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Business Plan Resources for Breweries

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I started with the Brewers Association in 2014. My goal is to engage with as many members as possible, help them maximize their membership benefits, and act as the resident resource-Sherpa to assist in navigating through the mountain of information.

In my free time I like to sip on IPAs and pilsners while playing bass loudly or petting my dogs. I openly welcome pup-pictures and all heavy/loud/noisy music suggestions.

Many of the discussions we have at the Brewers Association (BA) revolve around resources and ideas that are specific to the beer industry. We focus on technical brewing, acquiring the right ingredients, building a brand, marketing beers, passing OSHA inspections, and complying with the TTB, among other things. Yet, there is a foundation to breweries, brewpubs, and taprooms alike, that is the common thread of all businesses. That foundation is a well-constructed business plan.

Learn How to Create and Maintain Your Business Plan

I’m often asked what business planning resources the BA provides, and I point members to our production statistics , benchmarking surveys , insight & analysis articles , and a myriad of Craft Brewers Conference (CBC)  presentations covering specific business-related topics. Additionally, Brewers Publications offers The Brewers Association’s Guide to Starting Your Own Brewery , which includes guidelines for business planning and a sample business plan. Despite all this information, though, I still hear questions about the root of the business plan – where to start and how to create one. So, I’ve compiled a handful of resources to help breweries create and maintain a business plan.

We all have preferences on how we digest educational materials. So, the information below comes in multiple formats from a variety of sources. These resources are helpful whether you are looking to create your first business plan or simply want to update your current one. A business plan is a living document that should be updated regularly, rather than a ‘one and done’ springboard for prospective businesses. This is by no means a comprehensive list of resources on this topic, as there are hundreds of them available. Rather, it’s a jumping off point for members who want to establish and expand their knowledge. These resources can help us establish and refresh business plans, in addition to highlighting components we wish to explore further.

Business Plan Resources:

  • Writing Your Brewery Business Plan  is a step-by-step review of the necessary elements within a business plan and why those things are important.
  • Successfully Planning, Starting and Operating a Nano Brewery  offers a broad overview of the planning process with highlights on fundamental considerations for both launching and growing a brewery.
  • The Nuts & Bolts of Great Business Plans – An often cited (and very comprehensive) guide to the broader and finer points of creating your business plan. This 30-page PDF document is updated yearly and provides excellent details on the what and why of each section in the outline.
  • The U.S. Small Business Administration (SBA) is a great general resource for businesses. They offer a step-by-step tool that explains each section of the business plan template, along with a place to input your specific business information along the way.
  • SCORE , a nonprofit resource partner with the SBA, has a variety of resources geared toward creating business plans and starting small businesses. This includes a 60-minute webinar on One Page Business Plans , an on-demand Developing a Business Plan course , articles about business plans , and even mentorship opportunities .
  • For those who prefer educational videos, offers a free business plan template paired with a 10-minute tutorial explaining each section.
  • If learning on the go is of interest, offers a very succinct podcast outlining How to Write a Business Plan . For those starting from scratch, this is a good primer for the deeper dive into more detailed templates.

Don’t Forget to Use Your Community

As a final note, I’d be remiss not to mention the Brewers Association Forum . This is an excellent place to ask questions and engage with fellow brewery owners as you create and revise your business plans. While each brewery (and therefore business plan) will be unique, there is much to be learned from those around us. I am constantly reminded of the community mindset amongst many breweries, and this a fantastic way to connect and share resources with one another.

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Brewery Business Plan


If you like to brew different flavors of drinks or have a microbrewery, you might have thought of starting a proper brewery business.

And the good news is that the brewery industry is now bigger than ever and continues to grow at a rapid pace.

If you are planning to start a new Brewery business, the first thing you will need is a business plan. Use our sample brewery business plan created using upmetrics business plan software to start writing your business plan in no time.

Before you start writing your business plan for your new brewery business, spend as much time as you can reading through some examples of Farm & Food Production-related Business Plans .

Industry Overview

The global beer market stood at a value of 623.2 billion dollars in 2020 and is expected to grow at a rapid rate thereafter too.

The main reason behind the rise in cultural changes and the growing acceptance of alcohol across the globe.

Moreover, the brewery business is growing due to differences in preferences between alcohol-free to low alcohol beers and the ones with different flavors.

Today’s consumers aim towards maintaining a better lifestyle along with socializing. Hence, demand for low-alcohol beers is on the rise and a brewery can serve that and more.

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Things to Consider Before Writing a Brewery Business Plan

Now you might want to get started as soon as possible. But before you start working on your business plan keep the following things in mind:

Decide on a menu and acquire resources

Though a lot depends on individual demands, having a certain set of items and proportions that work is important for a brewery business.

Moreover, it is also important to know what works best for the majority of your customers so you can have a handy set of ingredients.

Above all, you need to maintain a combination of quality and cost-effectiveness while acquiring ingredients for your brewery.

Stay up to date with your consumer’s preferences

The main purpose of a brewery is to provide a quality customer experience. What sets a brewery apart from a usual bar is the experience that comes with selecting your ideal flavors and proportions.

Hence, knowing what your customers want, things that influence their tastes, and what motivates them to change is essential for your business to succeed.

Know your competitors

Knowing what your competitors are doing is essential to do better than them. The brewery business is huge but it is also very competitive at the same time.

Hence, it is essential to stay a step ahead of your competitors for your business to thrive.

Write Your Business Plan

Reading sample business plans will give you a good idea of what you’re aiming for. It will also show you the different sections that entrepreneurs include and the language they use to write about themselves and their business plans.

We have created this brewery business plan  template for you to get a good idea about how perfect a brewery business plan should look and what details you will need to include in your stunning business plan.

Then again it’s no surprise because the demand for unique and different things is growing irrespective of the business. And a brewery can offer just that for beers.

Brewery Business Plan Outline

This is the standard brewery business plan outline which will cover all important sections that you should include in your business plan.

  • Mission Statement
  • Vision Statement
  • Products and Services
  • Customer Focus
  • Management Team
  • Keys to Success
  • 3 Year profit forecast
  • Startup cost
  • Industry Analysis
  • Market Trends
  • Market Needs
  • Target Market
  • SWOT Analysis
  • Marketing Strategy
  • Ongoing Customer Communications
  • Pre-Opening Events
  • Online Marketing
  • Pricing Strategy
  • Operation Functions
  • Administrative Functions
  • Important Assumptions
  • Brake-even Analysis
  • Profit Yearly
  • Gross Margin Yearly
  • Projected Cash Flow
  • Projected Balance Sheet
  • Business Ratios

After getting started with Upmetrics , you can copy this sample brewery business plan template into your business plan and modify the required information and download your brewery business plan pdf or doc file.

It’s the fastest and easiest way to start writing your business plan.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.


Download a sample brewery business plan

Need help writing your business plan from scratch? Here you go;  download our free brewery business plan pdf  to start.

It’s a modern business plan template specifically designed for your brewery business. Use the example business plan as a guide for writing your own.

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About the Author

brew pub business plan

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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Download Brewery Business Plan

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Brewery Business Plan Template

Written by Dave Lavinsky

You’ve come to the right place to create your brewery business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their breweries.

Below is a brewery business plan example to help you write your brewery business plan:

Executive Summary

Business overview.

Mountain Craft Beer is a startup brewery located in Boulder, Colorado. The company is founded by Richard and Susan Williams, long-time craft beer enthusiasts who are ready to venture out and start their own brewing business. Richard has worked as a Brewmaster in a local brewery for over ten years. He has a Bachelor of Science degree in Food Science from the University of Colorado. Susan has a Masters degree in Business Administration from the University of New York. She has worked as a General Manager for a local restaurant and bar for the past five years. Now that the duo has obtained the experience and knowledge needed to run a craft beer business, Richard and Susan are ready to start a brewery of their own. Richard is confident in his ability to to manage the brewing process, while Susan is ready to take on the leadership role and manage all aspects of business operations. Richard and Susan will recruit a team of highly qualified professionals to help manage the day to day complexities of running a craft brewery – marketing and sales, accounting and budgeting, customer service, product management, and quality control.

Mountain Craft Beer will make unique craft beers that patrons can enjoy onsite or purchase through distributors. The Mountain Craft Beer brewery will provide a fun taproom tasting experience for guests to try out new brews. Mountain Craft Beer will be the ultimate choice in Boulder for its specialty craft beers made with premium locally sourced ingredients.

Product Offering

The following are the products and services that Mountain Craft Beer will provide:

  • Craft beer tasting
  • Barrel-aged beer
  • Seasonal IPAs
  • Seasonal Ales
  • Branded merchandise and apparel

Customer Focus

Mountain Craft Beer will target all individuals over the age of 21 in Boulder, Colorado. They will target locals and tourists. They will also target all beer-drinkers from seasoned connoisseurs to individuals brand new to craft beer, and everyone in between. No matter the customer, Mountain Craft Beer will deliver the best customer service, unique product offerings, and craft beer tastings led by friendly, knowledgeable staff.

Management Team

Mountain Craft Beer will be owned and operated by Richard and Susan Williams, long-time craft beer enthusiasts who are ready to venture out and start their own brewing business. Richard has worked as a Brewmaster in a local brewery for over ten years. He has a Bachelor of Science degree in Food Science from the University of Colorado. Susan has a Masters degree in Business Administration from the University of New York. She has worked as a General Manager for a local restaurant and bar for the past five years. Now that the duo has obtained the experience and knowledge needed to open their own business, Richard and Susan are ready to start a craft brewery of their own. Richard is confident in his ability to to manage the craft brewing process, while Susan is ready to take on the leadership role and manage all aspects of business operations.

Success Factors

Mountain Craft Beer will be able to achieve success by offering the following competitive advantages:

  • Friendly, knowledgeable, and highly qualified team of brewing professionals that will create unique flavors and blends, lead tasting experiences, and serve as informative guides providing the best customer service around.
  • Unique product selection made with premium locally-sourced ingredients. New beers will be introduced each month and rotating seasonal selections will be renewed based on popularity.
  • Mountain Craft Beer will be able to offer the best pricing in town because they will save on shipping costs by using local suppliers. The savings will be passed on to customers.

Financial Highlights

Mountain Craft Beer is seeking $500,000 in debt financing to launch its brewery business. The funding will be dedicated towards securing the facility and purchasing brewing equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing costs for the print ads and association memberships. The breakout of the funding is below:

  • Build-out of the facility: $100,000
  • Brewing equipment, supplies, and ingredients: $240,000
  • Three months of overhead expenses (payroll, rent, utilities): $140,000
  • Marketing costs: $10,000
  • Working capital: $10,000

The following graph below outlines the pro forma financial projections for Mountain Craft Beer.

Financial Highlights

Company Overview

Who is mountain craft beer.

Mountain Craft Beer is a newly established craft brewing company in Boulder, Colorado. Mountain Craft Beer will be the ultimate choice for craft beer enthusiasts in the area. Mountain Craft Beer will provide an exclusive selection of craft beers, with new editions being introduced monthly and rotating seasonal selections that will be renewed based on popularity. Their exclusive, customer-centric approach combined with their use of locally sourced ingredients will make them a unique alternative to the typical craft beer experience. Mountain Craft Beer will be able to cater to their customers with unique product offerings and informative beer tasting events led by a team of highly qualified brewers. Mountain Craft Beer’s mission is to provide a fun and welcoming experience for its customers while delivering highly sought after creations that can’t be found anywhere else.

Mountain Craft Beer History

Mountain Craft Beer is owned and operated by Richard and Susan Williams, long-time craft beer enthusiasts who are ready to venture out and start their own brewing business. Richard has worked as a Brewmaster in a local brewery for over ten years. He has a Bachelor of Science degree in Food Science from the University of Colorado. Susan has a Masters degree in Business Administration from the University of New York. She has worked as a General Manager for a local restaurant and bar for the past five years.

Since incorporation, Mountain Craft Beer has achieved the following milestones:

  • Registered Mountain Craft Beer, LLC to transact business in the state of Colorado.
  • Has a contract in place to lease the brewing facility.
  • Reached out to numerous contacts to include craft beer enthusiasts, former customers, and friends and family networks to create excitement for the new brewery.
  • Began recruiting a staff of brewers, sales associates, and marketing professionals to work at Mountain Craft Beer.

Mountain Craft Beer Services

Industry analysis.

The global craft beer industry is valued at $95BM. Beer is known for being the oldest and most broadly consumed beverage in the alcoholic category worldwide. The craft beer segment of the retail beer market in the United States has been growing steadily over the past ten years. In 2012, craft beer accounted for approximately 10% of the market. By 2021, this number increased to 26.8% of the market.

The U.S. brewery industry first became popular in the 2000s and hasn’t stopped growing since then. In 2006, there were approximately 1,400 breweries across the country. As of 2020, this number has grown to over 9,000.

The primary driver for growth in the United States craft beer market is the public’s increasing desire to find new and innovative drinks. The three most popular types of craft beers are pilsner, ale, and lager. Lager is the most popular of the three. Craft brewery industry operators can maintain a competitive advantage in the market by producing unique flavors and catering to their customers’ tastes.

Customer Analysis

Demographic profile of target market.

The precise demographics for Boulder, Colorado are:

Customer Segmentation

Mountain Craft Beer will primarily target the following customer profiles:

  • Residents 21 and over of Boulder, Colorado and surrounding areas
  • Tourists 21 and over of Boulder, Colorado and surrounding areas
  • Craft beer connoisseurs and enthusiasts (21 and over)
  • Craft beer newbies (21 and over)

Competitive Analysis

Direct and indirect competitors.

Mountain Craft Beer will face competition from other companies with similar business profiles. A description of each competitor company is below.

Boulder Brewery

Boulder Brewery is a newly established craft beer brewery and gastropub located in Boulder, Colorado. Boulder Brewery is owned and operated by a team of professional brewmasters and chefs. The brewery offers onsite craft beer tastings and has a full restaurant open seven days per week. Boulder Brewery also sells its craft beer to distributors. The brewery promises to provide unique flavor blends and premium exotic ingredients.

BC Craft Beer Company

BC Craft Beer Company is a Colorado-based brewery that provides fresh craft beer blends. BC Craft Beer Company provides a comprehensive menu of ales, pilsners, lagers, and other beers on site and available to order online. The owners of BC Craft Beer Company are former brewmasters so they understand how to create fine craft beers from scratch. Customers can depend on their unique brewing process to achieve one-of-a-kind drinks. By choosing BC Craft Beer Company customers know they are getting the highest quality ingredients and specialty beverages they can brag about. BC Craft Beer Company uses holistic inspections and quality control measures to ensure each batch exceeds the most stringent quality standards.

Crafty Colorado Brews

Crafty Colorado Brews is a trusted Colorado brewery that provides superior service to patrons in Boulder, Colorado and the surrounding areas. The company makes small batches of seasonal drinks onsite. Products include pale ales, pilsners, and lagers. Crafty Colorado Brews hosts craft beer tasting events onsite and also distributes its products to local restaurants and liquor stores.

Competitive Advantage

Mountain Craft Beer will be able to offer the following advantages over their competition:

  • Friendly, knowledgeable, and highly qualified team of brewing professionals that is able to create high quality, unique flavors using locally sourced ingredients and cater to customers’ preferences.
  • New flavors developed each month and rotating seasonal selections that are renewed based on popularity.
  • Mountain Craft Beer offers the best pricing in town. Their pricing structure is the most cost effective compared to the competition.

Marketing Plan

Brand & value proposition.

Mountain Craft Beer will offer the unique value proposition to its clientele:

  • Highly-qualified team of skilled employees that is able to lead fun tasting events and provide insightful information to craft beer enthusiasts and novices alike.
  • Unbeatable pricing to its customers – Using local suppliers allows the company to save on shipping costs and pass these savings on to its customers.

Promotions Strategy

The promotions strategy for Mountain Craft Beer is as follows:

Word of Mouth/Referrals

Richard and Susan Williams have built up an extensive network of craft beer enthusiasts and industry professionals. They plan to leverage this network to help them promote the new brewery.

Professional Associations and Networking

Mountain Craft Beer will become a member of Colorado Brewers Guild, Brewers Association, and the Master Brewers Association of the Americas. They will focus their networking efforts on expanding their customer network.

Print Advertising

Mountain Craft Beer will invest in professionally designed print ads to display in programs or flyers at industry networking events, magazines, direct mailers, and newspapers.

Website/SEO Marketing

Mountain Craft Beer will utilize an in-house marketing director to design the company website. The website will be well organized, informative, and list all of Mountain Craft Beer’s current product offerings. The website will also list contact information and upcoming tasting events.

The marketing director will also manage Mountain Craft Beer’s website presence with SEO marketing tactics so that anytime someone types in the Google or Bing search engine “Colorado craft beer” or “brewery near me”, Mountain Craft Beer will be listed at the top of the search results.

Social Media/Influencers

The marketing director will create a brand presence across multiple social media platforms such as Facebook, Instagram, Twitter, and TikTok. These accounts will be updated regularly to maintain an active social media presence. The company will work with social media influencers who will help to promote its products.

The pricing of Mountain Craft Beer will be moderate and slightly lower than competitors so customers feel they receive value when purchasing craft beer from the company.

Operations Plan

The following will be the operations plan for Mountain Craft Beer.

Operation Functions:

  • Richard Williams – Co-owner and Brewmaster who will oversee all brewing staff and manage the product development process.
  • Susan Williams – Co-Owner and Operations Manager who will oversee all staff (outside of brewers) including sales, marketing, accounting, and maintenance employees.
  • Ben Smith – Staff Accountant will provide all client accounting, tax payments, and monthly financial reporting.
  • Michelle Miller – Marketing Director who will provide all marketing promotions for Mountain Craft Beer.
  • John Davis – Maintenance Director who will provide all maintenance for the facility.


Mountain Craft Beer will have the following milestones complete in the next six months.

8/1/2022 – Finalize contract to lease facility

8/15/2022 – Finalize personnel and staff employment contracts

9/1/2022 – Begin build-out of the brewery

9/15/2022 – Begin networking at industry events

9/22/2022 – Begin moving into the facility

10/1/2022 – Mountain Craft Beer opens its brewery for business

Financial Plan

Key revenue & costs.

The revenue drivers for Mountain Craft Beer are the fees charged to customers in exchange for the products and fees charged to enter exclusive tasting events.

The cost drivers will be the overhead costs required in order to staff a brewery. The expenses will be the payroll cost, rent, utilities, craft beer ingredients, and marketing materials.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.

  • Number of Beers Sold Per Month: 3,000
  • Average Fees per Month: $15,000
  • Office Lease per Year: $100,000

Financial Projections

Income statement, balance sheet, cash flow statement, brewery business plan faqs, what is a brewery business plan.

A brewery business plan is a plan to start and/or grow your brewery business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can  easily complete your brewery business plan using our Brewery Business Plan Template here .

What are the Main Types of Breweries?

There are a number of different kinds of breweries, some examples include: Microbrewery, Nano brewery, Brewpub, Taproom Brewery, Regional Brewery, and Contract Brewing Company.

How Do You Get Funding for Your Brewery Business Plan?

Breweries are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding. 

This is true for a brewery business plan, microbrewery business plan, or a craft brewery business plan

What are the Steps To Start a Brewery Business?

Starting a brewery business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Brewery Business Plan - The first step in starting a business is to create a detailed craft brewery business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your brewery business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your brewery business is in compliance with local laws.

3. Register Your Brewery Business - Once you have chosen a legal structure, the next step is to register your brewery business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options - It’s likely that you’ll need some capital to start your brewery business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Brewery Equipment & Supplies - In order to start your brewery business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your brewery business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful brewery business, brewery business planning and crafting a beer business plan :

  • How to Start a Brewery Business
  • How to Start a Brewery

Where Can I Get a Brewery Business Plan PDF?

You can download our free brewery business plan template PDF here . This is a sample brewery business plan template you can use in PDF format.

Brewery Business Plan Guide + Example

brew pub business plan

July 6, 2023

Adam Hoeksema

In this guide, we will navigate the process of creating a brewery business plan that reflects your  vision and entices potential stakeholders. Rather than viewing it as a chore that your lender may have tasked you with, embrace the opportunity to lay a solid foundation for your brewery's future growth.

Together, we will cover the essential components that make up a comprehensive brewery business plan, empowering you to showcase your brewery, analyze the market landscape, strategize marketing and sales efforts, and develop realistic financial projections. Your potential lenders will want to make sure your brewery plans are realistic and within industry averages as well!

This guide includes the following:

What Should be Included in a Brewery Business Plan?

  • Conducting Market Research for Your Brewery Business Plan
  • Creating Financial Projections for Your Brewery Business Plan

Example Brewery Business Plan

Brewery business plan faqs.

With that in mind as the path forward, let’s dive in. 

A brewery business plan should compellingly convey to investors and lenders why beer enthusiasts and other customers would prefer your brewery over competitors, why you or your team are the optimum choice to manage the brewery, and how the financial projections are tailored to secure a favorable monetary return on their investment. Below is a detailed blueprint of our complimentary brewery business plan template .

Brewery Business Plan Outline

I. Executive Summary

II. Company Description

III. Market Analysis

IV. Marketing and Sales Strategy

V. Operations and Management

VI. Financial Plan

  • Startup Costs and Use of Funds
  • Annual Sales, Gross Profit and Net Profit
  • Key Financial Ratios
  • Financial Summary
  • Income Statement Annual Summary
  • Cash Flow Statement Annual Summary
  • Balance Sheet Annual Summary

VII. Appendix

VII. Conclusion

How to do Market Research for a Brewery Business Plan

Market research forms the backbone of any brewery business plan. Understanding your position within the market and establishing that there is adequate demand for your brewery's unique concept, location, and price range is key. Learn more about our approach to brewery market research here. Essentially, your goal is to grasp your competition, gauge potential customer footfall, identify an optimal location, and anticipate any seasonal fluctuations that could affect your business. You can learn more about our Brewery market research approach here, and below are some useful tools and methods for conducting market research for your prospective brewery.

What Will be the Cost to Advertise my Brewery?

We recommend Google Keyword Planner to aid you in identifying the ideal keywords to promote and attract customers to your brewery's website. This tool also offers an estimate of the cost per click when advertising using different keywords, as shown below:

brew pub business plan

What Keywords are Customers Using in Their Searches?

We rely on both Google Keyword Planner and Ahrefs to discern which keywords are directing traffic to your competitors' websites. You can run a report on a competitor's website to uncover the keywords they are ranking for and the volume of organic traffic each keyword generates. This information can be pivotal in streamlining your SEO strategy.

brew pub business plan

How Seasonal are Brewery?

We utilize Google Trends to examine the seasonality of your brewery concept. For instance, it can highlight that "Craft Beer Breweries" might not have stark seasonal patterns, whereas a brewery with a specialty in summer ales might exhibit pronounced seasonal trends.

brew pub business plan

How Many Customers Do my Competitors Receive Each Month?

Lastly, it's advantageous to generate foot traffic reports for your competitors to gauge the typical number of patrons they serve at their breweries. An example is shown below that presents the number of visits per month for a specific location:

brew pub business plan

In the end, the projected customer base for your brewery is a key assumption that will be foundational to your financial projections. Therefore, understanding your competitors' patron volumes can assist in estimating the potential traffic to your brewery.

How to Create Financial Projections for a Brewery Business Plan

Now, it's time to translate your market research into meaningful financial projections. Unlike other industries, the art of brewing introduces unique variables that shape revenue projections. While some breweries face capacity constraints, dictated by factors such as available seating, others may be limited by their brewing capacity and the ability to efficiently fulfill orders. Creating accurate financial projections is crucial not only to showcase your brewery's potential to repay loans but also to demonstrate an attractive return on investment to potential stakeholders.

  • Estimate startup costs for your restaurant
  • Forecast revenue including distribution, tap rooms, brewpub
  • Project food, beer, and labor costs
  • Estimate your operating expenses like rent and utilities
  • Calculate how much investor or loan capital you will need to open

If you use our brewery projection template , you'll be guided through this process, ensuring your projections adhere to the format required by investors or lenders. Typically, startup brewery projections should include an integrated income statement, balance sheet, and cash flow forecast to provide a comprehensive financial overview.

Through thoughtful financial planning and accurate projections, you'll not only showcase the potential profitability of your brewery but also gain the confidence of potential investors and lenders. Let our brewery projection templates assist you in presenting a robust financial plan that sets the stage for a successful brewing enterprise.

Discover our brewery business plan template , available in a customizable Google Doc format, allowing you to tailor it to your specific needs. Accompanied by our video walkthrough, you'll receive guidance on adapting the plan to your unique brewery concept. 

Table of Contents

1. executive summary,  1.1. company overview.

Briefly introduce the company's background, products or services, and target market.

      -  Example: Barrel & Brew Co. is a boutique craft brewery located in Asheville, North Carolina. We are dedicated to producing exceptional handcrafted beers that showcase the artistry of brewing and embody the spirit of the local community. 

   1.2. Objectives

Outlines the company's short-term and long-term goals.

        - Example:  Establish Barrel & Brew Co. as a premier destination for craft beer enthusiasts in Asheville, achieving a 70% taproom occupancy rate within the first year.

        - Example: Long-term: Plan to expand our operations, opening additional taprooms in neighboring cities and maintaining strong customer satisfaction..

  1.3. Mission Statement

 Describes the company's purpose and core values.

        - Example: At Barrel & Brew Co., our mission is to create exceptional craft beers that captivate the senses and foster a sense of community. We are dedicated to promoting the art of brewing, supporting local farmers and artisans, and providing an inviting and educational space where beer enthusiasts can gather, share experiences, and appreciate the craftsmanship behind our beers.

  1.4. Keys to Success

Highlights the factors that will contribute to the company's growth and success.

        - Example: Barrel & Brew Co. thrives on the following key factors for success. We prioritize exceptional craftsmanship, ensuring our craft beers deliver unmatched quality and flavor. Our engaging taproom experience immerses beer enthusiasts through guided tours, tastings, and educational activities. Active community engagement through festivals, collaborations, and charitable support builds a loyal customer base. 

2. Company Description

   2.1. company history.

Provides context on the company's background and founding story.

        - Example: Barrel & Brew Co. was founded by Martin Holts, a passionate brewer with extensive experience in the craft beer industry. Inspired by his love for brewing and the vibrant beer culture in Asheville, North Carolina, Martin set out to create a brewery that would celebrate the artistry and flavors of handcrafted beers. 

   2.2. Legal Structure

 Describes the company's legal structure (e.g., sole proprietorship, partnership, LLC, corporation).

        - Example: Barrel & Brew Co. operates as a limited liability company (LLC)

 2.3. Unique Selling Proposition

  Emphasizes the company's competitive advantage or unique offerings.

        - Example: Barrel & Brew Co. distinguishes itself through its commitment to brewing excellence and innovation. We pride ourselves on crafting high-quality beers that showcase a harmonious blend of traditional brewing techniques and inventive flavors.

  2.4. Target Market

Defines the company's ideal customer base.

        - Example: Barrel & Brew Co. targets beer enthusiasts and craft beer connoisseurs in Asheville, North Carolina, and beyond. Our offerings appeal to individuals who appreciate the artistry, quality, and diverse range of flavors found in handcrafted beers. 

3. Market Analysis

3.1. industry overview.

  Presents a general overview of the industry, its trends, and growth potential.

        - Example: The craft beer industry in Asheville, North Carolina, is thriving, driven by the city's vibrant beer culture, tourism, and a strong community of beer enthusiasts. With a growing demand for high-quality and diverse craft beers, the industry presents significant growth potential for Barrel & Brew Co.

3.2. Competitor Analysis

 Evaluates the company's direct and indirect competitors, as well as their strengths and weaknesses.

        - Example: Direct competitors: Mountain Brew –  a local brewery located in Asheville, North Carolina, specializing in craft beers that celebrate the mountainous region.

        - Example: Indirect competitors: The Hop House – a popular brewpub and restaurant in Asheville, North Carolina. While they brew their own beers on-site, they also offer a wide selection of craft beers from other local and regional breweries. 

3.3. Target Market Analysis

Explores the company's target customers, demographics, preferences, and pain points.

        - Example: Barrel & Brew Co.'s target market includes beer enthusiasts, craft beer connoisseurs, and locals and tourists who appreciate the unique beer scene in Asheville. The target demographic comprises individuals aged 21 and above who seek flavorful, high-quality beers and enjoy exploring different beer styles and flavors.

3.4. Market Opportunities

Identifies potential opportunities for the company to grow within the market.

        - Example: There are several opportunities for Barrel & Brew Co. to thrive in the market. Firstly, by actively participating in local beer festivals, events, and collaborations with other breweries, Barrel & Brew Co. can increase brand visibility and attract new customers. Additionally, partnering with local restaurants and bars to showcase their beers can expand their reach and tap into new customer segments. 

Key Point  1

brew pub business plan

  • Example 1: Conduct a competitor analysis to understand the strengths and weaknesses of existing breweries in the area. (e.g., Identify key competitors' offerings, pricing, and customer reviews to determine potential gaps in the market)
  • Example 2:Analyze local beer consumption trends and preferences through surveys and market research. (e.g., Discover that there is a high demand for craft beers with unique flavors and local ingredients in Asheville)

4. Marketing and Sales Strategy

4.1. product or service offerings: .

Describes the company's products or services in detail.

        - Example: Barrel & Brew Co. offers a diverse range of handcrafted beers. Our lineup includes a variety of beer styles, from refreshing lagers to hop-forward IPAs and rich stouts. Each beer is meticulously brewed using high-quality ingredients and crafted to deliver exceptional flavor and aroma.

4.2. Pricing Strategy

 Outlines the company's approach to pricing its products or services.

        - Example: Barrel & Brew Co. employs a competitive pricing strategy that reflects the quality and craftsmanship of our beers while remaining accessible to our target market. 

4.3. Sales Strategy

  Explains how the company plans to generate sales and build

customer relationships.

        - Example:  To generate sales and build strong customer relationships, Barrel & Brew Co. focuses on creating memorable experiences for beer enthusiasts. Our taproom in Asheville, North Carolina, serves as a hub for beer tasting, socializing, and educational events. We prioritize customer engagement by offering guided brewery tours, hosting beer tasting sessions, and providing a welcoming and knowledgeable staff to enhance the overall brewery experience.

4.4. Distribution Channels

 Describes the methods through which the company will deliver its products or services to customers.

        - Example: Barrel & Brew Co. primarily distributes its beers through its taproom in Asheville. Customers can visit the taproom to enjoy our beers on-site, purchase cans or growlers to-go, and engage directly with our team. 

4.5. Promotions and Advertising

 Details the company's promotional efforts and advertising strategies.

        - Example: To increase brand awareness and attract customers, Barrel & Brew Co. employs a multifaceted approach to promotions and advertising. We leverage social media platforms to showcase our beers, engage with our audience, and promote upcoming events. We also collaborate with local food vendors, musicians, and artists to host unique experiences and create cross-promotional opportunities. 

Key Point  2

brew pub business plan

  • Example 1:  Organize a beer tasting event showcasing the brewery's signature brews to attract beer enthusiasts and build brand awareness. (e.g., Attract 300 attendees to the event, generating positive feedback and inquiries about future offerings). Attend local festivals, events, etc to offer beer tastings and sale discounted beers
  • Example 2: Collaborate with local restaurants and bars to feature Barrel & Brew Co.'s beers on their menus, expanding the brewery's reach and attracting new customers. (e.g., Secure partnerships with three popular restaurants, resulting in increased sales and customer referrals)
  • Example 3: pre-sale “beer of the month” or mugs for a “mug club” to provide a discount for the first year (or lifetime) based on a pre-launch subscription fee
  • Example 4: Social Media & Email signups. Build a local (and broader) following by documenting/sharing the process of brewing, building, launching the brewery. Collect emails to provide updates to local supporters

5. Operations and Management

5.1. brewery production.

Involves the brewing process, quality control, and packaging of the beers.

        - Example: Barrel & Brew Co. focuses on producing high-quality beers by adhering to strict brewing standards, conducting regular quality checks, and implementing efficient packaging and labeling processes.

5.2. Inventory Management

Refers to the management of raw materials, brewing supplies, and finished beer inventory.

        - Example: Barrel & Brew Co. maintains a comprehensive inventory management system to monitor stock levels, track ingredient usage, and ensure sufficient supply of brewing materials. This enables us to meet customer demand and optimize production efficiency.

5.3. Taproom Operations

Encompasses the management of the taproom, including customer service, beer pouring, and creating a welcoming atmosphere.

        - Example: Barrel & Brew Co. places a strong emphasis on exceptional customer service and creating a warm and inviting environment in our taproom. Our well-trained staff provides knowledgeable guidance on beer selection, offers a memorable tasting experience, and fosters a sense of community among our patrons.

5.4. Compliance and Regulatory Requirements

Involves adhering to local, state, and federal regulations related to brewing, licensing, health and safety, and responsible alcohol service.

        - Example: Barrel & Brew Co. ensures compliance with all applicable laws and regulations governing the brewing industry. We maintain proper licensing, prioritize health and safety protocols, and promote responsible alcohol service to uphold the highest standards of legal and ethical practices.

Key Point  3

brew pub business plan

  • Example: Martin Holts, the owner of Barrel & Brew Co., has a decade of experience in craft beer brewing, including managing a successful brewery in a different location. His expertise ensures a deep understanding of brewing techniques, quality control, and industry trends.
  • Example: The brewery's head brewer, Sarah Thompson, is a renowned expert in the craft beer industry, having won multiple awards for her innovative beer creations. Her expertise brings credibility and a competitive edge to Barrel & Brew Co.

5.5 Staffing and Human Resources

Covers the recruitment, training, and management of a skilled and dedicated team.

        -Example: Barrel & Brew Co. places great importance on hiring passionate and knowledgeable individuals who share our commitment to brewing excellence. We provide comprehensive training programs, offer competitive compensation, and foster a positive work environment to attract and retain top talent in the industry.

5.6. Financial Management

Involves budgeting, accounting, and financial analysis to ensure the brewery's financial stability and profitability.

        - Example: Barrel & Brew Co. maintains a robust financial management system, which includes accurate bookkeeping, regular financial analysis, and strategic budgeting. This allows us to make informed business decisions, manage expenses effectively, and pursue growth opportunities while maintaining financial sustainability.

All of the unique Brewery financial projections you see here were generated using ProjectionHub’s Brewery Financial Projection Template . Use PH20BP to enjoy a 20% discount on the template. 

6. Financial Plan

   6.1. startup costs.

  Provide a detailed breakdown of the total startup costs requirements, and where you plan for those funds to come from. You will also want to breakdown how the startup costs will be used including working capital to cover losses before the business breaks even.

        - Example: Creating a solid financial plan is crucial, and we are taking the necessary steps to ensure the success of Barrel & Brew Co. We have raised $150,000 through personal investment from Matin, and we are working with financial institutions to secure a business loan of around $500,000. By combining these funding sources, we are confident in our ability to meet the startup cost requirements and establish a strong foundation for Barrel & Brew Co. 

brew pub business plan

6.2. Revenue Projections

Provides an estimate of the company's future revenue based on market research and assumptions.

        - Example:  Barrel & Brew Co. projects $1,367,824 in revenue in the first year. The company anticipates steady growth in revenue over the initial five-year period.

brew pub business plan

6.3. Expense Projections

 Estimates the company's future expenses, including fixed and variable costs.

        - Example: Barrel & Brew Co.'s expenses include property lease, accounting, advertising, professional services, utilities, and more.

brew pub business plan

6.4. Profit and Loss Statement

Summarizes the company's revenue, expenses, and net income over a specific period.

        - Example: Barrel & Brew Co. expects to achieve profitability within the first two years of operation.

brew pub business plan

6.5. Cash Flow Projections

 Outlines the company's projected cash inflows and outflows.

        - Example: Barrel & Brew Co. cash flow projections account for seasonal fluctuations in sales and expenses.

brew pub business plan

6.6. Break-even Analysis

  Determines the point at which the company's revenue equals its expenses.

        - Example: Barrel & Brew Co. anticipates reaching its break-even point in year 2 of operation.

brew pub business plan

Watch how to create financial projections for your Brewery

brew pub business plan

Key Point  4 

brew pub business plan

  • Example 1: Compare financial projections with industry benchmarks for breweries of a similar size and production capacity. (e.g., Aim for a gross margin of 50%, which is within the typical range for craft breweries)
  • Example 2:  Consider potential market growth and expansion opportunities in Asheville, factoring in expected revenue increases from increased distribution and taproom sales.

7. Appendix

   7.1. supporting documents.

 Includes any relevant documentation that supports the information presented in the business plan, such as resumes, financial projections, market research data, and permits or licenses.

   7.2. Glossary of Term

 Provides definitions for industry-specific terms used throughout the business plan to ensure reader comprehension.

   7.3. References and Resources

Lists any sources or resources referenced during the preparation of the business plan, including industry reports, market research data, and relevant publications.

Key Point  5

brew pub business plan

  • Example: Martin Holts and his family invest a substantial amount of personal funds into the brewery's startup costs, demonstrating their commitment to the business's success.
  • Example: The brewery secures a small business loan backed by the collateral of brewing equipment, showing the willingness to assume financial risk and ensuring the lender's confidence in the venture.

How can I choose the ideal location for my brewery?

When selecting a location for your brewery, consider factors such as the availability of water supply, access to quality ingredients, proximity to your target market, zoning regulations for breweries, space for brewing equipment and storage, and the potential for a taproom or retail area.

What are the steps to start a craft brewery?

Starting a craft brewery typically involves conducting market research, writing a business plan, securing funding, obtaining necessary permits and licenses, sourcing equipment and ingredients, hiring staff, and marketing your brewery.

How can I finance my brewery startup?

There are various options to finance a brewery startup, including self-funding, bank loans, crowdfunding, seeking investment from private investors or venture capitalists, or applying for government grants or incentives.

What permits and regulations do I need to comply with to operate a brewery?

The permits and regulations for operating a brewery can vary depending on your location. Typically, you will need permits related to alcohol production and distribution, licensing for on-site consumption or retail sales, compliance with health and safety regulations, and adherence to labeling and packaging requirements.

About the Author

Adam is the Co-founder of ProjectionHub which helps entrepreneurs create financial projections for potential investors, lenders and internal business planning. Since 2012, over 50,000 entrepreneurs from around the world have used ProjectionHub to help create financial projections.

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Brewery Business Plan Template

Written by Dave Lavinsky

Growthink Brewery Business Plan

Brewery Business Plan

Over the past 25 years, we have helped over 5,000 entrepreneurs and business owners create business plans to start and grow their breweries. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a brewery business plan step-by-step so you can create your plan today.

Download our Ultimate Brewery Business Plan Template here >

What Is a Brewery Business Plan?

A business plan provides a snapshot of your brewery or microbrewery as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan for Your Brewery

If you’re looking to start a brewery or grow your existing brewery you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your brewery in order to improve your chances of success. Your brewery business plan is a living document that should be updated annually as your brewing company grows and changes.

Source of Funding for Breweries

With regards to funding, the main sources of secure funding for a brewery are bank loans and angel investors.

Banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable, but they will want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.

Angel Investors

The second most common form of secure funding for a brewery is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding or, like a bank, they will give you a loan. Venture capitalists will generally not fund a brewery. Private equity investors would consider a brewery or microbrewery business plan for funding if it has already reached a considerable scale.

Finish Your Business Plan Today!

How to write a brewery business plan.

All business plans should include the following 10 sections:

Executive Summary

Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of brewing company you are operating and the status; for example, are you a startup, do you have a craft brewery that you would like to grow, or are you operating a chain of brewpubs.

Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the craft brewery industry. Detail your direct competitors. Give an overview of your target customers. Provide a snapshot of your marketing strategy and plan. Identify the key members of your team. And offer an overview of your financial plan.

Company Analysis

In your company analysis, you will detail the type of brewing company you are operating.

For example, you might operate one of the following 6 core types of breweries:

  • Microbrewery: which is a brewery that produces less than 15,000 barrels of beer per year and sells 75% or more of its beer off-premises.
  • Nano brewery: a brewery that produces less than 15,000 barrels of beer per year
  • Brewpub: which is a restaurant-brewery combination that sells 25% or more of its beer on-site and offers food service
  • Taproom Brewery: which sells 25% or more of its beer on-site, but does not offer food services
  • Regional Brewery: a brewery that has annual beer production of between 15,000 and 6,000,000 barrels
  • Contract Brewing Company: a business that contracts with another brewery to produce its beer

In addition to explaining the type of brewery you operate, the Company Analysis section of your business plan needs to provide background on the business.

Include answers to questions such as:

  • When and why did you start the business?
  • What milestones have you achieved to date? Milestones could include sales goals you’ve reached, new store openings, etc.
  • Your business structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry analysis, you need to provide an overview of the brewery business.

While this may seem unnecessary, it serves multiple purposes.

First, researching the brewing industry educates you. It helps you understand the market in which you are operating.

Secondly, market research can improve your strategy particularly if your research identifies market trends. For example, if there was a trend towards lighter beer consumption, it would be helpful to ensure your plan calls for plenty of lighter brew options.

The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your brewery business plan:

  • How big is the brewery business (in dollars)?
  • Is the market declining or increasing?
  • Who are the key competitors in the market?
  • Who are the key suppliers in the market?
  • What trends are affecting the industry?
  • What is the industry’s growth forecast over the next 5 – 10 years?
  • What is the relevant market size? That is, how big is the potential market for your brewery. You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local or regional population.

Customer Analysis

The customer analysis section of your brewery business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: college students, sports enthusiasts, soccer moms, techies, baby boomers, etc.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of brewery you operate. Clearly, baby boomers would want a different atmosphere, pricing, and product options, and would respond to different marketing promotions than college students.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the customers you seek to serve. Because most breweries primarily serve customers living in the same city or town, such demographic information is easy to find on government websites.

Psychographic profiles explain the wants and needs of your target customers. The more you can understand and define these needs, the better you will do in attracting and retaining your customers.

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Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

With regards to direct competition, you want to detail the other breweries with which you compete. Most likely, your competitors will be other breweries and brewpubs located in your region.

Indirect competitors are other options that customers have to purchase from you that aren’t in the same target market or industry but may offer similar products or services. This primarily includes restaurants (for brewpubs) and other products (spirits, wine) for microbreweries. You need to mention such competition to show you understand that not everyone who drinks alcohol frequents a brewery.

For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as:

  • What types of customers do they serve?
  • What products do they offer?
  • What is their pricing (premium, low, etc.)?
  • What are they good at?
  • What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

  • Will you provide superior brewery products or services?
  • Will you provide brewery products that your competitors don’t offer?
  • Will you provide better customer service?
  • Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.

Marketing Plan

Traditionally, this section includes the four P’s: Product, Price, Place, and Promotion. For a brewery business plan, you should include the following:

In the product section, you should reiterate the type of brewery that you documented in your Company Analysis. Then, detail the specific products you will be offering. For example, will you brew IPAs, pilsners, stouts, etc.?

Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections, you are presenting the menu items you offer and their prices.

Place refers to the location of your brewery. Document your location and mention how the location will impact your success. For example, is your brewery located next to a heavily populated office building, or gym, etc.? Discuss how your location might provide a steady stream of customers. Also, if you operate or plan to operate kiosks, detail the locations where the kiosks will be placed.

The final part of your brewery marketing plan is the promotions section. Here you will document how you will drive customers to your location(s). The following are some promotional methods you might consider:

  • Making your brewpub’s front store extra appealing to attract passing customers
  • Establish a web presence
  • Social media marketing
  • Event marketing
  • Advertising in local papers and magazines
  • Reaching out to local bloggers and websites 
  • Local radio advertising
  • Banner ads at local venues

Operations Plan

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your brewery such as brewing beer, serving customers, procuring supplies, keeping the store clean, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to serve your X,000th customer, or when you hope to reach $X in sales. It could also be when you expect to hire your Xth employee or launch in new markets.

Management Team

To demonstrate your brewery’s ability to succeed as a business, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a brewing company.

Ideally, you and/or your team members have direct experience in the brewery business. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in breweries and/or successfully running retail and small businesses.

Financial Plan

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet, and cash flow statements.

Income Statement

An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenues and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to create a sales forecast. For example, will you serve 100 customers per day or 200? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheet

While balance sheets include much information, to simplify them to the key items you need to know about, balance sheets show your assets and liabilities. For instance, if you spend $100,000 on building out your brewery, that will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $100.000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement

Your projected cash flow statement will help determine how much money you need to start or grow your business and make sure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt. For example, let’s say a company approached you with a $100,000 brewing contract, that would cost you $50,000 to fulfill. Well, in most cases, you would have to pay that $50,000 now for supplies, brewing equipment rentals, employee salaries, etc. But let’s say the company didn’t pay you for 180 days. During that 180 day period, you could run out of money.

In developing your Income Statement and Balance Sheets be sure to include several of the key start-up costs:

  • New location build-out including design fees, construction, etc.
  • Cost of brewing equipment
  • Cost of ingredients and maintaining an adequate amount of supplies
  • Payroll or salaries paid to staff
  • Business insurance
  • Taxes and permits
  • Legal expenses

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your store design blueprint or location lease.

Brewery Business Plan Conclusion

Putting together a business plan for your brewing company is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the brewery and microbrewery business, your competition, your business operations, and your potential customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful brewery.

To further help you, we have other articles on key aspects of how to start your brewery . and running it effectively. Specifically, our brewery marketing plan will help you develop the best promotions strategy. Our brewery startup costs post will let you know what costs to expect.

Microbrewery Business Plan FAQs

What is the easiest way to complete my microbrewery business plan.

Growthink's Ultimate Brewery Business Plan Template allows you to quickly and easily complete your Brewery Business Plan.

Where Can I Download an Example Brewery Business Plan PDF?

You can download our example brewery business plan PDF template here . This is a sample business plan template you can use in PDF format.

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Brewery Business Plan

Start your own brewery business plan

Sedibeng Breweries

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Sedibeng Breweries is a medium-scale brewery that is located in the growing industrial centre of Selebi Phikwe, Botswana. This is a relatively new business in its start-up phase having been incorporated recently.

We are on the brink of penetrating a lucrative market in a rapidly-growing economy. The current trend towards an increase in the number of entrepreneurs and competition amongst existing companies presents an opportunity for Sedibeng Breweries to penetrate the market. Our products will be positioned very carefully. They will be of extremely high quality to ensure customer satisfaction, supported by impeccable service to our customers. Our primary goal will be to establish and strengthen our license to trade, which will be bestowed by the communities in which we function. As Sedibeng Breweries prospers and grows, these communities will continue to benefit from both the value created by Sedibeng Breweries and its behavior as a corporate citizen.

Initial plans are to produce three main lines of products primarily focusing on X, Y, and Z beer (which comes in different flavors: B, P, C and S). These products will be sold in different sized containers ranging from the 250 ml ginger beer to the 500 ml traditional beer. These products shall be extensively distributed to remote, yet extremely viable areas where the market is appreciative of readily available, good quality brew.

To prosper there is need for Sedibeng to be flexible and responsive, to delight customers by providing them with what they want, when they want it and before the competition. From product concept to goods dispatch we intend to ensure that every policy and procedure, system and process must have the objective of improving the flexibility and response of the whole company. There is a need for interaction between all functional areas, particularly between marketing and manufacturing, if the organization is to realize its full potential, with manufacturing being employed as a strategic weapon.

Our marketing strategy will be based mainly on ensuring customers know what need the product(s) is able to fulfill, and making the right product and information available to the right target customer. Hence we intend to implement a market penetration strategy that will ensure that we are well known and respected in our respective industry. We will ensure that our products’ prices take into consideration people’s budgets, and that these people appreciate the product(s) and know that it exists, including where to find it. However these prices will also take into consideration the cost of production and distribution so as to ensure that we remain viable and operational. The marketing effort will convey the sense of quality and satisfaction in every picture, every promotion, and every publication. Our promotional strategy will involve integrating advertising, events, personal selling, public relations and direct marketing. In the long term Internet marketing shall also be undertaken, details of which are provided in the marketing section of the following plan.

Our target markets will primarily constitute the corporate and working class who appreciate good quality traditional beer. The working class will range from the miners, who constitute a large portion of the market, to administrative personnel appreciative of good quality traditional beer. The corporate or managerial segment will constitute those managers, who though aware of their image and reputation, want to put aside their ties and jackets after hours and/or on weekends to drink good traditional beer, easily accessible in the urban areas. The common bond will be the appreciation of a good-quality traditional brew able to fulfill their thirst. Sedibeng is primarily targeting a market share of 6% to attain sales of approximately $1.5 million in our initial year. Sedibeng Breweries will pride itself on its production ability, competitive prices, its high standards of quality and its adaptability to changes in the market and in the method of its practice.

It is important to recognize that we do not intend that our tangible resources alone will make us potent competitors but more so our intangibles, such as our ability to relate to consumers, management style, corporate culture and commitment. These elements will differentiate us from our competitors and contribute towards the development of a sustainable competitive advantage.

We intend to compensate our personnel well, so as to retain their invaluable expertise and to ensure job satisfaction and enrichment through delegation of authority. Our compensation will include health care, generous profit sharing, plus a minimum of three weeks vacation. As an equal opportunity employer, we respect the diversity and human rights of our people, and strive to achieve optimal productivity, while realizing each employee’s full potential. Awards will be given out to outstanding individuals, groups and plants for hard work and production so as to instill a sense of fun  and promote the maintenance of high standards. By encouraging all employees close to our customers to think tactically about what Sedibeng Breweries service offerings should be, and by having enthusiastic, capable and empowered people interacting with our customers, we build the competitive advantage of being able to meet our customers’ needs better than anyone else.

Sedibeng Breweries intends to provide the customer with more than just a traditional brew. We intend to provide a quality brew that will not only be refreshing and pleasurable, but also encourage gatherings and sharing of fun. Our customers are assured of products that have been produced using the highest quality standards.

As we grow we want to grow right. Initially pursuing organic development and expansion we intend to undertake vertical integration in the future so as to be in total control of our raw materials and goods dispatch. For example, we realizing that we have to be in constant touch with our stakeholders to ensure market knowledge at all times. This is the nature of the channels we deal with. Also, we intend to build our management team correctly. We need the right people, in the right place, at the right time if we are to ensure optimum growth. We intend to develop our team so that our people can grow as the company grows– a mutually beneficial relationship. We shall strive to attain our primary goal, which is to develop and strengthen our license to trade, bestowed by the communities in which we function. As Sedibeng Breweries prospers and grows, these communities will continue to benefit from both the value created by Sedibeng and its behavior as a corporate citizen.

Brewery business plan, executive summary chart image

1.1 Objectives

Our business strategy will revolve around the need to provide quality brew to our various target customers, in the process fully satisfying their needs. This shall be undertaken through the implementation of high quality control standards and technological innovations, as well as the recruitment of a professional production and sales team, and the production of good quality marketing material designed to cater for various kinds of customers. This marketing material shall be professionally done so as to be reflective of our intended image and reputation. We shall position ourselves as a quality manufacturer that strives to provide quench fulfillment, enjoyment, reliability and a good image. We intend to establish a good rapport with all the relevant stakeholders.

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Our objectives will revolve around the following guiding principles:

  • Provision of a great work environment, treating each other with respect and dignity.
  • Apply high-quality standards of excellence to all business processes.
  • Develop enthusiastically-satisfied customers all of the time.
  • Contribute positively to our communities and our environment.
  • To continuously formalize and measure cross-functional working communication so as to ensure that the various departments work harmoniously towards attainment of company objectives.
  • To instill a culture of continuous improvement in beating standards of customer satisfaction and efficiency.
  • Fully commit to supporting growth and development in the economy.

Ultimately we intend to create a stable business platform that will create prosperity for all those involved in the business venture at all levels, and to uplift unemployed Botswanans who are prepared to participate in this venture.

1.2 Keys to Success

The keys to Sedibeng Breweries success will undoubtedly be effective market segmentation through identification of several niche markets and implementation strategies. Along these lines the company intends to implement advertising, personal selling and direct marketing strategies aimed at the target markets. Our advertising marketing strategies will rotate around.

Hence our key success factors will include the following:

Excellence in Fulfilling the Promise: We intend to produce and provide products of uncompromised quality to our customers. This is so as to meet the needs and standards of our customers. Effective and Efficient Distribution Network: The importance of such cannot be overemphasized in our line of business. We intend to establish an excellent distribution network that will enable us to rapidly respond to customers’ orders, and be available in remote areas our competitor has not yet exploited. Assembly Technology: To ensure quality brewed beverages it is essential to utilize the latest and most efficient assembly technology. Keeping abreast with technological developments will ensure we gain, and maintain, a competitive advantage utilizing the latest production techniques. Loyalty and Dedication: The loyalty and dedication of our employees shall be essential to the prosperity of the organization. We recognize that Corporate commitment to success should lead to the survival and prosperity of the products, and ultimately the organization as a whole. Marketing Know-how: In an increasingly competitive market there is need to aggressively market our business so as to be continuously at the top of our prospective and current client’s minds. Adherence to Stringent Values and Principles: Sedibeng needs to acknowledge the fact that the financial and strategic management of the business will ultimately determine its prosperity and success. Hence we intend to adhere to stringent values and principles that will enable such to be achieved.

1.3 Mission

Sedibeng Breweries intends to create a pleasant, enjoyable and sociable environment through the provision of refreshing high-quality brews. Hence we intend to assist in the creation of a welcoming and relaxed ambiance reflective of people enjoying themselves. We are sensitive to the taste, look and feel of good beer, as well as affordable prices depending on the market. We intend to provide the best possible value to our customers who care about quality products at affordable prices, and we want every dollar spent on our products to be well spent. Hence our value proposition is to sell the benefit of refreshness and enjoyment to our various consumers at reasonable prices.

Internally we intend to create and nurture a healthy, creative, respectful and enjoyable office and plant environment, in which our employees are fairly compensated and encouraged to respect the customer and the quality of the product we produce. In addition follow-up will be mandatory so as to ensure customer satisfaction and make any improvements as recommended by the customers in future. We seek a fair and responsible profit, enough to keep the company financially healthy for the short and long term, and to fairly compensate owners and investors for the money and risk.

We also intend to obtain ISO 9000 certification from the South African Bureau of Standards (SABS) so that our products are internationally recognized and approved. This will assist in our penetrating the regional and international markets, intentions of which we have in future. However this will occur after we have established ourselves on the local market. The above is well summarized in our mission statement which goes as follows:

Our mission is to carefully attend to detail in the hygiene in all our brews, and to uphold superb quality at all levels of production. To satisfy all our customers and stakeholders.

Company Summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">

Sedibeng Breweries is a relatively new company providing high quality alcoholic and non-alcoholic beverages in the local market. Sedibeng Breweries intends to focus on the brewing process and the brewery itself. The brewery will house four stainless steel vessels whose shiny finish will be highlighted by the flood lights on the ceiling. Interested stakeholders will be able to observe the brewing process during the day and will be offered guided educational tours of the brewing facility.

It will focus initially on providing and satisfying two kinds of markets:

  • Working Class: This will range from the miners who constitute a large portion of the market to administrative personnel appreciative of good quality traditional beer.

As it grows it will take on people and expand into related markets. It will also look for additional leverage by establishing relationships and representations with appropriate strategic allies.

2.1 Start-up Summary

Total start-up capital and expenses (including legal costs, logo design, stationery and related expenses) came to approximately $41,700. Start-up assets required and utilized included brewing plant and machinery, pick-ups, office furniture, personal computers and other office equipment. This figure comes to $840,000.

Brewery business plan, company summary chart image

2.2 Company Ownership

Sedibeng Breweries is a Private Limited company incorporated at the Registrar of Companies through the foresight and vision of Mr. X and Mr. Y. Its fiscal year is the calendar year. Though it has only been in existence for seven months it realizes the potential market and opportunity for growth given implementation of the appropriate strategies, aided by the necessary finances.

2.3 Company Locations and Facilities

At present the company plants and offices are located in the growing industrial center of Selebi Phikwe, Kasane and Palaype with intentions of establishing an additional plant in Maun or Francistown, largely depending on the dictates of the market and the obtaining of a lease. Our current facilities provide offices, plants and machinery, office equipment and so on.

2.4 Company Values

This shall be undertaken through implementation of the following company values:

  • Ultimately we intend to uphold all the above company values, promoting our employees and respective third parties engaged by us to do likewise.

Through promotion and implementation of the above stated company values we believe that we will be able to attain our corporate and stakeholders’ goals and objectives for the benefit of all concerned, in particular the communities in which we will operate.

Sedibeng Breweries produces and markets several products. There are three main products currently in its production line. These are:

All products are periodically taken for testing to the National Food Laboratory for quality checks so as to ensure that they conform to required quality standards.

3.1 Product Description

Sedibeng Breweries produces products of high quality and impeccable taste. The company currently produces three main lines of products, namely X beer, Y beer and Z beer. All three have unique properties that will enable them to excel on the market. We will also be watching for technological developments in South Africa and overseas, allowing us to be first on the market and produce high-quality products through cost effective means. In addition the company will select suitable products for production under license.

Our current product listing is as follows:

  • Z Beer This traditional food product is widely consumed as a substitute for regular meals and energy booster, whenever available. Up to now it has only been available in two sources, namely home prepared or more commonly bought from a shop having a fridge to keep the product refrigerated.

This denies the people in rural area access to these delicious and nutritious foodstuffs. In fact, it is so wholesome that a growing child is able survive on one litter of this per day, as it contains protein, starches, calcium, vitamins and other essential trace elements. We have the ability to produce a long life Z that needs NO refrigeration, which can be sold from the shelf in the same fashion as Ultra Mel and similar products. This means that it can be bought by consumers who might not always have access to cooling or refrigeration facilities, to be consumed later, as a food whilst way from home, or as an emergency food supply. This is available in several flavors, such as x, y, w, t, s and other xx flavors that the market might want. It is also a good product to use in school feeding schemes and similar projects.

3.2 Competitive Comparison

Identifying competition in terms of companies that fill the same needs that we do, our competitors are few in our main product lines, though dominant in the market. Hence there will be a need to strongly differentiate ourselves from these other businesses. However on a broader scale our competition comes in several forms:

  • On a larger scale manufacturers of other beverages including soft drinks and coffees also constitute competition, but of a generic nature, as people have to choose between them as refreshments. These products being marketed in supermarkets are often advertised on an extensive basis. To this end we intend to implement a strategy that will integrate the various promotional elements or tools such that our products are well known and appreciated on the market.

3.3 Macro-environment

Over the last few months abnormal weather has affected many parts of Southern Africa, including Botswana, during the key summer season. It has been extraordinarily severe with heavy rainfall, flooding and there definitely promises to be low temperatures, particularly in the winter season. This is likely to have an adverse effect on our initial financial performance, though marginal as consumption levels may decrease slightly.

At a large scale, market research demonstrates that the brewing industry market is growing and changing. Generally there is a trend toward more appealing and attractive brews as potential customers either are moving to the urban areas as a result of urbanization or are satisfied with an existing brew in their area. Research indicates that those in the rural areas are often satisfied with the existing brew due to lack of access to other higher-quality brews, whilst the new generation of executives being more educated and aware of the global environment wants to be seen drinking something attractive and recognized by others–status recognition. In addition this same market is not only more image conscious but appreciative of a quality brew as it is more selective. Therefore with the emergence of this generation of individuals, the appreciation of quality brews and packaging, dictates that our product lines will be popular.

3.4 Technology

Sedibeng Breweries will strive to maintain the latest and most efficient assembly technology so as to ensure quality-brewed beverages, and maintain low production costs ultimately benefiting the consumer. Keeping abreast with technological developments will ensure we gain and maintain a competitive advantage utilizing the latest production techniques.

3.5 Future Products

In putting the company together we have attempted to offer enough products to allow us to always be in demand by our customers and clients. The most important factor in developing future products is market need. Our understanding of the needs of our target market segments shall be one of our competitive advantages. It is critical to our effort to develop the right new products. We also intend to have what we call a “core product engine” that will be the foundation of future products. This shall be established in time as we determine our core product. In the future, Sedibeng Breweries will broaden its coverage by expanding into additional markets (i.e., the whole of Southern Africa) and additional product areas. In doing so we will strive to ensure that it is compatible with the existing products and assembly technology.

3.6 Fulfillment

  • We will turn to reliable farmers, suppliers and distributors who will assist in ensuring that the products are delivered timely and are of the highest quality. We will also rely on these stakeholders for relevant information on the market situation (trends, consumer tastes, feelings and comments amongst other things).

SWOT Analysis SWOT analysis .">

We are in a highly lucrative market in a rapidly growing economy. We foresee our strengths as the ability to respond quickly to what the market dictates and to provide quality brew in a growing market. In addition, through aggressive marketing and quality management we intend to become a well-respected and known entity in our respective industry. Our key personnel have a wide and thorough knowledge of the local manufacturing market and expertise, which will go towards penetrating the market. However we acknowledge our weakness of a medium-sized company without a lot of experience, and the threat of new competition taking aim at our niche. Below are the summarized strengths, weaknesses, opportunities and threats.

4.1 Strengths

  • An aggressive and focused marketing campaign with clear goals and strategies.

4.2 Weaknesses

  • Establishment on the Internet will produce technological challenges.

4.3 Opportunities

  • Increasing number of foreign firms, especially from South Africa looking at penetrating the market.

4.4 Threats

The present growth in the market may result in market saturation, through competition. This competition could emerge from a variety of given sources including:

  • Intolerable price increases by foreign suppliers may occur.

Market Analysis Summary how to do a market analysis for your business plan.">

Today we are experiencing rapid growth in the economy of unsurpassed nature. This has been brought about by (amongst other things) the relaxation of foreign exchange policies and macro economic policies geared towards attracting foreign investors into the country. The fiscal and monetary policies of the government geared towards maintaining growth with social justice have largely contributed towards this, evidenced by our economy averaging a growth rate of 7% since 1990–very high by international standards.

The current drive and emphasis by the government on diversification of the industrial base away from the minerals sector presents an opportunity for Sedibeng Breweries to make a valuable contribution towards achieving this goal. This will result in implementation of modern production techniques and transfer of knowledge. Having undertaken a thorough and comprehensive research of the market we realized that there was a need for a manufacturer that focuses on producing affordable thirst quenching brew tailored to satisfying client’s needs. Though there are breweries currently on the market, some of whom have been in existence for a relatively long period of time, we believe that there is a market need for one (ourselves in this instance) that particularly focuses on the low to medium earning individuals. We intend to provide products of extremely high quality–something that cannot be over-emphasized in the international arena with the current drive towards globalization. The marketing mix of the products has been carefully and strategically put together to position them in the market.

Aware of the fact that we will be operating in a predominantly monopolistic market structure we intend to ensure that our marketing strategies are considerate of the importance of the fit between our products capabilities and benefits, and the target market, so as to develop a strong sustainable competitive position in the market. As a result we intend to implement a niche marketing strategy, focusing on certain target markets, particularly in view of XX Breweries dominance on the market. Our initial overall target market share shall be 6% of the local market. This share will vary with the actual products, with ginger beer having a larger share than traditional beer due to its uniqueness.

We appreciate that entering such a market is not a bed of roses, particularly as it is monopolistic. Hence we intend to implement an aggressive marketing strategy, well supported by the other business functions. The above prognosis influenced our decision to enter the brewing industry.

5.1 Market Segmentation

Sedibeng Breweries will be focusing on the corporate and working class who appreciate good quality traditional beer. The working class will range from the miners who constitute a large portion of the market, to administrative personnel appreciative of good quality traditional beer. The corporate or managerial segment will constitute those managers who though aware of their image and reputation, want to put aside their ties and jackets after hours and/or on weekends to drink good traditional beer, easily accessible in the urban areas.

Our most important group of potential customers are those in the rural areas who often converge after hours to socialize and update one another on local news. These are potential customers who want to have an enjoyable time whilst drinking a good refreshing beverage. They do not want to waste their time making their own brew, but appreciate a good quality brew at a reasonable price.

We also intend to appeal to the foreign and local tourists who would be looking at experiencing traditional foods and drinks, a change from the usual beverages they often have.

Brewery business plan, market analysis summary chart image

5.2 Target Market Segment Strategy

Our marketing strategy will be based mainly on making the right product available to the right target customer. We will ensure that our products’ prices take into consideration peoples’ budgets, and that these people appreciate the product and know that it exists, including where to find it. The marketing will convey the sense of quality in every picture, every promotion, and every publication. There is already a sense of segment strategy in the way we define our target market. We are choosing to compete in areas that lend themselves to local competition, service and channel areas that match our strengths, and avoid our weaknesses.

Our strategy calls for the development of relationships with suppliers, distributors and retailers to support our business. Regular visits will be undertaken to these areas so as to ensure that we are meeting their expectations.

5.2.1 Market Trends

Our target markets are increasingly growing towards recognizing the difference between poor quality brews and those of high quality. This development is an important trend for us as it represents our target market. We now are having an increasing number of people who appreciate the traditional brews whilst living in the urban areas. With this in mind we intend to ensure that our packaging is respectable and attractive.

Today’s extremely stressful work environment dictates that individuals consume healthy drinks especially in the summer season, this presents an opportunity that we may exploit, marketing the health aspect of our beverages.

5.2.2 Market Growth

Import statistics provide a reliable guide as to the size of the brewing industry. According to the Trade Department, the market has been growing at a steady rate of 7% per annum although it is projected to increase slightly in 1999 and 2000.  According to the most recent Trade Department import statistics for beer and wine, total beer and wine imports stood at 10,421,968 liters ($14,473,000) in 1998 whilst total exports stood at 864,668 liters ($281,363) in the same year. This brought about a total market size estimated at just over 11,286,636 liters in 1998. Specifically, imports for traditional beer stood at 310,627 liters in 1998 which represented an increase of approximately 32.56% from the previous year (1997). In 1997 these imports had risen by approximately 66.14%.

5.2.3 Market Needs

Sedibeng Breweries will set out to provide good quality products that will help instill a jovial environment. Sedibeng Breweries intends to provide the customer with more than a drink to quench one’s thirst. We intend to provide a quality brew that not only quenches one’s thirst but enables one to enjoy themselves and be proud of it. The quality of raw materials and assembly technology evident in our products will serve to enhance the appearance of our customers, in turn adding to their status. The large market is due to the fact that opaque beer is traditional beer for most Botswana. It is consumed for social, ritual and ceremonial purposes and hence appeals to a vast majority of the rural population in particular.

5.3 Industry Analysis

Industry analysis information is presented in the following subtopics.

5.3.1 Competition and Buying Patterns

The key element in purchase decisions made at the Sedibeng Breweries customer level is the availability of an affordable, thirst-quenching product of good quality. The most important factor in this market is the distribution network. This is particularly so considering the good distribution network that XX Breweries Limited has in place enabling them to produce products that are constantly in demand throughout the country.

5.3.2 Main Competitors

Being in a predominantly monopolistic market structure, competition in the brewery manufacturing market as a whole is not that intense (in terms of numbers) at the current time due to the dominance of XX Breweries Limited, which has been on the market for a relatively long period of time. Cognisance should also be taken of home brewers who represent competition on our intended market. However upon closer research we identified several niches in the market that we may exploit, not wanting to confront XX Breweries one-on-one.

In general, our competition will be stiff, as we intend to penetrate the low to medium earning customer. At the same time we shall be differentiating ourselves from XX Breweries. We intend to market ourselves in such a way that with time competitor customers will choose our products over competitors’ on the basis of our higher quality, thirst-quenching brews. We shall now provide a more thorough outline of our main competitors in the same strategic group as ourselves, including their strengths and weaknesses.

XX Breweries Limited and ZZ Breweries – T Brewery Holdings

Arguably the largest and most reputable manufacturer, supplier and marketer of alcoholic and non-alcoholic beverages in the country, XX Breweries has been on the market for a considerable period of time now. Part of the large and extremely reputable conglomerate, YY Breweries International, XX Breweries is currently the dominant domestic producers of beer, sorghum and Coca-Cola products in the country, with an overall market share of more than 95%. XX Breweries is able to take advantage of the financial, managerial and technical clout that it has through YY Breweries International. Due to its size it enjoys an economy of scale and thus the competitive advantage of being able to offer low priced beverages in large quantities to its target markets. YY Breweries International Africa enjoys strong cash flows in the form of royalty payments, management fees and dividends from its Botswana operations due to its dominance.

One of XX Breweries’ main products is S traditional beer, which will be one of our main competitor products. S is currently mass marketed in the whole of Botswana and is popular amongst the rural and town folk. It is also present in the regional countries, including Zimbabwe, Zambia and Mozambique, with current intentions of going beyond these borders. This is mainly because it is in its maturity stage and these efforts of going international are meant to extend its product life. However a frailty of S is that the product does not maintain freshness for a long period, which is debilitating when its intentions are export. Hence Sedibeng intends to take advantage of this weakness.

XX Breweries In Botswana

Recent financial results from T Brewery Holdings indicate that the organization as a whole has continued to perform exceptionally well on the back of a buoyant Botswana economy. Turnover grew by 42% whilst operating profit is up 60% from $21.5 million to $34.5 million. For the 12 months to 31 March 2000, volume growth exceeded non-mining GDP growth by more than 2%, resulting in turnover growth of 12%. According to the audited results, higher volumes and turnover coupled with greater productivity and stringent cost controls translated into excellent earnings growth. With this in mind we strongly believe that there is an extremely lucrative market we may exploit.

Strategy and Implementation Summary

Our marketing strategy emphasizes focus. This will be the key. We are a relatively new company and hence must focus on certain kinds of products with certain kinds of consumers. Initially Sedibeng Breweries will focus on the local market and in the remote and previously inaccessible areas where there is a large market for our products. Hence the form of growth that shall be initially pursued will be that of organic growth mainly due to limited resources and the need to instill confidence in our products. The target customers will include key decision-makers in the retail and supermarket chains who often order or recommend on behalf of the whole organization, the aim being to obtain an initial order and fully satisfy the customer from then on.

  • We are focusing advertising on several key media.

We intend to achieve growth by creating a more enthusiastic customer culture than that of our competitors. All criteria from price competitiveness to staff attitudes are to be initially measured six-monthly, and then on a more regular basis as time goes on. The results will go down to depot level and be compared with the overall target. This form of consistent measurement of strategic goals will ensure that the organization remains focused on its goals and objectives, making any necessary adjustments where need be.

6.1 Value Proposition

Our value proposition is offering our customers refreshness and enjoyment at reasonable prices ensuring peace of both body and mind. Hence we intend to:

  • Market the company.

This value proposition shall be communicated through advertisements, personal selling, sales literature and catalogues, and referrals that emphasize how the company is able to provide refreshment, enjoyment and fulfillment to the customers.

6.2 Competitive Edge

Our competitive edge will be our dominance of access to previously remote areas, customer orientation and traditional high-quality brew through stringent quality control. Although XX Breweries dominates the local market, it does not penetrate the remote areas as much as we intend to.

Though we shall be serving different market segments we intend to focus on (discussion removed for confidentiality).

6.3 Sales Strategy

We intend to focus on improving our implementation, by working on key objectives and better coordination of marketing efforts. For the short term at least, the selling process will depend on personal selling and advertising to lure and inform potential clients about the products we offer and the benefits of consuming our products. Our marketing does not intend to affect the perception of need as much as knowledge and awareness of the product categories.

6.3.1 Sales Forecast

The sales forecast monthly summary is included below. The annual sales projections are included later in the plan. It should be noted that as we become established and known on the market we project sales to increase at a faster rate than the initial year.

Brewery business plan, strategy and implementation summary chart image

6.4 Marketing Strategy

One core element of our marketing strategy will be that of differentiation from our competitors. In terms of promotion, we intend to sell our company as a differentiated strategic ally, not just our products. In price, we intend to offer extremely reasonable prices in comparison to the competition and we need to be able to sustain that. Market penetration through lower prices shall be undertaken where need be, while premium pricing will be the case of the upper-end of the market.

6.4.1 Service Provision

The service aspect of Sedibeng Breweries marketing mix shall constitute an important element in delivering total quality. This is due to the high degree of exposure our competitors already have. As such we intend our customer service to be key to the retention of customers. We shall follow-up with our clients on a regular basis so as to ensure they are satisfied with our products and delivery times. This is mainly because we intend our customers not to be one-time buyers but regular order seekers. The establishment of a rapport and understanding between our customers and ourselves is going to be an ongoing processes.

We intend to implement database marketing whereby we shall be targeting customers based on their previous purchases, in terms of size, frequency and actual products, so as to forecast their demands and establish long beneficial relationships. Customer service shall be enhanced through infrastructure support in the form of merchandising and credit facilities, and alternative distribution facilities where possible and viable.

6.4.2 Pricing Strategy

Initially our prices will not be under our control but dictated by the market conditions prevailing at the particular time. This is particularly so in the case of products which are also produced by our competitors, as they are often representing a scale for consumers. However we realize that we must charge appropriately for the quality and work we shall be providing, in addition to the distribution of the products. Hence we intend the price will accommodate the mark ups prevailing in the industry, as well as our own costs. To be competitive in the market we intend to offer discounts to customers making bulk orders, which are in competition with the industry. This will also assist in the establishment of customer loyalty. Hence our prices shall be as follows: (discussion removed for confidentiality).

We intend our income structure to match our cost structure, so as to ensure that the salaries we pay to assure good workmanship is balanced by the price we charge. We will make sure that we charge for the product, workmanship and delivery with our aim being to achieve a gross profit margin of at least 30% in our initial years of operation. All in all we intend our prices to be extremely competitive on the market.

6.4.3 Promotion Strategy

Our promotion strategy will be based primarily on informing potential customers of our existence and making the right information available to our target customer. Since we shall be targeting different segments, the promotional tools and messages may vary slightly to match the intended market. However in all cases the marketing will convey the sense of quality, refreshness and health in every picture, every promotion and every publication. Promotional campaigns will seek to promote the ‘sharing aspect’ of the beer, customers drinking these products in groups. Our promotional activities shall be focused towards driving the organization’s overall strategy relentlessly, developing internal consistency and prepare it to confront any radical changes that may arise. In such a market we cannot afford to appear in, or produce, second-rate material that make our products look less than they are. We intend to leverage our presence using quality brochures and other sales literature, including promotional material such as pens, complimentary slips and stickers. Due to the fact that our products are in the introductory phase on the market, promotional expenses are high in order to generate customer attention and knowledge of our products existence.

We intend to spread the word about our business through the following:


In view of the fact that we are entering a market largely dominated by XX Breweries Limited which has an approximate market share of approximately 95% (as previously discussed) we intend to undertake extensive advertising of our products in addition to our brand name–company name. This is so as to instill awareness and knowledge of our existence in the market place, which hopefully shall convert into market share. Hence the need to ensure that our products are constantly available to our target market, and of consistent high quality. Whilst we are committed to providing products of uncompromising quality to meet the needs and expectations, the company believes its products should be advertised and promoted in an honest and ethical manner that respects the values of our consumers’ societies. Examples include the Boccim Business Directory which will require us being members of Boccim, Botswana–a review of commerce and industry, Contacts Botswana, and other telephone directories. A constant look out will also be made of any special editions in the local newspapers, which may provide an opportunity to advertise.

These are increasingly becoming important as more firms establish in the country and hence the need to be known. The organization aims to participate in trade shows and quality taste tests. Not only will these increase awareness of the products, but if a particular product were to gain recognition, for example through being chosen #1 at a taste test, the organization will be able to take advantage of this in all its promotional campaigns, adding leverage to its reputation and image. Undoubtedly this would add confidence and pride in our staff complement as their hard work would be recognized often at the highest levels. Communicating such achievements often gives customers a feeling that they can rely on the product, and this builds strong customer loyalty. An example of a trade show we intend to participate at is BITEC. The aim of this exhibition is to provide a conducive environment for companies to display their products in a specialized exhibition. The exchange of technologies, ideas, and contacts will serve as a fertile ground for the blooming of healthy trade relationships and partnerships.

We also intend to participate at the Botswana International Trade Fair (BITF) in August so as to expose our business to potential customers and suppliers. Such fairs serve as important eye openers for both potential customers and ourselves. With time it shall be necessary for us to participate in regional trade shows and fairs such as the South African Exhibition Show so as to gain awareness and ultimately orders from outside the country.

Public Relations

Recognizing that we are relatively new on the market there will be a need to organize an event, of grandeur nature, introducing ourselves onto the market. At this we intend to invite potential customers, senior officials, including the Minister of Industry and Commerce, and other stakeholders so as to penetrate the market. In collaboration with this we also intend to place news stories and features in magazines and newspapers to keep stakeholders updated on the latest developments and to increase awareness. We also plan to have a major festival initially in Selebi Phikwe, appropriately named, that maintains and promotes Botswana culture. This will assist in the recognition and appreciation of our company in the surrounding community especially. Our efforts on community service will show that the company has its community at heart, contributing towards the establishment of a good and reputable image. Homes for the under privileged will be also be built in the medium, to long term as we plough back into the society we operate in. In addition we intend to pursue educational sponsorship for the less advantaged but promising young individuals in the community. This will constitute some of our corporate social responsibility details of which are provided in the respective section.

We also intend to experiment with a road show in the various often-neglected remote areas giving out caps, bags, and other such prizes to individuals who answer questions correctly. This will also enable our business name and products to be better known by the respective communities. However we are extremely confident that these road shows if well planned will be a success as they encourage community participation. Brewery tours shall also be arranged with interested stakeholders including school children and college students. This is so as to increase awareness of our facilities and products and also showing confidence in our production process and standards. Hopefully visitors will leave impressed and confident in our products, adding to the possibility of positive referrals. These same tours will also be arranged with prospective clients/order-takers.

Still in the infancy idea stage we have in mind the hosting of a ‘fest’ whereby guzzlers of our brews as well as first-timers are encouraged to drink as much as possible whilst enjoying themselves. This is likely to be held in the hottest month of the year (October) when people are often extremely thirsty. Hence the name ‘October fest’ might be appropriate. Proceeds of such festivities are to be donated to charities.

Personal Selling

This shall be undertaken in the form of sales calls whereby a sales person will go out to potential customers and distributors informing them what products we are able to offer them. In addition the sales person will listen to client’s needs at close hand, so as to ensure that the product is delivered timely and that it is the right product as demanded by the surrounding community. Close analysis shall also be undertaken of the consumption patterns of the respective communities, that is whether they prefer larger or smaller containers. This will ensure that our products are customized as much as possible to the surrounding community’s needs and wants. In cases where there is the opportunity of obtaining a large order it may be necessary for the top management to go out personally, especially considering the fact that we are still a relatively new firm in the market.

Direct Marketing

This will be used, but only to a limited extent, in the form of telemarketing and informing potential customers and obtaining referrals where possible. In the case of telemarketing it will involve our targeting potential customers/distributors of our products and informing them of our existence and the products we offer. We may then arrange for an appointment with the respective decision-maker/order-maker, with the intention being to lure them into ordering one or more of our product lines.

Internet Marketing

The increasing growth of the Internet as an information source provides an opportunity that we may exploit. This is particularly so in view of the increasing investment and global trade amongst countries, as both large and small organizations look at obtaining the best deal possible. More often than not these organizations will seek out potential clients over the Internet due to the cost of transport and accommodation, apart from the obvious time factor, which is increasingly becoming of importance in view of the dynamic environment. However this will require adequate planning and research so as to establish a professionally done website. This will mainly serve foreign customers and other stakeholders including potential investors.

In all the above we intend to communicate our ability to manufacture good quality brews that will satisfy the customers needs. Hence our messages will influence the buying decision of prospective customers and distributors by emphasizing our unique selling proposition, and persuade prospective buyers that we are different from our competitors. All the above promotional tools shall be well integrated and utilized in tandem so as to maximize their effect.

6.4.4 Distribution Strategy

We believe that through our obsession for improvement, and commitment to a leadership position in our respective markets, we can overcome the traditionally binding constraints of resource base, firm size and narrow conceptualization of our business domain. This shall be undertaken through coordination and logical integration of our distribution operations. We aim to reduce cycle time for key processes, eliminate rework and waste, and optimize our human resources utilization. To attain low lead-times we intend to (discussion removed for confidentiality).

Trade Channels:

  • Retail Distribution Channels (discussion removed for confidentiality).

We intend to ensure that our breweries are located close to our major distribution centers not only to minimize costs but also to enable our products to be easily available, in the best condition, in the different markets nationwide. By engaging and establishing good relationships with shebeen owners we intend our products to be readily available to our target market. In terms of actual delivery for every vehicle the daily fuel used, kilometers driven, repairs and maintenance costs must be recorded and compared with the set standard. (Discussion removed for confidentiality.)

6.4.5 Product Marketing

Our product marketing will emphasize the benefits of consuming our products, including refreshment and enjoyment of top-quality brews. We intend to sell the opportunity to enjoy oneself amongst friends, family and/or colleagues. This will come out in our advertising, delivery and collateral such as sales literature and business cards. Our product marketing’s most important challenge will be the problem of being accepted and appreciated on the market as a provider of quality products. Hence we intend to not only meet customers’ expectations but to exceed them, initially targeting a market share of 6%.

We intend to focus on the individual or group who want to enjoy themselves through the consumption and sharing of refreshing healthy beverages. However, not wanting to limit our horizons in the initial period, we intend to be continually looking out for opportunities that we may exploit. In all cases we intend to provide a thorough understanding and appreciation of the products to the customer and the benefits of consuming them.

6.4.6 Product Packaging

Our product packaging shall be of utmost importance, as it will definitely influence our potential customers on whether to try out our products or not. As such we shall ensure that it is not only attractive to consumers but also hygienic. As time progresses we intend to have packaging that enables the container to be used for other purposes after beer consumption, for example keeping water and being able to be deposited to retailers, the former of which we have identified as already being done. In the medium to long term we intend our product packaging to also be recyclable and hence more environmentally friendly–a continuous improvement process. Continuous improvement on packaging will also be undertaken so as to maintain, if not improve product appeal.

Currently the products are served in X ml and Y ml packs. However depending on the dictates of the market, there might be need to introduce new product packs. Hence we intend to ensure that we are flexible if such changes are to occur. A specific example is the X ml T beer pack, which is not being produced by any of the other breweries at the moment, representing an opportunity to be realized.

6.5 Corporate Social Responsibility

Sedibeng Breweries intends to be involved in a wide range of social responsibility engagement programs to invest back into the community in which we operate. Through our social responsibility program we can assist in improving peoples lives. If we contribute to development in a sustainable way, we need to support projects that communities bring to us, rather than strictly creating our own solutions for our communities. This is because if we impose our solution and drive a project it is an artificial response, and the risk is that the project will then always ‘belong’ to us. Whenever the project comes up against a new challenge, we will be expected to fix it, and will be forced to stay in a situation where we have to look after the same few projects forever. Rather we intend to fund several projects that belong to, and will be driven by, the community and become sustainable. However, before we commit ourselves to projects we intend to ensure that skills will be transferred, communities are involved and the projects will be able to become self-sustaining. We know that we cannot address all the development needs of our society. Where we can, we assist and sometimes may form partnerships so as to increase capacity.

We intend to be involved in the following activities:

  • Arts and Culture (discussion removed for confidentiality).

Production Summary

Our production system shall strive to attain service excellence in addition to manufacturing safe, quality products. This shall be undertaken through the engagement of modern production techniques using up-to-date assembly technology. This will also result in low production costs being attained by the company. We also intend to ensure that the suppliers we engage are committed and reliable so as not to let down the final consumer in terms of the quality of the product and time of delivery.

In order to improve productivity in our plants we intend to reduce waste and duplication in our breweries by streamlining administrative functions and promoting and instilling a business culture that focuses on the teamwork rather than individual productivity. By the undertaking the above we will optimize our productivity given our available resources.

7.1 Suppliers

Currently the company obtains the vast majority of its raw materials from South African suppliers. However as we are committed to fair terms of trade and promotion of local business we intend to engage local suppliers. Hence raw materials, including x and y, may be sourced from local communal and commercial farmers avoiding intermediaries so as to minimize costs, ultimately benefiting the final consumer. The major advantages of doing so being higher margins, faster payments and lower risks of payment default. Through the use of economies of scale we aim to maintain low input and production costs. This may be undertaken through (discussion removed for confidentiality).

Hence we intend to establish good rapport with all our suppliers and hence long mutually beneficial business relationships. This shall be undertaken through working closely with suppliers to ensure uninterrupted deliveries.

7.2 Receiving

Recognizing that the receiving of our raw materials is an essential element in our entire business, we intend to ensure that it is done by responsible persons who will be present during off loading to check the quantity and condition of the consignment. During the actual off loading the receiving bay personnel will mass check on at least X% of the consignment. Non-confirming raw materials in terms of quality will only be approved with the consent of the managing director who would have undertaken further analysis of it.

7.3 Storage

It shall be the policy of the company to ensure that all raw materials are stored in a secure, clean and pest free manner. Stock takes and reconciliations shall be undertaken on a regular basis, initially done at least once a week. The stock principle of First In First Out (FIFO) shall be implemented. Whenever stock is taken out it shall be recorded on a separate stock or bin card, with reconciliations of raw materials issued to the brewery, issued to production, losses, opening and closing stock taken. Should any deviations arise these must be explained.

7.4 By-Products

Sedibeng Breweries intends to utilize every resource it has to the fullest possible extent. We realize that there shall be a lot of by-products that will be produced from our production of the main product lines. However not wanting to pollute the environment, and our community at large, we plan to utilize by-products whenever possible. This will ensure that our resources are fully utilized.

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

Sedibeng Breweries shall evaluate the jobs it provides, paying competitive remuneration packages against market benchmarks to employees for their agreed and set out tasks. Consonant with its efforts to create added value by employees, Sedibeng Breweries seeks to negotiate the provision of incentive pay delivery mechanisms against achievement of agreed targets relating to accomplishment in the areas of productivity enhancement, savings and other specific successes, that is, the implementation of an effective performance management system.

Hence our human resources strategy will revolve around:

  • Stakeholder inclusivity.
  • Maintaining preventative health and safety structures for employees and support for surrounding communities.

8.1 Management Team

The management team, mainly comprising of the shareholders, has wide expertise and broad knowledge of the products and markets, which if well planned for, will enable the business to realize its goals and objectives. Daily management will consist of Mr. B in the role of technical and operations, and Mr. G in dealing with government, corporate bodies, and public relations.

Management style will reflect the participation of the shareholders. The company intends to respect its community and treat all employees well. We will develop and nurture the company as community. We do not intend to be overly hierarchical. Management’s ongoing initiatives to drive sales, market share and productivity will provide additional impetus.

8.2 Personnel Plan

We intend to compensate our personnel well, to retain their invaluable expertise and to ensure job satisfaction and enrichment through delegation of authority. Our compensation will include health care, generous profit sharing, plus a minimum of three weeks vacation. As an equal opportunity employer, we respect the diversity and human rights of our people, and strive to achieve optimal productivity, while realizing the full potential of each employee. Awards will be given out to outstanding individuals, groups and plants for hard work and production so as to instill a sense of fun into the work and promote the maintenance of high standards. Sedibeng Breweries recognizes that our employees contribute fundamentally to the company’s long-term prosperity. We intend to enhance our capacity to attract and retain people of quality, through benefits such as housing and family education grants.

Employee health shall be of extreme importance. This is because the health of our people is an integral element of employee well-being at work and at home. Compliance with relevant legislation is a minimum target in our organization. We also intend to minimize if not totally eliminate the number of isolated incidents of intimidation in the workplace, so as to ensure that production and distribution are not materially affected and sound relationships are maintained between employee and employer and between employees as a whole.

8.3 Training

In-house training shall be continuous with regular external training being undertaken particularly following any new developments in the market. This is so as to ensure that we are continuously able to anticipate our markets needs–a proactive approach, which is so essential if we are to gain and maintain a competitive advantage. Courses on brewing will be undertaken primarily in South Africa, preferably with the established and reputable firms, such as YY Breweries. This will ensure that our personnel are exposed to the latest production techniques and are able to set their standards, or benchmark, using these organizations standards. Internal training will not only include product and technical aspects, but also expand to give much greater knowledge of customers, market trends, products, new technology aids, time management amongst other such variables. We intend to conduct health education sessions for groups and individuals on health risks in the workplace, balanced with lifestyle education and employee assistance programs that incorporate rehabilitation and counseling in a range of illnesses and social or personal problems. This is of particular importance in view of the AIDS epidemic that has grappled the country and continent as a whole to unparalleled levels.

We acknowledge the fact that successful recruiting, motivation and discipline procedures are keys to the growth of the organization. Hence we intend to promote and maintain good labor relations, strong morale and high quality work per employee.

8.4 Feedback and Control

  • We will encourage our employees to put forward any suggestions they might have regarding the improvement of any of the company’s functions–an open door philosophy. Such a culture will enhance innovativeness and creativity in turn leading to job satisfaction and enrichment.

Financial Plan investor-ready personnel plan .">

We want to finance growth mainly through cash flow and equity. We recognize that this means we will have to grow more slowly than we might like.

The most important factor in our case is collection days, particularly with the bulk order customers. We can’t push our customers hard on collection days, because they are extremely sensitive and will normally judge us on our terms. Hence they tend to have a certain degree of financial authority. Therefore we need to develop a permanent system of receivables financing systems, using a well-coordinated accounting department. In turn we intend to ensure that our investors are compatible with our growth plan, management style and vision.

Compatibility in this regard means:

  • Fundamental respect for giving our customers value, and for maintaining a healthy and congenial workplace.
  • Respect for realistic forecasts, and conservative cash flow and financial management.
  • Cash flow as first priority, growth second, profits third.
  • Willingness to follow the company and contribute valuable input to strategy and implementation decisions.

9.1 Important Assumptions

The financial plan depends on important assumptions, most of which are shown in the following table as annual assumptions. The monthly assumptions are included in the appendix. From the beginning, we recognize that collection days are critical, but not a factor we can influence easily. Interest rates, tax rates, and personnel burden are based on conservative assumptions.

Some of the more important underlying assumptions are:

  • We assume a strong economy, without major recession.
  • We assume, of course, that there are no unforeseen changes in economic policy to make our products immediately obsolete.

9.2 Break-even Analysis

Our break-even analysis will be based on running costs, that is costs we shall incur in keeping the business running, including salaries and wages, rent, water and electricity, insurance amongst others. Hence many fixed costs shall be included in these costs. We will thus aim to ensure that our sales levels are running comfortably above break-even.

The following chart and table summarize our break-even analysis. With fixed costs of approximately $41,040 per month at the outset (a bare minimum), we need to bill approximately $93,000to cover our costs. We don’t really expect to reach break-even until several months into the business operation.

Sbp, brewery business plan, financial plan chart image

9.3 Projected Profit and Loss

Our projected profit and loss is shown on the following table, with sales increasing from more than $1,466,000 the first year to more than $1,612,000 the second, and approximately $1,806,000 in the third year. Profits are calculated to be around $152,000 before tax the first year during the start-up phase of this business. This will be representative of a net profit margin of approximately 7%, which though may not seem that impressive is relatively good for a start-up firm in our line of business. As with the break-even, we are projecting very conservatively regarding cost of sales and gross margin. Our cost of sales should be much lower, and gross margin higher, than in this projection.

9.4 Key Financial Indicators

The following benchmark chart indicates our key financial indicators for the first three years. We foresee major growth in sales and operating expenses, and a bump in our collection days as we spread the business during expansion.

Collection days are very important. We do not want to let our average collection days get above 30 under any circumstances. This could cause a serious problem with cash flow, because our working capital situation is chronically tight. However, we recognize that we cannot control this factor easily, because of the relationship with our clients.

Sbp, brewery business plan, financial plan chart image

9.5 Expense Forecast

Initial marketing expenses are relatively high as we seek to become known on the market. This will be brought about by the development of sales literature, advertising expenses, and function expenses (including lunches and dinners with interested stakeholders). As our market share increases and capital is generated, further marketing programs and the expansion of those in existence at the time will be undertaken, to ensure market development. Once these programs will start generating revenue for the business, which we shall in turn reinvest.

9.6 Projected Cash Flow

Cash flow projections are critical to our success. Detailed monthly numbers are included in the appendix. However it should be noted that they do not take into account the required capital injection.

Sbp, brewery business plan, financial plan chart image

9.7 Projected Balance Sheet

The balance sheet shows healthy growth of net worth, and strong financial position. The three-year estimates are included in the appendix.

9.8 Business Ratios

The table below shows our business ratios.

The local brewing market has been growing steadily over the last few years due to increases in people’s disposable income and opening of the economy. With this in mind we intend our marketing programs to expand accordingly. The introduction of quality catalogues and sales literature will enable Sedibeng Breweries to market to potential customers. We project sales to increase accordingly, though slightly slower as we establish a reputation for ourselves. With time, a presence on the Internet and participation in regional trade shows will be key milestones to expanding sales and marketing potentials through the utilization of new channels and identification of potential customers.

Throughout the year we intend to undertake regular evaluations of our marketing programs so as to ensure that we are in-line with our intended objectives.

In summary we intend to undertake the following:

  • Saying no: Though difficult initially, we intend to be able to say no to special deals that take us away from the target focus and are unprofitable.

10.1 Contingency Planning

  • Though Botswana overall is rather secure on the labor front in terms of strikes we intend to have in place a mechanism that will ensure that were this to occur the negative effects would be minimized. However further research and analysis into the above is still being undertaken.

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brew pub business plan

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  • Brewpub Business Plan

Brewpub 394

Hopstreet Brewery

32 Battery Way Charlotte, NC 28202

Zachary David Robinson

The Hopstreet Brewery is seeking an outlay of $280,000 from investors. This amount will be used to get a loan so The Hopstreet Brewery can purchase everything the brewpub needs to get started. This amount will give The Hopstreet Brewery the 20 percent it needs to acquire a $1.4 million loan from the bank.


The Hopstreet Brewery will be formed to bring patrons a warm and inviting dining experience like no other. The Hopstreet Brewery will feature an eclectic array of homebrewed beers and great food with something for everyone.

The Hopstreet Brewery will be a brewpub incorporated as a limited liability company. The business location will be in Noda in Charlotte and will be completed in spring 2006.

The head of The Hopstreet Brewery management team will be CEO and brewmaster Matt Hanson. Matt has received his brewing certification and has thorough experience of brewpubs. The rest of the management team will consist of a general manager and a kitchen manager/head chef. Aiding the management team are advisors who have restaurant and business experience.

Noda is a residential and commercial area that is being developed just a few miles away from downtown Charlotte. Nearly everything in Noda will be within walking distance. In fact, there will be over 900 residential units within a five–minute walking distance of the Hopstreet Brewery. Ultimately, Noda will be a thriving town of more than 4,000 residents and hundreds of businesses. Noda will be completed in nine phases, with a carefully planned mix of homes in addition to a large town center and four neighborhood centers. 500 homes will be completed in each phase with each phase taking 1–2 years to complete. The project is set to be completed in 2017.

The Hopstreet Brewery will serve a wide selection of homebrewed beers including ales, pilsners, and lagers. The Hopstreet Brewery will also feature a traditional American menu with appetizers, sandwiches, and main and side dishes. There will also be German specials present on the menu. These items are unique and could even be added to the full menu.

There is a lot of competition in food and drink industry. There are a few brewpubs, many bars, and many restaurants in the Charlotte area. However, The Hopstreet Brewery has competitive advantages that will help the brewpub meet or beat the competition.

Brewpubs and microbreweries are growing tremendously in popularity. After meeting all requirements in a site assessment survey, the location of The Hopstreet Brewery should provide a great marketing opportunity. Furthermore, there are many attractions close to The Hopstreet Brewery. From 2003 to 2004, the brewpub industry experienced a growth rate of 4.6 percent. The craft beer industry has become accustomed to growth; the industry has grown every year for the past 35 years. Average beer sales at brewpubs for 2004 were $341,480. Moreover, most brewpubs have a 40:60 alcohol to food sales ratio, meaning it is likely that average food sales was around $512,000.

The marketing strategy of The Hopstreet Brewery is a combination of billboard advertisements, mailings, newspaper ads, kiosks, and promotion at local events. The Hopstreet Brewery will use the services of The Scout Group to help with sales strategy. In addition, The Hopstreet Brewery will use advertisements, a frequent dining program, specials, a happy hour, group events, pub crawls, brewpub tours, and sponsorships to get customers in the door and keep them coming back. Pricing of Hopstreet Brewery products will be based on competition, cost, and demand.

The Hopstreet Brewery is seeking an outlay of $280,000 from investors. This amount will be used to get a loan so The Hopstreet Brewery can purchase everything the brewpub needs to get started.

Vision: To bring a warm and inviting atmosphere to Noda and the surrounding Charlotte area.

Mission: The Hopstreet Brewery Brewery in Noda at Charlotte is dedicated to bringing patrons a warm and inviting dining experience like no other. With an eclectic array of homebrewed beers and great food, everyone will be able to find something they like.

Tagline: The Hopstreet Brewery, a place for good beer, good food, and good fun.


Company name.

The Legal Name is: The Hopstreet Brewery, LLC.

Legal Form of Business

The Hopstreet Brewery is incorporated as an LLC located at the address: 32 Battery Way, Charlotte, NC 28202.

The location will move to Noda upon completion.

Management Summary

The Hopstreet Brewery management will primarily be the duty of CEO, Matt Hanson, with the aid of experienced business professionals Jason O'Connor, Richard Vanderburg, Jeff Wolpe. Also, part of the management team will be the Head Chef / Kitchen Manager and a Restaurant / Bar Manager who will be identified later.

Matthew Hanson, CEO and Brew Master BA in German, Duke University, Graduating 1994: Emphasis in Teaching.

The CEO, Matthew Hanson, is from Raleigh, North Carolina. Matt has a brewer's certification from the VLB Berlin three–year program and a teaching certificate from Duke University

Matt's brewing experience is evident from the several years that he spent in Germany. In fall of 1994, he began an apprenticeship for Bierbrauerei in Frankfurt, Germany. Most of his schooling was in Berlin, Germany, but halfway through the three year program, he moved to a smaller brewery that better reflected the kind of operation that he wanted to run. This brewery was in Hamburg, Germany, a part of the Munster Brauhaus.

While at the Brewery in Hamburg, Matt rotated through all aspects of the brewery including: Brewhaus, malting, machine maintenance, filtration, bottling and kegging, bar construction and maintenance, and the laboratory and laggering department. In a one year period, all areas of the brewery were visited twice.

Matt next attended school in Berlin at the Versuchsndashund Lehranstalt fur Brauerei (VLB). This included both theoretical and practical classes in brewing techniques and other related areas to brewing. Schooling was twice a year for a period of 6 to 8 weeks.

In 1996, Matt moved to a family owned pub–brewery in Hamburg, Munster Brauhaus. There, he attended the same kind of school as in Berlin. New responsibilities in Hamburg included all aspects of brewing with a few exceptions (i.e. did not have a laboratory or a maintenance crew). Also, responsibilities included gastronomical aspects such as cooking for the pub, giving small tours, bartending, filling and tapping kegs for guests, working at festivals serving the brewery's beer and working with open fermentation. The final practical examination took place in the Beck's Brewery in Bremen.

In 1997, Matt returned home to receive his teaching certificate. Currently, he is teaching at Charlotte Community College, as well as serving on the Charlotte City Council. On the council he serves on several boards, including: Arts and Culture, Streets, Grant Review Committee, Finance and Audit, Community Center Site Selection Committee, Public Safety, and Technology Committee.

Jason O'Connor Has been running his own businesses for the past 25 years. Currently owns a Subway sandwich restaurant and is on the Board of Directors for the City Planning Committee. Has experience in the restaurant industry.

Richard Vanderburg Has been working as an entrepreneur for most of this life. Has had many successful entrepreneurship relationships in business and politics, has completed marketing plans for businesses and established a number of highly profitable companies from the ground up. Has lots of start–up and business experience.

Jeff Wolpe Developer of Noda, Charlotte. President of Prestwick Homes, one of the largest builders in the state. Lots of business experience and will have major effects on area.

Donald Bilson Sales representative for Food Services LLC. Has 26 years experience in restaurant and food industry.

Matt Hanson, CEO/Brew Master

  • Responsible for maintaining the vision, mission, and philosophy of the company
  • Oversees the brewery as a whole, maintaining the integrity of the operations along with the marketing and sales through advisors
  • Handles all phases of the brewing cycle for the all beer produced on site
  • Responsible for the investor relations of the company

General Manager

  • Handle customers
  • Handle employees—both front of the house and back of the house
  • Prepare paperwork, i.e. count inventory and calculate food cost, complete product ordering, and prepare labor schedules for both FOH

Head Cook/Kitchen Manager

  • Head of the kitchen
  • Handle all aspects of food preparation
  • In charge of kitchen staff, organization, inventory, and orders

General Restaurant Staff

  • Bussers / Dishwashers (2–4)
  • Servers (3–5)
  • Hosts / Hostesses (2–3)
  • Bartenders (1–2)
  • Sous chef (1)
  • Line Cook (1–2)
  • Prep Cook (1–2)

Company Attorney

  • Responsible for establishing an LLC business form
  • Prepare and file necessary legal documentation
  • Responsible for contractual relations with investors and potential investors
  • Responsible for all legal proceedings
  • Assist in directing the finances for the brewery
  • Manage all budgets, projections, and all statements necessary for tax filings
  • Assist in preparing financial reports to help make business decisions


Brewpub description.

A brewpub is a restaurant and microbrewery combination that makes its own beer and sells the majority of its beer on premise. A brewpub is also referred to as a home–brew house and a house brewery. The first American brewpub opened in 1982. As of July 2003, the Association of Brewers estimated over 1,000 brewpubs in the United States alone. There are brewpubs in many other parts of the world, although not commonly called "brewpubs." Brewpubs are especially popular in European countries, but are growing rapidly in popularity in the United States.

The Hopstreet Brewery will follow these characteristics by offering German craft beers and traditional American food with German specials (if these specials are popular enough, they will be added to the menu).

The Hopstreet Brewery will open in May 2006. For the first couple years, only the bottom floor will be available for business and the second floor will be "white boxed" until further phases of Noda are completed.

Location—Noda at Charlotte

The location of the Hopstreet Brewery is Noda at Charlotte. Noda is a residential and commercial area that is being developed just a few miles away from historic Charlotte. Noda's style is new urbanism and somewhat resembles traditional European architecture. Nearly everything in Noda will be within walking distance. In fact, there will be over 900 residential units within a five minute walking distance of the Hopstreet Brewery.

Ultimately, Noda will be a thriving town of more than 4,000 residents and hundreds of businesses. Noda will be completed in nine phases, with a carefully planned mix of homes in addition to a large town center and four neighborhood centers. 500 homes will be completed in each phase with each phase taking one–two years to complete. Of the 500 homes released for sale, 450 homes have already been sold and the second phase will be released for sale in June 2005. In addition, there are already 26 businesses open. The project is set to be completed in 2017. Developer Carl Knutser's vision is for Noda to be one of the most recognized neighborhoods in the country and this seems possible as sales are more than double original expectation.

Seating in the first year will include the main floor with approx. 2,280 sq. ft of customer space and a beer garden. The second floor will be "white–boxed" until The Hopstreet Brewery is able to receive adequate customers. The beer garden will consist of 12 tables, but will only be available weather permitting. The bulk (or maybe all) of the kitchen will be off the back of the building. There will be approximately 12 seats along the bar, 18 tables, and additional space. It is estimated that there will be at least 87 seats. There will also be a public swimming pool located beside The Hopstreet Brewery which could be an area where customers could be served. This will allow for more seating. Depending on the season, we are hoping there will be approximately 135 seats in warm months and 87 in cooler months for year one.

The plan is to open the "white–boxed" second floor in year two or three. This area will be approximately 1,500 square feet and should allow for seating of 50 additional customers.


The exterior decoration will be painted stucco, 2.5 stories in height, and Central European in design. The interior decor will be warm–natural–stone, wood, and brick in design. There will be wall hangings and memorabilia decorating the walls. The brew system will be shown off in a bay window that runs two stories tall. There will be a lodge–feel upstairs, supported by fire places, a small band stage, and large windows.

There will be on–street parking in front of The Hopstreet Brewery, a free public parking lot in the back, and on–street parking throughout the community.

The Hopstreet Brewery will feature numerous types of beers brewed on–site by Matt Hanson. To suit the tastes of everyone, The Hopstreet Brewery will also serve a few Anheuser–Busch products. Many breweries only serve the beer that is produced on–site, but to maximize business sales and profits, serving other beers and an assortment of liquor is a must.

Craft beers will be brewed in a one–of–a–kind system. The system will be the Kupferversion mit zwei Kupferhauben purchased brand new from SBP Breweries. The Hopstreet Brewery will use a 2500 bbl. system. This system comes straight from Slovakia and is made of copper giving it a beautiful and unique look. The cost of this system is 323,200 Euro ($417,006 US). The Hopstreet Brewery will make this system easily viewable to anyone in the restaurant, so they can enjoy its beauty and know where the beer they are drinking is coming from.

The Hopstreet Brewery will also make the presentation of beer a highlight. Unlike other drinking places, beers will be presented the way they were meant to be. Beers will not be served in the same simple glass; each beer will be presented in its own unique way according to tradition.

Main beers that will be brewed by The Hopstreet Brewery

  • Pilsner (Pils)—Served in a tall, thinner–walled glass, this is the most "elegant" beer. It is bottom–fermented, has the most "bitter" taste (i.e. the most hops content) and is light in color. Ca. 5% alc./vol.
  • Lager—Lager is a generic name for bottom–fermented beer. Pilsners are also lagers, but a lager is usually less bitter. The lager can be served in a number of glasses and the beer served by our brewery will be like the German, "Helles" beer: a light colored, somewhat malty beer. Ca. 5% alc./vol.
  • Dunkeles—A Dunkeles is the same as a lager, however, the color is darker and the beer is a little sweeter due to the residual sugars and caramelized malt. This beer will be served in a round beer glass that is, perhaps, known for being the "typical beer glass". Ca. 5% alc./vol.
  • Hefeweizen (a.k.a. Weizen or Weiss)—Hefeweizen is a beer served in a tall, wide–mouthed glass so that the head of the beer can reach a nice three–fingers height. This beer may contain slightly more alcohol at ca. 5.5% alc./vol. and will be made with barley malt and wheat malt (50/50). This is an ale (top fermented beer) and has a stronger flavor. This beer will be served more in summer and offered with banana juice or a slice of lemon. *Instead of brewing separate flavored beers, most of the flavor will be added by syrup to the Hefeweizen after brewing: this allows a wider range of flavoring (and makes the hard–headed brewer feel better about not brewing "candy beer"…)
  • Koelsch—Koelsch is an ale yeast beer known in the Cologne Germany area and served in small, cylinder–style glasses. It is somewhat like a wheat beer. It is lightly colored and will contain a little less alcohol. Ca. 4.5% alc/vol.
  • Alt Beer—Beer served in small glasses or special alt glasses that have a curvilinear line to them; darker in color; about 5%, ale yeast.
  • Bitter Ales—Such as: Pale Ale (served in "water–style glass"). Ca. 5% alc./vol, light colored.
  • Dark Ales/Stouts—These beers are a lot like the brand Guinness, which is an Irish beer. Ca 5% alc./vol. This beer is very dark and black in color and served in a English Pint Glass.
  • Berliner Weiss—This beer is close to the Lambic style beers of Belgium. It is an ale yeast, lightly colored and soured with lactic acid. By itself (some like it this way) it may not be a very good tasting beer. This beer is served in a low, very–wide mouthed glass ("Pott" in German) and comes with a "Schuss" or shot of Waldmeister/Woodruff syrup or Himbeer/Raspberry syrup. The beer then takes on a green or red color, respectively.

Additional beers to be served are seasonal, specialty beers:

  • Schwarz Beer—"Black" beer, lager yeast (bottom fermented), Ca.5% alc./vol. Served in a large "tulip" styled glass. This beer is a little sweeter than most.
  • Doppelbock—A German strong beer that can be light, but is usually dark, and has at least 6% (usually Ca. 6.5% alc./vol). Served in a thick–rimmed glass or stoneware mug.
  • Keller Beer—A lager that is unfiltered and cloudy—otherwise is very much like a lager in all ways.
  • Hefedoppelbock—A rare wheat beer, ale, but the alcohol content is much higher at around Ca.6.5% alc./vol. Can be dark or light and served from Weizen glass.
  • Stein Beer—This is a malty beer that is made by throwing a hot stone into the mash; this helps caramelize it and it becomes sweeter. This beer is considered a lager.
  • Vollmond Beer—Really, just a gimmick, this beer is brewed under the full moon to give it mystic powers and make you drunk. It is a lager or really any kind of beer you brew in the middle of the night. We think this would be good for October.

The Hopstreet Brewery will also carry an assortment of hard liquors and wines. The selection of the liquors will be much the same as a standard bar or restaurant.

The Hopstreet Brewery will also be a restaurant serving the general public at lunch, dinner, and after hours. There will be a full menu serving traditional American foods as well as German specialties and other seasonal dishes throughout the year.

Along with sales from the restaurant, we will also sustain revenue with growlers (glass jugs of beer filled on–site), bottled beer, keg beer, and promotional items, such as glasses, hats, key chains, bar towels, golf balls, clothing, and other trinkets.

Concept Menu

As stated, The Hopstreet Brewery will carry traditional American food with German specials. Most of the regular menu items will be similar to other brewpubs, restaurants, and bars. The menu may have a few additions or subtractions in the near future. Also included is non–alcoholic beverages offered.


  • Nacho Platter —Nachos topped with ground beef, shredded lettuce, tomatoes, cheese, black olives, chopped green onions, jalapenos and sour cream
  • Buffalo Wings —One pound of spicy hot wings served with celery and ranch or blue cheese dressing
  • Homemade Giant Onion Rings —battered in our special beer batter and deep fried to golden perfection
  • Bite–Sized Soft Pretzels —served with sweet, hot, and horseradish mustard. A way to enjoy the little Kraut in all of us
  • Toasted Ravioli —This favorite is served with marinara sauce and fresh parmesan cheese
  • Homemade Potato Chips —Thinly sliced fresh—a basket full
  • Small salad —Fresh field greens served with fresh Farmers' Bread
  • Chilli —Our own special recipe served with chic peas, black olives, and topped with shredded cheese


Served with Fries, Homemade Chips, or Hot German Potato Salad

  • Hamburger —Thick 1/2 pound hamburger topped with lettuce, tomato, onion, pickles, & lettuce
  • BBQ Hamburger
  • Swiss and Kraut Burger —Our hamburger topped with Swiss cheese and finest sauerkraut
  • Steak Sandwich —Marinated steaks served with grilled onions and grilled to perfection
  • Pulled Pork Sandwich —Slow–cooked pork roast pulled and covered in bbq sauce
  • Hand–Cut Cod —battered in our own special beer batter and served on your choice of wheat or white bread
  • Reuben —Corned beef served on rye bread with Swiss cheese, sauerkraut and Thousand Island dressing

Main Dishes:

  • Chicken Salad with Peanut Sauce Dressing —Iceberg lettuce covered in our own special peanut dressing and chicken strips
  • Brick Oven Pizzas —Pizzas served with your favorite toppings including: pepperoni, sausage, chicken, mushrooms, onions, black olives and peppers
  • Schimmelpizza —Pizza topped with garlic, onions, artichoke hearts and mozzarella cheese
  • Reuben Pizza —If you like reubens, then you'll love this Italian twist. Thousand Island dressing is the base on this pizza complete with caraway-seed encrusted dough; topped off with corned beef, sauerkraut, and Swiss cheese
  • Sausage Rigatoni —Lean, fresh sausage in a red or white sauce and topped with fresh parmesan. Served spicy upon request
  • Pork Steak —Slow grilled served with your choice of two sides. BBQ or dry
  • Pork Cordon Bleu —Fresh pork chop filled with ham and Swiss cheese, breaded and fried
  • Grilled Chicken Breast —Served with your favorite two sides and small salad
  • Smoked BBQ Ribs —Served with your favorite two side dishes
  • Ribeye Steak —Served with baked potato, broccoli and dinner salad

German Cole Slaw; German Potato Salad; Baked Potato; Salad; Chips; Green Beans; Mashed Potatoes; Noodles; Broccoli; Onion Rings; Sauerkraut

Just For Kids:

Chicken Strips; Grilled Cheese; Hamburger; Pizza; PB&J Sandwich

Sodas; Iced Tea; Locally Roasted Coffee; Milk; Apple Spritzers

German Specials (appearing at different intervals)

  • Landjaeger with farmer bread and mustard served on wooden board (this is a German Summer Sausage)
  • Cheese and Sausage Platter
  • German Farmer Bread served with "hausgemachter braunschweiger" and chives
  • Schupfnudeln Mit Sauerkraut
  • Pflammkuchen
  • Radish and Salt
  • Deutscher Salat —German Salad

Allgauer Cheese Soup; White Asparagus Cream Soup; Dumpling Soup; Chili Con Carne; German Potato Salad Soup

  • Bangers and Mash —Six Nuernberg sausages served on a bed of kraut
  • Schnitzel —Pork cutlet
  • Rhineland Pork —Smoked pork chops served on a bed of our special kraut
  • Rinderrouladen Maultaschen —German–style ravioli stuffed with hamburger and spinach
  • Weisswurst —served with large soft pretzel and sweet mustard
  • Turkey Leg Dinner
  • Trout and Boiled Potatoes —served with German cream sauce
  • Flammkuchen —pizza base but instead of a tomato sauce, the crust is covered with creme fraiche, bacon, onions, garlic, and cheese
  • White Asparagus —served wrapped in Black Forest Ham
  • Bratwurst Dinner
  • Wurstsalat mit Kaese (Schweizer Art)

Spaetzle; German Farmer Bread; German Potato Salad (warm or cold); Schupfnudeln and Kraut; German Salads; Fried Eggs; German Broth

The general menu will remain relatively unchanged throughout the course of business. However, as demand for special dishes are assessed, they might become available on the regular menu. The Hopstreet Brewery is also working on a system where leftover food items can be used in certain dishes the following day. These items might be used to make a soup, side dish, or other dishes. It is estimated that The Hopstreet Brewery will have $20,000 worth of inventory at any one time (includes food, spices, etc.).

The Hopstreet Brewery will audition for a chef who has experience cooking German food. If a German chef is unattainable, The Hopstreet Brewery will find an American chef who is willing to learn.


Competition can be broken up into three categories: brewpubs, bars, and restaurants. The Hopstreet Brewery will essentially be competing in all three categories which are somewhat related.

All brewpubs in the Charlotte area are going to present some competition. There are no other planned brewpubs for Noda, so the listed brewpubs are the competition.

Competition: Brewpubs


The Hopstreet Brewery has some tough competition in this area, especially Tarheel Tavern. All of the brewpubs analyzed have a strong location and convenience. Tarheel Tavern is located in historic Saint Charles; Charlotte Brewpub is located in downtown Charlotte surrounded by huge businesses; and AleHouse sits on the water, attracting passing consumers. The Hopstreet Brewery will have a location that is better than these competitors though. The Hopstreet Brewery will be located in Noda, an area of soon to be some 4,000 residents. As The Hopstreet Brewery is being erected, the amphitheater, public swimming pool and stores will be nearing completion. The Hopstreet Brewery also shares the area of Charlotte with Tarheel Tavern. Charlotte is growing rapidly and contains many attractions such as Wild William's WaterPark and the IMAX theater.

Cost of products will be similar to these brewpubs, above average. The average meal price at these brewpubs is $8 to $10. The selection of foods at The Hopstreet Brewery will be different than competitors' American menu food and German specials will be served. In addition, The Hopstreet Brewery will also feature homebrewed beers different from others. To set itself apart in this category, The Hopstreet Brewery will offer beer with a longer ripening period (a minimum of 21 days versus 14) and a happy hour sampling special. The sampling special will feature a "shot" of every beer to give the customer a taste of everything. The brewing experience of Matt Hanson should also help set Hopstreet Brewery beer apart. Matt spent many years in Germany to receive his brewing certification and worked at numerous German breweries, giving him the knowledge and background to create great beer and run the brewpub.

Notice that no brewpub competitors have unique presentation for their products. This will be a selling point for The Hopstreet Brewery. All beers are meant to be delivered in a certain way. Serving beers in proper drinkware will stick out in the customer's mind. For example, the tall, widemouthed hefeweizen glass and the mini hammer tapped keg will be identifying factors for customers.

The Hopstreet Brewery will use these features to share the Charlotte market with Tarheel Tavern, and capture the Noda market. These features will be attraction points for The Hopstreet Brewery to take customers away from Tarheel Tavern and bring them to the Hopstreet Brewery.

Of the 26 businesses to open in Noda in phase one, there are no true bars besides The Hopstreet Brewery. This is good news because The Hopstreet Brewery could be one of the few drinking places close and the only within walking distance of many. There are numerous bars/pubs in the Charlotte area, however. Only some of these present competition because most people are not willing to drive long distances to get to a specific bar. There are over 50 bars within a ten mile radius of the Hopstreet Brewery. All of these undoubtedly demonstrate at least some competition. The ten closest bars to The Hopstreet Brewery represent more competition than others. These bars include:

Competition: Bars


The only bars that stand out from the crowd in this table are Maria's and FlimFlam. Maria's is, in fact, more of a restaurant than a bar and FlimFlam is part of a restaurant chain. After these two, all of the other bars seem to be average at best. The Hopstreet Brewery will by no means, be an average bar. The food and selection at most of these bars is lackluster and offers nothing unique. This will be an area for The Hopstreet Brewery to capitalize on.

A "beer" heading was not added to this group because none of these bars serve their own beer. They all serve generic products like Bud Light and an occasional microbrewed beer like Charlotte Brew. Therefore, fresh homebrewed beer is another area favoring The Hopstreet Brewery.

In addition, the atmosphere at a lot of these bars was nothing worth noting. Most of them were smoky, unclean, and just not really a fun place to be. However, some of these bars continue to be local hangouts, something that will take time for The Hopstreet Brewery to accomplish. Also, some of these bars have very low prices that will be unmatchable for The Hopstreet Brewery, but the food is not as quality. Furthermore, none of these bars have any unique presentation, giving another advantage to The Hopstreet Brewery.


There are three restaurants that will be completed by the time of the opening of The Hopstreet Brewery. These restaurants are: Tony's BBQ & Grill, Fast Chinese, and Pizza–To–Go. Fast Chinese and Pizza–To– Go sound generic, but Tony's BBQ & Grill could pose as competition. Besides these, there are many restaurants close to The Hopstreet Brewery. Many of these restaurants, though, are considered fast food, and therefore are in a different category than that of The Hopstreet Brewery. More upscale, sit–down restaurants present more competition. Nearly 75 percent of the 50 closest restaurants to The Hopstreet Brewery are fast–food joints. The ten closest, besides those that have already been stated, are listed below.

Competition: Restaurants


Similarly to bars in the area, a lot of restaurants located close to The Hopstreet Brewery are just okay or poor. The Hopstreet Brewery should not have much trouble beating out these weak competitors, but will have trouble with some of the better restaurants. The goal of The Hopstreet Brewery will be to achieve equality with these restaurants, because they are local favorites and have been in the area for a long time.

The Hopstreet Brewery will beat out all of the restaurant competition in alcohol category. The Hopstreet Brewery will serve a large selection of homebrewed beers that will be unmatchable by these restaurants. Once again, The Hopstreet Brewery must make use of its delivery and presentation as an advantage to this group. Also, these bars and restaurants will lack the brewpub experience that is evident at The Hopstreet Brewery.


After much research and analysis, The Hopstreet Brewery should have only minor problems in competing in the brewpub, bar/pub, and restaurant industry. There are only three brewpubs in the Charlotte area and the production of craft beers has grown seven percent over the past year. Furthermore, the niche market expanded three percent last year.

The brewpub is not the smoky, dirty bar where you cannot take your family, and it is not the expensive restaurant where you wouldn't take your friends. Brewpubs offer a family oriented atmosphere suitable for family and friends. They offer good food and quality unique beer. This is why brewpubs and small breweries are growing tremendously in popularity (seven percent production growth from 2003 to 2004) with over 1,400 nationwide.

Noda is projected to have annual economic impact of $315 million. This will be cash flow on which businesses in Noda can capitalize on. Other than The Hopstreet Brewery, only three are restaurants and only one of these restaurants is similar to The Hopstreet Brewery (sit–down family restaurant). This means that once phase one is complete (Spring 2006), The Hopstreet Brewery will be one of the main options for the 450 resident homes of Noda.

A site assessment survey was done by the American's Brewers Guild which surveyed successful brewpub operations and identified some important site characteristics that were believed to have contributed to the businesses' success. This assessment follows.

Site Assessment


As you notice, The Hopstreet Brewery meets every requirement, and many with ease. Many of these requirements are explained or analyzed throughout the plan. There are some, though, that will be explained here. For instance, University of North Carolina at Charlotte is located close, satisfying the college requirement. There are many sporting facilities including Charlotte Family Club and the Noda YMCA. Furthermore, The Hopstreet Brewery is located in downtown Noda and has an abundance of offices just a few miles away on Battery Way that employs thousands of workers. As Noda grows, The Hopstreet Brewery will beat these requirements with even more ease. The fact that The Hopstreet Brewery more than meets these requirements is in an indication that there is a market for a second brewpub in the area.

Attractions At–Hand

Attractions and amenities close to The Hopstreet Brewery will increase the number of consumers in the area and, therefore, increase the market. The amenities located within a short distance of The Hopstreet Brewery include:

  • Wild William's WaterPark
  • IMAX Theater
  • North Carolina University at Charlotte
  • Highway I-85
  • Brookfield Mall
  • Highway I-77
  • Charlotte Airfield

All of these locations are recognizable consumer hot spots. Highways I-85 and I-77 are traveled by thousands of people every day. On interstate 85 at Battery Way, 28,506 cars traveling east and 30,849 traveling west pass by per 24 hours on average. Also, according to the Charlotte Department of Transportation, close to 20,000 vehicles travel on Battery Way each day. After the completion of Noda, this number is sure to rise.

The IMAX Theater attracts 54 million people annually. Wild William's WaterPark in Raleigh is the single largest attraction in the state and attracts four million people alone; it has even been called the most visited waterpark in the United States. Judging by the success of the Raleigh–based location, the Charlotte store should continue to gain popularity. As you will learn later, The Hopstreet Brewery already has plans to market there.

Charlotte already has a strong tourism industry; 1,600,000 already visit this historic city annually. These amenities, though, are an extra source of tourism. Take for instance, Ameristar Casino, which attracts over ten million visitors on an annual basis. Moreover, most people who fly into North Carolina travel through Raleigh–Durham International Airport, which is also close to The Hopstreet Brewery and where marketing will take place (see Marketing Strategy).

Brewpub Industry Analysis

The Hopstreet Brewery falls within the brewpub industry. There is no specific "industry" for this category yet, as it is relatively new. Therefore, there is no specific SIC code. For now, it is appropriate to place the brewpub under the drinking place code 5813 and the restaurant code 5812.

The craft beer segment includes brewpubs, microbreweries, and specialty brewers. Craft beer (micro-brewed beer) is the fastest growing segment of the beverage alcohol industry in the United States. There was a seven percent growth rate for craft beer volume in 2004, nearly double the growth rate posted in 2003 of 3.4 percent. More specifically, there was a 4.6 percent growth rate for brewpubs. "Craft beer volume growth outpaced that of imports, large brewers, wine and spirits in 2004," said Paul Gatza, Director of the Brewers Association. "The craft beer segment continues to show healthy and steady growth with many individual brewers enjoying double–digit volume increases," said Charlie Papazian, President of the Brewers Association. For 35 years, the craft beer industry has shown growth each year. "Americans increasingly prefer the flavor and diversity of fresh, locally– made beers," says Papazian. "Many Americans first discovered full–flavored beers at local breweries and now the diverse and exciting choices among those flavorful brews have become a regular part of their lifestyle." The continuance of the rising growth rate of the craft brew industry means good things for The Hopstreet Brewery. Growth is expected for the 2005 and 2006 years, and The Hopstreet Brewery will benefit from that growth.

Brewpubs have helped revive the beer and drinking places industry. There were a total of 986 brewpubs operating in the United States in 2004. This number includes the 51 brewpubs that opened their doors for the first time in 2004. Listed in the table below are annual beer sales for the brewpub industry.

Annual brewpub sales: Beer


Food sales for the brewpub industry were a little harder to come by. Although brewpubs are known more for their beers, food actually accounts for more sales than beer. Brewpubs in the Charlotte area reported a 40:60 ratio of alcohol to food sales. No specific industry food sales were attainable, so the following data was calculated using the previously stated ratio.

Annual brewpub sales: Food


End Consumer

The end consumer of The Hopstreet Brewery can be broken down into three groups: locals, brew nuts, and visitors. Locals will be accounting for most of the business, but brew nuts and visitors will make up a respectable proportion. We expect locals to account for at least 80 percent of business, visitors 15 percent and brew nuts 5 percent.

Locals include people living in the Charlotte area, but more specifically citizens of the Noda development. Brew nuts are people who are basically obsessed with microbrewed beer. They will travel long distances just to try out a new beer. After visiting The Hopstreet Brewery, these nuts will forever remember not only our delectable beers, but the presentation of these products the way they were meant to be. Visitors are people visiting the Charlotte area. As you have already learned, there are various attractions close to The Hopstreet Brewery, so there will always be people going in and out of the area.

The majority of Hopstreet Brewery customers will be over the age of 21. However, these adults will bring their family and friends with them who may or may not be 21 and many others will visit who are not 21. In addition, even though people from every income level drink beer, our target group is those with income of more than $30,000. In the end, it should be noted that people may not come to enjoy Hopstreet Brewery beers, they may simply come because they enjoy the food, atmosphere, and company.

As described, our end consumer is made up of three different groups. To determine the amount of locals we may encounter, radial studies must be completed. Within a 1–mile radius of The Hopstreet Brewery there are 9,732 adults over the age of 21; 64,977 within a 5–mile radius; 253,434 within a 10–mile radius; and 574,995 within a 15–mile radius. Moreover, more than two thirds of these people have an average income of over $30,000.

The demographic of the brew nut is hard to nail down. These are just people who love trying beer. This group is made up of people over 21, but mostly males. Some brew nuts are willing to travel further than others, so the general market is as large as the entire country.

The demographic of the visitor group is just that, a visitor. More than two thirds of adults in the United States aged 21 and older traveled in 2004. That makes visitors a very large group (greater than 125 million). Charlotte alone had over 1.5 million visitors last year, and that was before the construction of Noda.


Marketing strategy.

The marketing strategy of The Hopstreet Brewery is to uphold to the strictest standards of quality and family fun while serving up excellent food, beer, and atmosphere. This will provide the company with a strong reputation and encourage customers to tell others about their experience. The Hopstreet Brewery must prove itself among the many brewpubs, bars, and restaurants in the Charlotte area. When restaurants and drinking places open, people want to try them out immediately and first impressions can make or break companies in this industry. Therefore, The Hopstreet Brewery will make sure every experience is a positive one. The Hopstreet Brewery will focus on serving the finest beers and delivering them in a fashion unlike any other location. Also, the selection of foods will make sure there is something for everyone and leave the customer craving for more.

The Hopstreet Brewery will use traditional and nontraditional marketing efforts to promote the brewpub. Traditional marketing efforts will include billboard advertisements, direct mailings, and newspaper spots. Nontraditional marketing consists of indirect marketing. The combination of these marketing efforts will be used to create a "buzz" that will generate word–of–mouth marketing in the general public.

In the fall of 2005, billboard advertisements will be done promoting all of Noda. Many of these signs will contain advertisement for The Hopstreet Brewery. These signs will be located on highways 85 and 77, and other major roadways in the Charlotte area. The Hopstreet Brewery will also make use of billboard advertising independently around the same areas. The amount or placement of these billboards will not be assessed until Noda advertising has begun. The Hopstreet Brewery would like to have an advertisement on 370 east and west, 70 east and west, and two on Battery Way/Airport Road in each direction. The plan is to have these advertisements present three months before opening and have them remain until they are inefficient. In addition, Hopstreet Brewery owner, Matt Hanson, has already been in contact about having the brewpub added to the list of restaurants on highways 85 and 77.

There are currently over 5,000 people on the Noda mailing list which keeps interested consumers up to date with what is going on in Noda. It has already been mentioned in this mailer that a brewpub will be open in Noda phase one. Now that more information is available about The Hopstreet Brewery, advertisements and articles will begin appearing in this mailer by summer 2005. This mailer is designed and maintained by Noda development and will cost The Hopstreet Brewery nothing. The Hopstreet Brewery will push to have as many references as possible in this mailer. The Hopstreet Brewery will also begin placing advertisements in the Charlotte newspaper about the brewpub's 2006 opening. An ad or two will be placed in the Sunday newspaper starting a month before opening. These ads will contain a coupon so The Hopstreet Brewery can gauge their effectiveness and determine how long they should use newspaper advertising. Furthermore, the business section of the Charlotte newspaper often features articles about the opening of new businesses, and The Hopstreet Brewery is likely to be featured shortly before opening. There will soon be a daily Noda newspaper and The Hopstreet Brewery will do likewise with this newspaper.

Many different kiosks have been seen at Wild William' WaterPark in Charlotte, marketing and offering samples of products during events. The Hopstreet Brewery is in the process of setting up a kiosk at spring 2006 events. Hopefully, alcohol will be permitted at this event. If not, The Hopstreet Brewery will focus on handing out coupons, fliers, and merchandise. Wild William' WaterPark is a huge attraction and will offer The Hopstreet Brewery a lot of public visibility. Another strong place to advertise is Raleigh–Durham International Airport. The Hopstreet Brewery plans to have advertisements visible to customers as they pick up their luggage and walk out the door.

The Hopstreet Brewery will also participate in local events such as Oktoberfest and parades both before and after opening. At these events, merchandise, coupons, and fliers will be handed out. Moreover, The Hopstreet Brewery will hand out these things as much as possible at as many places as it can to give the brewpub as much promotion as possible.

Sales Strategy

The sales strategy of The Hopstreet Brewery is direct sales to customers from the brewpub. The main selling point will be beer, but food will be the second attraction. Focus, therefore, will be sale of these two groups at the brewpub. All advertising within the brewpub will be endorsement of Hopstreet Brewery products, events, promotions, and specials. There will be no advertising for products like Anheuser–Busch.

Part of The Hopstreet Brewery's sales strategy will be completed by MarketGroup Inc. MarketGroup Inc. specializes in converting first time customers into regular visitors. MarketGroup Inc. will send personalized letters, birthday coupons, emails, web promotions, etc to Hopstreet Brewery customers. The effectiveness of this will be measured by the amount of customers using these coupons or customers noting they received a letter. The cost of this service is $350 a month. The Hopstreet Brewery will begin use of this service a few months after opening, and if it proves not to be cost effective, the brewpub will no longer use the service. MarketGroup Inc. has helped develop customer bases for many prominent Charlotte restaurants like Nook in the Square, Cathy's Cafe, and Dimanto's Italian Eatery.

The Hopstreet Brewery will complete a number of sales strategies on its own too. The brewpub will feature advertisement coupons in newspapers and mailings on a weekly basis. The Hopstreet Brewery will also offer frequent dining programs where after a customers has seven main dish items, he or she will be able to receive a free dish of choice.

The Hopstreet Brewery will have specials within the brewpub. There will be many daily specials that will include German dishes, but many will simply be discounts on regular menu items. The Hopstreet Brewery will also have happy hour specials with half price appetizers and beer from three to six o' clock every weekday. Likewise, a happy hour sampling special will be offered which will incorporate shot size samples of every craft beer.

The Hopstreet Brewery will offer to serve as a meeting place for local groups. The Hopstreet Brewery will contact church groups, senior clubs, tourist groups, and dating services about having events at the brewpub. The groups will receive discounts on all food and beverage items during the meeting, coupons for future use, and a tour of the brewpub.

The Hopstreet Brewery will also encourage pub crawls where people are driven around to different bars/breweries. These are usually set up by a group of people looking to try out different drinking places. The Hopstreet Brewery will periodically mention pub crawls in its advertisements and promote it at the brewpub. Moreover, there will be frequent tours of the brewing process where consumers will get a sample of freshly brewed beer at the end. In addition to these strategies, The Hopstreet Brewery will also be available for rental and catering upon request.

The last marketing/sales strategy that The Hopstreet Brewery will take on will be sponsorships. The Hopstreet Brewery will sponsor events at the local amphitheater such as concerts and pageants. The brewpub will try to be active in every event that takes place at the amphitheater because it is located only a few steps from The Hopstreet Brewery. The Hopstreet Brewery will also sponsor local sporting events and teams. This will include charity sporting events, softball leagues, and tournaments. The Hopstreet Brewery will use this form of advertising because it is relatively cheap and can serve as a strong form of advertisement.

The pricing of products at The Hopstreet Brewery will be based on three measurements: competition, cost, and demand. All three of these measures will be important for The Hopstreet Brewery to realize its greatest profits.

Pricing of Hopstreet Brewery beer and food will be very similar to competition. If our prices are too high, consumers will choose to take their business elsewhere. If prices are too low, The Hopstreet Brewery's profit margin will not be utilized to the fullest. Much of our pricing will be based on the pricing of items at Tarheel Tavern because they will be a main competitor of The Hopstreet Brewery, and because it too is a brewpub.

Also considered when pricing, will be the cost of the goods sold by The Hopstreet Brewery. All products require different goods, quantities, and effort to be made. Obviously, products with higher priced goods, quantities, and effort are going to command a higher price.

The final factor considered in pricing will be demand. A lot of this demand will be based on consumer input. The Hopstreet Brewery will monitor sales to see which goods are selling better than others. As stated earlier, if some goods are not selling up to standards, they might be removed from the menu. Likewise, The Hopstreet Brewery would like to measure the price sensitivity of its customers. This will be done by making occasional price markups and markdowns on selected menu items. This will survey how much consumers are willing to pay for certain items.

From our research, most sales in the brewpub industry come from food items. However, the greatest profit margin is incurred from alcohol sales, mainly house brewed items. Pricing will change from time to time due to certain conditions, but will remain the same for the most part. Pricing will be reviewed on a monthly basis at a minimum.

Alcohol prices will vary depending upon competitor pricing, size, and cost of goods. The Hopstreet Brewery will price its beers similarly to competitors. Furthermore, larger beers will be more expensive, but will be a better deal per ounce than smaller beverages. The price of ingredients also plays a major role in the price of beer. Labor will not be included in cost of goods, because it will be performed by owner and brewmaster Matt Hanson.


Obviously, there are many risks entering into the drinking place and restaurant industry. Many startups immediately fail and many are still losing money. Possible risks The Hopstreet Brewery faces have been considered and are being planned for. There are also many opportunities that The Hopstreet Brewery can capitalize on.

  • Lack of business. If The Hopstreet Brewery is not receiving sufficient business, major problems would arise. The outlook, however, looks very strong and there is a healthy market for brewpubs at the moment.
  • Missing inventory. The average alcohol shrinkage of a bar is 20 percent due to too many bartender freebies, mispourings, and incorrect orders. This can cost any business a lot of revenue. If it is noticed that an unreasonable amount of inventory is missing, The Hopstreet Brewery will likely hire PubCo to manage their liquor inventory. PubCo specializes in reducing shrinkage and saving owners plenty of money.
  • Competitors in Noda. After the development of each phase of Noda, there will be more competitors in the area. In phase one, there will only be three other restaurants in Noda, and two are more fast–food type. This leaves Marbella as the only direct competition. As new restaurants open in Noda, The Hopstreet Brewery will already be firmly established and ready to take on new competition.
  • Possible problems with brewing systems. Problems have arisen in other microbreweries with system problems preventing the production of beer. We plan on purchasing new, top–of–the–line equipment to reduce this risk.
  • Overhead costs exceeding sales would pose a problem if it occurred consistently. If the cost to maintain the equipment, building and other overhead costs exceed sales, The Hopstreet Brewery would be in serious disarray. The Hopstreet Brewery will fight this by reviewing finances on a monthly basis at a minimum and hiring an accountant.
  • Management and staff problems. Employees will initially be given a chance to settle disputes and correct mistakes depending on severity. However, some mistakes, such as stealing and harassment will result in immediate firing.
  • Competitive reaction. Competitors in the Charlotte area might react adversely to The Hopstreet Brewery. They might try to undercut pricing or partake in interfering with possible Hopstreet Brewery consumers. The Hopstreet Brewery does not want to go to war with any of its competitors. Actions to prevent this might be forming strategic alliances or supporting competitors.
  • Poor reviews in press. This would pose a major problem for The Hopstreet Brewery because the brewpub is counting on positive reviews to promote business. If this does happen, The Hopstreet Brewery will make greater efforts to improve the brewpub and its products like hiring a new chef or offering more discounts to get consumers back in the door.
  • Liquor related problems. Drunk–driving and other liquor related problems are often troublesome for drinking places. To prevent this, servers will be trained to determine when someone has had too much too drink. The Hopstreet Brewery will also call cabs, family members, or drive people to make sure they get home safely. However, much of The Hopstreet Brewery's customer base will live in Noda, and most residents will be within a ten minute walk.


  • Expansion. If The Hopstreet Brewery is highly successful, another brewpub may be opened in another area.
  • Introduction of new products. It has already been explained that if a German special item is extremely popular, it would be added to the menu. Furthermore, The Hopstreet Brewery will be constantly evaluating sales of items to determine if there is enough demand to add an item to the menu. This could include beer, an American dish, or a German special.
  • Development of surrounding area. The area of Charlotte is growing extremely fast and Noda will eventually have a population of over 10,000. The Hopstreet Brewery is right in the middle of this fast growing area and could see a large increase in customers upon completion of each phase. In addition, The Hopstreet Brewery may be able to sell products to water park guests, amphitheater spectators, and maybe even develop another beer garden.
  • Product sales outside of the brewpub. The Hopstreet Brewery will monitor sales of its products to determine the feasibility of sales at other bars, restaurants, and stores.
  • Strategic alliances with other businesses. The Hopstreet Brewery will try to form alliances with others to promote business. This could be beneficial to both sides. Businesses could advertise for each other, give away coupons, encourage consumers to visit, etc.

Investor Information

The Hopstreet Brewery is seeking an outlay of $280,000 from investors. This amount will give The Hopstreet Brewery the 20 percent it needs to acquire a $1.4 million loan from the bank. Investors will be paid back over a maximum 20–year period on a monthly basis. Please see financials for more details.

Forecasted income statement start-up operations


Forecasted annual income statement


Forecasted year 1 income statement


Forecasted year 2 income statement


Forecasted year 3 income statement


Projected sales detail


Break-even forecasted annual income statement


Forecasted year 1 break even income statement


Forecasted year 2 break even income statement


Forecasted year 3 break even income statement


Break even projected sales detailed


Forecasted cash flow start-up operations


Year 1 forecasted cash flow statement


Year 2 forecasted cash flow statement


Year 3 forecasted cash flow statement


Balance sheet


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How To Write a Successful Microbrewery Business Plan + Template


Creating a business plan is essential for any business, but it can be especially helpful for microbrewery businesses that want to improve their strategy and/or raise funding.

A well-crafted business plan not only outlines the vision for your company, but also documents a step-by-step roadmap of how you are going to accomplish it. In order to create an effective business plan, you must first understand the components that are essential to its success.

This article provides an overview of the key elements that every microbrewery business owner should include in their business plan.

Download the Ultimate Microbrewery Business Plan Template

What is a Microbrewery Business Plan?

A microbrewery business plan is a formal written document that describes your company’s business strategy and its feasibility. It documents the reasons you will be successful, your areas of competitive advantage, and it includes information about your team members. Your business plan is a key document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.

Why Write a Microbrewery Business Plan?

A microbrewery business plan is required for banks and investors. The document is a clear and concise guide of your business idea and the steps you will take to make it profitable.

Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.

Writing an Effective Microbrewery Business Plan

The following are the key components of a successful microbrewery business plan:

Executive Summary

The executive summary of a microbrewery business plan is a one to two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.

  • Start with a one-line description of your microbrewery company
  • Provide a short summary of the key points in each section of your business plan, which includes information about your company’s management team, industry analysis, competitive analysis, and financial forecast among others.

Company Description

This section should include a brief history of your company. Include a short description of how your company started, and provide a timeline of milestones your company has achieved.

If you are just starting your microbrewery business, you may not have a long company history. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your microbrewery firm, mention this.

You will also include information about your chosen microbrewery business model and how, if applicable, it is different from other companies in your industry.

Industry Analysis

The industry or market analysis is an important component of a microbrewery business plan. Conduct thorough market research to determine industry trends and document the size of your market. 

Questions to answer include:

  • What part of the microbrewery industry are you targeting?
  • How big is the market?
  • What trends are happening in the industry right now (and if applicable, how do these trends support the success of your company)?

You should also include sources for the information you provide, such as published research reports and expert opinions.

Customer Analysis

This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.

For example, the customers of a microbrewery business may include:

  • Adult beer drinkers who are looking for new craft beer experiences
  • Restaurant and bar owners who are looking to add local microbrews to their menus
  • Retailers who want to sell local microbrews in their stores

You can include information about how your customers make the decision to buy from you as well as what keeps them buying from you.

Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or microbrewery services with the right marketing.

Competitive Analysis

The competitive analysis helps you determine how your product or service will be different from competitors, and what your unique selling proposition (USP) might be that will set you apart in this industry.

For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation and/or advantage; that is, in what ways are you different from and ideally better than your competitors.

Below are sample competitive advantages your microbrewery business may have:

  • Unique brewing process and flavors
  • Strong brand identity and loyalty
  • Quality ingredients and high standards
  • Local focus and support of the community
  • Innovative marketing

Marketing Plan

This part of the business plan is where you determine and document your marketing plan. . Your plan should be clearly laid out, including the following 4 Ps.

  • Product/Service : Detail your product/service offerings here. Document their features and benefits.
  • Price : Document your pricing strategy here. In addition to stating the prices for your products/services, mention how your pricing compares to your competition.
  • Place : Where will your customers find you? What channels of distribution (e.g., partnerships) will you use to reach them if applicable?
  • Promotion : How will you reach your target customers? For example, you may use social media, write blog posts, create an email marketing campaign, use pay-per-click advertising, launch a direct mail campaign. Or, you may promote your microbrewery business via a PR or publicity campaign.

Operations Plan

This part of your microbrewery business plan should include the following information:

  • How will you deliver your product/service to customers? For example, will you do it in person or over the phone only?
  • What infrastructure, equipment, and resources are needed to operate successfully? How can you meet those requirements within budget constraints?

The operations plan is where you also need to include your company’s business policies. You will want to establish policies related to everything from customer service to pricing, to the overall brand image you are trying to present.

Finally, and most importantly, in your Operations Plan, you will lay out the milestones your company hopes to achieve within the next five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters, and then each year for the following four years. Examples of milestones for a microbrewery business include reaching $X in sales. Other examples include brewing a specific number of barrels of beer or expanding to a new location.

Management Team

List your team members here including their names and titles, as well as their expertise and experience relevant to your specific microbrewery industry. Include brief biography sketches for each team member.

Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute on your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.

Financial Plan

Here you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix). 

This includes the following three financial statements:

Income Statement

Your income statement should include:

  • Revenue : how much revenue you generate.
  • Cost of Goods Sold : These are your direct costs associated with generating revenue. This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering.
  • Net Income (or loss) : Once expenses and revenue are totaled and deducted from each other, this is the net income or loss.

Sample Income Statement for a Startup Microbrewery Business

Balance sheet.

Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:

  • Assets : All of the things you own (including cash).
  • Liabilities : This is what you owe against your company’s assets, such as accounts payable or loans.
  • Equity : The worth of your business after all liabilities and assets are totaled and deducted from each other.

Sample Balance Sheet for a Startup Microbrewery Business

Cash flow statement.

Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:

  • Cash Flow From Operations
  • Cash Flow From Investments
  • Cash Flow From Financing

Below is a sample of a projected cash flow statement for a startup microbrewery business.

Sample Cash Flow Statement for a Startup Microbrewery Business

You will also want to include an appendix section which will include:

  • Your complete financial projections
  • A complete list of your company’s business policies and procedures related to the rest of the business plan (marketing, operations, etc.)
  • Any other documentation which supports what you included in the body of your business plan.

Writing a good business plan gives you the advantage of being fully prepared to launch and/or grow your microbrewery company. It not only outlines your business vision but also provides a step-by-step process of how you are going to accomplish it.

A well-executed business plan will offer the best chance at success and keep you organized and on track as your microbrewery company grows.

Now that you understand how to write a microbrewery business plan, it’s time to get started on yours.  

Finish Your Microbrewery Business Plan in 1 Day!

Wish there was a faster, easier way to finish your microbrewery business plan?

With our Ultimate Microbrewery Business Plan Template you can finish your plan in just 8 hours or less!


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