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Texas fee interest bonds, U.
$325 flat.

An out-of-state brewer that brews in Texas under a contract brewing arrangement or an alternating brewery proprietorship, and does not own a fee interest in the brewing facility, posts a $30,000 fee interest bond with the Texas Alcoholic Beverage Commission. Ours is $325 flat.

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Posted with the Texas Alcoholic Beverage Commission on its own Fee Interest Bond form, L-2-18.5
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Triggered by the arrangement, not the license — contract brewing or an alternating proprietorship without a fee interest
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Fixed price, fixed amount — $30,000 bond, $325, no quote process
A-ratedA.M. Best carriersInstantissued the moment you paySoft pull onlynever a hard inquiry
Trusted by industry leaders
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
How it works

Three steps. One sitting.

TABC will not finish your license file without this bond. Here is the whole process — no broker phone tag:

NOW · ONLINE

Apply online

Entity details, the county your Texas operation sits in, your license or permit number if TABC has already issued one, and an effective date. The only extra step is a one-time consent that authorizes a soft credit pull.

MINUTES, USUALLY

Pay & e-sign

Fixed-amount license bonds like this are among the thousands of bond types that issue right after purchase. The soft pull informs approval, never the price — $325 either way.

SAME DAY

File with TABC

Your executed bond and power of attorney arrive by email, ready to attach to your TABC filing. The Commission wants a wet-ink original on its own form, so we mail the original to the address you give us.

About this bond

What it is and who needs it.

What the fee interest bond actually guarantees

Texas licenses out-of-state brewers through the Nonresident Brewer's License (BN) — the code the old Nonresident Brewer's Permit (U) and the Non-Resident Manufacturer's License (BS) folded into as part of a TABC license-and-permit consolidation. The license lets an out-of-state brewer sell malt beverages to Texas wholesalers and distributors.

The fee interest bond is not a general licensing bond, and most BN holders never file one. It is triggered by an arrangement: a brewer that is a party to an alternating brewery proprietorship (two or more parties take turns using one brewery's physical premises) or a contract brewing arrangement (one brewery brews on behalf of another because of limited capacity or other business necessity) must post the bond if it does not own a fee interest in a brewing facility. Own the bricks, and the bond requirement falls away.

On TABC's own form the obligation runs to the State of Texas, in the sum of thirty thousand dollars, payable at Austin, Travis County, conditioned that the principal shall faithfully conform with the Texas Alcoholic Beverage Code and Rules of the Commission. It is a guarantee to the state, not insurance for you — if the surety pays, you repay the surety. The bond takes effect the day TABC issues the license and stays in force until the license is cancelled or the license and its succeeding renewals expire, so it does not lapse when your two-year TABC term rolls over.

Tex. Alco. Bev. Code § 62.14(e) · TABC Form L-2-18.5Texas Alcoholic Beverage Code § 62.14(e) requires an entity that is a party to an alternating brewery proprietorship or a contract brewing arrangement to post a bond with the Commission, in an amount the Commission determines of not less than $30,000, if the entity does not own a fee interest in a brewing facility. TABC implements it on Form L-2-18.5, titled “Fee Interest Bond — Contract Brewing and/or Alternating Proprietorship for Resident and Non Resident Brewers and Manufacturers” (rev. 11/2021), written to the State of Texas in the sum of $30,000. The form also lets the surety cancel on thirty days' written notice, in which event the license holder must file a replacement bond within thirty days. Confirm the amount and the form on the notice TABC sends you — we issue whichever the Commission asks for.

You need this bond if you are

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Holding or applying for a Nonresident Brewer's License (BN) — the code the old Nonresident Brewer’s Permit (U) folded into
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Entering a contract brewing arrangement where a Texas brewery brews your malt beverages for you
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Joining an alternating brewery proprietorship and taking turns on premises someone else owns
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Brewing in Texas without owning the facility — the fee interest test the Commission applies
After you buy

Claims, renewal, filing, and what sets the price.

If a claim is made

A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.

The surety investigates and pays a valid claim, up to the $30,000 bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.

Renewal and term

The premium covers a one-year term from the effective date you choose; a longer term is the same price per year, chosen at checkout.

Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.

How to file it

File with TABC. Your executed bond and power of attorney arrive by email, ready to attach to your TABC filing. The Commission wants a wet-ink original on its own form, so we mail the original to the address you give us.

What sets the price

The premium is fixed at $325 at the $30,000 amount for every applicant: the carrier’s rate book prices this bond by the form, not by your credit or your business profile.

One soft credit pull, never a hard inquiry, and it never affects your score.

Where a check runs, it decides approval; the rate is the same for everyone approved.

One application, issued instantly.

These are the actual issuing fields, including the one-time consent that authorizes a soft credit pull. Submit once and the executed bond is generated ready to file.

Start the application →
FAQ

Common questions.

How much is the Texas fee interest bond for a nonresident brewer?The premium is $325 flat — set by our carrier's rate book for this bond, the same number for every brewer. The $30,000 bond amount is set by the Commission under Alcoholic Beverage Code § 62.14(e), so there is no quote process.
Do I pay the $30,000?No. You pay $325. The $30,000 is the surety's maximum liability to the State of Texas if a valid claim is made against the bond — not a deposit, and nobody holds your money.
Do I still need it if my brewery owns its own facility?Generally no. The requirement is written around the fee interest: a party to an alternating brewery proprietorship or a contract brewing arrangement posts the bond if it does not own a fee interest in a brewing facility. If TABC has told you to file one anyway, follow the notice — it governs your file, not our summary.
How fast will I have the bond?License bonds like this are among the thousands of bond types that issue right after purchase — many brewers finish the application and have the executed bond in the same sitting. TABC wants a wet-ink original on its own form, so we also mail the signed original to you.
Is there a credit check?Yes: one soft credit pull, never a hard inquiry, and it never affects your score. No hard inquiry ever runs on this bond, and the result informs approval, never the price: $325 either way.
Which A-rated carriers underwrite these bonds?Typically Arch Insurance Company (A.M. Best A+) or Nationwide Mutual Insurance Company (A.M. Best A). Which one writes your bond depends on the bond type and your state. The carrier's name and official signature are printed on the bond you receive.
How do I contact Light RFP about this bond?Email insurance@lightrfp.com. It reaches the bond team at Light RFP Risk Management Services LLC (NY DFS License # PC-1978982). Write to us about quotes, applications, bond forms or certificates. We will respond within 24 hours.
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$325 flat, a short application, soft pull only, and the executed bond often issued in the same sitting. Free until issued.

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