Alvin322

Hi, My long time friend is selling his distillery. It is not a big enterprise but, it has good sales in the local market. I have been thinking about setting up a home distillery for a long time. Now, it is tempting to buy his business. I know how the industry works. I have helped him several times in the business. But, I don't have enough savings to buy it. I was thinking about mortgaging. The takeover would cost me 450K. I consulted with a mortgage broker, Canada Mortgage Direct and discussed various lenders and rates. I will be able to pay 20% down payment and get a loan for a period of 20 years at 3% rate with a monthly payment of 1.3k. I can thereby avoid the mortgage insurance too. But, I am a little worried over the duration of the loan. 20 years seems too long. But that is all I can do. I hope I will be able to retain the customers and reach out to more markets. I have never run a business before. Do you think it would be a good idea to buy the distillery on loan? I think I have given enough information about the process. I need advice.

Hi everyone, I'm from Alberta, Canada. I aspire to start a distillery. I hope this forum can help me. Thanks.