By Rémi Dudreuil, Managing Director of Cabinet Licence 4
Updated on
The decisive criterion: the 450-resident threshold
The French Public Health Code (Article L3332-1) prohibits opening a 3rd-category establishment in a town where the total number of 3rd and 4th-category establishments reaches one per 450 residents.
- Threshold reached: no new Licence III can be created. Existing licences are rare and sell well.
- Threshold not reached: an entrepreneur can sometimes create their own licence. Yours remains useful, in particular to save time, but its price is more modest.
The other criteria
Local demand
Wine bars, wine and small-plates bars and delicatessens are concentrated in town centres and tourist areas.
Possible transfers
A Licence III can move to another town in the département or a neighbouring département, provided the receiving town can accept it.
Its validity
Like the Licence IV, a Licence III not operated for more than five years is cancelled.
Licence III and Licence IV: what difference in value?
The Licence IV covers all drinks, spirits included, and in principle can no longer be created: it is generally worth more. The Licence III only covers drinks from groups 1 and 3; its value depends mainly on the threshold in the town.