I plan to open a distillery in a three-tier state and therefore must contract with a distribution company. This is something with which I am not familiar in the slightest so I'm hoping that the collective experience of the people on this board can help as I work on my plan. Here are some of the questions that I have:
1. Locating a distributor: I have only been able to find three distributors operating in my state. Is there a central list anywhere?
2. Large vs. small distributors - Advantages/Disadvantages of each? My initial market will be the city in which I am located.
3. Requirements of the distributor: I know that I'm going to be in charge of my own marketing and producing the product. What can you reasonably expect the distributor to bring to the table?
4. Requirements of the distiller: Is there anything in addition to the above, I will be expected to provide to the distributor?
5. Initial product requirements: Is there an initial volume of product they usually ask for in their warehouse? Minimum annual production?
6. What if they say, "No"? - Getting a bit paranoid that all three could pass on my product. Then where does that leave me? Is there a Plan B out there?
7. Typical contract terms - Who determines the percentages of MSRP earned my the producer, the distributor, and the retailer? Are there any benchmarks anyone can share?
8. When do you get a distributor? - During planning? After permitting? First bottling? I would think earlier is better, but don't know what the standard is.
Any other nuggets of wisdom on the topic would be greatly appreciated. I'm sure there are things I haven't even thought to ask. If there is anywhere on the web I've overlooked with good information on the topic please pass them along.
Thanks in advance!