Tap handles and amber glassware on a polished bar, How to Start a Brewery, Winery or Distillery in South Carolina

How to Start a Brewery, Winery or Distillery in South Carolina

How to Start a Brewery, Winery or Distillery in South Carolina

Starting a brewery, winery or distillery in South Carolina takes more paperwork than most small businesses, and the order you do it in matters. The federal government issues your production permit, the South Carolina Department of Revenue (SCDOR) issues your alcohol beverage license, and your city or county controls where you can operate and which local business license you need. Skip a step or do them out of order and you can lose months or pay for a space you cannot open in.

This guide covers the four license types most producers choose from: the brewery license, the brewpub license, the domestic farm winery license and the micro-distillery license. Use it as a planning map. This is informational content, not legal or tax advice. Alcohol law is detailed and changes over time, so confirm every requirement with the agency named in each step, and talk to an alcohol beverage attorney and a CPA before you sign a lease or buy equipment.

What You Need Before You File

Gather these items before you start the applications. Most of them are needed at more than one step.

  • A written business plan with a realistic production estimate. Your planned volume decides which license fits, so do this first.
  • A target address and confirmation that the zoning allows alcohol production and, if you plan one, on-site sales.
  • Your exact legal entity name, a South Carolina registered agent, and a principal office address.
  • A federal Employer Identification Number (EIN) from the IRS.
  • Personal information for every owner, officer and manager, since state and federal applications ask for it.
  • Your product list, recipes or formulas, and label drafts for each product you plan to sell.
  • Working capital for filing fees, equipment, build-out, insurance, and inspections. Ask each agency and your locality for current costs, because this guide only lists the state fees that are verified.

Step 1: Choose the Right License Type

South Carolina issues alcohol beverage licenses through the SCDOR. Each license has a filing fee and a license fee, and each one limits what you can sell and how. The licenses are biennial, meaning they cover two years, and they are prorated.

LicenseSCDOR codeFiling feeLicense feeKey limits
BreweryPWY$300$400On-site sales in conjunction with a tour. Up to 864 fl oz of beer per day to customers to go.
BrewpubPBB$300$2,200Up to 2,000 barrels a year sold on the premises.
Domestic farm wineryPDW$300$400At least 60% of juice must come from South Carolina grown grapes or fruit.
Micro-distilleryPMD$200$5,200Up to 125,000 cases a year. Tastings only with a paid tour, up to 4.5 oz per person per day. Retail sales up to the equivalent of six 750 ml bottles per person per day. Tastings and sales Monday to Saturday, 9 a.m. to 7 p.m.

For a standard federal brewery that sells mainly through distributors, the brewery license is the usual starting point. If you want a kitchen and beer sold by the glass on the premises at higher volume, look at the brewpub license. A farm winery depends on using South Carolina fruit, so confirm your sourcing plan before you commit. A micro-distillery is limited mainly by its tasting and sales rules, which apply under S.C. Code Sections 61-6-1140 and 61-6-1150. Read those sections on the statute site before you design your tasting room or retail plan, because the limits shape your floor plan and revenue model.

Step 2: Form Your Business Entity With the Secretary of State

Form your entity before you file the federal and state alcohol applications, because those applications need your exact legal name. You can form a limited liability company (LLC) or a corporation. Sole proprietors and general partnerships do not file organizing documents with the Secretary of State at all.

  • LLC: File Articles of Organization for a Domestic Limited Liability Company (S.C. Code Section 33-44-203). The filing fee is $110. Filing through Business Entities Online at businessfilings.sc.gov is the fastest path, with documents returned in 24 to 48 business hours. The Secretary of State does not publish a separate expedite fee.
  • Corporation: File Articles of Incorporation for a Domestic Business Corporation (S.C. Code Section 33-2-102) together with Form CL-1, Initial Annual Report of Corporations. The filing fee is $110, and the one-time $25 initial License Fee on the CL-1 is due within 60 days of doing business or using capital in South Carolina.
  • Name rules: An LLC name must include the words limited liability company or the abbreviations LLC, L.L.C., LC or L.C. (S.C. Code Section 33-44-105). The name must be distinguishable from other registered names on the Secretary of State records.
  • Name reservation: If you need time to finalize the name, you can reserve it for 120 days for $25. The reservation cannot be renewed, so file the entity before it lapses.
  • Registered agent: Every LLC must continuously maintain a South Carolina registered agent with a street address for service of process (S.C. Code Section 33-44-108). The agent must be a South Carolina resident individual, a domestic corporation, another LLC, or an authorized foreign entity. The agent's name and address must appear on the formation document.

Registering with the Secretary of State is not a business license. It creates your legal entity, and you still need the local and alcohol approvals described below.

Step 3: Get Your Federal Permit From TTB

The federal Alcohol and Tobacco Tax and Trade Bureau (TTB) regulates production, so start your federal permit early. The type depends on your product:

  • Brewery: a brewer's notice filed with TTB.
  • Winery: a basic permit for wine production.
  • Distillery: a distilled spirits plant registration.

Plan for the federal permit to be in place before the state license is issued, and confirm the sequence with SCDOR. TTB sets its own fees, processing times and application rules, so check the current requirements at ttb.gov rather than relying on older articles or forum posts.

Step 4: Secure the Location and Local Approvals

Your city or county decides whether your building can host production, a tasting room, or sales. Start this step before you sign a lease.

  • Zoning: Confirm with the local planning office that the zone allows manufacturing, a tasting room, and alcohol sales. Ask whether the locality must approve the alcohol license, because SCDOR applications commonly require local sign-off. Confirm the exact local approval steps with your city or county before you rely on them.
  • Local business license: Most cities levy a local business license tax, and nine counties do as well: Beaufort, Charleston, Dorchester, Horry, Jasper, Marion, Orangeburg, Richland and Sumter. South Carolina has no general statewide business license, so this local license is the one that applies to most operators. The license year runs May 1 to April 30, and renewals are due April 30. Renew through localblrenewal.com. Ask your locality for the current fee, since it varies.
  • Building and fire inspections: Ask your local building and fire offices which inspections apply to a production facility and a tasting room before you finish the build-out.

Step 5: Apply for Your SCDOR Alcohol Beverage License

Once you have your federal permit and local approvals underway, file your alcohol beverage license application with the SCDOR. Use the filing and license fees in the table above for the license type you chose. Because the licenses are biennial and prorated, the amount you pay at your start date may be less than a full two-year fee, so ask SCDOR how proration will apply to your opening date.

Expect questions about your owners, your premises, your production capacity, and your local approvals. Keep copies of everything you submit. Do not sell, serve or distribute product until the license is issued, even if your build-out is finished and your federal permit has arrived.

Step 6: Register for Taxes and Sales Permits

  • EIN: Get your EIN from the IRS. If you operate under a trade name, list it on the EIN application.
  • SCDOR account: Register through the Business Tax Application on MyDORWAY at dor.sc.gov.
  • Retail License: If you sell tangible goods, such as beer to go, merchandise or bottles from a tasting room, you need an SCDOR Retail License. It is a one-time, nonrefundable $50 fee per location.
  • Sales tax: South Carolina's state sales tax rate is 6%. Ask SCDOR which sales and excise taxes apply to your specific beverages and sales channels, including any alcohol-specific taxes. Do not assume a single rule covers every product.
  • DBA or trade name: South Carolina has no state-level DBA filing. The Secretary of State does not register DBA or trade names. Record your DBA with your county or municipality, typically on your local business license, and list it as a trade name on your IRS EIN application and your SCDOR Business Tax Application.
  • Corporate income tax, if applicable: A standard LLC not taxed as a corporation does not file an annual report or pay the corporate License Fee. A corporation pays 5% of South Carolina taxable income, plus an annual License Fee of 0.1% of capital and paid in surplus plus $15, with a $25 minimum. An LLC that elects corporate tax treatment has the same obligations. Confirm your tax election with a CPA before you file.

Step 7: Plan for Food Permits

If you serve food, whether a full brewpub kitchen or a few snacks in a tasting room, you need a retail food permit from the South Carolina Department of Agriculture. Older guides may tell you to contact DHEC, but DHEC was split in 2024 and food permits now come from the Department of Agriculture. Ask the department which permit fits your menu and build out your kitchen to its requirements before your inspection.

Step 8: Set Up Labels and Operating Controls

Before you bottle or sell any product, check with TTB whether your labels need federal approval. Rules differ for beer, wine and spirits, so confirm the requirement for each product. Then build the state limits into your operating system:

  • Track beer sold to go each day against the 864 fl oz limit for breweries.
  • Schedule micro-distillery tastings only as part of a paid tour, and pour no more than 4.5 oz per person per day.
  • Track retail spirit sales so no customer exceeds the equivalent of six 750 ml bottles per day.
  • Keep micro-distillery tastings and sales within Monday to Saturday, 9 a.m. to 7 p.m.
  • Keep production records that show your annual volume against the license limits, and keep purchase records that document South Carolina juice sourcing for a farm winery.

What Results to Expect

A licensed operation generally gives you a legal base for production, tasting and sales, with a defined set of channels. Many owners find that the first year is mostly spent on compliance, equipment and building out the tasting room, rather than on sales. Results depend on your location, product, pricing, distribution plan and how well you manage the license limits. These outcomes are not guaranteed, and the timeline depends on local approvals, inspections and federal processing, all of which can run longer than planned.

Common Mistakes to Avoid

  • Treating Secretary of State registration as a business license. It is not one. Local and alcohol approvals are separate.
  • Looking for a state DBA. South Carolina does not have one. Use your county or municipality.
  • Exceeding to-go or tasting limits. Selling more than 864 fl oz of beer to go per day, or pouring micro-distillery tastings outside a paid tour, can put your license at risk.
  • Using out-of-state fruit for a farm winery. The license requires at least 60% of juice from South Carolina grown grapes or fruit.
  • Signing a lease before zoning and local approval are confirmed. Build-out money can be lost if the site cannot host your license.
  • Letting the registered agent lapse. The entity must keep one in South Carolina at all times.
  • Missing renewal dates. Local business licenses renew by April 30, and corporations must file their annual report with the SC1120 or SC1120S by the 15th day of the fourth month after the business year ends.
  • Opening before the license is issued. Selling before approval is the fastest way to create a compliance problem.

Official Resources

When to Bring in Professionals

Alcohol licensing combines federal, state and local rules, and the penalties for mistakes can be severe. An alcohol beverage attorney can review your ownership structure, lease, and license application before you file. A CPA can advise on your entity election, your excise and sales tax obligations, and how your license fees will affect your first-year budget. The SC SBDC offers counseling for new businesses at no cost, and it can help you organize your plan before you meet with either professional.

Disclaimer: This article is informational content, not legal or tax advice. Fees, limits and requirements reflect the sources available at the time of writing and may change. Confirm every requirement with the South Carolina Department of Revenue, the Secretary of State, the South Carolina Department of Agriculture, TTB, and your city or county before you act. Consult a qualified attorney and CPA for your specific situation.

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