How Much Does It Cost to Start a Liquor Store?
- Nate Jones, CPCU, ARM, CLCS, AU
- Oct 1
- 3 min read
Opening a liquor store can be a profitable and recession-resistant business—but it requires a significant upfront investment. From licensing and inventory to equipment and insurance, understanding the full scope of startup costs is essential for planning and success.
At Wexford Insurance, we specialize in helping liquor store owners protect their businesses with tailored insurance coverage. In this guide, we’ll break down the major expenses involved in starting a liquor store and offer tips to help you budget wisely.
Average Startup Cost Range
Most liquor store owners should expect to invest between $100,000 and $250,000 to get started. Smaller stores may launch with around $50,000, while larger or premium locations can exceed $500,000.
Key Startup Expenses Breakdown
1. Licensing and Permits
Liquor licenses vary dramatically by state and city. Costs range from $300 in South Dakota to $375,000 in California depending on demand, quotas, and license type.
2. Real Estate and Lease Costs
Retail space costs depend on location. Expect to pay:
$18–$30 per square foot annually for rent
$100–$500 per square foot for purchasing commercial property
3. Inventory Investment
Initial inventory costs range from $50,000 to $250,000, depending on store size and product mix. Premium liquor and wine selections require higher investment.
4. Store Renovation and Equipment
Renovation and setup costs include:
Shelving and refrigeration: $10,000–$50,000
POS systems and tech: $5,000–$15,000
Interior design and signage: $20,000–$100,000
5. Legal and Professional Fees
Budget $5,000–$15,000 for legal setup, accounting, and consulting services.
6. Marketing and Branding
Initial marketing costs for grand opening, signage, and promotions can range from $3,000 to $10,000.
Struggling to attract more customers to your liquor store?
Contractor Back Office is here to help you build a standout brand and boost your local visibility with smart marketing tools.
Our Services Include:
Website Design & Management – Showcase your products, promotions, and store info with a sleek, mobile-friendly site.
SEO Optimization – Get found when customers search for liquor, wine, or spirits near them.
Social Media Management – Share drink recipes, promotions, and engage your local audience.
Invoice Management– Simplify billing and track payments with ease.
CRM Management – Manage customer relationships and loyalty programs efficiently.
7. Working Capital
Set aside $30,000–$60,000 for operating expenses like payroll, utilities, and inventory restocking until your store becomes profitable.
Insurance Costs for Liquor Stores
Protecting your investment is essential. At Wexford Insurance, we recommend:
Final Thoughts
Starting a liquor store requires careful financial planning and a clear understanding of your local regulations. While the upfront costs can be substantial, the long-term profitability and stability of the alcohol retail industry make it a worthwhile investment.
At Wexford Insurance, we help liquor store owners protect their businesses from day one. Whether you're budgeting for startup costs or preparing to open your doors, our specialized insurance programs are designed for your success.
Ready to protect your liquor store?
Contact us today.
