microbrewery course, microbrewery courses

There are many things you need to consider when setting up a successful microbrewery. We have compiled 10 top tips from our expert brewing tutors of the things you should build into your plans when setting up your own brewery:

Make sure you have enough funding for your microbrewery

1.    Make sure you have enough funding.  Setting up a microbrewery is not cheap but equally it doesn’t have to cost the earth.  You can start very small if you don’t need to rely on your brewery as your main source of income.  If you start with say a 2.5 bbl (600 pints) plant as part of a brew pub then the entire brewing kit could be brought for as little as £10,000.  At this sort of price you are not going to get a high quality piece of kit even if it does the job.  Reliability, quality and technical support for your brewery you will pay for but may be worth the extra cost.  There will be other start up costs such as the fit out of your premises, the cost of casks and other incidental brewing and business equipment.  Where you do not have a ready route to market through a pub or bar then to make the brewery viable then you will need to look at a larger brewing plant. Our expert tutors suggest a size of 10 bbl minimum to produce economically viable amounts of cask conditioned beer and a decent profit.  Bigger is always better in that it affords your brewery economies of scale but obviously this extra brewing capacity costs.

Ensure you have sufficient expansion space   

2.    Looking at point 1 the thing that anybody setting up their own microbrewery will need to ensure is that they can expand.  It may be the furthest thing from your mind when you are struggling to get your brewery off the ground, but very soon most microbreweries will have outgrown their original plant.  Make sure that your premises have sufficient space to expand the brewery unless you are prepared to set up from scratch again. A 2.5 bbl plant will function with as little as 250 sqft for a 10 bbl plant you are looking at least 4 times this.  Moving a brewery is expensive and very time consuming not to mention the interruption in beer production which will not got down well will your regular pub customers.

Include time for 'slippage'

3.    Factor in delays to your initial set up.  You hope that the process of getting your microbrewery off the ground goes smoothly, but you need to fact in a little bit of slippage.  Perhaps planning permission to get your change of use to a B2 use class required by most breweries is delayed, or your grant application takes longer to approve than your thought. Consent to discharge from the environment agency will not be granted immediately.

Carry out a proper market analysis

4.    Know your market and be aware of your competition. Brewing is a pretty friendly business to be involved in.  There is a ‘band of brothers’ relationship between microbrewers and it is not uncommon for microbreweries to help each other out.  However, despite this cordial relationship with your fellow brewers they are nontheless your competition.  Is your local market already saturated with other micros? If your business plan involves producing and selling mainly cask conditioned ales then remember that your market initially will largely be local.  This means that you need to ensure that there are enough pubs in your local area who will be prepared to take your beer. Start your research early by talking to local publicans to see whether they are prepared to take your beer and at a reasonable price (depending on the area this could be anything from £65 -100+ per 72 pint cask.)  Do consider signing up and selling your beer through SIBA's Beerflex scheme.

Have a long-term plan for your microbrewery

5.    Have a long-term plan for your beer brand & microbrewery.  You need to start with a long-term vision for your brewery business.  Is it that you want your brewery to be mainly a local cask ale producer?  Do you want to be an export led beer brand?  Are you happy with a lifestyle microbrewery producing small quantities for bottling and selling as craft beers at farmers markets.  There are numerous business models out there for microbreweries but have a plan.  Having said that you must always remain flexible and responsive to changes in the market place.  All successful businesses exhibit the trait of a long term vision but with the ability to adapt and take opportunities along the way.

Consider carefully your packaging formats & route to market

6.    Consider the full range of routes to your market for your beer and which ones is most appropriate for your microbrewery.  The main forms of packaging for your beer are: cask, bottled (filtered), bottle conditioned, can, keg.  Each has potential attractions, drawbacks and cost implications so make sure you choose the right combination for your brewery and beer brand.

Do you have all the skills?

7.    Essential for setting up a microbrewery like any new business is the right skill sets.  Do you have all the skills you need to brew brilliant beer and then sell it profitably.  Take an honest look and if you don’t you may want to consider going into business with someone with complimentary skill sets.  Remember with brewing beer that one of the old adages is that brewing is 80% cleaning.  This is also true with commercial brewing too;  you just have more of it!  Also, consider that if you only have one or two members of staff that they can fulfill each others roles.  What would happen if your head brewer goes off sick or leaves? Do you have a plan?  Is there somebody in your microbrewery that can take over.  Otherwise a brewery without a brewer is a pretty pointless and loss making operation.  Obvious… but make sure you have a strategy in place.

Understand your key financial metrics

8.    Running a microbrewery even a small brewery there are certain key financial concepts that are paramount.  Cashflow is king.  You make be making money, but if you have no cash to pay your overheads you will very quickly be at the mercy of banks or creditors.  You don’t want that.  So ensure that you get paid promptly for your beer.  Don’t let pubs or bars particularly ones you haven’t dealt with before run up long lines of credit or you may have a nasty shock down the line.  The other point to remember is that turnover is vanity but profit is sanity.  You may think that you are selling lots of beer but if you are not making any or enough profit on each pint then it’s only a matter of time before your microbrewery goes bust.  Our expert tutors will show you how to price your beers to account for all the costs including beer duty and VAT.

Equip your brewery with a refractometer

9.    Get yourself a refractometer to measure the specific gravity of your beer.  A good refractometer can be purchased for less than £100 and is useful for both commercial and home brewers.  It is easier to use in a microbrewery setting than the traditional hydrometer even though you will need to use a conversion table to derive your specific gravity.

Get some experience & do a course

10.    Setting up a new microbrewery is a big undertaking, particularly if you have not brewed commercially before. If you have never worked in a brewery or had direct experience then it’s worth getting some experience of the industry by working alongside a brewer.  Also get expert advice and do a course with experts who can take you through all the things you need to consider before taking the plunge.  Brewing is a great industry to get involved in but make sure you go into it with your eyes wide open!

Funding your own microbrewery

Brew-school is looking at developing innovative and flexible methods for funding the set up and development of your microbrewery.  We are working with a number of funding sources to provide seed and project funding for your microbrewery.  Brew-School has an ever expanding number of successful microbrewery start ups that have attended our courses.

If you have a microbrewery that needs funding to set up or develop then please get in touch.

The best way is always to email your proposals to: funding@brew-school.com.  If we don't respond straight away don't worry we will get back to you.

Our mission is to make the UK microbrewery market the best, the most innovative and the most successful in the world.  We want more people drinking and appreciating great beer what ever their taste and together we can achieve it.

Setting up my own microbrewery courses - 2/4/7 days

Brew-School Hall of Fame

Here at Brew-School we don't like blowing our own trumpet but we have inspired and helped an ever expanding number of new and existing microbreweries on their brewing journey.  I've included just a snapshot of brewers and breweries that have been on our courses and the intention is to keep it updated.  If we have missed you out and you want a shout, then please feel free to just email us with a link to your breweries website or Facebook page and I'll get your details included.

If you could provide a link to our Brew-School website then this keeps the nice people at Google happy and means more brewers and microbreweries will find us and hopefully gain something from our increasing range of beer brewing courses and microbrewery training courses.

Tinshed Brewery - Cambridgshire
Three mates got together in Cambridge to make this brewery happen.  Unsurprisingly, this unique brewery has a a lovely tin shed as well as some intriguing sounding ales.  How about a smoked beer to wet your appetite?

 

Farr Brew

Nick Farr an enthusiastic producer and consumer of alcohol for many years was inspired by attending our one day all grain beer brewing course to go the next stage and setting up his own microbrewery using the Braumeister system of brewing allowing him to produce about 400 pints a day.  Nick has successfully sold a number of beers at a very 'good price' into local hosteleries and funded much of his initial set up by selling his bottled beers at a number of local farmers markets.  We are expecting big things from Nick after coming along on our 3 day Setting Up A Microbrewery Course in March 2015.  Nick has already established that he doesn't want to grow too big, as long as he can expand enough to finally give up his day job.  

UPDATE 1

Nick has also recently started a kickstarter campaign for funding to establish the first Microbrewery in Harpenden in a 100 years.

Interesting to see how far Farr Brew can go!

UPDATE 2

Buoyed by this success and assisted by his long-term friend Matt has used a combination of crowdfunding and private investment to fund the establishment of the microbrewery in a 1722sqft facility in Wheathampstead, Hertfordshire. The site was extensively refurbished to include a new 10 barrel brewery (that’s a whopping 2885 pints per brew), tap room and bottleshop.

microbrewery setting up brewery course stubborn mule

Stubborn Mule Brewery Manchester

Ed Bright was a Brew-School graduate from back in November 2014.  Ed like many commercial microbrewers has started producing commercially on a small scale and then bottling his beer and selling it through specialist beer shops, bars and restaurants.  Ed has now secured the funding he needs to get separate premises and his own commercial brew plant.  We love the branding and Ed I'm sure has the youthful enthusiasm to make his brewing dream go along way.  Ed is also featuring on our 1 day course looking how start up microbreweries put together the finance they need to get the brewing dream off the ground.  Ed is also a genius at using free social media to publicise his exciting and varied events that take place in his tap house so you can find regular and engaging posts about his microbrewery on Instagram, Linkedin, Twitter and Facebook.  A great example of how to build your brewing brand for free.


Cerveja -MUSA

A Recent extract from Paulo from Portugal - creating MUSA the largest craft brewery in Portugal following attendance of our 7 day course.

 

"It has elapsed more than one year since I attended your fantastics courses. They were key for my beer project. Thank you!"
 
"On my side, I partnered with some friends and we launched a brewery that should be the biggest craft brewery (so far) in Portugal. After a visit to Brawbevialle in 2015 and a struggle with the choice between a German, Italian or Chinese fabricator we ended up deciding to built our brewery locally. It was risky, as Portugal has no tradition in brewing, but we were sure that if we supplied the engineering, the quality would be very high. We are delighted with the results - a custom made 20 hL Brewhouse for a fraction of the cost of a similar equipment from Germany (or even Italy origin) with outstanding quality and features.


If you want to know more about the results or want to consider fabricating your brewhouse or fermentors in Portugal, just email me or call me and I would be very happy to help you with your project. Please feel free to let your friends know about this option and please share my contacts."


Paulo's advice on setting up his microbrewery indicates that using local quality metal fabricators to build your brewery can save lots of money.  However, they will only build you what you specify.  If you don't understanding the intricacies of the brewing process you may end up with a microbrewey that isn't just not that great it might not be fit for purpose.  The reality is that the microbrewery you end up with will only be as good as the plans and design that you provide for them.

Check out the Musa branding too.  Very clever cross referencing iconic rock brands and transposing them into well known beer styles.  For instance who wouldn't reconise their "Born in the IPA" as a reference to Bruce Springsteen icon rock anthem.  I did have the pleasure of finding Musa' beers in a bar in Porto, Portugal and has a bottle of the Born In The IPA.  It's good so well done to Paulo, Bruno & Nuno.

 

 

 

Hartingtons Ltd
Hartingtons Ltd
1st Floor Rutland Mill, Rutland Mews,Coombs Road
Bakewell , DE45 1AQ United Kingdom
01629 888 586