A step-by-step guide to successfully transferring a liquor license in Michigan.
Understanding License Transfers
Transferring a liquor license in Michigan involves working with the Liquor Control Commission (MLCC). The process varies depending on whether you're transferring ownership, location, or both.
Types of Transfers
- Ownership Transfer – New owner takes over existing license at same location
- Location Transfer – Move license to new premises in same governmental unit
- Combined Transfer – New owner and new location
Step-by-Step Process
1. Due Diligence
Before purchasing, verify the license is in good standing, has no pending violations, and can be transferred to the new location.
2. Application Preparation
- Complete MLCC transfer application forms
- Gather financial statements and background information
- Obtain local government approval
- Prepare premises diagrams if changing location
3. Escrow Agreement
Most transfers require an escrow agreement protecting both buyer and seller until the transfer is approved.
4. MLCC Review
The Commission reviews applications, conducts background checks, and may schedule hearings. Timeline: 60-120 days typically.
5. Local Approval
Many municipalities require local approval before the MLCC will act on a transfer request.
Common Issues to Avoid
- Incomplete applications causing delays
- Background issues discovered late in process
- Location zoning conflicts
- Outstanding violations on the license
Planning a Liquor License Transfer?
Goldstein PLLC can guide you through the MLCC process and help avoid costly delays.
Schedule a Consultation