The Biggest day in this Process – Lease Signing Day

It looks like the day might finally be upon us.  This is the day that seems like it should be the first step in the process, but realistically is more like the 500,000th of 1,000,000 steps in starting a brewery.  I have thought about this day for years.  It’s like I need to pinch myself to make sure this isn’t a dream.  We have signed subject removal for leasing our space.  After a 12 month courtship, and months of negotiating, feeling elated, feeling depressed, and most importantly uncertainty, we have done it.

I know what you are thinking:  Whats the big deal?  You found a place to brew your beer.  Thousands of other breweries across North America have found a suitable place to brew their beer, what makes your accomplishment any different?  When I think about it that way, it doesn’t seem like that big of a deal.  But when you consider that we live in Vancouver, where land and warehouses are at a premium, it feels like a huge accomplishment.

I would say the key learnings from this process would be as follows:

  1. Don’t even consider buying a space, unless you are rich.  And that begs the question, if you are rich, why are you starting a brewery?
  2. Dilemna:  You can only have a one of the following:  A good landlord, a good location, a good space.  Which will you choose?
  3. Get ready for a personal guarantee.  Unless you have a brewery already, and if so why the heck are you reading this blog, get ready to lay whatever personal wealth you have on the line with your landlord.
  4. Expect to spend a lot of money fixing this space up.  Our bill is going to be huge, because we have a larger space, but even for small spaces, expect to spend $300,000 minimum.
  5. Use a good commercial realtor, who works exclusively in an area.  Don’t use a friend or family member who doesn’t know a lot about what they are doing.  We used Matt Smith from Colliers, and were very happy with our choice
  6. If you are ordering new equipment, don’t order any until you get your space secured.  I’ve heard too many horror stories to go down that road.
  7. Expect the unexpected.  There will be a fundamental problem with your space that you didn’t anticipate, so budget some contingency for your build out.
  8. Engage with architects, engineers and other professionals from the get-go.  They will help you understand what is needed and what is to come.
  9. Don’t lock yourself into a size of brewery, type of brewery or anything else until you find your space.  We totally changed our strategy based on the space we found.  Committing to a space is important to do before you commit to a type of brewery you are creating.
  10. Last and most importantly, PRAY.  Thats right, because when you find a space that seems really good, I can guarantee that there will be someone else who also finds the space really good, brewery or otherwise.  There is a lack of good space, and expect landlords hold all the power to pick who they work with.

So now, the process of starting a brewery truly begins.  It is hard to believe that from the time I started to write a business plan to this point in my life has been 5 years.  So patience, if not a inherent characteristic you have, will definitely be something that you develop.  If you don’t, I would say that your journey into the world of starting a brewery might be a short one.

Today will be my last shave, and I can start officially telling people that we have a space to brew our beer.  Many thanks to all those people who helped encourage and support us in getting to this point.  Without all that you have given to this process, I am afraid I wouldn’t have been able to do it.

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