red-liquor-sign-on-a-pole

Florida’s Quota License Drawing: How the Lottery Works and Who Can Enter

Florida runs one of the few genuine lotteries in American business licensing. Once a year, when population growth allows it, the state puts a small number of new quota liquor licenses up for a public drawing. Anyone eligible can enter for a modest fee, and a winner walks away with the right to apply for a license that can be worth many times what they paid to enter.

That gap between the entry fee and the market value is why the drawing attracts thousands of entries, and why so much confusion surrounds it. This guide explains how the quota system works, how the drawing runs, what winning actually gives you, and what to do if you do not win.

Why Florida has a quota at all

Florida limits the number of licenses that allow the sale of beer, wine and spirits. Under Florida Statute 561.20, the state issues “one such license to each 7,500 residents within such county.” These are the licenses commonly called quota licenses, and the on-premises version is widely known by its series designation, 4COP.

Because the cap is tied to population, new licenses only appear when a county grows. The statute ties new issuance to population increases of 7,500 residents measured against a baseline, using official state population estimates.

Licenses that allow only beer, or beer and wine, sit outside the quota. That is why a restaurant that only wants beer and wine can usually get a license from the state without touching the drawing at all.

There is also a separate route for larger restaurants. Florida offers a special restaurant license to establishments that meet minimum size and seating rules and derive at least 51 percent of gross food and beverage revenue from food and non-alcoholic beverages. That license stays with the premises where it was issued and cannot be used as a package store.

How the drawing works

The Department of Business and Professional Regulation, through its Division of Alcoholic Beverages and Tobacco, administers the drawing.

An entry period opens. The division announces how many licenses are available and in which counties. For the 2026 drawing, DBPR announced 63 licenses across 30 counties, with entries accepted until 5 p.m. Eastern on September 30, 2026. For comparison, the 2025 notice listed 52 licenses across 26 counties.

You enter for a fee. The 2025 entry notice set the entry fee at $100 per entry, payable by check or money order by mail, or by credit card online.

Entries are drawn at random. The division holds a public drawing and selects entrants for each county where licenses are available.

Winners are notified and have a deadline. Selected entrants must file an application to qualify to hold the license within 45 days from the date of the division’s notice of selection.

Winning is not the same as being issued a license. DBPR states this plainly: selection in the drawing “provides the entrant with the right to apply for the license and does not, by itself, constitute issuance of the license.” You still have to qualify.

What it costs a winner

Two figures matter beyond the entry fee.

The new license fee. DBPR has described a fee of $10,750 collected from each person, firm or corporation issued a new quota liquor license, which goes to the Department of Children and Families for substance abuse programmes.

The annual license fee. Under Florida Statute 565.02, the yearly state license tax for a vendor permitting consumption on the premises runs from $624 in counties of 25,000 people or fewer up to $1,820 in counties over 100,000. Vendors selling only sealed containers for consumption off the premises pay 75 percent of those amounts.

Those numbers are worth holding next to what quota licenses trade for privately. The gap between a state fee and a market price is exactly why the drawing is oversubscribed.

Who can enter, and what to prepare

The entry itself is simple, but qualifying afterwards is a full licensing process. Before you enter, be ready for what follows:

  • Personal and business disclosure for everyone with an ownership interest
  • Background checks, which are standard in alcohol licensing
  • A location that meets zoning and distance requirements, with proof of your right to occupy it
  • Funding disclosure, showing where the money is coming from
  • The 45 day clock, which starts when the notice of selection is issued

The 45 days is the part that catches winners out. If you enter without any idea where the business will be, that window is tight.

If you do not win

Most entrants do not. The practical alternatives are the ones most Florida operators use anyway.

Buy an existing quota license. This is the main market. Quota licenses are bought and sold, and DBPR publishes lists of active and inactive quota licenses along with a quota transfer fee computation tool. Prices vary widely by county, because the cap bites hardest where demand is strongest. You can compare current listings and see how they are priced at Liquor License Hub.

Use a beer and wine license. If spirits are not essential, a beer and wine license avoids the quota entirely and is far cheaper.

Look at the special restaurant license. If your concept is a larger restaurant that can meet the size, seating and 51 percent food revenue requirements, this route sidesteps the quota, with the trade off that the license stays tied to that premises.

Enter again next year. The drawing repeats when population growth creates new licenses. Each year’s notice sets out which counties are included.

Practical advice for entering

Check which counties are listed. Licenses are county specific. Entering for a county you do not plan to operate in makes the next step harder.

Read the notice, not a summary. The division publishes an official notice for each entry period with dates, fees and county lists. Rules can change year to year.

Have your location work started. Zoning, distance requirements from schools and churches, and landlord agreements all take time, and your 45 days will not wait.

Budget past the entry fee. The license fee, application costs, local permits, build out and insurance dwarf the $100 entry.

Watch the deadline hour. The 2026 notice set a hard cutoff at 5 p.m. Eastern on the closing date.

How Florida compares

Florida’s approach is one of three ways states release new licenses in capped markets.

  • Lottery or drawing. Florida runs a drawing when population growth allows it. Arizona uses random selection when more than one person applies for an available bar or liquor store license, and issues new ones at a rate of one of each type for every 10,000 person increase in county population.
  • Priority application periods. California’s ABC runs an annual priority drawing, with a new general license carrying a fee of $19,840 in 2026.
  • Auctions. Pennsylvania auctions expired restaurant licenses, with a $25,000 minimum bid.

Each of these is a small tap on a large pipe. In every one of these states, most licenses still change hands privately.

If you want help deciding between waiting for a drawing and buying on the open market, our services page explains how we work with buyers, and you can contact us with your county and license type.

Frequently asked questions

How much does it cost to enter the Florida liquor license drawing? The 2025 entry notice set the fee at $100 per entry, payable online or by mail. Check the current year’s official notice, since terms can change.

What do I get if I win? The right to apply for a quota license in the county where you were selected. It is not the license itself. You then have 45 days from the notice of selection to file your application.

How many licenses are available? It varies by year and by county, based on population growth. DBPR announced 63 licenses across 30 counties for 2026, and 52 across 26 counties for 2025.

What is a 4COP license? It is the common name for a Florida quota license allowing the sale of beer, wine and spirits for consumption on the premises. Quota licenses are limited to one per 7,500 county residents.

Can I sell a license I won in the drawing? Florida quota licenses are transferable and are regularly bought and sold, and DBPR publishes a quota transfer fee computation tool. Confirm the current rules and any waiting period with the division before planning a sale.

Do I need a quota license to serve beer and wine? No. Beer and wine licenses sit outside the quota system and are generally available from the state without a drawing.

What if I miss the entry deadline? You wait for the next entry period, or you buy an existing license on the open market, which is how most Florida businesses get one.

Sources and further reading

This article is general information, not legal advice. Entry terms, fees and deadlines change each year. Always read the division’s official notice for the current entry period.