opening a legal distillery in the U.S.

Little or nothing to do with distillation.

Moderator: Site Moderator

User avatar
Bushman
Admin
Posts: 18011
Joined: Tue Mar 30, 2010 5:29 am
Location: Pacific Northwest

Re: opening a legal distillery in the U.S.

Post by Bushman »

Boon there are several architects that specialze in designs and layouts of Distilleries. I know there is one in the Seattle area and last year at the ADI conference I went on a distillery tour the day before the actual conference with 3 people that were from Colorado. Today if I have time I think they gave me a business card I will try to find it for you.
BoomTown
Site Donor
Site Donor
Posts: 1498
Joined: Thu Apr 19, 2012 7:41 am
Location: Virgina

Re: opening a legal distillery in the U.S.

Post by BoomTown »

thanks Bushman, all the help we can get will be deeply appreciated.

Boom
“…Let’s do this one more time....”
User avatar
Bushman
Admin
Posts: 18011
Joined: Tue Mar 30, 2010 5:29 am
Location: Pacific Northwest

Re: opening a legal distillery in the U.S.

Post by Bushman »

I did not find their card and didn't attend their 2 hour presentation at last years National ADI conference but spent time on the tour bus with them to 5 distilleries prior to the conference. You can probably google them as they were chosen as speakers. According to my brochure on the conference the title of their presentation was Code Considerations for Design & Construction of a DSP.
Scott Moore of Dalkita Architecture
Brad Emmerick of Denver Fire Department.
Both out of Colorado.
BoomTown
Site Donor
Site Donor
Posts: 1498
Joined: Thu Apr 19, 2012 7:41 am
Location: Virgina

Re: opening a legal distillery in the U.S.

Post by BoomTown »

Thought I'd share this perspective provided by an interview with a Diagio executive done by one of our people last night.

It's about starting a Craft Distillery....

Meeting notes from last night:

Hard to see how this goes from hobby --> a real business
You are late to market..then layer in 4 years to call it a bourbon
Doesn’t see much differentiation from others already on the market
Seeing supply far outstrip demand in craft spirit markets
Acceptance at local markets and distributors is key
CEO needs to have feet on the ground 24x7 selling
Advanced aging techniques are fine as long as it doesn’t compromise quality and is clearly marked as such
Pricing in the $40 range should be expected, not $100 (assumes a 750ml bottle)
Find ways to cut cost structure… maybe make other products while waiting for the bourbon
“…Let’s do this one more time....”
User avatar
Bushman
Admin
Posts: 18011
Joined: Tue Mar 30, 2010 5:29 am
Location: Pacific Northwest

Re: opening a legal distillery in the U.S.

Post by Bushman »

Yep seems like most people that venture into this look mainly at the production side but marketing and distribution need to be in place early on. Overhead costs as in most start-ups is what also kills a lot of ventures before they get a chance.
Bohunk
Angel's Share
Angel's Share
Posts: 165
Joined: Mon Mar 05, 2007 7:30 am
Location: Where the Big Red Play

Re: opening a legal distillery in the U.S.

Post by Bohunk »

Guys I’ll wade in here with my story. I started out just like most folks, wanted to see if I could get a license, I was the first licensed distiller in the state of Nebraska. Lots of hoops to jump through, but I did it so, I’m sure anyone else could also. The problem is not in production, of course that is apart of it, but it’s all about marketing. I took my vodka to a convention, and poured samples for fifty liquor salesmen, two glasses of different color. Then we voted on which one was the best, the results were 47 to 3 in favor of my vodka. The other sample was Grey Goose !! So, I knew I had a viable product, and was proud to present it to a retailer, his problem is this, he has only so much self space, and that space id filled with products that sell, now your asking him to replace one of those products with yours. Your bottle is no different, your product is no better, your price is no cheaper, it’s just yours, and your proud of it. To make a go of this business, you had better be a marketing wizard, or it’s a long row to hoe. I sold my distiller, and did very well, but if you really want to start one, remember it’s a tough sell.

The Ole Bohunk
BoomTown
Site Donor
Site Donor
Posts: 1498
Joined: Thu Apr 19, 2012 7:41 am
Location: Virgina

Re: opening a legal distillery in the U.S.

Post by BoomTown »

Bohunk wrote:Guys I’ll wade in here with my story. I started out just like most folks, wanted to see if I could get a license, I was the first licensed distiller in the state of Nebraska. Lots of hoops to jump through, but I did it so, I’m sure anyone else could also. The problem is not in production, of course that is apart of it, but it’s all about marketing. I took my vodka to a convention, and poured samples for fifty liquor salesmen, two glasses of different color. Then we voted on which one was the best, the results were 47 to 3 in favor of my vodka. The other sample was Grey Goose !! So, I knew I had a viable product, and was proud to present it to a retailer, his problem is this, he has only so much self space, and that space id filled with products that sell, now your asking him to replace one of those products with yours. Your bottle is no different, your product is no better, your price is no cheaper, it’s just yours, and your proud of it. To make a go of this business, you had better be a marketing wizard, or it’s a long row to hoe. I sold my distiller, and did very well, but if you really want to start one, remember it’s a tough sell.

The Ole Bohunk
NIce to know stuff, thanks Bo.
“…Let’s do this one more time....”
rad14701
retired
Posts: 20865
Joined: Wed Dec 19, 2007 4:46 pm
Location: New York, USA

Re: opening a legal distillery in the U.S.

Post by rad14701 »

I may take a different line of thinking when it comes to anything called "craft" than most... Whether beer, spirits, or anything else, I see "craft" along the same lines as "startup" and as such cannot justify paying more for it than everyday commercial product... And considering how I would never pay $40 for a 750ml bottle of commercial spirits I'd also never pay it for "craft" distilled spirits...

I have a gut feeling that the craft distillery market is, or soon will be, reaching a saturation point... And I also feel that some of the not so good craft distilleries will taint the market... I've had enough bad craft beer that I no longer even bother trying them... Same goes for craft spirits... I know I'm not alone...

I'll stick to making and drinking my own... I'm not going to bother trying to find a niche in the narrowing craft market even though I did have such aspirations years ago... The big commercial distilleries are doing a great job of flooding the market with flavored offerings in an effort to compete with emerging craft distillery offerings already... Looks like a losing battle to me...
WalkingWolf
Angel's Share
Angel's Share
Posts: 1850
Joined: Fri Nov 20, 2009 6:04 pm
Location: LA

Re: opening a legal distillery in the U.S.

Post by WalkingWolf »

Bohunk wrote:Guys I’ll wade in here with my story. I started out just like most folks, wanted to see if I could get a license, I was the first licensed distiller in the state of Nebraska. Lots of hoops to jump through, but I did it so, I’m sure anyone else could also. The problem is not in production, of course that is apart of it, but it’s all about marketing. I took my vodka to a convention, and poured samples for fifty liquor salesmen, two glasses of different color. Then we voted on which one was the best, the results were 47 to 3 in favor of my vodka. The other sample was Grey Goose !! So, I knew I had a viable product, and was proud to present it to a retailer, his problem is this, he has only so much self space, and that space id filled with products that sell, now your asking him to replace one of those products with yours. Your bottle is no different, your product is no better, your price is no cheaper, it’s just yours, and your proud of it. To make a go of this business, you had better be a marketing wizard, or it’s a long row to hoe. I sold my distiller, and did very well, but if you really want to start one, remember it’s a tough sell.

The Ole Bohunk
Nice to see you Ol'Buddy --
I was fortunate enough to have acquired a bottle of Bohunk's vodka some 1200 miles removed from his where'bouts and I'll concur with his informal research above that this was the best vodka I'd ever drank. Not gonna get in the discussion on battling the big boys just wanted to give a shout out to Bohunk and say hello.

ww
Bohunk
Angel's Share
Angel's Share
Posts: 165
Joined: Mon Mar 05, 2007 7:30 am
Location: Where the Big Red Play

Re: opening a legal distillery in the U.S.

Post by Bohunk »

WalkingWolf, you did everyone one the site a favor by paying for that bottle of Chase Vodka. The money was donated to the site, and again THANK YOU, it was a grand jester on your part. We all like to make a little likker now and again, and think it would be fun to do it as a legal business, but it's so very tough, lot's of folks don't make it very long.

The Ole Bohunk
User avatar
LWTCS
Site Mod
Posts: 12848
Joined: Mon Jan 26, 2009 6:04 pm
Location: North Palm Beach

Re: opening a legal distillery in the U.S.

Post by LWTCS »

The overwhelming message at the ADI conference this past year was don't quit your day job and you have to win your back yard. Particularly if you are on a shoe string budget.

There are lots of examples of folks doing just that. Triple Divide for example was profitable within six months and even has several paid employees. Knightside Distillery out in Seattle is another good example. Tom Green is a long shore man and works all week then distills on the week ends. He got so busy that he took on some partners so that his operation could continue all week long.

It is totally doable but it ain't going to magically happen by itself.
Trample the injured and hurdle the dead.
BoomTown
Site Donor
Site Donor
Posts: 1498
Joined: Thu Apr 19, 2012 7:41 am
Location: Virgina

Re: opening a legal distillery in the U.S.

Post by BoomTown »

just a little bit more, please

http://www.nytimes.com/2014/11/29/us/bu ... .html?_r=0" onclick="window.open(this.href);return false;" rel="nofollow

enjoy the read, and dream away....

Boom
“…Let’s do this one more time....”
Smokey hollow
Swill Maker
Posts: 314
Joined: Fri Jan 16, 2015 5:03 am
Location: Northern Kentucky

Re: opening a legal distillery in the U.S.

Post by Smokey hollow »

Good luck uncle !! I dont know were youll set up at but if your in ky ide like to work for ya . Give me a holler . Smokey hollow
One of the hardest things to do is to forgive , but you must not forget that you HAVE TO forgive in order to be forgiven..
BoomTown
Site Donor
Site Donor
Posts: 1498
Joined: Thu Apr 19, 2012 7:41 am
Location: Virgina

Re: opening a legal distillery in the U.S.

Post by BoomTown »

If there is a drum beat to progress on this path, I aint hearing it...seems like one drop dead point after another getts passed into a paper oblivion, while we wait with hand poised to write yet another check for something we hadn't planned on...

The journey continues....now have bbuilding, insurance, suppliers, and potential customers...waiting on TTB and state of PA.....
“…Let’s do this one more time....”
Post Reply