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View Full Version : Purchase Kegs or Use Microstar



Ehalemfg
08-01-2016, 09:39 AM
Hey I'm starting a brewery and we are about to purchase kegs... or we are going to go with MicroStar. It seems like a great system where you basically rent kegs. Has anyone used this before? Is there PROs and CONs to each? Any advice would be appreciated.

jhallock59
08-01-2016, 10:27 AM
The pro for buying kegs is that the long term cost is considerably less, think buying a tv or going to rentacenter and paying four or five times as much over two or three years. The con is that you have to have the capital to layout for the purchase. Have purchased all of our cooperage to this point. The cost difference for our first round of kegs was 3 1/2 times more expensive to rent or lease to purchase. We had the capital so it was a no brainer.

Jedi
08-03-2016, 09:25 AM
The pro for buying kegs is that the long term cost is considerably less, think buying a tv or going to rentacenter and paying four or five times as much over two or three years. The con is that you have to have the capital to layout for the purchase. Have purchased all of our cooperage to this point. The cost difference for our first round of kegs was 3 1/2 times more expensive to rent or lease to purchase. We had the capital so it was a no brainer.
What about the getting the kegs back and costs and associated. Deal with, damaged, lost or stolen kegs, Etc. I'm guessing you are buying replenishment stock yearly.

Not to mention storage costs if your over supplied for various reasons. If you have ample space this is less of an issue but not everyone does.

Ehalemfg
08-07-2016, 09:44 AM
That's a good question. Has anyone every rented kegs and bought kegs? What if you bought a core amount of kegs and then supplemented with a rental agency? Any thoughts?

MicroStar
08-09-2016, 09:58 AM
Saw this thread, thought we'd weigh in as we here at MicroStar and KegCraft get this question a lot. For new brewers with a very tight distribution footprint and for brewpubs, our Pooled Keg Model may not be the right fit... it all depends on your volume projections and expected distribution footprint. To be able to meet any brewers' keg needs, we've acquired a few companies over the past year that allow us to sell kegs outright or provide leased kegs at competitive rates / terms. We basically now have a full menu of keg options. The advantage of working with us to buy or lease kegs to start is that you can then easily convert to Pay-Per-Fill if at some point you realize your footprint and volumes have outgrown your infrastructure and you start to encounter all the headaches that come with that growth from a keg logistics perspective (high loss rates, slower turns, managing distributor deposits, labor to coordinate it all, keg repair and maintenance, risk of running out of kegs, keg storage, stranded capital, etc.). We're happy to talk this through further to help you explore your options, just email info@microstarkegs.com or call us at 800-245-2200.