Grocery store liquor authorization (Ontario grocery store licence)

In Ontario, a food or convenience store that wants to sell alcohol needs its own licence from the AGCO. The AGCO describes two types for these stores, a convenience store licence and a grocery store licence. Each lets the holder sell beer, wine (including cider) and ready-to-drink products in a retail store that meets its eligibility requirements. Retail floor space and the share of that space used for food are among the tests the AGCO sets out.

What to confirm before closing

• The AGCO says the licence is issued for a specific store location, so confirm it covers the store being bought.
• The AGCO says a transfer is required if a different person wishes to acquire the licence, and that it can be transferred provided the regulatory requirements are met, subject to the AGCO’s approval.
• The AGCO says a licensee is not permitted to sell alcohol until it has purchased product through its business account with the LCBO, so ask where that account stands.
• Ask which licence type the store holds and whether the store still meets that type’s eligibility requirements.

The general rules are in can I transfer my liquor licence when I sell, and the wider idea is in liquor licence transfer.