TABC Requirements by Business Type

Quick answer: The permit a Texas business needs depends on two things: what kinds of alcohol it sells and whether customers drink on-site or take it away. A full bar needs a Mixed Beverage Permit; a place selling only beer and wine usually holds a Wine and Malt Beverage Retailer’s Permit; a grocery or convenience store sells off-premise under a retailer’s off-premise permit; and a liquor store holds a Package Store Permit. From there, the requirements that differ most are employee age rules, ID-scanning duties, food-service certificates, and bonds. A core set of rules applies to everyone regardless of type.

The primary permit by business model

Most businesses operate under one primary permit matched to their model, often with a subordinate certificate or bond attached on top. The first fork is simple: if the business sells distilled spirits, it needs a Mixed Beverage Permit, since that is the only retail permit covering a full bar. If it sells only beer and wine, the choice turns on whether customers also take product away, which is where the BG permit’s combined on- and off-premise coverage matters.

  • Full bar or restaurant serving spirits. A Mixed Beverage Permit (MB) authorizes distilled spirits, wine, and malt beverages for on-premise consumption. It is the only retail permit that covers a full bar. MB holders must buy distilled spirits from a package store in their county that holds a Local Distributor’s Permit.
  • Beer and wine on-premise. A Wine and Malt Beverage Retailer’s Permit (BG) covers wine and malt beverages for both on- and off-premise consumption. It was called the Wine and Beer Retailer’s Permit until 2021.
  • Grocery and convenience (off-premise). An off-premise retailer’s permit covers sealed beer and wine sold to take away.
  • Liquor store. A Package Store Permit (P) authorizes spirits, wine, and beer for off-premise consumption.

The requirements that differ

The dimensions that change by business type are worth seeing side by side:

Requirement Full bar / restaurant (MB) Beer & wine on-premise (BG) Off-premise retail Package store (P)
Sells spirits Yes No No Yes
Consumption On-premise On and off Off-premise Off-premise
Employee minimum age 18 18 None 21
Electronic ID scan Not for on-premise service For off-premise sales Required Required
Food and Beverage Certificate relevant Often (FB) Sometimes No No
Bonds Conduct surety; performance bond if no FB Conduct surety; performance bond if no FB Varies Varies

The ID-scanning column reflects the rule that most retail off-premise sales must be scanned; on-premise service is treated differently from a packaged off-premise sale.

Two of the age entries need a word of caution, because the table simplifies them. “None” for off-premise retail means there is no statutory minimum age to ring up a sealed beer or wine sale, not that a business can or should staff that role with a child; other employment laws and practical judgment still apply. And the package-store “21” is the general rule, but it eases in specific cases, a location holding a Food and Beverage Certificate can have an 18-year-old operate the register, and a wine-only package store can employ someone as young as 16. A business near any of these lines should confirm the rule for its exact permit and setup rather than read the cell as absolute.

The Food and Beverage Certificate and the Red Sign threshold

For on-premise businesses, the Food and Beverage Certificate (FB) is the pivot point between looking like a restaurant and looking like a bar. In certain parts of the state, only a business that qualifies as a “restaurant,” one that prepares and offers multiple entrees, is eligible for a Mixed Beverage Permit at all.

Two separate thresholds are easy to confuse. The Food and Beverage Certificate itself turns on food service, not on a 51% figure. The 51% figure governs a different obligation: a location where 51% or more of income comes from on-premise alcohol must post the Red Handgun Warning Sign at each entrance. And a BG or on-premise malt beverage license holder without an FB must post an additional performance bond on top of the conduct surety bond. Holding an FB removes the conduct surety bond requirement but adds food-service conditions.

What applies to everyone

Regardless of permit type, every TABC-licensed location carries a shared baseline:

  • Display and signs. The permit must be displayed publicly, along with required signage such as the health-risk and human-trafficking signs.
  • No sales to minors or intoxicated persons. Staff cannot sell to anyone under 21 or serve an intoxicated person, and must check IDs. The mechanics are in selling to a minor.
  • Inspection access. The premises must be open to inspection by TABC or a peace officer; refusal is a Class A misdemeanor.
  • Incident reporting. A breach of the peace must be reported to the local TABC office within five calendar days, and a shooting, stabbing, murder, or serious-injury incident within 24 hours.
  • Renewal. A license is valid for two years and is renewed through AIMS, starting up to 30 days before expiration.
  • Staff training. Seller-server certification is not required by state law, but it underpins the Safe Harbor defense.

Frequently asked questions

What permit does a restaurant with a full bar need in Texas?
A Mixed Beverage Permit (MB), which authorizes spirits, wine, and malt beverages for on-premise consumption. In some areas, only a business that qualifies as a restaurant is eligible for an MB, and many MB holders also hold a Food and Beverage Certificate.

What is the difference between an MB and a BG permit?
A Mixed Beverage Permit covers spirits, wine, and beer for on-premise consumption. A Wine and Malt Beverage Retailer’s Permit (BG) covers only wine and malt beverages, but for both on- and off-premise consumption.

What is the minimum age to sell or serve alcohol?
It depends on the business. On-premise employees at a bar or restaurant must be 18. Off-premise retail has no statutory minimum age for selling sealed beer or wine, though general employment laws still apply. Package-store employees must generally be 21, with narrower exceptions: 18 where the location holds a Food and Beverage Certificate, and 16 at a wine-only package store.

Do all businesses have to scan IDs electronically?
Most retail off-premise sales must be scanned under recent law, including by package stores, grocery stores, and convenience stores. On-premise service is treated differently, and the requirement does not apply to a seller that operates a restaurant or holds a Brewpub License.

Current as of June 2026. This guide compares Texas alcohol permit requirements by business type and is general information, not legal advice. Requirements depend on the specific permit and location.