Liquor license reform might be what Fort Wayne's food scene needs

Hey Locals,

An important – albeit niche and confusing – subject captured our attention at City Council last week: liquor licenses and how reforming them might boost Fort Wayne's small businesses.

• For a little background: Fort Wayne has an amazing local food scene that contributes significantly to the city’s tourism and economic development. But as the cost of operating a business goes up and local wages remain stagnant, some restaurants closed this winter and others took to social media, sharing financial troubles. To offset losses, local restaurants (and other small businesses) might need to rely more on liquor sales. Yet, liquor licenses (which allow businesses to sell alcohol in various forms) can be extremely difficult and costly to obtain.
• Did you know... liquor licenses are bought, sold, leased and auctioned, kind of like houses? In Indiana, they cost just about as much, too. In fact, the City of Fort Wayne estimates the average liquor license goes for upward of $200,000 on auction. Chef Sean Richardson of Rune tells us his three-way liquor license (purchased in 2024) made up half of his startup costs. 
• So… what’s happening at City Council? Last week, council debated the merits and limitations of special districts Downtown and along the St. Marys riverfront, which allow businesses within their boundaries to rent liquor licenses for only $3,500/year plus an application fee – a significant cost-savings compared to buying a license outright. The trouble is: the boundaries of these districts are somewhat nebulous, and while Fort Wayne City Council says there’s not much they can do about it, other cities, like Carmel, have found ways to make the system more beneficial for small businesses.

In short: Amidst controversial efforts by Mayor Sharon Tucker and Greater Fort Wayne Inc. to bring a casino to Fort Wayne as a means of entertainment and economic growth, local leaders might be overlooking a less flashy, yet more substantial way to support small businesses: liquor license reform.

So how exactly do liquor licenses work? And what might be done to improve the system for small businesses?

We break it down in today's newsletter.