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Manufacturer Permit Cost?

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Khirsah17

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Just out of curiosity, I was looking at how much it costs to buy a beer production permit from the State of Ohio. To get an A1 permit, allowing me to simply make beer for commercial purposes (but not sell on the premise), costs $3,906! And I'm going to guess that's yearly. Holy crap! I was thinking about selling beer for small social events/gatherings, but damn. I'd have to have REAL good business in order to make up for the cost of the permit alone, much less ingredients and time.

How much does it cost in your respective state? If you want to sell beer, you really have to swing for the fences and start a microbrewery. Doesn't seem very financially possible to simply start small and grow.
 

gpogo

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I've heard that starting a winery is actually a lot easier to start compared to a brewery(i have not researched this at all) especially in towns where BMC is produced.

In St. Louis for example I was talking to some of the workers at Schlafly Bottleworks and they explained to me that Schlafly is really a winery and makes cider once a year to stay legal, other than that they brew beer(bottled and sold all over missouri).

Unfortunately since moving to CA I haven't been able to get ahold of anymore schlafly(not to say there aren't delicious beverages here!)
 

Sir Humpsalot

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Khirsah17 said:
Just out of curiosity, I was looking at how much it costs to buy a beer production permit from the State of Ohio. To get an A1 permit, allowing me to simply make beer for commercial purposes (but not sell on the premise), costs $3,906! And I'm going to guess that's yearly. Holy crap! I was thinking about selling beer for small social events/gatherings, but damn. I'd have to have REAL good business in order to make up for the cost of the permit alone, much less ingredients and time.

How much does it cost in your respective state? If you want to sell beer, you really have to swing for the fences and start a microbrewery. Doesn't seem very financially possible to simply start small and grow.
Nah. If you want to do that, you get three investors with steady Federal Tax Refund checks to each kick in $1,000 or so each. In exchange, you let them have the coolest parties 4 times a year and invite all their friends to the brewery they own to drink some awesome stuff. And maybe once a week they come in and help out. The rest of the time, they leave you alone to brew and do your thing..

You do the dirty work. Let them think that brewing is the easiest business in the world. Make it a white gloves hobby for them... They come in occasionally, do their thing, and leave. Sure, they will have a warped perception, but who cares so long as somebody else is happily paying your expenses?
 

CBBaron

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gpogo said:
I've heard that starting a winery is actually a lot easier to start compared to a brewery(i have not researched this at all) especially in towns where BMC is produced.

In St. Louis for example I was talking to some of the workers at Schlafly Bottleworks and they explained to me that Schlafly is really a winery and makes cider once a year to stay legal, other than that they brew beer(bottled and sold all over missouri).

Unfortunately since moving to CA I haven't been able to get ahold of anymore schlafly(not to say there aren't delicious beverages here!)
In Ohio a winery license is under $200/yr but the restrictions are that the product has to be primarily from fruits grown on the property. It is used as a way to encourage diversity in agriculture in the state. A brewery that made the occasional cider would have to get a brewers license.
I think there is some additional federal licensing that is required in addition to the state licenses so if you are serious make sure you check the feds also.
Craig
 

zoebisch01

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Yeah it's over 2k here in PA, and a 'renewal fee' every year. The good thing is, if you get a brewery license, you can sell your own beer on premises which allows you to bypass the disgusting liquor license which are market driven and on the order of several hundred thousand dollars to more (depending on the region).

So your break even point is not feasible for 'just easing into' it. You really have to make full time of it, or work 16 hour days, 8 at a 'day' job, the other 8 at the brewery.
 

pjj2ba

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In PA it is only something like $400 for a winery license. Way cheaper than a brewery license. I actually wrote to our state congressman about this and never heard a reply - no surprise. My only thought was that MAYBE this could be justified IF the wineries were using grapes produced in the state and this is a way of promoting local agriculture and products. If they're buying grape juice, then Grrrrrrrr - I call Shenanigans!
 

david_42

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For whatever reason, alcohol control boards are anti-beer. Last year, the wackos here passed a ruling to prevent children from being at beer events, but not wine events! I guess being a wino is ok.

How much it costs to brew and sell beer in Oregon depends on your intent: brewing just for distribution is different from running a brewpub.
 
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Khirsah17

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Wouldn't it be great if they'd create multiple tiers based on annual barrel production levels?
*sigh* Yea, that would be great.

I guess this all comes up because I am brewing 4 kegs for my buddies wedding. Now word got out, and I have a bunch of people wanting me to brew beer for their weddings, and offering to pay. That would be great, but I'm not sure where paying turns illegal. My guess is getting paid to buy the ingredients is ok, but anything above that is probably not legal. But if I could make small quantities of beer and get paid for it legally, I might be able to turn a small profit doing weddings and such as a small side gig.

Who knows where it would go from there :)
 

Beerlord

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Surprisingly in NY state it's only $900 for a microbewery licenese. I'm willing to bet thou, that there are at least $5000 in hidden fees. NY is very anti small business.
 
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There's usually a minimum yield after the first year.
In AZ, I believe that it is a license to brew up to 20,000g but after the first year you must make at least 5000g.
 

Jumbo82

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Khirsah17 said:
*sigh* Yea, that would be great.

I guess this all comes up because I am brewing 4 kegs for my buddies wedding. Now word got out, and I have a bunch of people wanting me to brew beer for their weddings, and offering to pay. That would be great, but I'm not sure where paying turns illegal. My guess is getting paid to buy the ingredients is ok, but anything above that is probably not legal. But if I could make small quantities of beer and get paid for it legally, I might be able to turn a small profit doing weddings and such as a small side gig.

Who knows where it would go from there :)

I think you could skirt the law by selling someone the wort. As long as they pitch the yeast, they technically made the beer. You could have them come to your place, pitch the yeast, then offer to let them store "their" beer there until its time to be kegged. You'd just watch over it for them. Then you'd keg up "their" beer and bring to whatever function they wanted it at. You didn't sell them beer, you just sold them wort which they turned into beer in your house. I don't see how this would be a problem (although I'm not a legal expect and might be missing something). Just a thought.
 

Brewtopia

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In Washington State for a Public House License which is what I am applying for is $1000.

From the WA State DOL
Public House
A retail license that allows the manufacture of no less than 250 gallons and no more than 2,400 barrels of beer on the licensed premises, and the sale of beer and wine at retail for on-premises consumption...............................................................................................................
$1,000
We will also be applying for a license that will allow off-premise sales of beer and wine. This runs an additional $120

To sell beer and/or wine for off-premises consumption in original, unopened containers. Tap beer may also be sold for off-premises consumption in kegs not less than four gallons and in other sanitary containers…………………………………………………………………………………$120
 

c.n.budz

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In CT it's a little over $1800 to apply for a manufacture/distributor license and that doesn't include having a brewpub, it's just to brew the beer and distribute to bars. That price is also just to apply for the permit and doesn't count additional fees and taxes...
 

Passload

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In Illinois: Manufacturer Application
A Manufacturer's license consists of the following license classes and fee amounts: Distiller—$3,600; Rectifier—$3,600; Brewer—$900; 1st Class Wine Manufacturer—$600; 2nd Class Wine Manufacturer—$1,200; 1st Class Wine Maker—$600; 2nd Class Wine Maker—$1,200; Limited Wine Manufacturer—$120. REQUIRED: In addition to the above application and its supporting files, you must provide the Illinois Liquor Control Commission with copies of your Federal Basic Permit (click on link to download application) and all Federal Label/Bottle Approvals (click on link to download application).
 

CBBaron

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Check that,
you can set up a winery in Ohio and sell that wine on premise for a fee of only $76. :eek:
For an extra $25 you can ship that wine to consumers.
It allows for the import of up to 40% of your wine or juice for blending. Wine is defined as fermented fruit juice with alcohol content between 1/2% and 21% ABV.

As was mentioned it costs $3906 to start a brewery of any size.

Craig
 
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Khirsah17

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Man, a winery gets quite a break. I really want to hear the reasons as to why the legislators thought breweries needed to so much more expensive. The way I see it, more breweries bring in money for the government, so everyone would win. Local breweries employ local workers.

I wonder who you would write to, to try and appeal for a 'Public House' type permit?
 

CBBaron

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Khirsah17 said:
Man, a winery gets quite a break. I really want to hear the reasons as to why the legislators thought breweries needed to so much more expensive. The way I see it, more breweries bring in money for the government, so everyone would win. Local breweries employ local workers.

I wonder who you would write to, to try and appeal for a 'Public House' type permit?
The winery permit is an encouragement of local agriculture. Atleast 60% of the wine has to be made from locally grown fruits. This type of license is the main reason for the preservation and expansion of the vineyards in the region around Lake Erie.

Brewery's are seen as an industry that manufactures intoxicating beverages. Even a big brewery employs a fairly small number of people. The license is small enough to not be a big concern for a large brewpub or micro but large enough to pay for the enforcement and discourage small time operators that would complicate the the enforcement efforts with a proliferation of "brewerys".

Still I think the laws could be a little more progressive.

Oh I did find a small bit of progressive thinking in the codes. Distillation for fuel is exempt from Ohio liquor laws. You only have to get the permit from the feds to legally distill fuel in your back yard. Ofcourse this also tends to encourage local agriculture as the primary feedstock for ethanol fuel is corn.

Craig
 

EamusCatuli

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Passload said:
In Illinois: Manufacturer Application
A Manufacturer's license consists of the following license classes and fee amounts: Distiller—$3,600; Rectifier—$3,600; Brewer—$900; 1st Class Wine Manufacturer—$600; 2nd Class Wine Manufacturer—$1,200; 1st Class Wine Maker—$600; 2nd Class Wine Maker—$1,200; Limited Wine Manufacturer—$120. REQUIRED: In addition to the above application and its supporting files, you must provide the Illinois Liquor Control Commission with copies of your Federal Basic Permit (click on link to download application) and all Federal Label/Bottle Approvals (click on link to download application).

Im a resident of illinois too. One of these days its my small goal to be able to sell my beer through an intermediary (bars, liquor store, etc). With these applications *if all goes through,* would this be possible as a small side-job? Or would this still necessitate an all or nothing, full time approach? Gees why does it have to be so friggen hard to enter, is there a governor I can vote for who is beer friendly :ban: ? haha
 

paranode

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In TX a brewpub license costs $680, then you have to buy a separate on-premises license if you want people to be able to consume it on-site. That's $385 more, or $1235 if you live in Dallas, Tarrant, or Harris Counties (D/FW or Houston). Then a manufacturer's license is $1027.
 

Brentk14

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david_42 said:
For whatever reason, alcohol control boards are anti-beer. Last year, the wackos here passed a ruling to prevent children from being at beer events, but not wine events! I guess being a wino is ok.

How much it costs to brew and sell beer in Oregon depends on your intent: brewing just for distribution is different from running a brewpub.
What are the price differences for the two?
 
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