New businesses are being launched by entrepreneurs every single year, and it seems that increasingly more individuals choose to enter the winemaking world in spite of their lack of experience. Running a wine business is a really challenging job. Purchasing the land, planting the vines, harvesting the grapes, and bottling the wine, are time consuming activities. Apart from the fact that you need a lot of money to get started, the unpredictability of Mother Nature and the years that must pass before the wine ages, might discourage you. Even if you decide to purchase the grapes from another source, you may have to deal with marketing costs and a really tough competition.
Someone who is interested in running a flourishing wine business must own several essential “qualities”: very deep pockets, thick skin, a firm belief in the final outcome, and a long-range vision. Above everything else, you are compelled to put your heart and soul into the business.
Successful investors to esteem
Cathy Corison, 54, runs a small establishment known as Corison Winery. Being situated in California’s Napa Valley, the business has 5 employees and is an important market manufacturer of artisan Cabernet Sauvignon. The wine produced by Corison is pretty well-known and was sold in numerous countries already. Cathy says that small wineries are capital-intensive companies, which means that there’s nothing rational about them. She also mentioned that she can list a fine cabernet for three years prior to selling it. Besides, she explains that the economy and the international currency exchange can also influence the success of a winery.
Guidelines for starting entrepreneurs
Increasingly more young entrepreneurs are struggling to conquer the wine market. The authorities introduced new regulations that legalize online wine sales, and this has encouraged a lot of individuals to open their own wine businesses. Wine connoisseurs explain that a wine will succeed only if the maker offers the masses reasonable prices and drinkable wines. Of course, the quality of the wine is also very important, and consumers will always appreciate fine wine. If you decide to launch your own wine company, you should definitely take a look at the following startup tips:
Build long-lasting relationships: specialists explain that it’s extremely important for entrepreneurs to meet with the owners of the wineries, as well as with the winemakers. It might take you a while to do that, but it’s the only way to build a strong partnership for your business. Besides, it’s also an excellent opportunity to gain access to exclusive wines.
Be different: considering that there are numerous wine stores that sell excellent wines, you have to find a way to differentiate yourself from the crowd. Wine drinkers appreciate unique products and services, so make sure your offer is genuine and exclusive. Find a way to make an impression and have a closer look at the successful story of Tom Gearing and his Cult Wines.
Pay attention to the laws: despite the fact that several new laws permit online wine sales, try not to get carried away. Hire a qualified attorney who knows all these laws and perform a thorough research to check to see if there are regulations that may affect your business.
Know your wines: Running a successful wine company demands a solid wine knowledge. Hence, you should familiarize yourself with your wines if you want to be a key player in this competitive marketplace.
Jennifer McCloud, the founder of the Middleburg-based company known as Chrysalis Vineyards, employs about 40 persons every year and uses 71-plus acres to manufacture 15 types of wines, utilizing grapes such as the French Viognier and the home-grown American Norton. Although she faced difficulties, she managed to transform her venture into a successful business. Jennifer is currently trying to help the environment by practicing “new” agriculture in a spot that was once a powerhouse of commodity production (dairy, wheat and corn).
The wine industry has experienced a considerable growth over the years, yet we can’t assume that everyone will make profit if they invest. Most entrepreneurs assume that the wine business is simple; you buy a vineyard, make the wine, sell the wine, and relax on your porch while millions of dollars get into your bank account. No, that’s not the way it works. Investing in wine is tough, expensive, and competitive; the business is unlike anything you’ve ever seen, so if you truly know what you’re getting yourself into, then go ahead and start a business. With hard work and dedication, even the youngest entrepreneurs can succeed.