And, to truly understand what your business options are, you’ve got to learn what’s legal in your state. A microbrewery in one state may be governed by very different rules than a microbrewery the next state over.
Between 20, the number of craft breweries in the US jumped from 2,420 to 6,266 – that’s an increase of 159%! Anyone can grab a 6-pack of Miller or Budweiser at the local grocery store.
That growth doesn’t include microbreweries that produce fewer than 15,000 barrels of beer per year. But craft breweries offer unique personalities that their consumers can relate to – as well as unique flavor profiles. People value authenticity in the brands they purchase and craft breweries deliver that authenticity in spades.
Choosing your business model is the first step in that direction.
This is true for any business, not just for brewery businesses.
Brewers Association president Charlie Papazian explains: We’re a new kind of capitalism with a different perspective on the end game. A lot of people are flabbergasted by the camaraderie, the sharing among competitors. Or are you the master of a microbrewery and tap room?
Before you can start to seriously plan your own craft beer business, you need to understand the end goal that you’re aiming for.
This may be just the ticket for your brand new, baby crafting business as it is also the easiest to set up.
If you’re interested in a little more protection, an LLC (or Limited Liability Company) may be a better fit.
Fortunately for small brewers, the laws of many states provide flexibility allowing many brewery business models to thrive within the overall three-tier structure.
Brewpub laws allow the marriage of producer and retailer tier into single premises…