Inside vs. Outside Views on Business Planning
POSTED BY Allenjkorenstein ON Mon, 01/25/2016 - 21:46

Hi Folks, 

Curious to learn a few outside views on our inside planning. I recently put together pro forma documents for a prospective investor concerning a major expansion we are undergoing. We are planning to go from a 30BBL per month contract brewing operation, to a 480 BBL per month production brewing operation. From leaving our day jobs as attorneys to become fulltime brewers and businessmen. We have young children and wives and a lot on the line making this transition real.  

That's more than a 12 fold increase in production and distribution. Yet, intuitively this makes sense, as we raise funds for our production brewery we can do a lot more with a 30BBL brewhouse instead of a 15 BBL brewhouse, (optimize limited space, brew less times per week for more output per week, etc.) And we are poised to take the gamble because of a track record of growth. Last year this time we had our beer in kegs in one Whole Foods Market and a handful of restaurants. Today we are about to start self-distributing 22 oz bottles to 42 Whole Foods Markets, and signed with a local distributor in San Francisco. We are in about 30 bars and restaurants around the San Francisco Bay Area. The spot we are intent on leasing is a historic landmark for the city of San Jose, CA, in an upcoming development area, that pairs with our brand very nicely, and in our city there are only 4 other breweries total. But I realize that optimism could be fraught with biases, and so that's why I'm reaching out to you all with experience in the production brewing and distribution realm (along with onsite consumption at a small taproom), to hopefully avoid pitfalls due to what could be my overconfident belief in the dream.  We are open to all ideas.


It would be great to see a few comparable to use as a reference, Your BBLS produced first year as a production brewery? Over time? Current BBLS? THANKS! 

Allen, CEO, Co-Founder