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Whole Foods: Risk v. Reward
POSTED BY Allenjkorenstein ON Mon, 11/03/2014 - 20:28
Hi guys, So Camino Brewing is faced with the prospect of having our brews on tap at a brand new Whole Foods Store in San Jose CA, a downtown area called the Alameda. The Store is unique in that it is not only a full size market but will also house a 5 bbl Whole Foods Brewery, taproom, and beer garden. They seem to like our brand and see it's potential to grow into other stores. It opens on 12/9 with Camino as a guest tap, we have got the handle made and everything. The issue is that since we have not yet come anywhere close to our capital raising goals, and are not yet licensed to brew, the best we have been able to figure out in order realize this account, is to license our recipes and trademark to a friend brewer who is going to DBA as Camino for a while until we reach the next milestone. But with him marking up ingredients and charging a margin on his labor it looks like we may at best just be breaking even after all is said and done, not including the $1,800 we are going to have to pay to purchase kegs. (Tried Keg Logistics but they want a 24 1/2 bbl min. order.) Our key investor and local community thinks we are going in there, and they all believe it's an amazing opportunity. I would love to hear what the community thinks- Do we sink our time, energy, money, and resources into this one account when it's not going to make us any money, and might not even offset the actual cost. THANKS! Allen