The Bar Towel

JerCraigs wrote:Mill Street probably provides a closer model that’s still available to you - build up the business enough then draw in the necessary investments etc. to expand significantly.

Didn't Mill Street start out with a few big investors?

You certainly need capital, but everyone has their own ideas as to what they bring to the table & what their time & commitment is worth. People have different values... and that often doesn't work out (as I'm sure an MBA is aware).

Side note: Anyone know if Duggan going alone this time around?

And the Brooklyn guys (there were two) are an interesting pair. One was a journalist and the other was a banker before going into the beer business.

Another similar read is Sam Calagione's (Dogfish Head) "Brewing Up A Business", though I found it far less insightful than the Brooklyn Book (a lot of "believe in your vision" type homilies). And the "off-centred ales for off-centred people" motto is repeated so many times that the book starts to feel like an extended marketing pamphlet for Dogfish Head and its products. Still, there are enough good stories in there to make it worth reading (I took it out of the library).

What both of these breweries have in common is that each was able to raise a significant amount of startup capital through friends, family, angel investors, etc.

Calagione, however, was able to start his brewpub with (I think) a 15 gallon system similar to what some homebrewers use. Try doing that here! He did have to lobby the Delaware government to make it legal to operate a brewpub though.

Derek wrote:

JerCraigs wrote:Mill Street probably provides a closer model that’s still available to you - build up the business enough then draw in the necessary investments etc. to expand significantly.

Didn't Mill Street start out with a few big investors?

My impression was that they got more investors when the expanded but I don't actually know.

Just want to say that, despite all the pitfalls of opening a new brewery here, I would applaud anyone's effort to try and start one up.

I think it's a good idea to approach the folks at Bar Towel for advice, because you know they're passionate about it. Business savvy and experience aside, I think you've got a good attitude, and that means you've already got my support.

My only advice is, make sure you're doing it because you want to create something great — not just because it's a growing market with a niche to be filled. Think globally: Is your product going to be the best in its category? If not, why bother?

Just curious, have you considered where you might locate it? The downtown breweries have had some success here, but that much real estate could be pretty pricey.

If you're seriously pursuing this, please continue to keep us in the loop!

Gedge wrote:Calagione, however, was able to start his brewpub with (I think) a 15 gallon system similar to what some homebrewers use. Try doing that here!

Would this not be possible in Ontario? If one only needed to brew small amount for their restaurant/pub, would this not be a viable alternative to buying expensive equipment? Then depending on how things progressed, one could invest more into bigger vessels and the like.

If this isn't possible, why not? Are there specific regulations on equipment that can/can't be used and the amount of beer brewed for a brewpub?

Cheers,
Rob

Anyone have any information on this? I am very interested in starting, but doing so very small at first.

Rob wrote:

Gedge wrote:Calagione, however, was able to start his brewpub with (I think) a 15 gallon system similar to what some homebrewers use. Try doing that here!

Would this not be possible in Ontario? If one only needed to brew small amount for their restaurant/pub, would this not be a viable alternative to buying expensive equipment? Then depending on how things progressed, one could invest more into bigger vessels and the like.

If this isn't possible, why not? Are there specific regulations on equipment that can/can't be used and the amount of beer brewed for a brewpub?

Cheers,
Rob

In Nova Scotia there is a minimum capacity requirement for all breweries that couldn't be met with a 15 gallon system. The nature of our regulatory system enforces a scale that makes it more expensive to get started. Brewpub licenses may have a lower capacity requirement, but to have a brewpub you'd have to have a restaurant - so there goes the starting small idea. I expect similar regulations exist in Ontario.

Rob wrote:Anyone have any information on this? I am very interested in starting, but doing so very small at first.

where are you thinking of opening?

what market are you trying to serve?

other then lower start up costs what are your reasons for thinking small?

are you willing to start as a contract brewer?

lastly, small means less beer, which means less money. do you have a primary source of income allowing you to start this as a hobby?