Get paid for your recipes?

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tokerlund

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Joined
Mar 24, 2012
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Location
Fargo
I had a friend who opened a homebrew shop. My brother suggested instead of stocking the run-of-the-mill kits, he just have some brewer friends provide their favorite recipes. He expand on that idea and created Bucks For Your Brews.

Basically you provide a detailed recipe and if it is accepted it becomes a 'kit' in his online store. Then for every kit sold, you earn a $1. There are also bonuses and such. I thought it was 'cute' or fun for those of us that knew him. I felt bad when he sent me a gift certificate for my recipe. Well, apparently it took off. I have only had my brew kit live for a month or so, but I got my first check. It wasn't much, but I am a 'paid brew-master' now :p


If you are interested and you are in the Upper Midwest check out his site. Some things are limited, but I love to deal with him since Midwest went to crap. Besides, Rusty and Ann are great people and I love to support small businesses. Just trying to pass it along to those who want to see their favorite hand crafted recipe available for the unwashed masses to order up and brew at home. It also makes ordering your own "house brew" pretty easy.

He ships all over the upper Midwest at the lowest rate I can find (Twin Cities to Fargo, ND for $8).

http://knowhowbrewsandfoods.com/homebrewing-ingredient-and-equipment-kits/bucks-for-your-brew
 
When I saw the title, I thought for sure it was some new kick starter scheme. But, actually that sounds pretty cool. Sorta a way of giving back from the LHBS and a neat way for the home brewer to get a little recognition. Seems harmless enough. :mug:
 
The the $1 per isn't a make or break thing, but it is kind of cool to get a count of how many other people are brewing up your concoction. I think it is more of an ego boost thing. I also like to see the LHBS that is interested in sharing. Not that I need any of the money, but it feels more like a community or club.

Now, if I hit the benchmarks that give me bigger money, well that just goes back into the brew shop.
 
A better option might be in store credit since if your kit sells well enough you'll need to worry about paying taxes on it (it is technically an income). Since he'll should be reporting those pay-outs if the IRS sees a large enough amount getting paid to someone that they haven't claimed it could end up getting them in some trouble. I believe in store credit isn't really consider taxable income so will keep people from getting into trouble.
 
I agree with the store credit thing. Makes it much cleaner as far as tax stuff goes and we all know that you end up spending more than the store credit anyway so it goes back into his business.

Sent from my SM-N900V using Home Brew mobile app
 
i also like the idea store credit thing becuase it will generate a very small amount of money for the store but it can do a good deal for building customer loyalty and appreciation.
 
Yeah, I think I'll make that suggestion to him. I spend easily several hundred in his online store every year, a few additional dollars in credit might help me spend more.

I really enjoy the ability to just one-click order a kit, but also be able to get my specially designed recipe. Not that I am Julia Child of beer or anything, but I like what I like! I think my next submission will be an All-Grain bastardized version of Surly Furious. I just brewed it up with the same grain bill, but alternate hops (what I keep on hand). It was tasting pretty good. I may have to run the recipe 3-4 times before I submit just to make sure I work the kinks out.
 
A better option might be in store credit since if your kit sells well enough you'll need to worry about paying taxes on it (it is technically an income). Since he'll should be reporting those pay-outs if the IRS sees a large enough amount getting paid to someone that they haven't claimed it could end up getting them in some trouble. I believe in store credit isn't really consider taxable income so will keep people from getting into trouble.


+1 to this. Personally, I think this sort of thing would cost more to administer (keeping track of recipes, store credit, who bought what, etc.) than the value it adds to the business (e.g. who the F is tokerlund and why should I buy his Surly Furious clone?)

But that is my opinion, on the face it sounds like a cool idea. The business owners will definitely want to structure it so they don't have mess with taxes (technically they now need to send you a 1099 to tokerlund for his income from the recipe).
 
From people I deal with at work I'm lead to believe 1099s don't need to be issued unless the income is more than $600. I'm not claiming this to be 100% correct but if it's not a lot of people seem to be misinformed :)


Sent from my iPhone using the Home Brew Talk App
 
+1 to this. Personally, I think this sort of thing would cost more to administer (keeping track of recipes, store credit, who bought what, etc.) than the value it adds to the business (e.g. who the F is tokerlund and why should I buy his Surly Furious clone?)

But that is my opinion, on the face it sounds like a cool idea. The business owners will definitely want to structure it so they don't have mess with taxes (technically they now need to send you a 1099 to tokerlund for his income from the recipe).

Yeah, that is why it is marketed to a loyal customer base. This isn't Midwest or Northern Brewer. I know the guy personally, so maybe I am biased, but I bought kits from other brewers that I don't know at all. Granted they were extract, but I liked buying something that I knew another guy has spent time crafting and brews regularly. I mean, if I could by a kit for one of Yooper's special brews I would. I can easily copy her recipe and go down to the local LHBS, but if I'm buying kits. . . it's likely because I like the convenience. I also think there is something to be said for buying a kit attributed to a regular guy vs. just "Irish Red". It makes me feel the same way I do when I go to the local hardware store vs. Home Depot.

In the end, it probably isn't that different, but it maybe hits on the pride factor and maybe a sense of belonging. Maybe a bit of bragging rights for the kit-sold-count. In reality it ticks a lot of the same boxes that recent gamification marketing does. I don't know how much it has taken off, but Rusty seems to be getting enough business that way to make it a focus.
 
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