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[quote:3o9yfa8s]What I'd suggest is a small rented warehouse space (they're real cheap if you look hard enough atm)for the brewery, and deliver the actual finished product to the bonded warehouse?
I don't believe Revenue would allow that. Remember: the brewery requires a licence, and the licence is conditional on Revenue being happy that it is secure and (I'm fairly sure) bonded. No bond = no licence = no brewery = no beer.[/quote:3o9yfa8s]

Bang on. You have to brew under a bond (which is a duty deferred buffer for the brewer). If you are brewing under 20,000 Hectolitres a year, you are entitled to 50% relief on your excise.

A 500ml 5% beer has an excise of about €1.30 per bottle and that excludes VAT or operators margins, which are normally about 30% for a offie, and 65% for a pub.

Brewing, bottling, sales, admin, deliveries all take up a massive amount of time. You would need to ensure that you had a very defined and focused business plan. An idea of what your costs are over a set amount of time, and how much you need to sell to offset these costs. Its achievable, but difficult, from what I have seen.

"session":zq7ybsbt wrote: A 500ml 5% beer has an excise of about €1.30 per bottle and that excludes VAT or operators margins, which are normally about 30% for a offie, and 65% for a pub.

Brewing, bottling, sales, admin, deliveries all take up a massive amount of time. You would need to ensure that you had a very defined and focused business plan. An idea of what your costs are over a set amount of time, and how much you need to sell to offset these costs. Its achievable, but difficult, from what I have seen.[/quote:zq7ybsbt]

How do you work out that €1.30, is that from a brewery perspective? because as i read the brewery leaflet posted by TBN earlier it seemed to work out as much less, am i'm mistaken because my maths are completely crap (always have been), or is there some excise duty i am missing.

yeah that figure is off. It should be about €0.75 for the bottle for excise and vat. sorry about that

"Session":1kn4elc6 wrote: yeah that figure is off. It should be about €0.75 for the bottle for excise and vat. sorry about that[/quote:1kn4elc6]

Phew, my maths are still a little off but nowhere near as bad as i thought, €0.75 is still very steep for any small craft brewer to overcome when put in scale, and as you have said the overheads are where the game can be won and lost, not to discourage anyone but i personally have seen many simpler businesses go to the wall due to miscalculation of fixed and variable overheads.

i think the golden rule here is to calculate re-calculate. once your calculations seem right get professional opinion from your local enterprise board, mine have always been very helpful.

"beeristhereason":1b37d0wg wrote:
How do you work out that €1.30, is that from a brewery perspective? because as i read the brewery leaflet posted by TBN earlier it seemed to work out as much less, am i'm mistaken because my maths are completely crap (always have been), or is there some excise duty i am missing.[/quote:1b37d0wg]

TBN's maths were closer to the mark alright. Of course you pay the full duty, then get your rebate at a later date.
Also, as well as the bond you'll be looking at a deferred payment guarantee, which is essentially a second bond.

"noby":69ruaia8 wrote: TBN's maths were closer to the mark alright[/quote:69ruaia8]I'm getting this framed.