Skip to main content
Stock or Membership Interest Transfer

Stock or Membership Interest Transfer

Transfer of Interest in a Liquor License Requirements & General Information

    The stockholders of a corporation, members of a limited liability company (LLC), and partners of a limited partnership may transfer their interest in a retail liquor license to other approved stockholders, members, or partners.  All transfers of interest in a retail liquor license must be reported to the Commission and any transfers of interest that exceed 10% of the interest must be approved by the Commission.

Required Forms, Fees, and Documents

    An applicant requesting to transfer stock, membership, or partnership interest in a liquor license must submit the following:

Required Forms

Inspection Fee

A $70.00 nonrefundable inspection fee is required for each license requested in an application.  For example, if a licensee has requested to transfer interest in a Class C license that holds a Specially Designated Merchant license, the inspection fee would be $140.00; or if a licensee holds Micro Brewer, Small Distiller, and Small Wine Maker licenses together at the same location, the inspection fee would be $210.

License & Permit Fees

Pursuant to MCL 436.1529(3), transfers of interest in licenses require the payment of the licensing and permit fees that correspond to the types of licenses and permits held by the licensee, except for the following transfers of interest in a license may be exempt from transfer fees pursuant to MCL 436.1529(3):

  • Less than 50% of the interest is being transferred.
  • The interest of a deceased stockholder, member, or partner is being transferred to his or her spouse or children.
  • The removal of a stockholder, member, or partner of a licensed company, a corporate stock split, or stock or membership redemption.
  • Transfer of interest of an existing stockholder, member, or partner where a spouse, son, daughter, or parent is added as a stockholder, member, or partner.

Other transfers of interest in liquor licenses require the payment of the licensing and permit fees that correspond to the types of licenses and permits held by the licensee.

Livescan Fingerprints

Applicants that are not currently licensed through the Michigan Liquor Control Commission and will hold 10% or more interest in a liquor license must be fingerprinted.  After reviewing your application, the MLCC will provide you with a copy of the Livescan Fingerprint Background Request (LCC-105) form that you will need when you are fingerprinted by a Livescan Agency.

Purchase Agreement/Conveyance Document

  • Applicants requesting to transfer interest in a retail license from another licensee must submit an executed purchase agreement or another conveyance document (e.g. gift affidavit, redemption agreement, assignment agreement) signed by both the applicant and the current licensee, which details the transfer of interest in the license.
  • Purchase agreements or other conveyance documents must specifically indicate the amount of interest being transferred and provide the purchase price and terms of the transaction.
  • Applicants may also use Part 3 of the License Interest Transfer Application (LCC-101) in lieu of a purchase agreement for simple transactions.

Licensing Process

  • The Licensing Division reviews the application and corresponding documents for completeness and verifies the appropriate fees have been received. If additional documents, fees, or corrections to documents are needed, Licensing will notify the applicant.
  • Once all the necessary documents have been received Licensing will submit the request to the Enforcement Division for its investigation. If an applicant has applied for and meets the requirements for a conditional license, the request will be considered by the Commission
  • The Enforcement Division will contact the applicant to schedule an interview with the applicant (and current licensee for license transfers). At this meeting an investigator will review with the applicant documents, including:
  • purchase agreement
  • financial documents
  • property documents
  • other items pertaining to the application
  • After the interview, the investigator will prepare a report for the Commission regarding the investigation and submit the request back to Licensing for further processing.
  • Licensing reviews the report from Enforcement and any additional documents received during the interview process. The request is prepared for the Commission to consider and placed on a docket for an upcoming licensing meeting.
  • The Commission considers the request, including:
  • the liquor license operating history of the applicant (if a current or prior licensee)
  • the arrest and conviction record of the applicant
  • whether the applicant meets the requirements for a license
  • the applicant's financial information
  • opinions of the local legislative body or police department, if received.
  • The Commission will approve or deny the request based on these factors. Occasionally, the Commission will request more information from the applicant before making a final decision.
  • After the Commission makes a decision on the request, the file is returned to Licensing for final processing.
  • Approval orders are sent to the applicant requesting any final items before the issuance of the license.
  • Denial orders are sent to the applicant and the applicant may appeal the decision.
  • When all the final items are received by Licensing, the completed request is forwarded to the Renewal Unit for the issuance of the physical license documents. Any changes in financial provisions at the time of closing which do not conform to the terms previously indicated and investigated may require submission of new forms and possible additional investigation.