Results 1 to 2 of 2

Thread: Purchasing Existing Brewery

  1. #1
    Join Date
    Aug 2019
    Location
    Iowa
    Posts
    1

    Purchasing Existing Brewery

    So I have been doing quite a bit of research but was looking for help with numerous questions. My situation is I am looking into purchasing an established brewery which has strong imperial stouts, an ok following of it's wild ales and a 15 barrel brewhouse with 5 15 barrel fermenters. From here I would have a strong base as I slowly introduced more consumer friendly beers too as they are stout and wild heavy. As I look into this the following questions come to mind and I am sure more come as I dive down the due diligence stages.

    -At 5-15 barrel fermenters what type of annual output is realistic?
    -All of this equipment at onetime or another has had wild ales in it, the owners says this is easily sanitized out but I am mildly dubious. They have run different types through their equipment before without seemingly having issues?
    -I understand I can either buy the LLC itself and have the TTB and local licenses transferred via application process, or I can buy all assets and have to have my new company set up with IRS, etc and wait for the whole process from scratch. Can someone better explain this to me?
    -I would want to bring on a brewmaster with complimentary skillsets, where is the best place to find this talent and is a lower base with a strong emphasis on a percentage of gross margin bonus a reasonable theory for pay?

    Thank you for all your help in advance, I am excited to head down this journey but sure love to gather massive amounts of facts prior to leaping.

  2. #2
    Join Date
    Apr 2007
    Location
    Whitefish, Montana
    Posts
    49
    -At 5-15 barrel fermenters what type of annual output is realistic?

    Are there any bright tanks (flat bottoms) or just the 5 fermenters (conical bottoms)? If there are 5 total tanks then you'll only be able to have 4 batches fermenting at any given time. Fermentation time for different types of beer can range between a few days to a few weeks. You'll need to decide what types of beer you are going to produce and make an educated guess about what percentage your overall production of each type will be. The current owners can tell you how long the wild ales take. I would base your production estimates on 2 weeks of fermenter time for "standard" type ales, 3 weeks for Imperials, heavily dry-hopped beers and lagers on the lighter side and 4 (or more) weeks for big lagers and some specialty beers

    -All of this equipment at onetime or another has had wild ales in it, the owners says this is easily sanitized out but I am mildly dubious. They have run different types through their equipment before without seemingly having issues?

    Assuming that they are quality modern stainless vessels then yes, you can sanitize them. I would throw out all of the old gaskets and valve seats and autoclave/pressure-cook the butterfly and sample valves. You can test to make sure the tanks have actually been sanitized using some basic equipment and procedures. Make sure that the brewer you hire knows how to do that kind of thing.

    -I understand I can either buy the LLC itself and have the TTB and local licenses transferred via application process, or I can buy all assets and have to have my new company set up with IRS, etc and wait for the whole process from scratch. Can someone better explain this to me?

    No idea but you could search these forums or check with the BA (Brewers Association) to find a qualified person who can advise you.


    -I would want to bring on a brewmaster with complimentary skillsets, where is the best place to find this talent and is a lower base with a strong emphasis on a percentage of gross margin bonus a reasonable theory for pay?

    You can advertise here or on other brewing/beer business forums but I would look in your local region first. You'll want someone with at least a few years of real-world experience in a reputable brewery(s). I wouldn't give them the "Brewmaster" title unless they have actually earned it. In my opinion you should offer a competitive salary/compensation package but you might be able to find someone willing to take a risk so they can be in charge of running a brewery. You'd probably need to give that person a lot of freedom to make their own decisions

    Thank you for all your help in advance, I am excited to head down this journey but sure love to gather massive amounts of facts prior to leaping.[/QUOTE]

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •