Page 33 - Beverage Master_DecJan2022

Brewery & Distillery
Craft Brewery
potential investor to analyze no less than the fol-
lowing aspects of your company:

● Business Model: How does your brewery or
distillery make money? What are your key busi-
ness metrics such as revenue and gross margin,
operating profit, and EBITDA? Is your current
model scalable or does it need to be reworked
if your business wishes to continue growing?

● The Team: Does your business’s core team
(including you) possess the knowledge, skills,
and ability to carry the company through peri-
ods of growth? If not, which employee(s) need
to be let go and replaced? Is the team able to
collectively address and resolve issues?

● Structure and Governance: How is your com-
pany structured and led? Is there transparency
and accountability across its departments? Does
your business have a succession and/or key man
insurance plan in place? If so, what does it look
like?

● Exit Plan: Does your company have an exit
strategy in place? If not, then why not? If so,
what does this plan look like, and is it reason-
ably sound?

All of these factors will play a vital role in your
business’s ability to land growth capital. From my
own experience as an investor/financier, I am look-
ing for specific reasons not to invest in or finance
a company; anyone can fall in love with thier own
deals and each deal must stand on its own merits.
This means that you, as the founder or owner of
your business, will need to know both your compa-
ny and its market viability inside and out if you wish
to gain an investment of capital necessary to grow
it in a way that meets your goals.

If you are able to show investors and financiers
that you are credible and trustworthy, that your
business has shown the capacity to make sales of
quality products and grow from its revenue and
profits to date, and that it has the potential to
continue growing in its existing market or into new
markets, then your chances of landing an invest-
ment of capital required for growth are much high-
er.

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