If you want to take your interest in craft brewing to the next level, read what you’ll need to do to open your own successful brewery business.
Crafting beer is an art form. If you dabble in brewing beer and think you have a product you can bring to market, you may want to open your own brewery. There are many considerations before you open your doors, though. Here’s how to start your own brewery, complete with a brief progression through the process.
Consider Your Financing
Every business needs sufficient funding. Obtaining investment for your brewery will require both diversification and compliance with certain laws. SBA 7(a) and community banks are a good starting point, but many breweries may focus on private investments, too. Crowdfunding is a popular modern method that gives hundreds of your existing connections the chance to join your business. When you receive private funding, you still need to obey federal regulations. To do this, you must spell out to your investors how you’ll do this through written disclosures.
Choose a Location
Next, you’ll want to choose your physical location where you’ll brew and sell your product. While you should plan for growth by planning for expansion, you don’t want to lease a space that costs too much per month. Find the happy medium that allows you to incorporate brewing equipment without sidling you with debt. Don’t forget—another aspect of future growth is where you build. A more urban area promises more traffic, but a community brewery may become a feature of the town.
Buy the Proper Equipment
Another facet of starting a brewery is buying the equipment to create your brews. Fermentation tanks, kegs, conveyor belts, storage tanks, filtration systems, and more allow you to run a streamlined operation. Your equipment costs depend on your venture’s scale.
Consider Distribution Options
Once you have a way to brew your beverages, you can turn to distributing them to eager customers. You can either partner with an outside distributor to handle the entire process or do it yourself. If you’d like control over shipping your product, you’ll need to be aware of certain alcohol transportation requirements, including the need to know of state’s alcohol shipment regulations before you deliver across state lines.