Introduction
Starting a business that sells alcohol in South Australia? One crucial step you cannot afford to miss is obtaining a liquor licence. In this post, we’ll guide you step-by-step through the process of securing a liquor licence in South Australia. Not only will this ensure you operate within legal boundaries, but it will also help build customer trust and your brand reputation.
Understanding the Need for a Liquor Licence in South Australia
In South Australia, the Liquor Licensing Act 1997 mandates that any business intending to sell or supply alcohol needs a valid liquor licence. The Consumer and Business Services (CBS) department oversees this licensing process. There are various types of licences to apply for, depending on your business model and the kind of alcohol services you plan to provide.
Types of Liquor Licences in South Australia
There are several types of liquor licences you can apply for in South Australia. Here’s a brief on each:
Understanding which type fits your business model is the first step towards getting your liquor licence.
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Hotel Licence
This type of licence grants the licensee the right to sell alcoholic beverages:
– for consumption on-site.
– for takeaway.
– and via online and mail orders.
Trading Hours.
When applying for the licence, you will have to set the hours for when you will be selling alcoholic beverages for consumption on-site.
You are allowed to sell to residents of the premises at any time, regardless of the hours set.
The trading hours may also affect your annual fees.
Takeaway alcohol.
You must also indicate the hours you will sell alcohol for takeaway. The set hours should not be more than 13 hours between 8 am and 10 pm.
Again, you are allowed to sell to residents of the premises for takeaway at any time, regardless of the set hours.
Online and Mail Orders.
You can conduct direct sales transactions such as online and mail orders at any time of any day, but the delivery must be done within South Australia between 8 am and 10 pm.
Capacity.
You will have to indicate the capacity of your premises. Your licence may likely come with some conditions.
Direct Sales Licence
Activities.
A packaged liquor sales licence entitles you to a range of activities, such as the sale of takeaway liquor, direct sales transactions such as those made through online sales or by mail order, as well as the sampling of liquor on the licensed premises. It does not, however, authorise the sale of packaged liquor from a drive-in or drive-through bottle shop.
Premises.
The premises must only be used for activities specified in the licence and must be completely separated from other commercial premises. In some cases, an exemption to this rule may be granted. A packaged liquor sales licence will not be granted in premises used primarily as a restaurant or food preparation shop, supermarkets, convenience stores or delicatessens, non-consumable domestic or commercial goods or merchandise, petrol stations, shops selling tobacco products and e-cigarettes, firearms and ammunition, or any public conveyance, such as a bus or boat, unless you can demonstrate that there is a good reason for it.
Trading Hours.
For takeaway liquor, the hours you specify in your licence cannot exceed 13 hours between 8:00am and 10:00pm on any day. Meanwhile, the sale of liquor through direct sales transactions, such as online sales or by mail order, is allowed at any time on any day. Delivery is, however, limited to South Australia between 8.00 am and 10:00 pm. Your licence may also come with certain conditions.
Club Licence
A club licence can be obtained by either an incorporated not-for-profit association, a company limited by guarantee, or in some instances a trustee of an association, in cases where the association is unable to become incorporated or if it is not appropriate to require incorporation of the association.
With a club licence, you are allowed to sell liquor to club members, residents of the club premises, and the general public, all for consumption on the premises. Liquor can also be sold to residents of the club for takeaway at any time, as well as to club members through direct sales transactions, including online or by mail order, provided that it is delivered within South Australia between 8:00 am and 10:00 pm.
Applying for a Club Licence
When applying for a licence, you will need to determine the trading hours for consumption on the premises. It should be noted that this does not affect the ability to sell liquor to residents of the club at any time. Depending on the hours selected, it may affect your annual fees. If you are granted authorisation to sell liquor for takeaway, you will need to select trading hours which do not exceed 13 hours between 8:00 am and 10:00 pm. This authorisation will increase your annual fees.
Conversely, you do not require authorisation to sell liquor for takeaway to residents of the club and they may purchase liquor for takeaway at any time. Liquor can be sold online or through mail order to members of the club at any time, however, it must be delivered in South Australia between 8:00 am and 10:00 pm.
When applying for the licence, you will need to specify the capacity of your premises, and your licence may be subject to conditions.
Restaurant and Catering Licence
This licence allows the sale of alcohol according to the conditions specified in the license in a restaurant or catering facility. This can be provided to those dining on the licensed premises, attending a function where food is served, seated at a table on the licensed premises, or partaking in a cooking course held by the licensee.
Serving times
During the application process, it will be necessary to specify if alcohol is to be served on the premises, at other locations, or both.
Trading Hours
Trading hours must also be specified and the proposed premises name should be appropriate and not misleading. For restaurant and catering licences, serving meals must be the primary purpose and the use of the word ‘bar’ is usually not allowed.
Liquor production and Sales
There are three types of licence to choose from when selling liquor you have produced.
Class 1 permits you to distribute your product directly to customers, whether for purchase or take away from the premises or via online or post-sales.
This licence also allows you to sell liquor that you haven’t produced, but not for profit, only to offer customers the opportunity to compare it with your product. For example, if you make Riesling, you can offer samples of a different Riesling to compare with your own, however, it is not allowed to be sold for takeaway or through direct sales. Your licence can be subject to specific conditions.
Class 2 allows you to sell the liquor that you have produced, both for takeaway from your premises and for sampling and consumption on-site.
You may also sell liquor that you haven’t produced, but only in the context of a function where food is being provided and before, during, or after a meal. Once again, the licence can be subject to particular conditions.
Class 3 allows you to sell liquor you have made, both for takeaway from your premises and for sampling or consumption there. This licence also allows you to distribute liquor you have not produced, but only through wholesale to other liquor merchants in large quantities of 4.5 litres or more. Conditions may also apply here.
When applying for a licence, you must indicate the hours you would like to sell liquor for consumption on the premises. If your residence is also on the premises, you can sell for consumption on-site or for takeaway at any time.
Be aware that the hours you select could affect the annual fees. Furthermore, when you submit the licence, you should specify the capacity of your premises unless you will be solely selling through direct sales. Your licence can still be subject to specific conditions.
Small Venue License
The chosen site of business must be located within the Adelaide CBD and must not exceed a capacity of 120 customers at any given moment. Options of business type include:
- Bars
- Restaurants
- Cafes
- Galleries
- or any other compact location.
Operating hours are permissible any day between 8.00am to 2.00am, but certain conditions may be subject to the approval of the license.
The Application Process for a Liquor Licence in South Australia
- Determine the Type of Licence: As outlined above, the first step is to decide on the type of licence
suitable for your business. - Application Preparation: Gather the necessary documents, such as your business plan, the proposed menu, a floor plan of your premises, and so on.
- Lodge Your Application: Submit the application along with the necessary documents and application fee to the CBS either online or by post.
- Application Review: CBS will review your application, which may involve inspecting your premises and assessing your suitability to hold a licence.
- Notification and Objections: Once the application is accepted, CBS will notify the community about your application. This provides an opportunity for any objections to be raised and considered.
- Final Decision: If there are no objections, or if objections are overcome, CBS will grant your licence.
Preparation to be granted a Liquor Licence.
Getting a liquor licence in South Australia may seem like a daunting task. However, with the right preparation and understanding of the process, you can navigate through it smoothly. Remember to maintain compliance with all regulations even after acquiring your license, as it helps in building a sustainable and reputable business in the long run.
Now that we have helped you understand how to get a liquor licence in South Australia, it’s your turn to get started. If you found this guide helpful, do share it with other aspiring business owners. Stay tuned for more informative posts.
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