Liquor License Escrow Services

A liquor license escrow explains the buyer’s and seller’s entire responsibilities, and it also safeguards both parties’ interests. For the buyer, it ensures that their payments are held until the license is fully transferred to ABC, and for the seller, it ensures that their funds are stored in a third-party account that has no stake in the transaction. When a license is about to transfer, ABC will request form 226 Statement of Reconsideration Deposited in Escrow, which will be released to ABC once the buyer has completely financed the license.

Although the process of selling a liquor license is similar to that of selling a home, not every escrow company is familiar with it. In California, there are just a few escrow businesses that specialize in liquor license transfers and business sales. Ask if they would produce ABC 211A Sign Off, ABC 227 Recorded Notice, and ABC 226 Statement of Consideration in their escrow instructions to guarantee the sale is going via a knowledgeable escrow business. If no, they can still supervise the transaction, but the buyer must guarantee that these documents are completed appropriately for ABC, one of which must be notarized by the seller and the other must be registered at the County Recorders Office. Message or call us to request more information.