New bloke here. Hi.

Say Hi and introduce yourself

New bloke here. Hi.

Postby YarraRanges » Fri Sep 15, 2017 1:09 pm

Hi all, I found this forum a while back and really liked the info. There's a lot of bright people here.
I've been distilling for years and now want to go pro. The excise is a killer but that can be solved by invoice financing.
The biggest problem is finding a place that is zoned industrial in a green wedge zone. They don't often become available.
The aim is to start off small and build up. The beauty of modular stills is that they can be reconfigured to suit whatever you're making and can be added to without snookering yourself.
I've seen so many distilleries that are limited to one or two products because of their type of still. Modular is definitely the way. :handgestures-thumbupleft:
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Re: New bloke here. Hi.

Postby Doubleuj » Fri Sep 15, 2017 1:13 pm

Welcome mate, got a pic of your still? I'd love to see a 14 plate bubbler
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Re: New bloke here. Hi.

Postby orcy » Fri Sep 15, 2017 1:14 pm

Welcome. I dont understand how any distilleries make money with the current excise regime.

Got any picks of the 14 plate bubbler? And where are yiu located?
orcy
 
Posts: 359
Joined: Wed Jul 05, 2017 1:02 pm
Location: Seaford, VIC
equipment: Old style T500 style still. honestly, I dont even remember who made it anymore
4 inch soon to be modular pot.

Re: New bloke here. Hi.

Postby woodduck » Fri Sep 15, 2017 2:50 pm

Welcome mate, good luck with your venture :handgestures-thumbupleft:
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Re: New bloke here. Hi.

Postby YarraRanges » Fri Sep 15, 2017 2:59 pm

orcy wrote:Welcome. I dont understand how any distilleries make money with the current excise regime.

Got any picks of the 14 plate bubbler? And where are yiu located?


It's possible but it puts a big hit on cash flow. if you make a 700ml bottle of gin at 40% ethanol that means (if I remember correctly) $23.20 excise payable within 5 days of leaving your bonded area. And that's not 5 "Working" days. A box of 12 bottles incurs excise of $278.40. If your retailing customers pay at 30 days then that's a big hit on capital that you are not getting a return on. That's where invoice financing comes in. Many banks do it and quite a few private people provide the service also. You present the bank with your invoice to the customer and they pay you 80% of the value of the invoice. When the invoice is finally paid by the customer the bank gives you the remainder while skiving of between 7 or 8%.
Many businesses do this when starting off.
When you go into the costs you need to sell directly to bottle shops that you know. If you go the wholesale route you'd be lucky to make more than $1 profit on a bottle. That's why a cellar door is essential. That's where you can really make money. :handgestures-thumbupleft:

I can't show a picky of the bubbler as it is made up from various suppliers' parts. Not allowed here.

I'm situated in the Yarra Ranges in Victoria.
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equipment: 14 plate bubbler

Re: New bloke here. Hi.

Postby orcy » Fri Sep 15, 2017 3:04 pm

No rules about various manufacturers parts. Lots of people buy or make from all over the place. Besides, from personal exprience its almost impossible to buy from the sponsor anymore.

I guess invoice financing only works if you have customers :) I looked at excise since im unemployed and thought a distillery might be an interesting business. I quickly understood why everyone was making gin and vodka as a first step.
orcy
 
Posts: 359
Joined: Wed Jul 05, 2017 1:02 pm
Location: Seaford, VIC
equipment: Old style T500 style still. honestly, I dont even remember who made it anymore
4 inch soon to be modular pot.

Re: New bloke here. Hi.

Postby Doubleuj » Fri Sep 15, 2017 3:09 pm

Pics are fine mate :handgestures-thumbupleft:
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Re: New bloke here. Hi.

Postby Wobblyboot » Fri Sep 15, 2017 3:41 pm

:greetings-waveyellow: a local, welcome fella. So gin and vodka to start of with? Whiskey later maybe or bourbon,would like to see a whiskey distillery within taxi range :happy-partydance:
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Re: New bloke here. Hi.

Postby Wineleader » Fri Sep 15, 2017 6:49 pm

Welcome aboard,

Have you been to Animus Distillery in Kyneton.
They have a shop front in the Main Street.
Their website indicates they only do 50litre runs and they seem to have Australia wide distribution.
Interestingly they do a 100ml bottle - probably the the way to go for the cellar door.
I haven't dropped in yet, hopefully next week.

You may get a few ideas...
Good luck....
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