Do I Need a License or Certification to Operate a Winery Business?
- Nate Jones, CPCU, ARM, CLCS, AU
- Nov 10
- 2 min read
Starting a winery is an exciting venture, but before you pour your first glass, you need to understand the legal requirements. Operating a winery without the proper licenses and permits can lead to fines, shutdowns, or even the destruction of your wine inventory.
This guide explains the licenses, permits, and certifications you need—and why winery insurance is just as important for compliance and protection.
Why Licensing Matters
Licensing ensures your winery complies with federal, state, and local laws governing alcohol production and sales. It also protects consumers and helps you avoid costly penalties. Without the right permits, your business cannot legally produce, sell, or distribute wine.
Federal Licensing Requirements
At the federal level, wineries must obtain a permit from the Alcohol and Tobacco Tax and Trade Bureau (TTB) before producing wine for commercial purposes. This is called a Bonded Winery Permit, and it covers:
Wine production and storage
Labeling and compliance with the Federal Alcohol Administration Act
Excise tax obligations
You’ll need to submit:
TTB Form 5120.25 (Application to Establish and Operate Wine Premises)
Business entity documents
Signing authority forms
Read more: Visit TTB’s official permit page for details.
State and Local Permits
In addition to federal approval, states require their own licenses. For example:
Winegrower’s License (California Type 02) for production and direct-to-consumer sales
Seller’s Permit for retail operations
Local zoning and land-use permits for your facility
Each state has unique requirements, so check with your state alcohol beverage control agency.
Learn more: Explore California Wine Law regulations.
Health Permits for Tasting Rooms
If your winery offers food with tastings, you may need a health permit from your local health department. Requirements often include:
Food handler certification for staff
Compliance with sanitation standards
Facility inspections for food safety
Staff Certifications
While not always mandatory, training staff in wine service and food safety builds credibility and enhances customer experience. Consider:
Food Handler Certification (required if serving food)
Wine Education Programs for tasting room staff or sommeliers
Why Insurance Is Essential for Compliance
Many landlords and event venues require proof of insurance before signing leases or hosting events. Wexford Insurance offers coverage that supports compliance and protects your business:
General Liability Insurance: Covers customer injuries during tastings.
Commercial Property Insurance: Protects your building and inventory.
Equipment Insurance: Safeguards winemaking machinery.
Workers’ Compensation: Covers employee injuries.
Commercial Auto Insurance: Protects delivery vehicles.
Final Thoughts
Licensing and certification are critical steps in launching a winery. From federal permits to local health approvals, compliance ensures your business operates legally and safely. Pair these requirements with comprehensive insurance to protect your investment and build trust with customers and partners.
Ready to start your winery?
Contact Wexford Insurance today for expert guidance and customized coverage.
