Minnesota on-sale liquor license, hours and Sunday sales

Owners in other states often expect a single state agency to hand out the liquor license. In Minnesota the city does most of the work, the state sets outer limits in statute and the city may tighten them. A restaurant that serves a glass of wine with dinner, a bar that pours past midnight and a brewery taproom that opens on Sunday morning all end up reading the same chapter, Chapter 340A. This guide, checked in November 2026, reads two sections of it. It is general information, not legal advice. Your city clerk and the state's Alcohol and Gambling Enforcement Division can tell you the rule for your address.

Who issues an on-sale liquor license in Minnesota?

The statute says a city may issue an on-sale intoxicating liquor license to hotels, restaurants, bowling centers, certain clubs and veterans organizations, sports facilities, exclusive liquor stores and resorts located within its jurisdiction. The city must notify the state commissioner within ten days of issuing a license. In practice you apply to the city, where the council or a licensing office decides, and the state is told afterward. Clubs and veterans organizations need the commissioner's approval and must have existed for at least three years.

What is the wine license?

A restaurant that wants to serve wine only can apply for a wine license. The statute says it requires the commissioner's approval and a restaurant with seating for at least 25 guests at one time, and it allows wine up to 24 percent alcohol by volume. A smaller restaurant that wants to serve beer and wine may need a different license, so ask the city which licenses it offers. The statute also lets a restaurant allow a patron to remove a partly consumed, opened bottle of wine that was purchased with a meal.

What time must you stop serving?

For intoxicating liquor, the statute says no on-sale may be made between 2:00 a.m. and 8:00 a.m. Monday through Saturday. Sales between 1:00 and 2:00 a.m. require a permit from the commissioner. For 3.2 percent malt liquor, the same Monday through Saturday limit applies. A city may set an earlier closing time, so the answer for your address may be earlier than 2:00 a.m. Put the legal closing time on your staff schedule and on the register, and train bartenders on last call.

What about Sunday?

The statute allows a restaurant, club, bowling center or hotel with seating for at least 30 people to sell on Sundays for on-premises consumption, between 8:00 a.m. on Sunday and 2:00 a.m. on Monday, in conjunction with the sale of food. The text read says the business needs a Sunday license, issued by the municipality for one year at a fee not exceeding $200. For 3.2 percent malt liquor, there are no sales between 2:00 and 10:00 a.m. on Sunday. Because a city may add conditions, ask your city clerk what the Sunday rule means for your license.

Can the city limit hours further?

Yes. The statute says a municipality may further limit the days or hours of on and off sales of alcoholic beverages. Further restricted on-sale hours for intoxicating liquor must apply equally to 3.2 percent malt liquor, and a city may not allow sales during hours the statute prohibits. Two restaurants in different cities can therefore have different hours under the same state law.

Can a restaurant cater with a liquor license?

A restaurant that holds an on-sale license may obtain a caterer's permit. Liquor sales under the permit must be an incidental part of a food service, and the annual state fee is $300. If you cater weddings or corporate events, ask the city and the state how the permit works, and write the food and liquor charges separately on the contract, since the liquor tax treatment differs from the food. Our guide on the liquor tax explains that point.

What does the license cost, and how long does it take?

The sections read do not list the city license fee, which each city sets. Ask your city for the fee, the application form, the steps for background checks and the date of the next council meeting. Allow time. A license that must go to a council vote can add weeks to an opening plan.

How do you train staff to stay inside the rules?

The license is only as safe as the person pouring. Write the legal closing time and last call time on a card at the bar, and train every new bartender and server on checking identification, refusing service to a guest who is intoxicated and ending service on time. Keep a log of training dates. If the city or the state asks how you manage service, a dated record of training and a clear closing routine are your best answer. Revisit the training before holidays and big game nights, when crowds are large and closing time arrives faster than anyone expects.

What should you do next?

Call your city clerk and ask five questions: which license fits your concept, what the fee is, what the closing time is, how Sunday sales work and how long approval takes. Then check your zoning and your food license, which usually move in the same timeline.

More guides for your business:

• Minnesota 2.5 percent liquor tax on bar and restaurant sales
• Minnesota food license and plan review for a new restaurant
• Minneapolis sidewalk cafe license rules

More in the US guides for food businesses.