Distributors

[paclawyer]

What questions should a start up distillery be asking potential distributors?

[primotrader11]

If you are going with a big distributor (like Southern Wine), they will want $30,000 up front for small brands. They will handle all aspects of distribution except actually selling the brand. Technically, they should sell it but since you are small, the reps only focus is whatever is on quota. A smaller distributor would be better. You'll get more attention. Questions that I would ask

1) How many reps do you have

2) Sales last year, especially in your category (ie, if you own a cognac, ask their cognac sales for the year)

3) Margin they will take. Southern Wine will want 30% for a small brand. Smaller distributors are more flexible

4) Whether they will buy the product up front or as needed.

5) Capacity to deliver the product.

6) When you will get paid (usually 30 days after order)

7) Who pays for shipping the product from the plant to the distributor warehouse. Southern will pay for shipping but uinclude that in the price of the product at wholesale

[craftersglass]

Do you know where one would go about finding reps? I am looking for new reps for my packaging company with a background/network in the distilling industry

[Natrat]

Crafters, I know a packaging rep that works with brewers and distillers in the Southeast...your products would dovetail nicely with what she currently reps. She is by far the best I have met. PM me if you want to contact her.