regulations.

Average Prices for Liquor Licenses In South Africa

While costs can vary, here are some general estimates to help you plan:

Liquor License Application Fees:

Range from R2,000 to R10,000 depending on the type and location of the license.

Liquor License Attorney Fees:

Professional assistance can range from R5,000 to R25,000, influenced by application complexity.

Liquor License Renewal Fees:

Liquor licenses require annual renewal, with fees typically ranging from R1,000 to R5,000.

Additional Costs:

Public notice costs can vary but generally range from R1,000 to R2,500.

Rely On Our Expertise To Register & Apply For A Liquor License In South Africa

At Burger Huyser Attorneys, we ensure that your business is legally compliant and ready to thrive in the South African market. A liquor license not only allows you to legally sell alcohol but also enhances your business’s credibility and potential for profit. It’s an essential step in establishing a successful business in the alcohol industry.

For a detailed breakdown of costs tailored to your specific circumstances, we encourage you to contact our Liquor Law attorneys to set up an appointment. You will receive personalized guidance, insights on what to expect, how long your license will take and receive a successful liquor license application process professionally executed. 

DISCLAIMER: Information provided in this article does not, and is not intended to constitute legal advice. READ MORE