craft brewery financial training

Funding Resources for a Start-Up Brewery

Raising money for a start-up brewery is tough. Especially tough these days with so much uncertainty in the markets.

But you’re not going to let that stop you. So, let’s not talk about how tough it is, let’s talk about how you can be prepared to get funding for your brewery.

Start Ups: Information you’ll need to gather

  • Most current year-end Personal Tax Return for each individual with 20% or more ownership in the Applicant Brewery
  • Personal Financial Statement for each individual with 20% or more ownership in the Applicant Brewery
  • Business Plan, including 36-month Projections and supporting narrative assumptions

Pro tip from an SBA lender

“It’s important for the applicant to understand that while the business plan is important, the real foundation of the deal is going to be the individual guarantors and what type of financial strength and direct industry experience they’re bringing to the project.” -Randall Behrens, Live Oak Bank

Build a team of experts

No one can do it alone, so identify and seek out the people who are going to help you achieve brewery success:

  • Attorney
  • CPA
  • Insurance Carrier
  • Equipment rep
  • Builder / Contractor
  • Architect

Create a Sources and Uses of Funds Schedule

A listing of Sources and Uses of funds is an important, early step in start-up brewery planning. Sources of funds = where are you going to get the money. Uses of funds = where are you going to spend it.

Sources of funds include equity you will put into the project, money from outside investors and bank loans. Uses of funds includes land/building purchase and investment in brewing equipment.

Use this Brewery Info Sheet for more information on how to get started.

Wrap Up + Action Items

Raising money for your start-up brewery is tough. But nothing worthwhile was ever easy. Use the resources in this post, and go make your brewery dream come true.