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Old 06-26-2011, 09:52 PM   #1
NigeltheBold
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Default Microbrewery Kegging and Bottling

I'm working on a business plan for a 10bbl microbrewery with an annual output of about 1000 barrels. Some of our beer will be distributed in bottles, and some of of it will be distributed in kegs. The problem is, I have no idea how much of it will be distributed in each. Therefore, I have no idea how many kegs we'll need and how much it will cost to buy/maintain them or lease them from a company like MicroStar.

What's the best way of going about this? Should I try to estimate the number of local accounts we'll have that require kegs? Off the top of my head, I can think of about 10 pubs/restaurants that would probably serve our beer on draft in the first year (hopefully more than one of our beers at a time). Once we establish ourselves a bit more, who knows how many places will want to serve our beer on draft?

Any thoughts?

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Old 06-27-2011, 08:09 AM   #2
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Old 06-27-2011, 09:52 AM   #3
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Originally Posted by Chabutna View Post
I'm working on a business plan for a 10bbl microbrewery with an annual output of about 1000 barrels. Some of our beer will be distributed in bottles, and some of of it will be distributed in kegs. The problem is, I have no idea how much of it will be distributed in each. Therefore, I have no idea how many kegs we'll need and how much it will cost to buy/maintain them or lease them from a company like MicroStar.

What's the best way of going about this? Should I try to estimate the number of local accounts we'll have that require kegs? Off the top of my head, I can think of about 10 pubs/restaurants that would probably serve our beer on draft in the first year (hopefully more than one of our beers at a time). Once we establish ourselves a bit more, who knows how many places will want to serve our beer on draft?

Any thoughts?
If I was looking at a business plan that had too many estimates in it I would pass it up pretty quickly. If it was me I would take some time and actually got to those 10 or so places and see if they actually would serve your beer and how much they would expect to go through. Then base the business plan on that.
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Old 06-27-2011, 10:04 AM   #4
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You may be able to see what some other local microbreweries have going as far as what percentage of each they put out and at least have a rough estimate to start with.

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Old 06-27-2011, 10:15 AM   #5
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Originally Posted by Chabutna View Post
I'm working on a business plan for a 10bbl microbrewery with an annual output of about 1000 barrels. Some of our beer will be distributed in bottles, and some of of it will be distributed in kegs. The problem is, I have no idea how much of it will be distributed in each. Therefore, I have no idea how many kegs we'll need and how much it will cost to buy/maintain them or lease them from a company like MicroStar.

What's the best way of going about this? Should I try to estimate the number of local accounts we'll have that require kegs? Off the top of my head, I can think of about 10 pubs/restaurants that would probably serve our beer on draft in the first year (hopefully more than one of our beers at a time). Once we establish ourselves a bit more, who knows how many places will want to serve our beer on draft?

Any thoughts?
How about holding off on bottling altogether and focus getting kegs into bars and expanding your account base? It makes for an easier supply line, less capital to start up (no bottling line) and allows you to "grow" into the market gradually.
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Old 06-27-2011, 04:43 PM   #6
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I also live in Dayton and have been going through the process of starting a Micro for over a year now. If you want any help or want to talk beer shoot me a message.

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Old 06-27-2011, 09:41 PM   #7
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You need too sell alot more than 1000 bbls a year to get a contract for kegs with micro-star. I believe the min. is 5000BBL/year.

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