Restro cum bar is a place which serves two facilities i.e. both as a restaurant and a bar. If you are planning to open a restro cum bar then it is very important to have an accurate plan and understanding of the business before venturing out into the restro cum bar industry.
Restro cum bar is certainly a financially rewarding business with high returns but it is equally important to qualify all the legal requirements before opening the same. Deciding on the investments, location, required workforce and the licenses needed for running a restro cum bar are the major steps towards venturing in this business.
What are the Types of Liquor Licenses required?
There are different types of licenses and the restro cum bar must ensure to obtain the license as according to their requirement:-
- L-1 license –wholesale supply of Indian liquor to other license holders.
- L-3 – hotels to provide guests with foreign liquor in their rooms.
- L-5 – hotels to serve liquor in bars in premises.
- L-7 Retail vend of Indian Liquor in private sector
- L-11 Retail vend of Beer, manufactured by Microbrewery
- L-19- registered clubs to serve foreign liquor.
- L-16 Service of Indian Liquor in a bar/restaurant attached to a hotel
- L-16F Service of Foreign Liquor in a bar/restaurant attached to hotel to the holders of licence in Form L-16
- L-17 Service of Indian Liquor in independent restaurant.
- L-18 Service of Indian wine/beer and alcopop in independent restaurant
- L-49A: serving liquor at marriages or parties in Delhi.
What are the Classes of Bar License?
- Tavern License: Place with 50% of their profits by sale of alcohol
- Beer and Wine License: restaurants and bars to sell milf liquor
- Restaurants License: Place with less than 40% of their profits
- Personal Bar license: – individuals sell alcohol on behalf of registered business.
Read our article:Overview on FSSAI License for Canteen in India
What are the Requirements to Open a Restro cum Bar?
It is necessary to decide the particular kind of restaurant cum bar the person plans to open. Once the format of the Restro cum bar is decided then you can consider other requirements as has been given below for opening a restro cum bar:-
For the restro cum bar, as because it has bar in it, it is very significant to decide on the location. The premises of the restro cum bar shall be located within a distance of 75 metres from the following, namely:
- Any industrial estate and other major construction site,
- Major educational institution
- Religious Places
- Hospitals and Nursing Homes with more than 50 beds; and
- Colonies of Labourers and harijans
Kitchen Equipment and Raw Materials
It is important to have the best quality equipments which works for a long term and saves cost in long run as they give high returns and speed. Besides the kitchen equipment the owner has to keep crockery’s and liquor storage containers.
The service area must not be too suffocating and the owner should be careful with the space because a restro cum bar will have people of both the categories i.e. one who prefers only food and the other one who will prefer having liquor and food.
License and Registration
As because it has both restaurant and bar, it requires more number of licenses, and approvals than any other restaurant takes. A minimum of eight essential licenses that are required for opening a restro cum bar is given below:-
The other licenses that are required for the restro cum bar is:
- Music License,
- Certificate of Environmental Clearance
An adequate amount of workforce is required for a smooth and proper functioning. Besides the chefs and helpers there has to be both the waiters and the bartenders in a restro cum bar.
A smartly dressed uniform for all the staff creates a good impression on the customers. They should be given their list of norms and conducts that shall be mandatorily followed by them.
It is important for the restro cum bar to have two separate menus for both the restaurant and the bar. Restaurant menu shall only cover the food available and the bar menu shall contain the liquors available in the restro cum bar.
It is really essential to plan the marketing strategy to attract more customers. Hence, besides a beautifully designed menu the restro cum bar should hang the board with the name and logo beautifully designed on it.
What Major Documents are required for Retro cum Bar?
There are some documents which are required to obtain the licenses required for running retro cum bar. But given below are the details of documents for obtaining three most important licenses:-
- FSSAI License – The FSSAI gives a unique 14-digit registration number that should be displayed on the food packages and at the entrance of the restro cum bar. The documents required to submit:-
- Applicant’s ID proof
- Address of the Applicant
- List of food categories
- Valid email id and Phone number
- Affidavit verifying all the information filled for applying is true and accurate.
- Declaration of a Food Safety Management Plan
- Kitchen schematic and layout
- ISI testing facility-approved water testing report
- No Objection Certificate given from the owners
- Employees Medical certificates
- Liquor License – the owner will have to apply for the liquor license and must contact Local Excise Commissioner. Since liquor laws differ from state to state, the owner will have to visit their own State’s Excise website to have an idea into the process. Running a restro cum bar without this license can direct the owner to pay huge penalty and shall cause a force shutdown of the business.
There is annual licensing fee depending on the location of the restaurant. Therefore, the owner should submit the following documents as given below to obtain this bar and Restaurant License cost:-
- Incorporation certificate or the Business registration document
- Proof of address of the business premises
- Completion certificate of the restaurant or bar
- Trade License
- GST registration (GSTIN)
- NOC (State Fire Department)
- Affidavit make sure the applicant has no outstanding dues or criminal times past
- Eating house license registration from the DCP
- Trade License – The Health and Trade license makes sure that that the restro cum bar follows the procedure as laid down by the Department of Health. The documents required for the same are:
- Proof of address of the business location
- NOC from landlord & copy of the rental agreement
- Site plan & the layout
- Indemnity bond worth Rs 100
- Water Testing Reports
- Proof of Sewer Connection
- Structural Stability Certificate
- Power and Water Bills
- Letter from police
- Lal Dora Certificate, if applicable
Similarly, there are various other licenses as given above which are required to continue with the restro cum bar business and hence the documents of the same shall be respectively submitted to obtain the licenses.
It’s requires more capital investment in the early stage but once it has settled and has fulfilled all the license requirements with proper documents submission then it will only give high profits in the business. Therefore, it is indispensable for the owner to be careful and fulfil all the legal requirements before running the restro cum bar business.
Read our article:A Complete Overview on Eligibility Criteria for FSSAI License