In order to operate a bar business legally, you need certain licenses as required by state and federal statute. You need business licenses for an array of things, such as health, fire, liquor, alcohol beverage, and others. Operating a bar entails a wide range of legal and bureaucratic hoops that you need to jump through. The process of meeting all legal requirements for this type of business is more tedious, complex, and time consuming as compared to other businesses. After all, besides the federal laws, every state has specific additional laws that you must comply with.