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Storage of Contract Distilled Product


meosa

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Hey all,

I am looking at contract distilling a new brand at the distillery of which I currently distill for. This will be my own brand made and manufactured by me, as an employee of an established distillery.

The issue is that the distillery is very tight on storage space. 

So, I am wondering what kind of routes I may be able take in storing finished (or unfinished if more viable) bottles of spirit if said distillery runs out of space and I need to expand storage off-site, or how to maximize storage on-site (better as unfinished?). Would I need a liquor wholesaler license to store finished product off-site, or to even sell it?

The future brand is registered as an LLC at this time, TTB labels are approved.

I browsed around the TTB laws around storage of finished spirits (https://www.ttb.gov/images/pdfs/rulings/57-173.htm) and around the forum as well, but I don't have a very clear identification in my head yet, if anyone could just help clear this up a bit for me, that would be much appreciated.

Location - CO, USA

 

Thanks.

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3 minutes ago, Golden Beaver Distillery said:

Got room for a shipping container on the current DSP?

 

There is already one with barrels, not sure if a second one would fit, but it just might

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3 minutes ago, Golden Beaver Distillery said:

That's the easiest way. 

You will need to check with your Fire Marshall on how much you can store.

You will also need to add the container to your DSP TTB and CO ABC.

 

Okay, thank you. That should have been obvious to me since we currently use one...I will have to measure remaining space and see if that will fly.

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Just now, meosa said:

Okay, thank you. That should have been obvious to me since we currently use one...I will have to measure remaining space and see if that will fly.

The other option is to immediately ship to your wholesaler's warehouse after you bottle and avoid storing onsite completely. 

Good luck.

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Just now, Golden Beaver Distillery said:

The other option is to immediately ship to your wholesaler's warehouse after you bottle and avoid storing onsite completely. 

Good luck.

This is another thing that I was wondering about. You can self-distribute in CO, so I will act as my own wholesaler. So I am also kind of wondering, once taxes are paid... if I rented some sort of storage space or small building off-site..but would I need new licenses for this?

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16 hours ago, meosa said:

This is another thing that I was wondering about. You can self-distribute in CO, so I will act as my own wholesaler. So I am also kind of wondering, once taxes are paid... if I rented some sort of storage space or small building off-site..but would I need new licenses for this?

In your case use LibDib.com

You still need to do the sales leg work but they can do the warehousing without the rent cost and permitting. Also gets you out of doing A/R and chasing $$$ from your on and off premise accounts.

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1 hour ago, Golden Beaver Distillery said:

In your case use LibDib.com

You still need to do the sells leg work but they can do the warehousing without the rent cost and permitting. Also gets you out of doing A/R and chasing $$$ from your on and off premise accounts.

Verrrry interesting. Cool, I will research this more and see if it's a viable option. I've never seen anything quite like this. 

 

Thanks

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Theres a few bonded warehouses through the country that will store either barrels or finished goods for you but they're not the cheapest!

 

Check out Panther up in Minnesota ; ) that's a graveyard for a lot of people

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31 minutes ago, SlickFloss said:

Theres a few bonded warehouses through the country that will store either barrels or finished goods for you but they're not the cheapest!

 

Check out Panther up in Minnesota ; ) that's a graveyard for a lot of people

I met a guy from Panther down in Denver...being my last name is panther I think we decided it is likely that we are related. Anyways, I will be starting very small scale, and in local distribution. Im not sure shipping out off state will be my current solve. Thank you!

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20 hours ago, meosa said:

I met a guy from Panther down in Denver...being my last name is panther I think we decided it is likely that we are related. Anyways, I will be starting very small scale, and in local distribution. Im not sure shipping out off state will be my current solve. Thank you!

Cool. I guess my other question is what's your time frame, volume, and type of product? For instance, I would not want to leave a bottle finished cream liquor in a cargo container outside in Colorado over the summer. Nor would I really want to leave finished bottled liquor with delicate flavors and a moderate sugar content. I wouldn't want to leave a lot of finished product in a non climate controlled container in the Colorado summer. Barrels I would be cool with I guess but finished product of certain types would make me antsy

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52 minutes ago, SlickFloss said:

Cool. I guess my other question is what's your time frame, volume, and type of product? For instance, I would not want to leave a bottle finished cream liquor in a cargo container outside in Colorado over the summer. Nor would I really want to leave finished bottled liquor with delicate flavors and a moderate sugar content. I wouldn't want to leave a lot of finished product in a non climate controlled container in the Colorado summer. Barrels I would be cool with I guess but finished product of certain types would make me antsy

I'm hoping to hit market this summer. The product is gin. Batch sizes will be no larger than about 30 cases a run. I anticipate a pretty quick turnover of inventory. So, hopefully the product won't roast in the heat for more than a couple weeks max, but yes there are some delicate flavors in the gin's nature. I plan to quickly outgrow the temporary storage, but hopefully will have the funds for more options at that point.

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