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Sign Requirements When Applying for a Texas Liquor License

Anyone who intends to sell alcoholic beverages in the great state of Texas must understand and comply with a number of important laws. The Texas Alcoholic Beverage Commission requires the placement of visible signs at any establishment where liquor will be sold and/or consumed. A Houston liquor license service can help you to obtain the proper licenses for your business.

Types of Establishments that Require Alcohol Signage

Restaurant
According to Texas statutes, a restaurant is defined as any establishment where food and beverages are prepared and sold for on-site consumption or to be taken away and consumed at another location. Restaurants are additionally classified by a Limited or General designation. Only a Restaurant-General may legally obtain a Texas liquor license to sell alcoholic beverages. To qualify as a Restaurant-General, the establishment must derive a minimum of 51% of their gross sales from the sale of prepared comestibles.

Cocktail Lounge
Any establishment that sells wine, beer or cocktails to be consumed on-site is considered a cocktail lounge. Bowling alleys, dance halls, billiard and pool parlors and live music venues are also considered to be cocktail lounges in the eyes of the law, provided that alcoholic beverages account for at least 49% of their gross revenue.

Package Store
A package store is a physically discrete establishment where liquor may be legally sold but not consumed. A package store may sell other things in addition to alcohol, but must close their doors to business during times when alcohol may not be sold. The times when liquor may not be sold in a package store include Sundays, Christmas, New Years Day and Thanksgiving Day.

Sixty-Day Signage

The TABC may require you to post a sixty-day sign of public intention prior to or during the time you apply for your Texas alcoholic beverage license. If the same location has been licensed within the past two years, you may receive a waiver of this requirement.

Additional Signs You May Be Required to Post

A mandatory sixty-day sign where the public can read your intent to sell liquor is only the first of many signs you will need to know about. Depending on the type of establishment you operate, other signs may be required in order to obtain and keep a Texas liquor license.

Health Risk Warning Sign
Alcoholic beverages sold in the United States come with a warning on the label. Since you may be serving adult beverages without such a label, you may be required to post approved warning signs about the health dangers of drinking alcohol during pregnancy.

Public Information and Complaint Sign
If you own a bar, lounge or restaurant where alcohol is served, you will be required by law to visibly post a notice along with a phone number where a person can make a formal complaint about the alcoholic beverages or service provided by your business.

Weapons Warning Sign
If less than half of your gross revenue is derived from liquor sales, you will be required to post a sign that clearly states the following: “It is unlawful to carry a weapon on the premises unless the person is licensed to carry the weapon under the concealed handgun law.” If your liquor sales account for 51% or more of your gross revenue, the weapons sign you post will be superimposed with the notation that possessing a concealed weapon within your establishment constitutes a felony in the state of Texas.

If you have questions or would like to begin the application process for your Texas liquor license, A Houston liquor license service can answer your questions and help you to obtain the licenses needed for your type of business.




The Texas Liquor License Complaint Process and How to Avoid It

Maintaining a Texas alcoholic beverage license requires strict adherence to the regulations and requirements of the Texas Alcoholic Beverage Commission, more commonly referred to as TABC. Consumers can file complaints against restaurants, bars, stores and nightclubs that fail to comply with TABC rules. Common violations include the following:

  • The sale of alcoholic beverages to minors
  • Engaging in illegal activities that may include drug use, gambling or prostitution
  • Over-serving customers or selling alcohol to intoxicated patrons or customers
  • Selling alcohol without a TABC permit
  • Serving non-members with alcoholic beverages inside a private club

These violations can result in the loss of the Texas liquor license held by the individual or company. Depending on the severity and type of the offense, the individuals responsible may also face criminal prosecution for their actions.

Filing a Complaint with TABC

TABC offers residents of Texas a variety of ways to file a complaint against individuals and establishments that violate the agency’s regulations.

  • The TABC mobile application allows convenient access to the complaint center on the go. Designed to work with most Android smartphones, this app makes it easy to report violations quickly for the most effective response by the agency.
  • E-mail complaints can be submitted to complaints@tabc.state.tx.us for review by TABC staff members.
  • Residents and guests to the state of Texas can also fill out a form for mailing, faxing or personal delivery. The form is available in Microsoft Word or Adobe PDF for optimal convenience and compatibility.

The TABC website provides address and fax number information for those interested in filing a complaint. It also allows residents and guests to identify the closest TABC office for in-person delivery.

Making an Anonymous Complaint

In some cases, Texas residents and visitors may be intimidated or frightened to make a liquor license complaint against a particular individual or business. This is especially true for those employed by companies that violate liquor license regulations or for those who live in close proximity to these businesses. The repercussions to these whistle-blowers can be serious and may include the loss of their jobs or threats against themselves or their families. The TABC allows for anonymous complaints to provide added protection for these Texas residents and advises those who wish to remain anonymous to provide only their personal email address to the agency. Personal email addresses are considered confidential under the Public Information Act and will not be released to the public upon request.

Staying on the Right Side of the Law

Texas establishments must maintain their liquor license in good standing to sell alcoholic beverages within the state. These bars, restaurants and stores can promote compliance with TABC regulations in a number of ways:

  • Educating servers and cashiers regarding potential violations of the liquor license code, including over-serving customers and setting a cut-off point for patrons in the restaurant and bar environment
  • Requiring identification from all customers who appear to be under the age of 30 to prevent the sale of alcohol to minors
  • Maintaining a clean and legal environment throughout the store or establishment premises to avoid legal entanglements and ensure full compliance with TABC rules
  • If complaints do occur, resolving them quickly and effectively is the best way to retain the right to sell alcoholic beverages in the state of Texas.

Working with a professional Houston liquor license service can provide added help for restaurants, bars, nightclubs and stores that sell alcoholic beverages in Texas. These experienced consultants can offer assistance in setting up employee training plans, establishing ground rules and navigating the liquor license permit process. By enlisting the help of these knowledgeable professionals, businesses in Houston and the surrounding communities can ensure full compliance with TABC and can avoid the stress and inconvenience of complaints against their establishments.




TABC Alcohol Management Awareness Program for Retailers

The ability to serve alcohol in Texas is a privilege, so every alcohol retailer must obtain the appropriate Texas liquor license. The problem is that there are city, county, state and federal licenses and permits, and you may not know which ones you need.

This entire process will be much easier for you if you do not try to take care of this yourself. A Houston liquor license service will take you by the hand from the beginning and remain with you until the process is completed. This type of business will ensure that you perform every step correctly so that this course of action takes the least amount of time possible. This service can also help you renew your Houston liquor license, so your business will always be in compliance with the law.

The Texas Alcoholic Beverage Commission

Alcohol retailers suffer serious consequences when an intoxicated patron or minor injures them self or others after leaving the establishment’s premises. The Texas Alcoholic Beverage Commission (TABC) wanted to reduce the chances that these unfortunate incidents would occur, so they created the “TABC Manager’s Awareness Program.” This program is meant to be a roadmap that helps managers voluntarily comply with the “Texas Alcoholic Beverage Code.”

The Texas Alcoholic Beverage Code

Under the Texas Alcoholic Beverage Code, servers and sellers are required to refuse to serve alcoholic beverages to obviously intoxicated adults and anyone under the age of 21. The code also requires servers and sellers to take things a step further. They must keep a minor from drinking while on the premises, and they must also keep patrons from consuming alcoholic beverages until they are intoxicated. If they are already drunk, the wait staff must stop serving these customers.

Failure to Comply with the Code

Those who fail to follow the Texas Alcoholic Beverage Code’s rules will suffer criminal penalties. A sale to a minor can possibly result in some or all of the following:

  • Being charged with a class A misdemeanor
  • Receiving a fine as high as $4,000
  • Receiving a jail sentence of no longer than one year

A sale to an intoxicated customer may result in some or all of the following:

  • Being charged with a misdemeanor
  • Receiving a fine between $100 and $500
  • Receiving a jail sentence of no longer than one year

A retailer who sells alcohol to a minor or someone who is inebriated will also receive administrative penalties that include a fine and the possibility of losing their sales permit.

The Manager’s Awareness Program

The two-hour Manager’s Awareness Program was designed to instruct managers on how to teach their employees to promote responsible alcohol sales. For example, managers learn about the laws related to serving alcohol to minors and intoxicated adults. They find out how they can be found liable for the injuries that these people cause once they have left the retail establishment. They also discover how to determine when an ID is fake or altered.

The Responsibilities of a Manger

A manager has many responsibilities, and the Manager’s Awareness Program illuminates each one so that retailers that sell alcohol can remain on the right side of the law. For example, managers are required to do the following:

  • Ensure that employees are following the rules and regulations
  • Provide continuous education for servers about responsible alcohol sales
  • Create responsible policies and procedures for the service of alcoholic beverages
  • Teach employees how to intervene with inebriated customers
  • Assure employees that if they refuse to sell alcohol to a patron, they will never be disciplined for this action
  • Ensure that everyone knows the rules for checking IDs

After attending the Manager’s Awareness Program, each individual manager will be able to create policies and guidelines for their businesses that will fit their specific needs.




Responsibilities and Risks of Selling Alcoholic Beverages in Texas

Owning an establishment that sells alcoholic beverages in Texas is a serious responsibility. As an alcohol retailer, manufacturer, wholesaler or importer, you will be required to obtain or renew your licenses on the federal, state, city or county level. You may also be obligated to carry permits. These requirements might seem daunting and exhaustive to you, but there are Texas license services to help you navigate through the entire process without suffering any missteps.

The Definition of the “Dram Shop”

An enterprise that has a Texas beer license or other alcoholic beverage license has extra liability issues that other retailers and business owners do not have. This is because a business that sells alcoholic beverages is considered to be a “dram shop” and is subject to dram shop laws. A dram shop is any retail business that makes alcoholic beverages available for sale to customers for consumption on the premises. Dram shop laws give responsibility to the owners of bars and restaurants for injuries suffered by patrons who had too much to drink.

An Example

A customer enters a restaurant and has several drinks. The employees and other customers notice that this particular person is drunk. The intoxicated patron leaves the restaurant intending to drive home but is injured in a collision. In this scenario, the restaurant’s owner may be found liable for the inebriated customer’s injuries or any injuries the customer caused.

In the example stated above, the plaintiff would need to prove at least two things before the restaurant’s owners can be found liable in the incident, and they are the following:

  • The wait staff continued to serve the patron alcohol even though he or she was very clearly intoxicated
  • The fact that the patron was served alcohol directly led to the injuries he or she suffered or caused

The Alcoholic Beverage Code of Texas

In Texas, the Alcoholic Beverage Code states that bars and restaurants that serve alcohol to obviously intoxicated customers may be liable for injuries. Customers who are injured in accidents after leaving a bar or restaurant can sue the establishment that served them alcohol while they were drunk, but they will have to demonstrate that it was evident that they were a danger to themselves or other people when the alcohol was sold. Minors who were inebriated when they were sold alcoholic beverages are also entitled to sue a bar or restaurant for their injuries under the Texas dram shop law.

Strict Liability

In most states, people wishing to sue bar or restaurant owners under dram shop laws must only demonstrate that they were served alcohol while they were intoxicated. Then, the establishment’s owners will be subject to strict liability. Strict liability means that the owners are “absolutely liable” for any injuries suffered. In Texas, it is different because a drinking establishment’s owners cannot be found automatically liable for injuries.

The Difference in Texas

If you have a Texas alcoholic beverage license and a patron sues you for their injuries, you will only be responsible for the portion that the jury assigns to you. For example, a Texas jury can determine that you are only liable if you are more than 50 percent responsible for the customer’s injuries. This means that the jury can decide that the driver is responsible for their injuries because they made the decision to drive after consuming alcohol.

Texas courts do not take these matters lightly, and they investigate them very thoroughly in order to assign the correct amount of blame to each individual party. Both the plaintiff and the defendant have the right to retain their own attorneys and hire experts who can demonstrate that one side or the other deserves the majority of the blame.




The Gross Profits Margin for Restaurant Liquor Sales

Restaurant owners can be assured of increasing their gross profits margins when they become licensed to sell liquor. Nightclub and Bar Magazine conducted a survey in Chicago, and the researchers learned that alcoholic drinks amounted to 14.4 percent of bar and restaurant sales. If you do not have a Texas beer license or other state required liquor licenses, you may want to start the process of obtaining them through a Texas license services company to increase the profitability of your establishment.

The Gross Profits Margin

You can discover how much money you are earning from liquor sales by determining the product’s gross profits margin. The gross margin is a highly useful figure for business owners because it tells them how much profit they are earning from each particular product.

Cost of Goods and Net Sales

Learning the gross margin for liquor sales is simple. You will need to know how much it will cost to obtain the beverages you plan to sell. This figure is called the “cost of goods.” You also need to calculate “net sales.” You arrive at this figure by tallying how much your patrons spend on their beverages. If you offer any discounts, subtract this amount from prices paid, and you will have the net sales amount.

Calculating the Gross Margin

After you have the numbers described above, you can determine the gross margin. Take net sales and subtract the cost of goods. Then, you can convert the whole number into a percentage by dividing it by net sales.

An Example

With the purchase of one keg of beer for about $100, you have enough beer to offer patrons 165 12-ounce servings or 124 16-ounce servings. At $4 a glass, the amount paid for beverages will be between $490 and $660. After using the formulas described above, you will find that the profit margin is equal to 500 percent.

Increased Competition

Although liquor sales have offered bar and restaurant owners large profits in the past, industry experts are expecting these profits to slow down in the next couple of years. More people are expected to purchase their alcoholic beverages from bars and restaurants, but researchers from IBISWorld believe that this increased competition is going to decrease each individual establishment’s profit margin.

Increasing Your Gross Profits Margin

You can increase your ability to realize a higher gross profits margin for liquor sales by investing in mobile point-of-sale (POS) systems. POS systems serve two purposes. They make it easier for your servers to sell the product, and they store data you need to calculate your gross profits margin.

Servers Remain at the Table

People often want to know how POS systems allow servers to increase liquor sales. Because servers can remain at the tables at the same time that they place an order, servers can continue to engage with the customers and sell more of the product.

Detailed Information Is Collected

A POS system tells you very detailed information that can help you stage your restaurant or bar more effectively. For example, with a POS system, you will be able to determine when people purchase more wine, beer or spirits throughout the day and plan accordingly.

You Know When Inventory Is Low

With a POS system, you will know in real time when your inventory is low. Then, you can re-order the product you need directly from the system. It can even figure waste loss percentages and waste loss variance so that you can manage loss.

Texas License Services

In order to obtain a Texas liquor license, you will need to meet the states qualifications. After being approved, you will be required to follow the state’s rules and regulations, and you will have to renew the license in the future. This does not have to be difficult because Texas license services can handle the entire process so you can focus on running your business.




Premium Alcoholic Beverages Increase On-Premise Sales

A restaurant or a bar that does not have a Texas beer license is leaving a great deal of money on the table. You may have neglected to obtain this essential document because the process is difficult, but Texas license services can help you secure the license and permits that you need. Before you apply for your Texas alcoholic beverage license, contact an alcoholic beverage licensing service to help you identify what licenses and permits will be needed for your business and to make the filing process easier.

Technomic’s 2013 BarTAB Report

Technomic, Inc. is a consulting firm that performs research on trends in the food industry. This Chicago-based research firm released its 2013 BarTAB Report last year in which the company outlined several interesting findings. One is the fact that more people are buying premium spirits and beers in on-premise restaurants and bars.

As the economy recovers, people continue to spend their money very carefully. However, they are purchasing more expensive beverages in current days than they have in the past. Technomic discovered this trend in 2012 when its researchers learned that the on-premise channel grew to 1.9 billion gallons of alcohol. Sales also increased by 3.5 percent to reach $97.3 billion. For 2013 and 2014, researchers predicted that the amount of alcohol that people consume would decline, but they also believed that the amount of money spent on alcoholic beverages would continue to grow.

An Explanation for Opposing Trends

Technomic’s director of research Eric Schmidt explained how volume could decrease but the amount of money spent on alcoholic beverages could increase. He states that people are taking fewer trips to bars and restaurants because they are spending conservatively. At the same time, they are interested in experiencing more sophisticated flavors, and this requires that they seek more expensive drinking choices. Some of these more expensive choices include craft beer, imported vodka and single-malt Scotch.

Technomic explained the trends another way. In the report, researchers stated that half of the sales of alcoholic beverages transpired in the on-premise channel. It also stated that one-quarter of the volume was consumed in bars and restaurants. Furthermore, Technomic researchers found that beer tops the category of the drink that is chosen most often by bar and restaurant patrons. It is also the beverage that earns the most money. In 2011, beer consumption decreased, but by 2012, this beverage started to make a comeback. However, it appears to be limited to certain types because in 2013, sales for major domestic beers continued to decline.

The Competition between Spirits, Beer and Wine

Beer has been doing very well recently, but spirits have been showing even greater improvement in bars and restaurants. In 2012, sales of spirits grew faster than any other beverage. Volume increased by 1.9 percent, and the amount sold in dollars increased by 5.6 percent. Technomic researchers believed that sales of spirits would be flat at the end of 2013. They also noted that sales of several high-end beverages are continuing to increase. Overall, wine sales are declining, except for one segment. Domestic table wine continues to be very popular, and more people are purchasing and drinking these wines on an increasing basis.

According to Technomic, whiskey categories collectively outperformed non-whiskey categorieswhen people make their way into bars and restaurants, and this appears to be due to the choices of the millennial generation. Specifically, this population is choosing between spirits and craft beers when they go out because they are seeking a particular flavor, or they are celebrating an occasion. In other words, they are not married to any particular type of drink, so they have a wide array of options open to them. As time marches on, they will continue to be the impetus of the major trends in the beverage industry.




Changes To The Texas Mixed Beverage Tax Surety Bond

If you have a Texas alcoholic beverage license, it is important for you to know about changes to the Texas’ mixed beverage tax laws. Now that House Bill 3572 is in full effect, you will be paying a much lower mixed beverage gross receipts tax rate. Before January 1 of this year, the rate was 14 percent. Now, it is only 6.7 percent.

The Mixed Beverage Sales Tax

Although the mixed beverage gross receipts tax rate has declined, the new legislation adds another tax: the 8.25 percent mixed beverage sales tax. This tax applies to mixed beverages, including the wine, ale, beer and distilled spirits that you sell, prepare or serve in your establishment. It also includes any non-alcoholic beverages that you mix with alcoholic beverages that will be consumed at your place of business. Lastly, it applies to the ice that is used to make alcoholic beverages that customers drink on the premises.

The Mixed Beverage Sales Tax Surety Bond

Before this new law went into effect, proprietors with a Texas beer license only had to post a mixed beverage gross receipts tax surety bond in the amount of $7,500. Currently, you must continue to post the aforementioned bond, but you are required to post the mixed beverage sales tax surety bond as well.

The exact amount of these bonds is going to depend on your individual tax filing. After this initial number has been calculated, officials will figure the final amount by taking your personal credit score and other financial considerations into account.

Passing the Cost onto Your Customers

You will not be permitted to pass the mixed beverage gross receipts tax onto your customers. However, you will be able to add the mixed beverage sales tax to your customers’ bills. You can do this legally in only two ways:

  1. Add a line item to the customer’s bill that specifically outlines this tax.
  2. Include the mixed beverage sales tax in the beverage’s price.

Informing Your Customers in Writing

If you select option number two, you must let your customers know in writing that the sales price includes the mixed beverage sales tax. You can do this by printing this information on invoices, bills or receipts in the following manner:

  1. State that the mixed beverage sales tax was included in the beverage’s price.
  2. List the amount of the mixed beverage sales tax for each beverage.
  3. List the combined amount of mixed beverage sales taxes that were charged for each beverage.
  4. List the combined amount of mixed beverage sales taxes and ordinary sales taxes charged for each beverage.

When Are These Taxes Due?

When you owe these taxes will depend on how much you owe. For example, if the calculated amount comes to more than $500 in one month or more than $1,500 in one quarter, then you owe these taxes on a monthly basis. If the amount is less than $500 a month or less than $1,500 a quarter, you will need to pay these taxes quarterly.

How to File Mixed Beverage Sales Taxes

How you file your mixed beverage sales taxes will be dependent upon the amount you owed during the last fiscal year. If at that time you paid taxes that amounted to less than $10,000, you can file and pay your taxes in any manner you see fit. You can file electronically or by paper if you paid between $10,000 and $49,999 in taxes. If your tax bill amounted to more than $50,000, you must file electronically.

If you need further help, an official with a Texas license services company will be able to assist you.




The Revenue Benefits of Selling Alcoholic Beverages in Texas

Across the United States, alcoholic beverages represent a big, lucrative slice of the revenue pie for untold thousands of restaurant, bar, hotel and store owners. Total U.S. alcohol sales approach $100 billion per year, and restaurants with a Texas liquor license can earn up to 70 percent or more of their income from sales of beer, wine, spirits and mixed drinks.

In most of Texas, the story is much the same. On a per-capita basis, Texans do not drink quite as much as their counterparts in northern states like Wisconsin, but local consumption statistics are still pretty impressive. According to recently available data, the average Texan drinks nearly 25 gallons of beer and more than one gallon of 80-proof liquor – the equivalent of nearly 100 shots or mixed drinks – per year. Wine continues to be a popular choice for a wide swathe of the drinking population as well.

A Closer Look at the Geography of Alcohol Sales in Texas

The Texas Alcoholic Beverage Commission keeps close track of where and how alcohol is sold across the state. Unsurprisingly, Texas’s biggest counties – Harris, Travis, Dallas, Tarrant and Bexar – accounted for a huge share of the state’s alcohol revenue. It helps that these places boast stadiums, universities, entertainment venues and other traditional draws for merry-making tourists and locals who look forward to a night out on the town. On a per-capita basis, Austin and the rest of Travis County – home of the University of Texas and the undisputed live-music capital of the state – do better than any other part of Texas.

That said, retailers, restaurateurs and bar owners without easy access to entertainment venues or student populations can easily leverage a Texas beer license to boost their bottom lines. In rural and suburban areas, establishments that serve alcoholic beverages on-premises persist at far lower densities than in established urban centers with robust nightlife cultures. This creates opportunities for retailers who sell bottled alcoholic beverages for off-premises consumption as well as restaurant and bar owners who have yet to tap into this lucrative slice of the market.

Consumption Habits Throughout the Year

Even in areas far from sporting venues or nightlife districts, both off-license retailers and on-premises licensees that take advantage of Texas license services can benefit from special events and holidays that are traditionally associated with alcohol consumption. For instance, fall weekends find collegiate and professional football fans connecting with their favorite teams over alcoholic beverages. Some holidays, including Cinco de Mayo and the Fourth of July, are closely associated with the consumption of specific beverage brands. Others, including Thanksgiving and Christmas, are noted for the consumption of a wide variety of alcoholic beverages. During the holiday season, consumers are often willing to pay a premium for high-end brands of wine, spirits and even beer.

The fact that specific types of alcohol are associated with specific times of year is a powerful argument for alcohol sales at restaurants, retail outlets and other venues. During the warm months, savvy operators draw buyers’ attention to refreshing, often cold beverages like light beer, white wine and wine coolers. During the cool months, red wines, spirits and dark beers might be emphasized. The holiday season brings a range of specialty drinks, including eggnog and spiced beers.

A Recession-Proof Business

Although Texas’s economy has weathered the recent turmoil better than most, local business owners always have to worry about unexpected shocks or slowdowns. Fortunately, alcoholic beverages are a recession-proof source of revenue for thousands of retailers, bar owners, hoteliers and restaurateurs across the state. For many reasons, sales of alcohol remain steady or even increase during periods of economic weakness. Due to their ability to offer a lower cost per drink, owners of liquor stores and other off-license sellers do particularly well during soft periods.

Overall, there are several clear revenue benefits of selling alcoholic beverages in Texas. From small-town restaurant owners to big-city event promoters, the state’s business owners are taking advantage.




Responsible Service and Sale of Alcoholic Beverages in Texas

Restaurants, bars and other retail businesses that serve or sell alcoholic beverages in the state of Texas are required to adhere to the regulations and guidelines set forth by the Texas Alcoholic Beverage Commission (TABC). These rules are intended to protect the welfare of customers and to ensure improved public safety for all residents. Companies that require a Texas liquor license to conduct their business operations must maintain compliance with all state regulations regarding the distribution and sale of alcohol to adults and to minors. Understanding the applicable rules and recommended best practices can ensure that dining and drinking establishments remain in compliance with these regulations and can obtain/retain their Texas alcoholic beverage license.

Responsible Practices

Texas bartenders and wait staff are required to maintain responsible practices and to exercise good judgment when serving alcohol to their customers:

  • Serving alcoholic beverages to minors is strictly prohibited and can result in a one-year jail term, a $4,000 fine or both. When the age of the customer is in question, servers and bartenders are required to obtain positive verification that the individual is over 21 years of age before he or she is served alcoholic beverages. Training programs are available to help wait staff identify likely underage drinkers and to spot the signs of alcohol use in patrons of the drinking establishment. Promotional activities and campaigns should be carefully constructed to avoid targeting underage individuals.
  • Marketing campaigns designed to promote overindulgence in alcoholic beverages may also be violations of TABC regulations. Specifically, campaigns that promote irresponsible drinking practices or that encourage drinking to the point of intoxication are prohibited. These include two-for-one promotions, coupons and incentives for purchasing alcohol but do not include reduced prices and discounts on single drinks or individual containers of alcoholic beverages. Texas law holds bars, taverns and other retail establishments responsible for alcohol consumption that occurs on their premises.
  • Bartenders and servers are required to monitor the alcohol consumption of their customers and to take steps to cut off patrons who have overindulged or who may overindulge if allowed to continue drinking. Similarly, customers are limited to two or fewer drinks at any given time. Groups may be served pitchers, bottles or larger containers of alcoholic beverages to share. Servers must exercise care, however, to ensure that guests do not consume too much in these situations. Additionally, liquor served to customers in open containers cannot be saved for resale or given to customers to take home; it must instead be destroyed by the retail establishment.
  • Retailers, servers and bartenders are subject to charges of criminal negligence if they knowingly serve alcoholic beverages to individuals who are classed as insane or as habitual drunkards. First offenses are classed as misdemeanors and are subject to fines of between $100 and $500 and jail time of one year or less. Repeated offenses can result in fines of up to $1,000 and as much as one year in jail.
  • The display of lewd, immoral or indecent pictures on cards, calendars, posters and other printed materials is prohibited in establishments that currently hold or are applying for a Texas beer license.
  • Falsifying a sworn application for a Texas liquor license is punishable by prison terms of two to 10 years.

The TABC offers a great deal of informational material for retail establishments interested in applying for licensing to serve alcoholic beverages in Texas. By familiarizing themselves with the regulations and provisions of Texas liquor laws, owners of these retail companies can significantly increase their chances of success in obtaining the necessary permits and licenses to carry out their business plans.

Restaurant managers, bar owners and retail outlets can often benefit by seeking the assistance of a professional and experienced firm in navigating the application process and obtaining a Texas alcoholic beverage license. By working with these experts, retailers can avoid unexpected obstacles and can achieve their goals more quickly and effectively in the current regulatory environment.




How to Responsibly Serve Alcohol at Your Restaurant

Serving alcohol at your Houston restaurant has a lot of advantages. Not only can it add to a fun atmosphere and provide your client base with what it wants, but it can also make you a lot of money. On the flip side, serving alcoholic beverages comes with its own set of responsibilities, and failing to serve alcohol responsibly could result in fines, the loss of your Texas beer license, lawsuits and more. Fortunately, following a few tips can help ensure that the fun goes on for everyone who is involved without any major problems popping up.

Follow the Law

First of all, you should make sure to know all of the laws in your area in regards to holding an alcoholic beverage license. Do your research, and make sure that you obtain your license through a reputable company that offers license services. Also, make sure that you periodically do your research to stay abreast of current Texas alcohol laws after you have initially gotten your license. Along with understanding the laws that you are expected to follow as a business owner who serves alcohol within your restaurant, it is also important to learn the laws that your patrons are expected to uphold.

Check IDs

The first and most crucial aspect of serving alcohol responsibly is learning how to check IDs. No matter how convincing a customer might seem, you should check the identification card of anyone who looks younger than 30 years old unless you know for a fact that the person is old enough to consume alcohol.

When checking IDs, make sure that you always keep an eye out for fakes. The ID card should have all of the state seals and holograms on it, and you should check carefully for any alterations or modifications.

Along with making sure that the ID is valid, you should also ensure that the ID actually belongs to the person who is carrying it. Make sure to compare the picture to the face of the customer, and look for a valid signature and date of birth.

One option is to invest in an electronic scanner that checks ID cards. Although these can be a bit costly, they are often worth the cost and can save a lot of headaches.

Maintain Responsible Serving Practices

Remember responsible serving practices at all times, and make sure that your employees are trained in them as well. If someone seems too intoxicated, do not be afraid to cut them off; also, make sure to log your refusals for future reference. It is also a good idea to offer inebriated customers a few glasses of water or a food menu. If someone seems to be getting too intoxicated too quickly, you should consider a “resting period” before serving more drinks, and it is best to err on the side of caution when gauging a customer’s condition.

Do Not Be Afraid to Refuse

As a restaurant owner, you have the right to refuse to serve alcohol to anyone for any reason. If you think that the person’s ID might not be legitimate or if you think someone has had too much to drink, you should not be afraid to say no. Instead, offer water or other non-alcoholic beverages, and invite the customer to order from your menu. If the person becomes hostile, it might be a good time to ask him or her to leave.

Although all of the responsibilities of serving alcohol responsibly might not be fun, it is essential to be careful. By doing so, you can help protect your business and ensure that those who are old enough and who drink responsibly are able to have a good time at your place of business.