How to open
a small bar
in the city
A process guide for small
business owners and
operators
June 2012
Contents
Introduction1
Liquor Accords1
Liquor Licence Freeze1
Obtaining Approval2
Planning Controls2
Footway Usage3
Submitting A Development Application (DA)
4
Step 1 Pre-DA Meeting4
Step 2 Owners Consent4
Step 3 Lodgement4
Preparing A Statement Of Environmental Effects (SEE)
4
Step 4 Period of Notification
5
Step 5 Assessment
5
Step 6 Determination
5
Liquor Licence Requirements5
Step 1 National Police Certificate
5
Step 2 notice of Intention to Lodge an Application for Liquor Licence
5
Step 3 Documentation to be Submitted with DA
5
FAQ6-7
Process Maps
How To Open a Small Bar In The City
Small Bars – DA Assessment Process
Process Guide Checklist
More Information
8
9
10
11
A Process Guide For Small Business Owners And Operators
Page 1
Introduction
This guide is designed for potential small-bar operators, but it is equally applicable to general small-business
operators who must apply for development consent from the City of Sydney for any proposed works associated with
the operation of their business in the City of Sydney local government area (LGA).
As well as obtaining consent from the City, small-bar operators must obtain a liquor licence from the Independent
Liquor and Gaming Authority (ILGA, formerly the Casino Liquor & Gaming Control Authority). This guide explains
the processes involved in obtaining development consent from the City of Sydney, and the liquor licence approvals
process administered by the Office of Liquor Gaming and Racing (OLGR).
More information can be found on the following web sites:
The City of Sydney: cityofsydney.nsw.gov.au
Independent Liquor and Gaming Authority: ilga.nsw.gov.au
Office of Liquor, Gaming and Racing: olgr.nsw.gov.au
Liquor accords
Liquor licence freeze
A liquor accord is an agreement by licensees and other
stakeholders to take action in local communities to improve
safety and reduce alcohol-related, antisocial behaviour, other
offences and violence.
The NSW Government and the City have in place a liquor
licence freeze within designated zones of the LGA in an
effort to reduce excessive consumption of alcohol in areas
already saturated with other licensed premises. A freeze on
liquor licences, development applications (DAs) and footway
applications exists to cap on the number and scale of venues
in three major entertainment precincts of the LGA:
Local liquor accords aim to prevent alcohol-related problems
from occurring in the first instance. The OLGR and the City of
Sydney support liquor accords as part of a comprehensive
approach to reduce alcohol-related harm and antisocial
behaviour.
Information about liquor accords can be found at the OLGR
website:
olgr.nsw.gov.au/accords_about.asp
Information about existing accords within the LGA can be
found at:
cityofsydney.nsw.gov.au/Community/Safety/
AccordWithLicensedPremises.asp
• Kings Cross;
• Oxford Street, Darlinghurst (note: footway freeze due to end
24 June 2012); and
• City south.
The Liquor Amendment (Temporary Licence Freeze) Bill 2009
was passed on 23 September 2009 and has been extended a
number of times (the current bill is due to expire 24 June 2012).
Visit olgr.nsw.gov.au/news_liquor_licence_freeze.asp for
more info.
How To Open A Small Bar In The City Of Sydney
Page 2
Obtaining approval
In July 2008, the Liquor Act was amended to introduce a new category of hotel licence for a
general bar. A general bar hotel licence is a limited type of hotel licence. It allows liquor to be
sold to patrons for consumption on the premises, but does not allow takeaway liquor sales,
gaming machines or other forms of gaming. The Liquor Act does not place a limit on the
capacity or the size of the premises.
The Independent Liquor and Gaming Authority (ILGA) is responsible for the regulatory and
other decision-making functions on behalf of the NSW Government. The NSW Office of
Liquor Gaming and Racing (OLGR) supports the authority in its day-to-day operations. An
application for a liquor licence is lodged with the OLGR.
The OLGR will issue an approval for a liquor licence subject to development consent granted
by the City for the use of the site as a licensed premises. To obtain consent, you must lodge a
DA with the City of Sydney.
A small bar
would need
to satisfy the
requirements
of the City of
Sydney’s late
night trading
premises
DCP 2007
category B
- low impact
premises
Applications to both consent authorities can be lodged at the same time, as shown in the
attached flowchart “How to open a small bar in the city”.
Information about the type of licence and lodgement of applications is available on the OLGR
website at: olgr.nsw.gov.au/liquor_license_apps.asp
Planning controls
Prior to submitting a DA application, you must read the relevant City of Sydney planning
regulations to determine if your proposal would be allowed, particularly the Late Night Trading
Premises Development Control Plan (DCP) 2007. This DCP focuses on amenity and security
matters which must be satisfied by an applicant for late-night trading.
A small bar would need to satisfy the requirements of the City of Sydney’s Late Night Trading
Premises DCP 2007: Category B – Low Impact Premises i.e. premises with a capacity for
120 patrons or less (including outside areas) and for which the primary purpose is the sale of
liquor for consumption on the premises.
A copy of the DCP can be downloaded from the City’s website at: cityofsydney.nsw.gov.
au/Development/PlanningControlsConditions/DevelopmentControlPlans.asp
DA forms are available from the City of Sydney’s One Stop Shop and Service Centres, or
download a copy from the City’s website at: cityofsydney.nsw.gov.au/Development/
DevelopmentAndBuildingForms.asp
When a DA is assessed, the most important factors taken into account are:
• Location and context of the premises, including proximity to residential and other sensitive
land uses and other late-trading premises;
• Nature of the premises, i.e. pub, nightclub, restaurant, etc. and the proposed hours of
operation;
• Existing hours of operation of surrounding business uses;
• Size and capacity of the premises;
• Impact of the premises on the mix, diversity and possible concentration, of late-night uses
in the area;
• The likely operation of the proposal during daytime hours; submission of a plan of
management which demonstrates a strong commitment to the operation of the business,
particularly in relation to managing potential impacts on adjoining and surrounding land uses
and premises, as well as the public domain;
• Diversity of retail services within an area and the impact of a late-night proposal on this
diversity;
• Measures to be used for ensuring adequate safety, security and crime prevention both
on the site of the premises and in the public domain immediately adjacent to, and generally
surrounding, the premises; and
• Accessibility and frequency of public transport during late-night trading hours.
A Process Guide For Small Business Owners And Operators
Page 3
Footway usage
The City may permit a business to operate on part of the public footway. If you would like to use the public footway in association
with your business, you need to apply for approval. Details regarding the approval process, related policies and forms for footway
approvals are available on the City’s website at: cityofsydney.nsw.gov.au/Business/ApprovalsPermitsAndNotifications/
FootwayApprovals/ApplicationProcess.asp
The use of the public footway for outdoor dining could contribute to congestion and conflict between pedestrians and patrons, and
activities such as smoking and queuing. The application for use should take these items into consideration and address them in
the plan of management.
The City
may
permit a
business
to operate
on part of
the public
footway
How To Open A Small Bar In The City Of Sydney
Page 4
Submitting a DA
A DA for a small bar would typically involve a change of use (from retail or commercial premises or the modification to an existing
licensed premises, for example), internal fit-out and signage If external seating is also part of the proposal, an application can be
made at the same time, or form a separate DA. Owner’s consent for use of the footway is required.
DAs for a small bar can generally be dealt with under delegated authority and do not need to go to a Committee of Council and full
Council as a rule.
More information about the process and fees is available on the City’s website: cityofsydney.nsw.gov.au/Business/
ApprovalsPermitsAndNotifications/FootwayApprovals/ApplicationProcess.asp
STEP 1
Pre DA Meeting
Planning officers and other City
of Sydney staff can provide more
information about the application
process and address any concerns.
The City has engaged a Business
Adviser for finegrain spaces, which
includes small bars and laneways. If
you are interested in opening a small
bar, contact the City’s Business Adviser
(Finegrain) on 02 9265 9928 prior to
lodging the DA.
Step 2
Owner’s consent
Prior to lodging the DA, you must
obtain the building owner’s consent. If
an application for use of the footway is
being lodged, you must obtain owner’s
consent from the City of Sydney.
Although the extent of work proposed
is generally not extensive, and could in
most instances considered to be minor,
the impact of the proposed bar needs
to be fully assessed; in particular, the
effect on surrounding premises. It is
recommended you prepare a concise
Statement of Environmental Effects
(SEE) for this purpose.
STEP 3
Lodgement
Information typically required to be
provided on a DA includes:
• A completed application form
(available from the City’s website);
• Owner’s consent ;
• Plans; and
• Statement of Environmental Effects (SEE), including:
– Description of the project
– Hours of operation
– Plan of management
– Security measures
– Acoustic report
– Heritage impact statement (if
applicable).
Preparing a Statement of Environmental Effects (SEE)
The SEE should demonstrate compliance with the City of Sydney Local Environmental Plan, Development Control Plans and the
City of Sydney Late Night Trading Premises DCP 2007.
The SEE must demonstrate that the environmental impact of the development has been considered and detail what measures will
be taken to protect the existing conditions or mitigate any detrimental environmental impact.
A plan of management, security management plan and noise impact assessment are documents that set out the measures to
protect or mitigate the impact of licensed premises on the amenity of adjoining premises.
Plan of management
A plan of management for a small bar application should be a simple, concise statement that describes the proposed
management approach, including the responsible service of alcohol, intoxication, non-acceptable behaviour, underage drinking
and staff training. The requirements for a small bar are identified in a checklist included in Appendix 2 of the City of Sydney’s Late
Night Trading Premises Development Control Plan 2007: Category B – Low Impact Premises.
Security management plan
The security management plan describes the level of security proposed to ensure the safe operation of the premises for patrons
and neighbours, including any security guards, CCTV cameras, approach to the use of illegal substances, cash handling, first-aid,
training of staff, fire safety, entry and exit signs, customer complaints and contact with local police.
A Process Guide For Small Business Owners And Operators
Page 5
Noise impact assessment
The noise impact statement is required to describe the nature of the operation of the premises, i.e. the proximity to residential and
other premises, whether it will be a place of public entertainment, the site and capacity of the premises, the management of the
premises and the operation of the premises to enable an assessment as to whether the operation of the premises would result in a
loss of amenity for surrounding premises.
Heritage impact statement
If the premises is a heritage item and involves internal fit-out for a bar, or external work and/or adjoins a heritage item or
streetscape, a heritage impact statement is required.
Access to Premises Standards
Most building works, including new buildings and upgrades to existing buildings, that require a construction certificate will need to
comply with the Disability (Access to Premises - Buildings) Standards 2010. The purpose of the Premises Standards is to ensure
that dignified, equitable access to buildings is provided for people with disability. The Australian Human Rights Commission has
issued Guidelines on the application of the Premises Standards to assist in their implementation - http://www.hreoc.gov.au/
disability_rights/standards/standards.html.It is important to consider the requirements of these standards in the early stages of
designing your small bar.
STEP 4
Period of notification
STEP 5
Assessment
STEP 6
Determination
DAs for bars are generally required
to be advertised and notified for 21
days. However, the length of time
for notification may be increased
(not reduced) at the discretion of the
assessing officer, in response to the
specific characteristics of an application
and the likely impact of the proposal.
A City of Sydney planning assessment
officer will take into consideration
all relevant planning legislation,
submissions received, comments
from external and internal parties and
may ask the applicant to amend and
resubmit plans as necessary.
Unless significant objections are
received or some other matter is
identified in the assessment process,
the application will be determined
under delegated authority and will
not be required to be determined by
Committee or full Council.
Liquor licence requirements
An application for a liquor licence can be made at the same time as you lodge the DA, and approval will be granted by OLGR
subject to an approved DA. It is recommended you review the information provided on the OLGR website to assist with the
application process. Liquor licence information for new applicants is available at: olgr.nsw.gov.au/liquor_licensees_new.asp
Information typically required to be provided when making an application for a general bar hotel licence to the OLGA is as follows:
STEP 1
Obtain National Police Certificate
Before you lodge an application for a
general bar licence, you must obtain a
National Police Certificate to determine
your suitability to hold a liquor licence,
which includes a criminal records
check. Visit police.nsw.gov.au for
more information about how to apply.
STEP 2
Notice of Intention to Lodge an
Application for Liquor Licence
Before you lodge an application for a
general bar licence, you must obtain
a Notice of Intention to Lodge an
Application for Liquor Licence, which
is completed and circulated (by you)
to owners and occupiers of premises
within 100 metres of the proposed small
bar, and relevant authorities and other
community stakeholders which may
include schools, churches, medical and
drug facilities etc.
The notification for a 30-day period
is used as the basis for preparing a
Community Impact Statement (CIS) you
must prepare before lodging a formal
application with OLGR. Notification
requirements are set out in the relevant
application form and fact sheet
available at:
olgr.nsw.gov.au/liquor_forms.asp
STEP 3
Documentation to be Submitted with
application
Liquor licence application forms are
available for download from the OLGR’s
website at:
olgr.nsw.gov.au/liquor_forms.asp
Ready to apply for your liquor licence?
You will need:
• Your application form;
• The application fee of $500 for small
bars (general bar hotel licence);
• A CIS – Category B;
• A scaled plan of the proposed
licensed premises; and
• A copy of the council’s DA approval
for the proposed premises.**
**If your DA has not yet been
approved, you may be able to lodge
it when it becomes available i.e. while
the application is being assessed by
the OLGR.
Documentation submitted to OLGR is
notified for 30 days. The CIS received
by the OLGR is placed on public display
before an application is determined. It is
displayed on the OLGR website:
olgr.nsw.gov.au. Persons or
organisations notified of a proposal will
also be notified of the application if the
proposal goes ahead. The CIS can be
viewed and submissions made directly
to OLGR.
Development
Applications are
required to be
advertised and
notified for 21 days
How To Open A Small Bar In The City Of Sydney
Page 6
FAQ
1. Can the City provide me with
a space to open a small bar or
business?
No. A person looking to open a business
in the city must find and obtain their
own premises. City-owned properties
are available for lease through the City’s
Properties division via a competitive
tendering process.
2. How can I find out which laneways
are being upgraded?
The City has an ongoing program
of capital works improvements.
Information and updates regarding
the Laneway Revitalisation project can
be found at: cityofsydney.nsw.gov.
au/Development/CityImprovements/
RoadsAndStreetscapes/
CBDLanewayUpgrade/Default.asp
3. Does the Finegrain Business
Development Matching Grants
program apply to any small business
in the city?
No. To be eligible to apply, applicants
must have a business located within a
laneways precinct in the city centre, or a
unique, interesting, innovative business,
located in an underutilised space, such
as a laneway or unoccupied premises.
More information about the program can
be found at: cityofsydney.nsw.gov.au/
business/CityEconomy/Finegrain.
asp
6. Can I lodge my application for a
liquor licence at the same time as
my DA?
Yes. Applications for liquor licences need
to be lodged with the OLGR. Note the
OLGR will issue a liquor licence subject
to development consent from the City. It
is recommended you complete the CIS
before or during the DA process.
7. What type of liquor licence will I
require for a small bar?
Hotel licence – general bar. More
information regarding liquor licence
applications can be found on the OLGR
website at:olgr.nsw.gov.au/liquor_
licensees_new.asp
8. What approvals are required for
use of the footway?
The types of approvals required for use
of the public footway are dependant
upon your location in the LGA:
a. Development consent is required in all
areas, other than those subject to South
Sydney LEP 1998 (i.e. located in the
former south Sydney LGA). The DA is to
describe in writing and plans the number
and location of table and chairs within
the footway; and
4. Where can I find the DA form?
b. Approval is also required under the
Roads Act 1993 in all areas for footway
restaurants. Persons seeking consent
to use the public footway are required
to complete and application to use the
footway.
Visit the City’s One Stop Shop, Service
Centres or download from the City’s
website at: cityofsydney.nsw.gov.
au/development/documents/forms/
ApplicationForDevelopment.pdf
Forms can be obtained from
cityofsydney.nsw.gov.au/
Development/CityImprovements/
RoadsAndStreetscapes/
CBDLanewayUpgrade/Default.asp
5. May I talk to someone at the City
about my DA?
Applications for footway usage can be
lodged at the same time as the DA for
any building works.
Yes. Visit the City’s One Stop Shop and
ask to speak to the Duty Planner, or call
02 9265 9333.
Owner’s consent from Council is
required before you lodge any DA
on council-owned land, including the
footway. Owner’s consent is not DA
Persons seeking consent to use the
public footway are required to obtain
consent for use of the footway
approval; it only gives consent for you
to submit an application for the use of
City-owned land.
9. Can I get a map of the city’s
laneways?
Yes. A map of the city’s laneways is
printed at the back of the Finegrain
Business Development program
information and guidelines brochure,
or it can be downloaded from the
City’s website at:cityofsydney.
nsw.gov.au/Development/
documents/CityImprovements/
CBDLanewayUpgrade/
CentralSydneyLanewaysAreaMap.
pdf
10. What happens when I find a
space I want to use?
Once you have found your location,
you should review the relevant planning
controls to check your proposal is
allowed in that location. Once you
have done your ‘homework’, which
should include liaison with the adjacent
stakeholders and the City’s Business
Adviser (Finegrain), you can seek advice
from City planners and begin the DA
process.
11. Why does it take so long to get a
DA and then a licence?
The DA process is governed by
the Environmental Planning and
Assessment Act 1979 and is regulated
by the City’s planning instruments. Time
frames for advertising and comment
are set down in the City’s Local
Environmental Plan. The time frame for
obtaining a liquor licence is regulated
by the Liquor Act 2007. If you wish to
open a small bar, you must ensure
your proposal is permissible within the
planning regulations, that applications
are completed and all required
documentation is included to avoid
delays. You may start the CIS process
and lodge your liquor licence application
while your DA is being assessed.
A Process Guide For Small Business Owners And Operators
Extended hours
are possible if
sought as part
of the general
bar licence
application
12. What restrictions are there on
trading hours for bars?
Trading hours are regulated by the Liquor
Act and the City of Sydney Late Night
Trading Premises DCP 2007. Under the
Liquor Act, the standard hours for a general
bar licence are 5am and midnight Monday
to Saturday, and 10am to 10pm Sunday.
Extended hours are possible if sought as
part of the general bar licence application.
Under the requirements of the City of Sydney
Late Night Trading Premises DCP 2007, a
small bar would be categorised as Category
B premises. For Category B premises
operating in the city centre, the ‘base’ hours
are 7am to 2am and 6am to 1am. Extended
hours beyond the ‘base’ hours can be
applied for a 12-month trial.
For applications submitted after 30 October
2008, a six-hour closure period applies to
all liquor licences, usually starting at 4am to
10am.
It should be noted the DA is the overriding
authority for trading hours.
13. What is the definition of a ‘small
bar’?
There is no definition for a small bar under
the Liquor Act. Under the City of Sydney
DCP a small bar is considered to be a
Category B premises with less than 120
Page 7
patrons.
A small bar is generally considered to be
a proposal seeking to operate as licensed
premises under a limited hotel licence –
general bar. A general bar would need
to satisfy the requirements of the City of
Sydney’s Late Night Trading Premises
Development Control Plan 2007: Category
B – Low Impact Premises i.e. premises with
a capacity for 120 patrons or less (including
outside areas) and the primary purpose is
the sale of liquor for consumption on the
premises.
Typically the work would entail internal fit-out
and relatively minor alterations and additions
to a building, and a change of use from retail
or commercial premises or modification to
existing licensed premises.
14. Can I apply to use the footpath if it is
not adjacent to my premises?
Seating may be permitted to extend outside
of adjacent premises provided there are no
reasonable objections from the owner and/
or tenant of those premises.
Page 8
How To Open A Small Bar In The City Of Sydney
NO
Identify Location
Do you require development consent?
YES
Apply for footway
approval if applicable
•DA forms available for download
on City website
Obtain Development
Approval
• Speak with relevant Area Planner re:
any specific concerns
•Owners consent from City’s
properties section required
Obtain Liquor Licence
through OLGR
• Forms and procedure available
from OLGR website
•Council planning regulations
and policies apply
DA required for structures
and use of footpath
• Occupiers of premises within100m
to be notified of licence proposal
• Key requirements include SEE
Open for Business
Ensure compliance with conditions
of consent (i.e. Trading hours) and
liquor licence
Obtain Occupation Certificate
from Council or PCA
Conditions of consent will be required to be
met prior to issue of Construction Certificate
• B
uilding codes and standards apply
Obtain Construction Certificate
from Council or PCA
• City will notify surrounding residents
of application
•CIS required to be completed
prior to lodgement of application
•DA approval will be required
prior to issue of liquor licence
•Application should be made for
a “general bar hotel licence”
• Approval given under relevant
legislation i.e. NSW Road Act /
Crown Land Act
How to open
a small bar in
the city of Sydney CBD
Existing Premises
(DA in place - no changes to conditions
of consent required)
NOTE:
SEE – Statement of Enironmental Effects
PCA – Private Certifying Authority
OLGR – Office of Liquor Gaming & Racing
CIS – Community Impact Statement
Page 9
A Process Guide For Small Business Owners And Operators
Small Bars –
Development
Application
Assessment Process
PRE-DA
OWNERS CONSENT
Plans
LODGEMENT
Statement of Environmental Effects
Acoustic Report
Plan of Management / Security Measures
Heritage Impact Statement
21 days
NOTIFICATION
ASSESSMENT AND REPORT WRITING
AMENDMENTS
Amended Plans Lodged
DETERMINATION
Delegation or Council
Re notification &
Relevant referrals
14-21 days
Internal
REFERRALS
External
NSW Police
Office of Liquor, Gaming
and Racing
Heritage Council
Heritage / Urban Design
Building / Health
Access Panel
Licensing Unit
Public Domain Unit
Traffic Unit
Safe City Unit
How To Open A Small Bar In The City Of Sydney
Process Guide Checklist
1. Review the City’s guide to opening a small bar and relevant information available
on the City’s website;
2. Complete your business plan;
3. Identify the location for your business and availability of potential premises;
4. Check whether your proposal is permissible with regard to the City’s planning
instruments (plans, codes and policies) in your proposed location;
5. Check whether your are required to lodge a development application for your
proposal (i.e. DA in place – no changes to conditions of consent required);
6. Consider suitability of the premises with regard to building codes and standards
including access to premises standards and sanitary facilities.
7. Arrange a preliminary meeting with the City’s Business Adviser (Finegrain);
8. Prepare necessary plans to demonstrate your proposal; and
9. Arrange a pre-DA meeting with a City planning officer.
Once you have confirmed your proposal is permissible:
10. Finalise any lease negotiations and prepare documents for lodgement of DA
(refer Part 11 of DA form);
11. Complete DA form, compile documents for lodgement of application, obtain
owner’s consent and lodge DA;
12. If footway approval is required, obtain owner’s consent and lodge application
for use of footway; and
13. Obtain liquor licence from OLGR; apply for National Police Certificate and start
the CIS process.
Once you have obtained necessary approvals (DA, liquor licence):
14. Make sure you have read and understood your conditions of consent;
15. Comply with all conditions of consent – some conditions may require additional
information to be lodged prior to the issue of a construction certificate (CC);
16. Obtain CC from the City or private certifier (PCA);
17. Start construction works/fit-out; and
18. Obtain occupation certificate (OC) from the City or a PCA.
Note:
Once all approvals are obtained and business is open, ensure compliance with ongoing conditions of consent.
Page 10
A Process Guide For Small Business Owners And Operators
Page 11
More Information
A guide to lodging DAs
cityofsydney.nsw.gov.au/Development/DevelopmentApplicationGuide/PreparingandLodgingaDA.asp
Sample DA application for a small bar (guidance only)
cityofsydney.nsw.gov.au/Development/DevelopmentApplicationGuide/SmallBarProcess.asp
Finegrain Business Development Program - Guidelines
cityofsydney.nsw.gov.au/Business/AwardsPrograms/Finegrain.asp
Footway usage application process for outdoor dining
cityofsydney.nsw.gov.au/Business/ApprovalsPermitsAndNotifications/FootwayApprovals/ApplicationProcess.asp
© 2012 City of Sydney. To be used as a guide only.