Hard seltzer is booming in popularity! As a fairly new product category, many companies have questions about the types of licenses or permits required to produce or sell hard seltzer. In this article, Lindsey Zahn P.C. provides a clear summary of the federal permits typically needed for hard seltzer businesses.
What Type of Federal Permit Does My Hard Seltzer Company Need?
In almost every scenario, your hard seltzer business will require a federal basic permit from the Alcohol and Tobacco Tax and Trade Bureau (“TTB”). The specific permit depends on your business model, but generally, one of the following permits applies:
- Brewer’s Notice — This is the TTB’s manufacturing permit for beer production. Hard seltzer that is made from brewed sugar or clear malt is federally regulated as “beer,” regardless of its ingredients, under 27 CFR Part 25. A Brewer’s Notice allows the holder to produce and package hard seltzer made from brewed sugars or malt bases in the U.S.. Permit holders must file reports, including federal excise tax returns, label and formula approvals, and maintain proper books and records. Additional state permits may also be necessary, depending on location and operations.
- Wholesaler Permit — If your hard seltzer company does not manufacture the product but acts as a brand owner responsible for marketing, ingredient specifications, and pricing, a wholesaler permit may be appropriate. This permit allows the sale and distribution of the finished product. However, additional state licenses may be required to legally purchase, possess, or distribute alcohol in your state.
Do I Need a State License as a Hard Seltzer Producer or Brand Owner?
Most likely, yes. State licensing requirements vary significantly, depending on your state and your specific business model. Every hard seltzer operation is unique, so it is important to understand how your business will operate locally.
For guidance tailored to your specific situation, you may contact Lindsey Zahn P.C. for a courtesy consultation.
How Can Lindsey Zahn P.C. Assist Your Hard Seltzer Business?
At Lindsey Zahn P.C., we assist clients with federal and state alcohol permits and licensing to ensure compliance and smooth operations. Whether you need help obtaining a Brewer’s Notice, wholesaler permit, or navigating complex regulatory requirements, we are here to help you succeed. Contact us today for a consultation!