Massachusetts Liquor License Bond Guide
If you're applying for a liquor license in Massachusetts, you'll likely need to purchase a surety bond. Read on to learn all about the bonding process.
Bond Overview
- Purpose: To ensure compliance with liquor laws and payment of liquor taxes
- Who Needs It: Alcohol retailers, warehousers, distributors and manufacturers
- Regulating Body: The Massachusetts Alcoholic Beverages Control Commission
- Required Amounts: $100–$10,000, based on license classification
- Premium Rates: Typically $12 per $1,000 of coverage with a $100 minimum
What Is a Massachusetts Liquor License Bond?
The Commonwealth of Massachusetts Alcoholic Beverages Control Commission requires any person involved in the sale, storage, or manufacture of alcoholic beverages to be bonded and licensed to work legally in the state. This type of surety bond ensures that businesses follow all state regulations and guidelines.
We also issue Massachusetts Farmer Brewery Bonds required to produce malt beverages and sell them at retail or wholesale.
How Much Do Alcohol License Bonds Cost in Massachusetts?
Massachusetts liquor license bond premiums start as low as $100. The required bond amount varies and is determined by the Commission.
- If your bond amount is under $10,000, you can purchase instantly online for a flat rate of $12 per $1,000 of coverage, with a $100 minimum.
- If the bond amount is over $10,000, your rate will be directly related to your credit score.
Most applicants can expect to pay a premium between 1.2% and 10% of the total bond coverage. Apply below for an exact quote.
Why Do I Need a Massachusetts Alcohol License Bond?
Individuals involved in the sale, storage or manufacture of alcoholic beverages must be bonded to protect customers from unlawful practices that could potentially cause financial damages. By posting this bond, the principal (liquor handler) agrees to comply with regulations as outlined in the Massachusetts General Laws, Chapter 138, or any other Alcoholic Beverages Control Commission regulations.
Prohibited acts under these laws include, but are not limited to:
- Selling to any person under the age of 21
- Employing any person under the age of 18
- Selling alcohol during riots or times of great public excitement
- Selling to any intoxicated person
If these or any other laws stated in the General Laws are broken, a claim can be made against the bond to provide reparation for damages.
How to Get a Liquor License in Massachusetts
Massachusetts offers numerous types of specific liquor licenses that fall into one of four categories:
- All alcoholic
- Wine only
- Malt only
- Wine and malt
Some local county and city governments also have their own additional licensing requirements that must be met before an establishment can be approved for a liquor license.
What’s Required for an Alcohol License in Massachusetts?
Information on city-specific liquor sales licenses in Massachusetts can be found here. Information on general state liquor licenses can be found here.
Massachusetts liquor license bonds have a set expiration date of December 31. If the bond is to be canceled at any other time, the surety must provide the Alcoholic Beverages Control Commission with at least 30 days' written notice.
