Brewery and Distillery Asset Finance

What is Brewery and Distillery Asset Finance?

The alcohol industry is one of the most established both in the UK and globally. It is also one of the most accessible business platforms, with new players entering the market on a monthly basis. Craft ales and gins are some of the most in demand products as they come in a variety of flavours and can be tailored to suit consumers’ tastes or align with seasonal periods, such as Christmas.

However, creating these alcohol-induced masterpieces doesn’t come cheap, even for those competitors who only opt to compete on the micro-scale. The production process requires a plethora of equipment. Then you have the added pressure of transporting the finished product to re-sellers, be it pubs, bars, supermarkets or off-licenses. So how can finance help brewers and distillers products to be on everyone's wish list this Christmas?

What can be financed using Brewery and Distillery Finance?

In the Brewery and Distillery market, all aspects of the process can be funded with the help of finance. In the production phase, stills and fermentation equipment are required and must be of high quality. Copper is considered the material of choice amongst the brewing community but popularity has turned it into a prized commodity. Then casks and kegs are needed to allow your alcohol to develop a diverse and favourable flavour. Whether these are being attained from the continent or closer to home, they can be financed on either a Hire Purchase agreement or Lease. Both can then become a long term company asset.

Finally, you must satisfy customer demand by ensuring they can purchase and enjoy your products at their nearest convenience from a store or venue. Firstly, you need a fleet of transportation vehicles to get the finished product from A to B. Secondly, you must turn your attention to venues. Whether they are your own or those of your supply partners, they must be kitted out to the highest quality to ensure that the tasting experience is as encapsulating as possible. Tap rooms are becoming increasingly more popular with brewers and distillers, who gain full autonomy over the entire process. This will assist you in maintaining your current customer base and attracting new audiences.

How does Brewery and Distillery Finance work?

At GSM we work with 35 lenders, all of which have a different risk profiles and some are more comfortable lending on certain assets than others. With this knowledge we are able to take certain assets for your brewery, distillery or tap room to a range of lenders, to ensure you get the right tailored package.