| Agency | Boston Licensing Board and the Massachusetts Alcoholic Beverages Control Commission (ABCC) |
|---|---|
| What you do | A transfer application, a Licensing Board hearing, then review by the state |
| When | The city lists about four to twelve weeks, then the state about four to eight more |
Watch for this: A buyer cannot serve alcohol under your license until both the city and the state approve the transfer.
Two approvals, not one
Boston's alcohol licenses are held by the Licensing Board, and the state ABCC also approves each license. A transfer to a new owner needs both.
The board votes on the transfer but does not run the private deal. If the board approves, it sends the application on to the state for final approval.
What the hearing involves
Transfers on the open market go to a hearing. The board's listing mentions a hearing fee and a state processing fee, and amounts change, so ask the board for current figures.
Come prepared. The buyer usually presents the plan for the restaurant and answers questions, and the seller's records should be in order.
How long it takes
The city page lists roughly four to twelve weeks for board review and another four to eight for the state. Those are estimates, and volume changes them.
Plan on months, not weeks. A sale agreement that sets an early closing date without room for approval can force a messy extension.
What to build into the contract
- Make approval of the transfer a condition of closing
- Say who pays for fees and legal help
- Decide what happens if the board says no
- Allow the closing date to move with the approval date
Running the restaurant in the meantime
The seller usually keeps operating and serving under the existing license until the transfer is approved. Keep the business steady, because buyers and lenders watch sales during the wait.
Related permits may need attention too. Ask the city about food and health permits and certificates for your location.
Related guides
A restaurant sale also touches the local property tax, covered in the Form of List guide, and the state tax accounts in the sales and meals tax guide.
For what buyers pay, read selling a neighborhood restaurant.
What buyers and lenders want to see
A lender financing the purchase will ask whether the license is included and when it transfers. A license that is expiring or under a violation notice lowers the price.
Ask the board about the license status and any history before you list. Clear problems first, because a buyer will find them.
Keep copies of renewals, inspections and any hearing decisions in your closing folder. A tidy file shortens review.
This page is general information and not tax or legal advice. Confirm fees, forms and timing with the Licensing Board, the ABCC and your attorney.