Friday 29 May 2020

Leasing A Pub - at tale for all microbrewers



Looking at setting up a microbrewery?

If you look at the fall out in the brewing industry the latest brewing news shows how important pubs are to the survival of microbreweries.  You only have to scan the latest brewing news headlines to discover that Marstons has had to join forces with Carlsberg and cede control of their brewing interests to effectively save their pubs.  The impact of the brewing merger which will create a £780 million pound brewing heavy weight which may not be good for brewing jobs but good for the new microbrewery business that will access to Marstons estate of pubs and restaurants.  For time in memorial brewers have been inextricably linked to pubs and visa virsa.  This deal recognises the commercial realities that all microbreweries need a route to market for their beers.

Should brewers be looking at leasing pub?

Every microbrewery needs a pub/micropub and at the very least a tap room.  The financial attraction of having a way of directly selling your beer direct to the consumer rather than through the trade is a must for any microbrewery looking to set up.  The commercial logic is clear that the brewery can make double margins on their beer as both the producer and then the pub retailer.  If you are looking at setting up a microbrewery then I would consider leasing a pub at the same time or in association with another party.