I can't believe other costs work out at 20p a pint...and I don't mean I don't believe you're right, I'm just shocked it's that low. :shock: :thumb:
New brewery. Thoughts and ideas.....
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Dave Porter has total costs per pint as 33p, and that includes duty. So actually, his calculations for other costs come out at only 13p per pint.
That 33p sounds peanuts, but adds up to nearly ã24 for a cask. Which if you're selling to pubs for ã60 is quite a lot. Take off the costs from your ã60 cask and you're left with ã36, or 50p a pint profit.
That 33p sounds peanuts, but adds up to nearly ã24 for a cask. Which if you're selling to pubs for ã60 is quite a lot. Take off the costs from your ã60 cask and you're left with ã36, or 50p a pint profit.
simon12
Landlord.
13p is on the low side and only allows for cheap hops. I just sold a 1 barrel brewery and calculated 14.3p per pint using 1Kg total between target and bramling cross for 4 casks and 40Kg grain with pale and crystal, I allowed ã5 for electricity, water treatment, finings, cleaners and chems again for 4 casks. You could get this down slightly if you can order grain by the tonne. I think you are on to a good idea a 2.5BBL brewery in a pub is enough to test the market and if it doesn't work out its still worth having for the pub to just do 1 brew a week for themselves. Don't underestimate the number of casks you need or the space you need for them.
As for the can you do it with only 2 days a week, 2 full days yes but you need to check the gravity, mix finings or change temp on a FV a few more days so you either need to do that on the way home or get someone in the pub to do it. I suggest you do a deal with the pub to pay rent and bills in the form of X no of free casks a month just to keep it simple.
The main problem I had was the no. of pubs that are free of tie around me was tiny and all of them had calls from so many breweries all the time and niether myself or business partner were great on the sales side. Also had so few customers that would take more than 1 Cask at a time so had to drive miles to clear 8 casks a week.
If you want any help/suggestions I am happy to give you my phone no if you PM me.
As for the can you do it with only 2 days a week, 2 full days yes but you need to check the gravity, mix finings or change temp on a FV a few more days so you either need to do that on the way home or get someone in the pub to do it. I suggest you do a deal with the pub to pay rent and bills in the form of X no of free casks a month just to keep it simple.
The main problem I had was the no. of pubs that are free of tie around me was tiny and all of them had calls from so many breweries all the time and niether myself or business partner were great on the sales side. Also had so few customers that would take more than 1 Cask at a time so had to drive miles to clear 8 casks a week.
If you want any help/suggestions I am happy to give you my phone no if you PM me.
Cheers Simon. Great advice. And I may well take you up on that phone call. Got a massive deadline at work so I might leave it a couple of weeks until things calm down a tad.
I agree that 13p is a bit on the tight side, which is why I've allowed 20p in my calculations.
The pub itself isn't an issue. They are happy to pay usual price for the beer and benefit from any raise in general revenue. It's the brewery I've got to pay.
I agree that 13p is a bit on the tight side, which is why I've allowed 20p in my calculations.
The pub itself isn't an issue. They are happy to pay usual price for the beer and benefit from any raise in general revenue. It's the brewery I've got to pay.
MyQul
Chairman of the Bored
Interesting to see the breakdown of the cost of a pint. I wonder where the other �20p- ã1.20 goes for a London pint though
Take a stab at the costs of running a central London pub.
The rent alone would be eye watering. Then you've got higher staff wages, probably security on the door on busy nights. Bigger insurance premiums. You and all your suppliers have to pay the congestion charge. Etc etc etc.
Don't get me wrong, I choke on having to pay ã5.50 a pint as well. But that's the price you pay (literally) for drinking in one of the world's most expensive cities.
The rent alone would be eye watering. Then you've got higher staff wages, probably security on the door on busy nights. Bigger insurance premiums. You and all your suppliers have to pay the congestion charge. Etc etc etc.
Don't get me wrong, I choke on having to pay ã5.50 a pint as well. But that's the price you pay (literally) for drinking in one of the world's most expensive cities.
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Would ã24 a cask cover setup and running costs?
And the average cask is sold to a pub, or into the SIBA chain for about ã65-ã70 on average. As low as ã55 in some cases.
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Or lower according to some cases. A local pub to me sells cask pints at ã2.90 a pint. I guess someone is taking less of a cut
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Would ã36 a week cover the start up costs?
I guess it depends how you fund it.....
loan repayments of ã156 a month aren't that much but it all depends on how much you borrow, what the repayment schedule is etc.
And I'm guessing I'd be topping that up wit some of my profit as well. If I was able to keep working 3 days a week in london, then at a pinch, most ir even all of my 50p a pint could be used to pay off set up costs. and that would come to nearly ã20,000 p/a. Which should sort out most of the initial costs on a brewery that size.
How long is a piece of string, really?
loan repayments of ã156 a month aren't that much but it all depends on how much you borrow, what the repayment schedule is etc.
And I'm guessing I'd be topping that up wit some of my profit as well. If I was able to keep working 3 days a week in london, then at a pinch, most ir even all of my 50p a pint could be used to pay off set up costs. and that would come to nearly ã20,000 p/a. Which should sort out most of the initial costs on a brewery that size.
How long is a piece of string, really?
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