Canadian Micro Brewery Start Up Financing

[Izzie1701]

Does anyone know of any banks/loans available to Canadians starting up a micro brewery. I have spoken to BDC but they will only finance if we are strictly a brewery and do not have a tap room at all. As my business plan and plans were to sell the majority of our beer in our tap room/brew pub this will not work for us. I am worried we will not meet our financial goals with keg and packaged beer sales alone. Furthermore I did not carry in our business plan to purchase any type of bottling/canning equipment. Does anyone know of or better have an experience with any banks/institutions that will loan to breweries that are a start up in Canada?

Thank you,

[NS_Nano]

Don't know what the map is like out there in Alberta, but here in NS people have had success with a number of strategies. For example, the Townhouse brew pub in Antigonish pre-sold fifty $1000 food/drink credit accounts (essentially gift certificates, redeemable slowly over a 4 year period) to raise their needed capital. I've seen other calls for crowdfunding in NS, but I don't know if they were successful.

Traditional funding has also been successful: The two breweries on Cape Breton, Big Spruce and Breton brewing, both got off the ground with repayable loans from regional development organizations (ACOA and ECBC).

[ryan150]

Hey.

We got a bank loan from scotia bank for up to $350 000. Its called a government guaranteed loan and most banks will offer it with a decent plan and two year projections. So you will have to guarantee 25% of the loan and need to contribute 10% plus hst in cash. So you still need a decent amount of cash in the bank to get it approved.

Hope this helps.

Ryan

Full Beard Brewing Co

We tried the bdc as well but they were a waste or time like you said.


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