Image source: Pixabay
You might have been brewing beer from home as a hobby. You, however, decide to turn this hobby into running a commercial brewery business. It is important to understand that there are no guarantees that you are going to succeed in running your brewery business.
The craft beer industry has been growing at a high rate in the past few years. This has led to an increase in the number of people getting into the industry. Today, the United States alone has thousands of breweries producing different types of craft beers.
However, reports indicate that thousands of them close shop every year due to one reason or another. When setting up your own brewery business, you need to understand the things that distinguish successful breweries from unsuccessful ones.
Here they are;
Using Technology Effectively
Technology advancement is playing a crucial role in the running of businesses, not just the brewery businesses. Today, we have an innovative solution for almost every other task that needs to be handled in a business.
Brewery technology such as the one developed by Ollie is important in determining the success of a brewery business. It allows these businesses to manage customers, inventory, orders, and payments, among others.
The software application streamlines all processes, from raw material tracking, to production, supplies, and payments. Using technology effectively can make or break a brewery business, something that makes the difference between successful and unsuccessful ones.
Making the Right Hires
For you to run a brewery business successfully, you need to make sure that you have made the right hires. This is something that can dictate the success of your business. The first thing you need to look for is to make sure that you are hiring people who understand the craft beer industry.
This is because you need people who can guide your customers and create a positive experience for them. You also need employees who possess a social and friendly personality.
When hiring your employees, look for people who are trustworthy as well. This is because such employees will do everything they can to see your business succeed. The wrong hires will have a negative impact when it comes to the success of your brewery business.
Solid Business Plan
When starting any business, not just a brewery business, there are different things you need to look at to ensure the commercial and financial success of the business. You need to think about things like how to market the business, how to beat the competition, and how you are going to make the brewery business viable.
You also need to put the size of your brewery business into consideration. This is because its size will affect things such as brewery equipment, raw materials, distribution logistics, the kind of craft beers to produce, and your utility bills.
This is where your brewery business plan comes in. Before starting your brewery business, you need to create a solid business plan, putting all these things into consideration. Without this, you are not going to survive for long.
Understanding Brewery Business Regulations
Before you even start your brewery business, you need to ensure that you have understood all the regulations that govern the operations of brewery businesses. There might be different rules, depending on where you operate.
For instance, a big number of brewery entrepreneurs do not understand wastewater regulations before starting their brewery businesses. Breweries use about seven gallons of water for every gallon of beer produced. More than half of this water goes down the drain as wastewater.
Different regions have different regulations governing the operations of brewery businesses. If you look at the most successful brewery businesses, you will find that they understand and abide by all set regulations.
Funding or Money
The truth is that if you do not have funding or enough money to take care of your brewery business, then you will not be successful in the brewery industry. Lack of enough funding will end your brewery processes and hinder you from establishing a reputable beer brand.
Money is key in the brewery business. When preparing your business plan, you need to factor out everything that will need money. You also need to remember that it might take some time before you start making profits.
This means that you will find yourself in situations where you have to use your own money to fund some of your operations. If you are not able to, or if you do not have the money, then chances are that your brewery business will fail.
Running a brewery business successfully depends on different factors. However, the ones discussed above distinguish successful breweries from unsuccessful ones.
