How to Start a Brewery in Ontario

Start a brewery in Ontario: the AGCO brewery licence and its endorsements, the municipal resolution for a by-the-glass area, and the LCBO listing pipeline from NISS submission to Notice to Purchase.

Applies in: Ontario

Starting a brewery in Ontario means clearing two licensing systems and then winning shelf space. The federal excise licence, zoning, business registration, and brewhouse fit-out are covered in the national guide linked below — this guide covers only what Ontario adds: the Alcohol and Gaming Commission of Ontario (AGCO) brewery licence, the endorsements that decide how you can actually sell your beer, and the Liquor Control Board of Ontario (LCBO) listing pipeline. This guide is process information, not legal advice: where a figure was not verified on an official page, this guide states a check instead of a figure.

1. Get the AGCO brewery licence through iAGCO

There are three types of manufacturer's licence to sell in Ontario — winery, brewery, and distillery — and a brewery licence allows a manufacturer to keep (store) beer with the intent to sell, or sell beer according to the regulations, according to Alcohol and Gaming Commission of Ontario, Apply for a manufacturer's licence. The AGCO issues manufacturer's licences to people or businesses to operate at a specific location, and as the licensee you are in charge of maintaining the licence, on the same page.

To be eligible, you must be 19 years of age or older, financially responsible, and conduct the business within the law and with integrity and honesty, which may include police records checks, on the same page. Applicants are generally not allowed any direct or indirect financial ownership in a business holding a liquor sales licence, such as a licensed restaurant or bar — see section 20 of Regulation 746/21 under the Liquor Licence and Control Act, 2019 for the details, on the same page. That restriction matters if you also own, or plan to buy into, a bar that would stock your beer: get advice on the ownership structure before you apply.

A brewery licence costs $3,150 for two years or $6,300 for four years, according to Alcohol and Gaming Commission of Ontario, Liquor licensing fees. All liquor-related transactions with the AGCO, including fee payments, must be completed using the iAGCO web-based portal, and payments in iAGCO must be made by Visa, MasterCard, Visa Debit, or MasterCard Debit — cheques and cash are not accepted, on the same page. Fee payments must be received by the AGCO before a licence or permit can be processed, and if an application is withdrawn or the AGCO refuses to issue the licence for any reason, the fee is non-refundable, on the same page.

One thing the brewery licence does not do: you cannot make alcohol with a manufacturer's licence. You need an excise licence from the Canada Revenue Agency under the Excise Act and the Excise Act, 2001 to produce or package alcohol in Canada, according to Alcohol and Gaming Commission of Ontario, Apply for a manufacturer's licence. Under the Excise Duty Program, a brewer's licence is mandatory, security is required, an annual fee of $51.10 is payable, and the licence must be renewed annually, according to Canada Revenue Agency, EDM1-1-1 The Excise Duty Program. The national guide linked below covers the federal application in full; in Ontario, treat the excise licence as a prerequisite, not a parallel track, because the AGCO application asks for a copy of it.

2. What the application asks for

Apply through the iAGCO portal, and prepare these items first, according to Alcohol and Gaming Commission of Ontario, Apply for a manufacturer's licence:

  • Tax compliance verification number and attestation. Complete the tax compliance verification process and obtain your number through the Ministry of Finance's Tax Compliance Verification portal, then attest to your tax compliance status, on the same page.
  • Summary of your business plan. This must include a full description of the products to be manufactured on site; floor plans showing the complete layout of the manufacturing facility, including equipment and the proposed location of any retail store at the production site; how you plan to sell your products, for example through the LCBO, under a retail store endorsement, or by export; and, if your products will be manufactured at a facility other than your own, the details, on the same page.
  • Copy of your federal excise licence, on the same page.
  • Written proof of LCBO product testing. Contact the LCBO for further information, including laboratory testing fees, on the same page. This is the step brewers most often discover late: the AGCO wants evidence that the LCBO has tested your product before it issues the licence, so start the LCBO process in section 4 before you file with the AGCO, not after.
  • Copy of your business name registration, on the same page.
  • Entity disclosure, if applicable. Provide the names of anyone or any business that holds 10% or more of the outstanding shares or a class of shares, on the same page.
  • Personal disclosure from sole proprietors, all officers and directors, all partners, and any shareholder holding 10% or more of the outstanding shares or a class of shares, on the same page.

The AGCO says it tries to process applications promptly, and that there may be delays if there are complexities with the application or if it needs more information from you, on the same page. No processing time is stated on the AGCO pages, so none is printed here — see the figures section below.

3. Choose your endorsements: how you will actually sell

The brewery licence alone lets you keep and sell beer under the regulations. How you sell it — by the glass at the brewery, sealed from a shop at the brewery, delivered to customers, or poured in your own pub — is decided by endorsements. Pick them before you build out the space, because the floor plans in your application must show where each activity happens.

By-the-glass endorsement. A by-the-glass endorsement allows eligible Ontario breweries with a brewery licence to sell and serve their products for consumption in areas under the sole control of the licensee, located on or immediately adjacent to the production site, where the sale is primarily aimed at promoting the manufacturer's product and either providing an enhanced tourist experience or fulfilling an educational purpose, according to Alcohol and Gaming Commission of Ontario, Section 4: By-the-Glass Endorsement. Only Ontario breweries that hold a brewery licence are eligible, and a brewery holding the endorsement may sell and serve only the beer it has manufactured, on the same page. It costs $450 for two years or $900 for four years, according to Alcohol and Gaming Commission of Ontario, Liquor licensing fees. Two application items are specific to this endorsement: a site plan of the property that outlines in red the areas where sale, service, and consumption will take place, and written notice from the council of the municipality where the production site is located confirming that it has passed a resolution in support of the issuance of the endorsement, according to Alcohol and Gaming Commission of Ontario, Section 4: By-the-Glass Endorsement. The municipal resolution is a council decision, not a staff letter, so start it early — it is the step most likely to add weeks. Permissible hours under a by-the-glass endorsement may not be extended, on the same page. The endorsement is valid for two or four years and expires when the associated brewery licence expires or is terminated, and renewals are processed at the same time as the brewery licence renewal through iAGCO, on the same page. An endorsement can only be transferred together with the licence it is attached to, on the same page.

Brewery retail store endorsement. This carries no fee, according to Alcohol and Gaming Commission of Ontario, Liquor licensing fees. It covers the shop at the production site where customers buy sealed beer to take home. If you have a retail store on the production site, you may also bring sealed, unopened liquor purchased from the retail store onto the licensed premises to sell to a patron — so a customer who wants product for personal use can pay for it on their bill in the licensed premises or by-the-glass area, according to Alcohol and Gaming Commission of Ontario, Section 4: By-the-Glass Endorsement.

Manufacturer's delivery endorsement. This carries no fee, according to Alcohol and Gaming Commission of Ontario, Liquor licensing fees. It covers delivering your beer to customers; section 6 below covers the distribution rules that apply with or without it.

Caterer's endorsement to a brewery licence. This also carries no fee, according to Alcohol and Gaming Commission of Ontario, Liquor licensing fees.

Brew pub endorsement. This is different from the endorsements above: it is an add-on to your liquor sales licence, not to your manufacturer licence. It lets you sell and serve beer that you manufacture at your licensed premises, and the beer must be manufactured at your licensed premises, according to Alcohol and Gaming Commission of Ontario, Apply for a brew pub endorsement. There is one exception: beer you manufacture can be sold, served, and consumed at a place other than where it is manufactured if you have at least a 51 percent interest in the business carried on at the other premises and a liquor sales licence applies to the other premises, on the same page. With a brew pub endorsement, you can offer your beer for takeout and delivery if you meet the requirements set out in regulation, on the same page. There is no fee for a brew pub endorsement, and you must apply for or hold a liquor sales licence to apply for one, on the same page. The AGCO will need a full description of the processes and methods to be used in producing the beer on the premises, on the same page. The liquor sales licence itself — fees, municipal form, agency letters, public notice — is covered in the Ontario liquor licence guide linked below.

Temporary extensions. Manufacturers holding a by-the-glass endorsement may be eligible for a temporary extension of their licensed premises, including a temporary outdoor patio, according to Alcohol and Gaming Commission of Ontario, Section 4: By-the-Glass Endorsement. In unorganized territory or on a First Nations reserve, a temporary outdoor extension can run for up to eight months in a calendar year, and a complete application must be submitted a minimum of thirty days in advance of when you intend to begin serving or selling liquor on the temporary patio; no licensing fee is required, on the same page. Temporary indoor extensions are considered case by case, and also need a complete application a minimum of thirty days in advance, on the same page.

4. Get listed with the LCBO

The LCBO is both Ontario's retailer and its wholesaler, and an agency of the provincial government, according to LCBO, Supplier Information Session April 2025. Getting a beer onto LCBO shelves is a separate process from getting licensed, and it runs through the LCBO's own systems:

  1. Get access to NISS. The New Item Submission System is the web-based tool for submitting products for review, viewing LCBO product needs, tracking a submission, and viewing the Notice to Purchase, on the same page. First-time users apply for NISS access through a Trade Partner Access Request (TPAR) form found on the LCBO trade website, Doing Business with LCBO, on the same page.
  2. Pick a product call. All new product submissions must be entered into NISS, and you must determine which product call you are submitting to and complete the application before the call deadline, on the same page. Review your submission with the buyers in advance of the deadline, and check your positioning and pricing against the competitive set, on the same page.
  3. Submit in NISS. The listing process runs from a category meeting and pre-submission, to submission in NISS, tasting and evaluation, packaging review, a final lab test, pricing, issuing a Notice to Purchase, a purchase order, and release to stores, on the same page.
  4. Price it. Use the LCBO pricing calculators on the trade website: adjust the case quote to land at your desired retail price, on the same page.
  5. Send samples as instructed. Follow the instructions you receive from NISS, address and label packages clearly, and include the NISS hardcopy wrapped around each bottle so the NISS number is visible, on the same page. Samples go by courier to LCBO Merchandising Storage, 100 Queens Quay East, Toronto, Ontario M5E 0C7, or can be dropped off with PlusOne on the ground floor of 100 Queens Quay East, Monday to Friday from 7 a.m. to 10 p.m., or at the LCBO mailroom on the 9th floor, 8 a.m. to 5 p.m., on the same page.

Direct to Store. Ontario producers have a second route: instead of the LCBO receiving product at its warehouses and distributing it to stores, the supplier controls distribution and delivers product direct to pre-approved LCBO stores, on the same page. Direct to Store is eligible for local wines, cider, spirits, and beer, and the case or tray must be compliant; it is not available for ready-to-drink or premixed cocktails, on the same page. For a small brewery, Direct to Store is usually the more practical first listing: you keep control of delivery and you are not competing for warehouse slots.

Local craft beer product calls. The LCBO runs product calls specifically for Ontario products, including local craft beer, on the same page. Watch the product calls page on Doing Business with LCBO rather than submitting cold: a submission that does not match an open call will not proceed, and if deadlines or instructions are not followed, the submission will not proceed, on the same page.

5. Sell wholesale without an LCBO retail listing

A retail listing is not the only way to reach Ontario buyers. The LCBO's Open Listings process enables eligible products to be made available for purchase by wholesale customers across Ontario through LCBO wholesale catalogues, according to LCBO, Open Listing Product Calls and Supporting Requirements FAQ.pdf). Wholesale customers include licensed bars and restaurants, grocery and convenience stores, and LCBO Convenience Outlets, each with its own catalogue.

Eligible products can reach wholesale customers through two pathways: products listed in LCBO retail and subsequently opted into a wholesale catalogue by the supplier through NISS, or wholesale-specific product calls through the Open Listing process, on the same page. Products must be registered with the LCBO and included in the applicable wholesale catalogue before they can be ordered by wholesale customers, on the same page. Domestic suppliers and authorized agents representing imported products may submit eligible products through the applicable product call, on the same page.

Product calls for Open Listings are open for one-year periods and renewed annually, and submissions are reviewed on a rolling basis, on the same page. Private label products are not eligible, on the same page. Note that products listed through an LCBO retail product call are not automatically available to all wholesale customers: during the application process, suppliers select the wholesale customer groups that can purchase the product, and availability is subject to customer-specific eligibility requirements — for example, grocery and convenience stores cannot sell spirits and are subject to alcohol-by-volume limits for beer, wine, cider, and ready-to-drink products, on the same page.

Fulfilment runs through the Supplying Source Program, not through the LCBO's own distribution network: orders are fulfilled and delivered through an authorized third-party logistics provider, or by the domestic supplier acting as its own supplying source, with wholesale orders delivered directly to the wholesale customer's licensed location or authorized distribution centre through a drop-shipping model, on the same page. Products listed through the Open Listings process cannot be distributed through the LCBO distribution network, on the same page. The party fulfilling and delivering orders must enter into the applicable Supplying Source Service Level Agreement, on the same page. The LCBO may remove a product from a wholesale catalogue for failure to meet minimum sales targets, failure to provide consistent supply, or failure to comply with liquor laws, advertising guidelines, or LCBO requirements, on the same page — so a wholesale listing is a commitment to keep supplying, not a one-time placement.

6. Distribute your beer and keep the records

Manufacturers can generally distribute their own beer, or the product of another similar manufacturer, to people who have bought it from the LCBO or someone else allowed to sell liquor, according to Alcohol and Gaming Commission of Ontario, Apply for a manufacturer's licence. You can use certain third-party service providers to distribute your product, and those service providers do not need an AGCO licence to distribute liquor from the brewery — but you must still comply with the Liquor Licence and Control Act, 2019, its regulations, and standards, on the same page. To "distribute" means to transport liquor, including storing it during transportation, to people who have bought it from the LCBO or someone else allowed to sell liquor; it does not include transporting it to customers for consumption, on the same page.

Off-site storage has a hard limit: manufacturers cannot promote, take orders, or sell liquor from an off-site warehouse, and cannot use an off-site warehouse to service deliveries to consumers, on the same page. You must keep records for any off-site storage places that store liquor, and provide that information to the AGCO on request, on the same page. Keep the warehouse as storage only, and run all orders, sales, and customer deliveries through the licensed production site.

Figures this guide does not state

  • Ontario beer basic tax rates and the microbrewer threshold. These were verified on the Ministry of Finance beer tax page on 2026-11-07 — the rates effective April 1, 2026 to February 28, 2027, the lower rates for microbrewers, and the 49,000-hectolitre worldwide production threshold for microbrewer qualification — but they are NOT printed in this guide, because that page's URL carries a query string this site's citation format cannot carry. Check the Ministry of Finance beer tax page on ontario.ca before you price your beer or file a return.
  • LCBO laboratory testing fees. The AGCO says to contact the LCBO for further information, including laboratory testing fees. No figure is stated on the AGCO page, so none is printed.
  • LCBO listing timeline. No official timeline from submission to shelf is stated in the LCBO supplier materials, so none is printed. Open Listing product calls run on annual cycles with rolling review; retail product calls have fixed deadlines.
  • AGCO manufacturer licence processing time. None is stated on the AGCO pages, so none is printed.
  • Brewery startup costs. Ranges such as $250,000 to $1 million or more appear on law-firm and advisory sites and are not stated here: no official source states them. Price the brewhouse, lease, and fit-out from quotes for your brewery.

Related guides:

How to Start a Brewery Business in Canada, How to Get a Liquor Licence in Ontario, How to Register a Business in Ontario, and How to Register for GST/HST in Canada.

Starting a brewery in Ontario, in six steps

  1. Get the AGCO brewery licenceApply through the iAGCO portal. A brewery licence costs $3,150 for two years or $6,300 for four years, and you must be 19 or older, financially responsible, and able to show tax compliance verification.
  2. Add the endorsements for how you will sellA by-the-glass endorsement costs $450 for two years or $900 for four years and needs a municipal council resolution. A retail store endorsement and a manufacturer's delivery endorsement carry no fee.
  3. Prove LCBO product testingThe AGCO manufacturer application asks for written proof of LCBO product testing. Contact the LCBO for laboratory testing fees before you file.
  4. Submit through NISSFirst-time users get NISS access through a Trade Partner Access Request on Doing Business with LCBO. All new product submissions must be entered into the New Item Submission System, against a product call, before its deadline.
  5. Pass tasting, packaging, and lab reviewThe LCBO evaluates the product on taste, packaging, and price, then runs a final lab test on a sample. Use the LCBO pricing calculators to set your case quote at your desired retail price.
  6. Receive the Notice to Purchase and releaseA Notice to Purchase leads to a purchase order and release to LCBO stores. Ontario producers can also use Direct to Store delivery to pre-approved stores instead of LCBO warehouses.

Questions people ask

Do I need both a federal excise licence and an AGCO licence to brew in Ontario?

Yes. You cannot make alcohol with a manufacturer's licence: you need an excise licence from the Canada Revenue Agency under the Excise Act and the Excise Act, 2001 to produce or package alcohol in Canada, according to [Alcohol and Gaming Commission of Ontario, Apply for a manufacturer's licence](https://www.agco.ca/en/alcohol/apply-manufacturers-licence). Under the Excise Duty Program, a brewer's licence is mandatory, security is required, an annual fee of $51.10 is payable, and the licence must be renewed annually, according to [Canada Revenue Agency, EDM1-1-1 The Excise Duty Program](https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/edm1-1-1/excise-duty-program.html). The AGCO application asks for a copy of your federal excise licence, on the same AGCO page, so apply for the federal licence first.

How much does an Ontario brewery licence cost?

A brewery licence is $3,150 for two years or $6,300 for four years for a new or renewal application, according to [Alcohol and Gaming Commission of Ontario, Liquor licensing fees](https://www.agco.ca/en/alcohol/liquor-licensing-fees). A by-the-glass endorsement to a brewery licence is $450 for two years or $900 for four years, a brewery retail store endorsement carries no fee, a manufacturer's delivery endorsement carries no fee, and a caterer's endorsement to a brewery licence carries no fee, on the same page. Fee payments must be received by the AGCO before a licence can be processed, and the fee is non-refundable if the application is withdrawn or the AGCO refuses to issue the licence, on the same page.

How do I get my beer into LCBO stores?

Through the LCBO product listing process. First-time users apply for access to the New Item Submission System (NISS) through a Trade Partner Access Request on Doing Business with LCBO, and all new product submissions must be entered into NISS against a product call before its deadline, according to [LCBO, Supplier Information Session April 2025](https://www.doingbusinesswithlcbo.com/content/dbwl/en/basepage/home/new-supplier-agent/_jcr_content/content1/columncontrol/column11/attachments/file.res/Supplier%20Information%20Session%20April%202025.pdf). The pipeline runs from a category meeting and pre-submission, to submission in NISS, tasting and evaluation, packaging review, a final lab test, pricing, a Notice to Purchase, a purchase order, and release to stores, on the same page. Ontario producers can also deliver Direct to Store to pre-approved LCBO stores instead of through LCBO warehouses, on the same page.

Can I sell beer at my own brewery in Ontario?

Yes, with the right endorsement. A brewery retail store endorsement, which carries no fee, lets you sell sealed beer from a retail store at the production site, according to [Alcohol and Gaming Commission of Ontario, Liquor licensing fees](https://www.agco.ca/en/alcohol/liquor-licensing-fees). A by-the-glass endorsement lets you sell and serve the beer you manufactured for consumption in areas under your sole control on or immediately adjacent to the production site, where the sale is primarily aimed at promoting your product and either providing an enhanced tourist experience or fulfilling an educational purpose, according to [Alcohol and Gaming Commission of Ontario, Section 4: By-the-Glass Endorsement](https://www.agco.ca/en/alcohol/responsibilities-and-resources/guides/section-4-glass-endorsement). The by-the-glass endorsement costs $450 for two years or $900 for four years, and you need written notice from your municipal council confirming it passed a resolution in support of the endorsement, on the same pages.

What is the difference between a by-the-glass endorsement and a brew pub endorsement?

A by-the-glass endorsement attaches to your brewery licence and lets you sell and serve only the beer you manufactured, on or immediately adjacent to your production site, and only Ontario breweries holding a Brewery Licence are eligible, according to [Alcohol and Gaming Commission of Ontario, Section 4: By-the-Glass Endorsement](https://www.agco.ca/en/alcohol/responsibilities-and-resources/guides/section-4-glass-endorsement). A brew pub endorsement is an add-on to a liquor sales licence, not to a manufacturer licence: it lets you sell and serve beer you manufacture at your licensed premises, and the beer must be manufactured at those premises, according to [Alcohol and Gaming Commission of Ontario, Apply for a brew pub endorsement](https://www.agco.ca/en/alcohol/apply-brew-pub-endorsement). The one exception is that beer you manufacture can be sold, served, and consumed at another place if you hold at least a 51 percent interest in the business carried on there and hold a liquor sales licence for those premises, on the same page. The brew pub endorsement carries no fee, on the same page, and you must apply for or hold a liquor sales licence to get one, on the same page.

Can I deliver my own beer, or use a courier, in Ontario?

Yes. Manufacturers can generally distribute their own beer, or the product of another similar manufacturer, to people who have bought it from the LCBO or someone else allowed to sell liquor, according to [Alcohol and Gaming Commission of Ontario, Apply for a manufacturer's licence](https://www.agco.ca/en/alcohol/apply-manufacturers-licence). You can use third-party service providers to distribute your product, and those providers do not need an AGCO licence to distribute liquor from the brewery, on the same page. A manufacturer's delivery endorsement carries no fee, according to [Alcohol and Gaming Commission of Ontario, Liquor licensing fees](https://www.agco.ca/en/alcohol/liquor-licensing-fees). One limit: manufacturers cannot promote, take orders, or sell liquor from an off-site warehouse, and cannot use an off-site warehouse to service deliveries to consumers, according to [Alcohol and Gaming Commission of Ontario, Apply for a manufacturer's licence](https://www.agco.ca/en/alcohol/apply-manufacturers-licence).

Sources

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