Question 1

1.) What's your timeline for starting payments to investors? 2.) Your map shows breaking into west coast & Colorado in 2017, the two highest density craft brew areas in the country, why not trying less challenging states first? 3.) How dependent are you on your brew master...

Accepted Answer

1.) What's your timeline for starting payments to investors? Beginning of year 2. 2.) Your map shows breaking into west coast & Colorado in 2017, the two highest density craft brew areas in the country, why not trying less challenging states first? We can and may do so. However, our initial research shows a strong demand and affinity to the brand in those territories. 3.) How dependent are you on your brew master for your current selection and creation of new styles? We are blessed with a...

Question 2

Did you pay back your original investors?

Accepted Answer

Ricardo, our original investors where given equity in exchange for their investment in the brewery in the form of membership units. So, the answer to your question is no. Thanks for the question!

Question 3

Hi there Martyn. There is a sizable amount of goodwill on your balance sheet, did you acquire something? Also, what is the IP you are valuing? Thanks much - Marc

Accepted Answer

Hi Marc, yes we did. We actually purchased an existing brewery through an asset purchase from the previous owner. The business had been operational for several years before this event and at one time had been quite popular. Assets included, a 40bbl brew house, three 40bbl tanks, CIP system and a bottling line. The IP consisted of both copyright and trademarked items but also recipes, business methodologies and existing sales and distributor relationships. If you would like to discuss specific...

Question 4

From the chart above, it looks as though total sales for 2016 are on a slight downward trend compared to 2015. Is that true, what are the reasons for that, and how do you intend to correct it?

Accepted Answer

Mathew, Yes with the exception of our Evel Ale, sales where off slightly compared to 2015's growth. 2016 has been a busy year and one of transition. We added new people and new equipment, we reengineered our brewing process and we had several key changes to our distribution network. This led to some delays and interruptions in supply. We are also in the process of changing our packaging and format. (16oz. to 12oz.) This is something our distribution and retail partners lobbied diligently for ...

Question 5

Okay, I'm looking at the revenue share information and I want to make sure I'm on the same page. Let's take the early bird bonus, for instance, with the 2x revenue sharing. It states that investors will receive 100% of their principal and an additional 100% on top. Does that m...

Accepted Answer

Hey Marissa, yes, you have a solid understanding of the model. If you invest $500.00 we then use 10% of the profits to pay you back the $500.00 plus an additional $500.00. Simple and straight forward, a return off the original investment and a return on the investment. That's the limit. Great question, thank you!

South Austin Brewery

Texan brewery, makers of Evel Ale, the official Evel Knievel Tribute Beer

$210,680

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South Austin Brewery

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$210,680

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