Hi, will the 5%of revenues to be paid to investors come from the second location or both locations? Is it total revenue or revenue after expenses? Thanks

Hi. The 5% will be from total revenues, existing as well as future operations, and will be before expenses.

Have to be honest revenue shares are not what people are looking for. There is no growth and at 5% a quarter that is five years for payback of inital investment, and stretched out to 10 years for payback and interest/return. Equity gives people something to get excited about a...

Scott, we understand and appreciate the different investment preferences folks have. We considered both approaches and opted for the revenue share, which many WF companies do, in large part because we were very clear that our strategic direction is not massive growth with a liquidity event in a few years, but rather a sustainable, community-based business. Given that, we are more confident in our ability to perform on a revenue share basis than holding out promise of an M&A offer or IPO. ...

I too am disappointed that this is for a loan paid back (slowly) from a revenue share, rather than an equity offer. Are there plans for offering equity in the future?Edit: Thank you for the thoughtful response.

Hi Andrew, Yes, we understand the appeal of equity to many folks. We may in fact go that route in a future phase. Our decision for this round was based on being as intellectually honest as possible about who we are and who we aren’t. Some breweries explicitly start out with a rapid growth strategy intended to fairly quickly become attractive to an acquisition or other liquidity event. That’s not unlike the typical tech sector start up we see all around us in the Bay Area.As you...

Hi guys - congratulations on your business. It sounds exciting and seems to have great potential. My question is also about your loans. It appears you have taken 11 rounds of loans for a total of well over $1M debt. Now you’re asking to borrow more. Is there a priority system ...

Wefunder answer Tim, That’s an excellent question, in fact, the first thing I would have noted in my past as a chief credit officer of a bank. This looks a lot more imposing to a WF investor than it actually is. Here’s the breakdown: First in line for repayment are the two bank loans, originally $200,000 each, to finance the brewing equipment, installations, and other improvements. These are being retired via standard monthly payments and are secured by senior liens on bus...

I’ve read a couple of the concerned comments regarding revenue share vs. equity. I’m new to investing so i just have this question. I absolutely understand that you cannot make any promises, or any guarantees. But if projections go according to plan, even if leaning on the con...

Louie, That's a really fair question in light of some other comments. Let me address it in two ways: First, I think that impression may, in part, have come from the large $ amount of "debt" on our books, with a presumption that Wefunder investors might be in a long line of creditors. I suggest taking a look at my more detailed response explaining this (see answer to Tim Alley's question). In short, the vast majority of the debt is either Founders or Friends and Family, both of which have no c...

Federation Brewing Updates, Team, and Funding Progress | Wefunder, Home of the Community Round

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Federation Brewing

Oakland brewery expanding distribution and opening second taproom

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Federation Brewing

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