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Ask These Questions Before You Buy a Brewery in Charlotte, NC
There’s no doubt that Americans love their beer. In 2020, the industry is expected to generate $118,416 million in revenue in the United States alone. There’s good news for smaller brewery owners, too, as year over year small and independent breweries take over more of the market. If beating the heat with a cold one has you considering getting into the craft beer industry, it may be the right time. As you start your research, make sure you’re looking at the right business opportunity for you with these considerations before you buy a brewery in Charlotte, NC.
Must-Ask Questions to Buy a Brewery in Charlotte, NC
Owning a brewery is more than knowing great beer. As you start your search for a craft brewery for sale, address these most commonly asked buyer questions.
What Type of Brewery Is Right for You?
Brewpub, taproom, tasting room, microbrewery, restaurant-brewery, and more; there are a wide variety of small business opportunities within this sector. Take time to determine which type of brewery is right for your skills and business goals. Different operations require different approaches and business plans.
What’s Included in the Sale?
It’s crucial to understand what you’re buying from an established brewery. Kegs and other brewery equipment are likely a given in the sale. Take a look at the brewing company’s real estate and intellectual property as well. A qualified seller will take the time to ensure their recipes, logos, and processes are protected. Plus, you’ll want to look at any potential regulatory issues and familiarize yourself with brewery permits in North Carolina.
Why is the Current Owner Selling?
As you start to look more closely at brewery businesses, make sure that you ask the current owner why they are exiting. They may merely be nearing retirement or interested in a new business opportunity. However, you should still take a look at their beer sales and business expenses to ensure that they aren’t selling due to financial hardship.
How is the Brewery Differentiated?
As the craft brewing industry grows, so does the need to maintain a competitive edge. When assessing a brewery for sale in Charlotte, NC, compare their current efforts with industry trends. The Brewers Association is a good place to start. Look at marketing efforts, packaging, social media, and event participation. Use these tools to see how well the brewery stands out from its competitors. Offering great beer and customer service goes a long way. But, you should also consider how you, as the new brewery owner, can further improve those efforts.
What’s the Asking Price?
Last, but certainly not least, you’ll need to find out the selling price from the current owner. Find out how they came to that number, as well. If they used a third-party valuation service, then it’s most likely an accurate representation of the value of the business. A professional valuation typically ensures a fair price for both parties as it is based on projections, past financial performance, and the market.
As you start down the path to owning your own brewery in Charlotte, NC, consider reaching out to VR Business Brokers of Charlotte. Our brokers will help you make sense of the business buying process. Get in touch today to schedule a complimentary, confidential consultation to learn more about our advisors and our buying process.
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