Strategies for getting started?

[td24]

From what I read, the TTB requires that your facility, equipment etc. be fully operational before you can get a DSP license

Is this correct? If so, what were some of your strategies/approaches for lowering the upfront investment costs during this period? (before being legally allowed to make sales)

[NZChris]

You want to ask the people you want to compete against to tell you how to do it?

What do you want next? Their grain bill?????

[bluefish_dist]

That is pretty much true, but I am not sure it always happens that way.

Fwiw the hardest part for us was getting the building built out and occupancy changed. It cost the most and took the most time. I highly recommend the class from down slope distilling as it has a lot of good info on building requirements. They said it takes about $500k to open a distillery. We did it for less than that, but if you count my loss of salary during the time to open, it's not far off.
The equipment is really the cheap part unless you are ordering a big still from overseas. Figure that you won't open for about 12 months after you apply for your dsp. You have to get your dsp, then state although some states allow concurrent application. Then once you have your dsp you have to get label and/or formula approval. Unless you are moving into an old distillery you will need to change occupancy to F1 at a minimum which will require a fire and hazmat inspection. If you are not moving into a new building then you will have to bring code to change the occupancy. Lots of work and dealing with the government takes time.

[HDNB]

It's like making a small fortune farming...start with a big one.

[Coug95man2]

That is pretty much true, but I am not sure it always happens that way.

Fwiw the hardest part for us was getting the building built out and occupancy changed. It cost the most and took the most time. I highly recommend the class from down slope distilling as it has a lot of good info on building requirements. They said it takes about $500k to open a distillery. We did it for less than that, but if you count my loss of salary during the time to open, it's not far off.
The equipment is really the cheap part unless you are ordering a big still from overseas. Figure that you won't open for about 12 months after you apply for your dsp. You have to get your dsp, then state although some states allow concurrent application. Then once you have your dsp you have to get label and/or formula approval. Unless you are moving into an old distillery you will need to change occupancy to F1 at a minimum which will require a fire and hazmat inspection. If you are not moving into a new building then you will have to bring code to change the occupancy. Lots of work and dealing with the government takes time.

I've heard quite the range but 1 year is about "average". I've actually heard 4 months! I've also heard a few nightmares about 1.5, approaching 2 years waiting for DSP. I gotta think those figures were more along the lines due to lack of homework. Lack of business savvy, lack of building code knowledge, lack of fed knowledge. From all my "looking into it", as I'm sure so many have, you can NOT do enough homework prior.

I've also heard it's bad for those unwilling to do their homework because after the nightmare of waiting for the DSP, then they have to get recipe approval and labeling… Well, if you aren't willing to do the homework to start, add these major elements and you'll be waiting for literally years before you can legally sell one drop. Hundreds of thousands of dollars swirling down the drain…