On June 21st, 2022, Florida’s Division of Alcoholic Beverages and Tobacco (DABT) held a public drawing for the 2021 Quota Alcoholic Beverage License Entry Period. Hopeful individuals entered the drawing back in August of 2021 for a chance to win a coveted quota license within 27 Florida counties.
The division has now posted the results of the drawing, awarding 49 quota licenses to winners throughout the state. Quota licenses are distributed according to increases in county population data, issuing one license per 7,500 county residents.
What now?
Now that the winners have been notified, they have 45 days from the date the noticed was mailed to file their application and complete any other necessary requirements. If the DABT finds them qualified, they will then issue the quota license. Winners can then use the license themselves or choose to sell it. Quota licenses allow businesses to sell beer, wine and spirits and are the required license for bars and nightclubs that sell liquor without food.
Selling a quota license
There are only two ways to obtain a quota license:
- Entering the annual public drawing; or
- Buying an existing license.
Because quota licenses are continually in high demand, selling a quota license might be an enticing idea. To purchase a quota license, Florida’s Department of Business & Professional Regulation (DBPR) states there is a one-time Hughes Act fee of $10,750, in addition to the annual license fee.
The prices of quota licenses on the open market, however, are not pre-determined by the state and are instead set by supply and demand within the county. Prices can vary greatly and because of the various fees and legal paperwork involved, both parties may want to consider the help of an attorney well-versed in alcoholic beverage law.
Entering the 2022 public drawing
For those who did not have the good fortune of winning the 2021 lottery, another chance is just around the corner. The 2022 entry period will open up on August 15th, 2022.