Things I Wish I 39;d Known Before We Got Married Ebook
Stephaine Zitzow
When we began the brewery addition to our steakhouse in 1997, we never imagined that our 15 bbl brew house with four 15 bbl fermentors and four 15 bbl brite tanks could possibly ever max out. I wish I had known more about the culture surrounding the Craft Beer industry and how much Craft Beer was about to explode. I also wish I had more insight into the physical plant size needed to manage growth opportunities. This perhaps would have helped dictate the size of our brewery from the beginning and aided in the timing and scope of the expansion we completed two years ago.
We underestimated the capacity of the brewing system we would need and also underestimated the amount of cooling space and space in general for the brewing area. So, I guess you can say that we wish we had planned and built a larger brewing capacity and more cold storage.
I guess the main thing that I wish I knew getting into the brewing industry would have been the demand. When we started over a year ago, we were operating a very small 1/2 bbl system and actually ran out of beer after just a month. Since then we have upgraded to a bigger system to meet the demand, which is still tough due to the growing popularity in craft beer. So it would have been nice to know in advance that we would be selling as much beer as we do. Not a bad problem, but problematic.
Before we got started we did a lot of research on what to anticipate from seasoned veterans in the industry. All of them said that we should plan for everything to take twice as long and cost three times as much. We approached our plan with this in mind and they were certainly right. We planned for it to take twice as long and cost three times as much and it still took twice as long as that. We ended up completing our buildout and our small expansion just in the nick of time and we consider ourselves very lucky to be where we are.
Overall, I have been fairly lucky because I did a lot research and worked with a brewery consultant before opening, which helped prepare me for a lot. The things that I wish I knew about ahead are construction costs and time commitments. They are always a lot more than what you expect. Take your worst case estimate of them and double it then you might be close.
I wish that I would have known the complexity of the 3 tier distribution system better prior to deciding what beers to launch, along with a better understanding of the chain network. We purchased an existing brewery so we would have liked to have known the amount of additional money it was going to take to get the equipment into top shape. Like any business it is the unknowns that are most difficult in the beginning and that is why sufficient working capital is essential.
Our desire in opening a brewpub was to provide a warm and friendly community pub environment that brewed exceptional beer. Having no prior brewery experience we had no idea the set up would be so complicated or that the financial commitment so big!
I wish I had known more about the particular property that I was going to install the pub and brewery in. A better and more careful inspection would have given me a better idea of the cost of the build-out.
I also wish that I would have known exactly how consumers would react to being the new kid in town on the beer scene. The beer geeks were nice and rolled through at the beginning. The interesting thing was there was a big demand for the menu which we did not know would take off like it did. We transformed from a brewery tap room with some good food to a full blown restaurant. Not complaining but my business plan was blown out of the water within 12 months.
Even with two other operating breweries in my city prior to my opening, many of the city inspectors, officials, etc. had no idea or understanding of what a brewery was or how it operated and that created some resistance and hurdles requiring explanation on my part to teach our inspectors how we operate. Some people assumed the worst or had preconceived notions.
I would say that before opening the brewery, it would have been beneficial to have a better understanding of the lengthy drawn out process of permitting for construction and a more accurate understanding on the timeline for build out would have been useful. These were two items that having further clarity on would have helped ease the process a bit.
I wish I would have known how to properly interview employees and know how many employees I would need to keep our facility in operation. I am getting really good at it now but after tons of turnover we have a great staff. We are a mostly seasonal town in Custer and I have to hire many people every single year and its really quite hard to do.
Honestly, I had so many years of experience behind me I really knew exactly what I was getting myself into. I think the biggest thing I wish I knew, was how well my back was going to hold up-which is not great. Soon after we opened the pub I went through a series of back surgeries which forced me to focus my energies else where in the business, and less on the physical part, which is the brewing part. So I had to sort of re-invent my roll at the pub. At the end of the day, it all worked out for the best. Also, because we came from out of state I guess I would have to say, I wish we had known more of a network base out here. We had a little, but it took awhile to establish ourselves with all our contractors, purveyors, and employees.
I wish I paid mote attention when I was in High School! I was more concerned with how cute my lab partner was. Also opening a Brew Pub at the same time made me wish I knew more about the workings of a busy restaurant. I thought I was opening a Brew Pub, when I was really opening a Restaurant that sold beer that was brewed there.
Brewing as a manufacturing process is relatively easy. Then comes bottling. You now have multiple machines with multiple moving parts, some pretty tech-heavy computers (depending on how quickly you are trying to bottle and how low you want your oxygen levels), heavy demands on air, CO2, and electricity, and a good chance that things are going to break or wear out. To consistently run a bottling line takes skill, and unless a person has this experience, there will be a learning curve involved. It took us longer to get our bottling line running than I anticipated. We have learned a lot since that first run. I believe we now are very capable of making sure that our bottling line continues to run and puts out very high quality product. If I could have picked up some of these skills before though, it may have been a much easier journey to get to this point.
A better understanding of our market would have been nice. We underestimated the amount of kegs off the bat, and had to come up with a lot more money quickly to keep up with demand. Other than that, I feel like working in a brewery prepared me for what to expect when it comes to the amount of time and manual labor that is involved.
One of my favorite quotes (I have quite a few favorites, one for every occasion!): Fools rush in where angels fear to tread. I came into the brewery business by the back door: I was looking for work and not having much success, so I volunteered to help the brewer at a microbrewery down the street. A few months later, the owner sold the building, land, & business (this was the height of the real estate boom). The new owners did not want the equipment, being a synagog and all. So I bought the equipment from them and then spent a year looking for a location. Then started making some beer, dumping some beer. Eventually figured out what was wrong (can you say sanitation?). Now we make super-clean beer that we bottle condition with honey and has a 2-year shelf life! So here I am five years later, hoping to pay myself something this year.
When the excitement becomes a desire which turns into passion; brewing a craft beer for the first time is pure nirvana. Hold your glass up and look into it. If you see the future then you will understand the opportunity you just created. No one told me this, I experienced it myself. I have had so many people express their thoughts along the way.
We wish we would have known: How many houses would build up around our original Brewery. We should have bought the whole block!!! That prohibition was coming!! That IPAs would become SO POPULAR! About Hard Cider! How many craft breweries would eventually exist. How devastating the upcoming wars would be. How well our brewery would stand the test of time. That Point Special would be our #1 seller for 157 years.
However, as each negative emotion was overcome and for each victory, there was elation. Along with that elation came confidence and a new type of pride that only comes from conquering something that you were truly fearful of. Overcoming problems that could very well had sunk you gives you the type of confidence a tight rope walker has after reaching the other side without a net. The type of confidence that only comes from confronting a real danger or threat and prevailing.
Through that experience, I learned that a shared vision is crucial. What it came down to was that we were trying to do different things. I am trying to focus my vision, and I am trying to be better at expressing my vision clearly.
That is one of the main reasons I have started blogging about beer and the beer industry. Some of the posts are solely about casting my vision. One post in particular is about picking partners.
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For one business this ended in a simple crash-and-burn due to rising labor costs exceeding returns, the other a lawsuit against the company and its employees. For me, the latter was a nightmare worst-case scenario.
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Hey there!
I own a seasonal very successful restaurant in Maine and do pretty well. I am also a beer lover and looking into options how to brew my own beer and sell it at the restaurant. I am less interested in selling elsewhere. Any advice out there how to get started?