A
accounting services, 55–56
ACSA (American Craft Spirits Association), 11, 13–14, 50, 143
advertising, 14, 20, 44, 118–119, 128, 130, 134. See also branding strategy; marketing strategy
advice from experts, 24–25
Alaskan Brewing Company, 32, 151
Albemarle CiderWorks, 76–77
Alcohol and Tobacco Tax and Trade Bureau (TTB) rules, 52–54
Allen, Gregory S., 105–106
American Craft Spirits Association (ACSA), 11, 13–14, 50, 143
American Distilling Institute, 13, 27
American Spirit (Rodewald), 37
Anchor Distilling, 12, 149–151
Angel City Brewery, 78
Angry Orchard Hard Cider, 16, 21
Anheuser-Busch. See also Big Beer
campaign against Boston Beer, 21
consumers and, 93
distribution disputes, 65–66
hard cider introduction at, 16
partnering with craft, 81–82
purchasing craft breweries, 9, 114–116
Appalachian Mountain Brewery, 81
Art of Distilling Whiskey and Other Stories, The (Owens and Dikty), 87
artisan hard cider. See hard cider
asset protection, 69
Audacity of Hops, The (Acitelli), 87
auditing services, 56
Austin, Nicole, 3
B
Balcones Distilling, 105–106
bank financing, 107
Beatty, Celeste, 83–85
Beer Act, 8
beer production rankings by state, 59–60
beer sales rankings, 131
Bennett, Brooks, 36–38
Benoit, Travis, 112
Berry Brothers & Rudd, 150
Beyond the Pale (Grossman), 68
Big Beer. See also Anheuser-Busch; MillerCoors
distributors of, 91
getting into craft, 90–91
hops and, 135
mass marketing of, 11
purchasing craft breweries, 9, 114–116
Blue Point Brewing Company, 114, 116, 144
Bold Rock Hard Cider, 16
bond coverage, 53
Boston Beer Company. See also Koch, Jim
Alchemy & Science division, 77–79
Anheuser-Busch campaign against, 21
canned beer and, 119
contract brewing and, 143
going public, 21
hard cider introduction, 16
success of, 9
taxes and, 54
TV ad campaign of, 118
Boulevard Brewing Company, 151–152
bourbon, 75
Bourbon Strange (Cowdery), 87
brand selling, 112–113
branding strategy, 117–124. See also marketing strategy
Braxton Brewing Company, 108
Brewcraft USA, 26
breweries
Big Beer purchasing craft, 114
described, 6
future of, 10–11
getting started in, 5–6
industry beginnings, 6–7
legislation and, 6–8, 50–54, 58–66
locating your business, 69–74
market share, 10
most successful, 9
regulatory and tax relief efforts, 50–55
state-by-state per capita rankings, 70–71
taprooms in, 2, 32, 58, 60, 73, 127
taxes on, 54
top ten (2014), 5
Brewer’s Apprentice, The (Koch), 33
Brewers Association definition of craft breweries, 6
Brewers Association’s Guide to Starting Your Own Brewery, The (Cantwell), 33
brewery supply market, 133–136
brewing classes, 27–28
Brewing Science Program at University of California-Davis, 26
Brewing Supply Group (BSG), 136
Brewing Up a Business (Calagione), 68
brewpubs, 7
Brooks Dry Cider, 36–39
BSG (Brewing Supply Group), 136
Burkholder, Lars, 94
business advisory services, 55
business descriptions, 43–44
buying existing breweries, 78
C
California Artisanal Distillers Guild, 62
California laws and regulations, 62–63
Cameron, Helen, 86–87
Cameron, Michael, 86–87
capital costs, 9, 99, 102–104, 115
Carter, Troy, 82–83
cash flow statements, 46
cashing out your business, 149
Caspary, Andrew, 34–35
Caspary, Anthony, 34–35
CBA (Craft Brew Alliance), 11, 80–82
Cekola, Terry, 130
Certified Public Accountants, 56. See also accountants
Cider, Hard and Sweet (Watson), 38
cider-making classes, 27–28
Cismontaine Brewery, 100
classes, 27–28
Clinton, Bill, 84
Clouser, Larry, 26
commercial hard cider, 16
competitive analysis, 45
Complete Joy of Homebrewing, The (Papazian), 26
consumers, 89–95
contract brewing, 143
Coturri, Tony, 82
Craft Beer Revolution, The (Hindy), 33
craft beverage industry
beginnings, 6–7
business options, 25–28
growth in, 11, 14, 16, 147–148
Craft Brew Alliance (CBA), 11, 80–82
craft breweries. See breweries
craft distilleries. See distilleries
craft hard cider. See hard cider
craft movement, 1–5
Craft of Whiskey Distilling (Owen), 37
craft sectors, 5–18
breweries, 5–11. See also breweries
distilleries, 6, 11–15. See also distilleries
hard cider, 6, 15–17. See also hard cider
CraftFund, 111–112
Craftport, 94
CrowdBrewed, 112
crowdfunding, 108–112
culture of craft, 7–10, 12–14, 16
cutting prices, 149
D
day drinking market, 92
defining craft, 139–146
DeLange, Kevin, 127–128
Deming, Andrew, 109–110
demographics of craft consumers, 90, 92
Denizens Brewing Company, 107
depreciation, 115
design and development plans, 45
differentiating your business, 122, 144–146
direct selling, 75
distilleries
craft spirits culture, 12–14
demand and, 136
described, 11–12
distribution of spirits, 80
future of, 14–15
growth statistics, 14
history, 12
infusions and, 79–80
licenses, 2
regulatory and tax relief efforts, 50–51
rising sales of spirits, 12–13
state-by-state map of, 63
tasting rooms and, 62, 75, 80, 99, 125
taxes on, 54
distilling classes, 27–28
distilling equipment, 136
distribution, 44–45, 53, 61–66, 80–83, 85, 91, 128–132
DME Brewing Solutions, 3
Dry Diggings Distillery, 62
Dry Dock Brewing, 127–128
Dupee, David, 111
E
educational programs, 27–28
Elite Brands, 130
engaging customers, 125–127
equipment leasing, 102
equipment selling, 133–137
equity crowdfunding, 111–112
excise taxes, 7, 49, 54, 61, 64
executive summaries, 43
exports, 94–95
Extract, Ron, 61
F
farm-based cider makers, 15
federal laws and regulations, 6–8, 50–51, 52–54. See also laws and regulations
federal taxes, 7, 49, 50–51, 53–54
Fields, David, 86
financial statements, 46–47
financing sources, 97–116
banks, 107
crowdfunding, 108–112
diversifying, 30
equipment leasing, 102
importance of, 84
independence and, 36
investors, 102–107
long-term vision and, 68
SBA loans, 98
self-financing, 99–101
selling brands, 112–113
selling to another craft company, 114
selling to larger companies, 114–116
state loan programs, 107–108
types of, 97–99
Firestone, Adam, 68
Firestone Walker Brewing Company, 5, 68–69
Fleming, David, 73
Florida, 72
Florida Brewers Guild, 72
Foglio, Tony, 150
foreign craft beer industry, 95
formula approvals, 53
Founders Brewing Company, 5, 116
Four Saints Brewing Company, 109–110
Fourticq, Ted, 105
franchise laws, 64
Full Sail Brewing Company, 151
future of craft beverage industry, 10–11, 14–15, 152
G
George, Ann, 135
getting started, 26–28
GIll, Meg, 74
goal setting, 23
Golden Road Brewing, 73–74
Goose Island Beer Company, 9, 114, 116, 144
Grain Station Brew Works, 126
Grand Traverse Distillery, 74–76, 128
Great American Beer Festival, 89–90, 95
Green Star Brewing, 86–87
Greenbar Craft Distillery, 79–80
Greenspun, James, 34
Greggor, Keith, 150
Grossman, Ken, 19–21, 24, 92, 118–119
growth of craft industry, 11, 14, 16, 147–148
H
Halker, MIke, 72
hard cider
artisan hard cider culture, 16
classes in making, 27–28
equipment for making, 77
farm-based makers, 15
market statistics, 17
regulatory and tax relief efforts, 50–51
rising popularity of, 15–16
target market for, 91
taxes on, 54
wine and, 15
Harlem Brewing Company, 83–85
Hartman, Dennis, 130
High West Distillery, 62, 140, 141–142
Hindy, Steve, 33
Hletko, Paul, 142–143
Homebrewer’s Companion, The (Papazian), 26
hops growers, 135
House of Blues, 93
Hutchinson, Leah, 13
I
imports, 95
income statements, 46
infusions, 79–80
intellectual property, 69
international markets, 9, 94–95
internet sales, 64
J
Jester King Brewery, 61
Johnson, Krista, 38
Jones, Lester, 91
June Lake Brewing, 30–32
K
Keeler, Jake, 3
Keith Lemcke, 25
Khosrovian, Melkon, 79–80
Kickstarter campaigns, 30, 108–111
King, David, 150
Kings County Distillery, 3, 27, 140
Kings County Distillery Guide to Urban Moonshining, The (Spoelman and Haskell), 27, 140
Koch, Jim, 19–21, 24, 77, 105, 118, 119. See also Boston Beer Company
L
labor costs, 115
Lagunitas Brewing Company, 5, 9
launching new craft brands, 29–30
laws and regulations, 6–8, 50–54, 58–66
legal business entities, 69
Lewis, Michael, 26
locating your business, 69–74
Los Angeles, 73–74
M
Magee, Tony, 9
Mahou San Miguel, 116
market descriptions, 44–45
marketing strategy, 44, 118–119, 124–132. See also branding strategy
Mass Whole, 85–86
Mathew, Litty, 79
Maverick Drinks, 94
Maytag, Fritz, 12, 148, 149–150
McClosky, Joel, 109–110
McCormick, Tom, 136
McDonald, Kelly, 126
McTavish, Mark, 83
MeadWestVaco, 93
MillerCoors. See also Big Beer
hard cider introduction at, 16, 37
purchasing craft breweries, 151
mission statements, 39–41
Modern Times Beer, 108
N
net worth, 101
New Belgium Brewing Company, 5, 7–9, 151
New Cider Maker’s Handbook, The (Jolicoeur), 38
New York Distilling Company, 13, 99, 126, 127
New York State laws and regulations, 61–62
Newman, Alan, 77–79
niche markets, 133–137
O
Olde Saratoga Brewing Company, 84
Oliveri, Tom, 85–86
101 Cider House, 83
online presence, 125–126
online selling, 64
operations and management plans, 46
Owens, Bill, 13–14
P
Pak, Eugene, 64
partnerships, 67–68
permits, 53
personal asset protection, 69
personal balance sheets, 101
Portland, Oregon, 72–73
Premiere Stainless Systems, 134–135
price cutting, 149
pricing, 44
private equity funding, 98, 106–107
profit margins, 115
R
raw materials costs, 115
record keeping, 55–56
Reding, Michelle, 127–128
Reed, Marcus, 72
regulations, 6–8, 50–54, 58–66
regulatory reform, 50–51
requirements for success, 22–23
Roesch, Ben, 85–86
Rolling Meadows Brewery, 65–66
rye whiskey, 75
S
Saint Arnold Brewing Company, 58
St. George Spirits, 36
sales, 45
Samuel Adams Beer, 20
SBA (Small Business Administration) loans, 98
Seagram’s rye, 140–142
self-distribution, 65–66, 85, 128–129
self-evaluation, 22–23
self-financing, 99–101
selling equipment, 133–137
selling your company, 114–116, 149
Shanks, Brian, 16
Shapiro, Arthur, 141
shares, selling, 69
Shelton family, 76–77
Siebel Institute of Technology, 25
Sierra Nevada Brewing, 3, 5, 9, 20–21, 118
Small Brew Act, 8
Small Business Administration (SBA) loans, 98
Smartfish, 93
So You Want to Start a Brewery?: The Lagunitas Story (Magee), 68
social media marketing, 125
social media word of mouth, 91
Soltys, Michelle, 134
Soltys, Robert, 134
spirits consumption, 2
Square Mile Cider Company, 81
starting a craft business, 26–28, 67–69
startup craft brands, 29–30
state laws and regulations, 51–52, 58–66. See also laws and regulations
state loan programs, 107–108
Steller, Cris, 62–63
Stone Brewing Company, 5, 9, 111, 129
Sweetwater Brewing Company, 5, 106
T
taprooms, 2, 32, 58, 60, 73, 127
target customers, 122
target market, 89–95
Tarmy, Henry, 34–35
tasting rooms, 32, 62, 75, 80, 99, 125, 137
Tate, Chip, 105–106
tax advisory services, 56
taxes, 7, 49, 50–51, 53–54, 61, 64–66
10 Barrel Brewing Company, 9, 85, 114, 116, 144
Texas laws and regulations, 58–61
three-tier distribution system, 53, 61–62, 65, 128
Tito’s Handmade Vodka, 14, 143
Toombs, Peter, 3
Touring, Thomas, 93
trademarks, 69
Traveler Beer Company, 78
Tributary Brewing Company, 108
Troy Cider, 82–83
Trudeau, Chris, 65–66
truth in advertising, 14, 130. See also advertising
TTB (Alcohol and Tobacco Tax and Trade Bureau) rules, 52–54
Tuthilltown Distillery, 13, 113, 125
TV advertising, 20, 118–119. See also advertising
U
Uncle John’s Fruit House Winery, 39
Uncommon Ground restaurants, 86
unique selling proposition (USP), 144–146
University of California-Davis Brewing Science Program, 26
used equipment market, 136–137
V
Vachon, Michael, 94
Ventura Spirits Company, 34–35
Vermont Hard Cider Company, 15–16
Vickery, Mark, 126
Virginia Beer Company, 107–108
vodka, 75
W
Wagner, Brock, 58
Walsh, Justin, 30–32
Walsh, Sarah, 30–32
websites, 125
Weinberg, Evan, 100
whiskey, 75
Widmer, Kurt, 81
Widmer Brothers Brewery, 11, 81
Wilderness Brewing Company, 109
Wine Warehouse, 93
Woodchuck Hard Cider, 15–16
Wormtown Brewery, 85–86
Y
Yanow, Tony, 74
Z
Zero Gravity Craft Brewery, 107