Council Approves Liquor License Conversion to Support Local Businesses

During this week's Council meeting, the Council approved the adoption of a local option for the City of Boston that would allow the conversion of certain liquor licenses. This move aims to help restaurants and small businesses expand and thrive by offering them a new pathway to upgrade their existing beer and wine licenses to full all-alcohol licenses.

Currently, Boston has approximately 375 beer and wine licenses held by restaurants and other businesses. Many have expressed interest in expanding their offerings to include cocktails and spirits, which often represent the highest-profit margin for restaurateurs. However, state law limits the number of all-alcohol licenses, making them difficult to obtain.

The new local option, enabled by a recent state law change, allows businesses with beer and wine licenses to apply to convert those licenses into non-transferable all-alcohol licenses. This upgrade would let restaurants serve a wider variety of alcoholic beverages, creating opportunities for increased revenue and long-term business growth.

The conversion process requires approval from both the City's Licensing Board and the Massachusetts Alcoholic Beverages Control Commission. Businesses must also demonstrate good standing with the state tax and unemployment agencies and pay a $470 fee. Importantly, these new licenses are non-transferable, meaning they cannot be sold or moved to other businesses, ensuring the city's total license count remains capped.

During a public hearing on September 22, key city officials, including Segun Idowu, Chief of Economic Opportunity and Inclusion, Kathleen Joyce, Executive Director of the Mayor's Office of Consumer Affairs and Licensing, and Danny Green, Executive Secretary of the Licensing Board, highlighted the benefits of the program. Small business owners who spoke at the hearing expressed support for the conversion option, noting that the ability to serve cocktails and spirits would significantly boost their competitiveness and profitability.

The Council's approval of the liquor license conversion builds on Boston's recent expansion of 225 new liquor licenses last year - the largest increase since Prohibition. The approval of these measures expand the tools available for Boston's neighborhood businesses, promotes economic opportunity for diverse entrepreneurs across the city, and supports the hospitality industry and economy for the benefit of everyone who lives in and visits the City.