Winery Business Plan
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We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Wineries.
Below is a template to help you create each section of your Winery business plan.
Executive Summary
Business Overview
Great Grape Winery is a new wine producer and tasting room located in the heart of Walla Walla, Washington’s wine country. The company is founded by Nicholas Perez, an experienced winemaker who has been making wine for nearly two decades, and his wife, Angela, an operations director with a Master’s degree in Business Administration. Together, Nicholas and Angela have the expertise and education needed to start their new company, Great Grape Winery. Nicholas is confident that his ability to effectively manage the winemaking process, combined with Angela’s top-notch management skills, will allow them to run a profitable winery. The couple plans on recruiting a team of highly qualified professionals to help manage the day-to-day complexities of running a winery – winemaking, sales, marketing, quality control, and financial reporting.
Great Grape Winery will offer locally produced, high-quality fine wine for the wine connoisseur and the novice alike. Great Grape will be a one-stop shop for wine enthusiasts to purchase everything they need for hosting their own gathering featuring Great Grape’s fine wines, from bread and cheese selected specifically to accompany certain types of wine to the wine glasses and accessories needed to create an elegant presentation. Great Grape Winery will be the ultimate choice in Walla Walla for its picturesque views and high-quality wines. The winery will offer wine tasting, winery tours, and a chic outdoor seating area to meet up with friends or relax with a glass of wine.
Product Offering
The following are the products that Great Grape Winery will provide:
- Wines:
- Cabernet Sauvignon
- Cabernet Franc
- Malbec
- Merlot
- Syrah
- Foods to Accompany the Wine:
- Cheese
- Bread
- Pastries
- Crackers
- Branded Wine Accessories & Merchandise:
- Wine glasses
- Wine glass charms
- Wine holders
- Wine racks
Customer Focus
Great Grape Winery will target all individuals over the age of 21. The winery will target tourists and Walla Walla locals. Great Grape will also target a range of wine drinkers, from wine connoisseurs to novices. No matter the client, Great Grape Winery will deliver the best communication, service, and high-quality wine.
Management Team
Great Grape Winery will be owned and operated by Nicholas and Angela Perez. Nicholas will be in charge of the winemaking process and oversee all production staff. Angela Perez will be the Operations Director and manage the tasting room, sales staff, and customer relations.
Nicholas Perez is a graduate of the University of California with a Bachelor’s degree in Viticulture. He has been working at a winery in California for nearly two decades as a winemaker. Now, he wants to bring his winemaking expertise to the Walla Walla, Washington wine country.
Angela Perez is a seasoned operations director with over eight years of experience overseeing the operations for a small winery. Angela has a Master’s degree in Business Administration and is known for her keen attention to detail, organization, and efficiency.
Success Factors
Great Grape Winery will be able to achieve success by offering the following competitive advantages:
- Highly qualified team of winemakers, wine tasters, and experts on wine selection and pairing work side by side with friendly and knowledgeable sales and tasting room staff to ensure each customer receives personalized and attentive service and gets all of their questions answered.
- Great Grape sells its wine, food products, and wine accessories in-store and online, giving customers more flexibility in the way they can shop. The company will also have a monthly wine club subscription so customers never have to worry about running out of wine or missing out on new products.
- Great Grape Winery offers competitive pricing. The winery works with local suppliers and uses a cost-effective packaging process that allows the company to save money. This savings is then passed on to the customers.
Download the winery business plan template (including a customizable financial model) to your computer here <–
Financial Highlights
Great Grape Winery is seeking $600,000 in debt financing to launch its winery. The funding will be dedicated towards securing and building out the facility and towards purchasing equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing expenses. The breakout of the funding is below:
- Facility build-out: $300,000
- Equipment, supplies, and materials: $120,000
- Three months of overhead expenses (payroll, rent, utilities): $150,000
- Marketing costs: $20,000
- Working capital: $10,000
The following graph below outlines the pro forma financial projections for Great Grape Winery.
Company Overview
Who is Great Grape Winery?
Great Grape Winery is a newly established winery located in the heart of Walla Walla, Washington’s wine country. Great Grape will be the ultimate choice for its picturesque views and high-quality wines. The winery will offer locally produced, high-quality fine wine for the wine connoisseur and the novice alike. Great Grape will be a one-stop shop for wine enthusiasts. Customers can purchase everything they need to host their own gathering featuring Great Grape’s fine wines, from breads and cheeses that pair perfectly with the Great Grapes wine selection to elegant wine glasses and accessories. The winery will offer wine tasting, winery tours, and a chic outdoor seating area where customers can meet up with friends or relax with a glass of wine.
Great Grape Winery will employ a team of professionals who are highly qualified and experienced in winemaking, selection, and pairing. Great Grape Winery ensures that every customer that walks through the door receives exceptional customer service.
Great Grape Winery History
Great Grape is owned and operated by Nicholas and Angela Perez. Nicholas is an experienced winemaker who has a Viticulture degree from the University of California. Now, he wants to bring his winemaking expertise to Walla Walla’s wine country. Angela is a seasoned operations director with over eight years of experience overseeing the operations for a small winery. Together, they have begun to set up the business. Initial steps such as registering the business and securing all necessary permits and licenses have been completed.
Since incorporation, Great Grape Winery has achieved the following milestones:
- Registered Great Grape Winery, LLC to transact business in the state of Washington.
- Secured all required licenses and permits to open a winery in Walla Walla, Washington.
- Has a contract in place at the facility that will become the winery and tasting room.
- Reached out to numerous local vineyards to advise them on the upcoming winery in order to start getting supplier contracts.
- Began recruiting a staff of accountants, marketing and sales associates, winemakers, and tasting room personnel to work at Great Grape Winery.
Great Grape Winery Services
The following are the products that Great Grape Winery will provide:
- Wine Tasting Services & Events
- Wines:
- Cabernet Sauvignon
- Cabernet Franc
- Malbec
- Merlot
- Syrah
- Foods to Accompany the Wine:
- Cheese
- Bread
- Pastries
- Crackers
- Branded Wine Accessories & Merchandise:
- Wine glasses
- Wine glass charms
- Wine holders
- Wine racks
Industry Analysis
The global wine market was estimated to be $417.85B in 2020 and is forecasted to increase at a compound annual growth rate (CAGR) of 6.4% between 2021 and 2028. The segment of wine that had the largest share of the market in 2020 was table wine, with 84% market share. This type of wine is quite popular due to being relatively inexpensive and easily accessible. While less popular than table wine, sparkling wine is expected to gain market share between 2021 and 2028 as more people around the world, and particularly in the U.S., favor spritz beverages.
In the United States, the millennial age group drinks the most wine. Approximately 24% of wine consumers in the country belong to this demographic. Moreover, 28% of younger millennials drink wine on a daily basis. Trends in the wine market that appeal to millennials include small batch wines, natural wines, sparkling wines, lower-alcohol wines, and sustainable or biodynamic wines. Industry operators can maintain a competitive advantage by offering unique flavors, affordable and accessible products, and catering to the millennial demographic.
Download the winery business plan template (including a customizable financial model) to your computer here <–
Customer Analysis
Demographic Profile of Target Market
Great Grape Winery will target all individuals over the age of 21. The winery will target tourists and Walla Walla locals. Great Grape will also target a range of wine drinkers, from wine connoisseurs to novices. No matter the client, Great Grape Winery will deliver the best communication, service, and high-quality wine.
The precise demographics for Walla Walla, Washington are:
| Total | Percent | |
|---|---|---|
| Total population | 117,270 | 100% |
| Male | 57,542 | 49.1% |
| Female | 59,728 | 50.9% |
| Under 5 years | 5,911 | 5.0% |
| 5 to 9 years | 8,077 | 6.9% |
| 10 to 14 years | 9,214 | 7.9% |
| 15 to 19 years | 8,730 | 7.4% |
| 20 to 24 years | 6,279 | 5.4% |
| 25 to 34 years | 13,937 | 11.9% |
| 35 to 44 years | 13,654 | 11.6% |
| 45 to 54 years | 17,983 | 15.3% |
| 55 to 59 years | 8,546 | 7.3% |
| 60 to 64 years | 6,636 | 5.7% |
| 65 to 74 years | 12,236 | 10.4% |
| 75 to 84 years | 4,463 | 3.8% |
| 85 years and over | 1,604 | 1.4% |
Customer Segmentation
Great Grape will primarily target the following customer profiles:
- Millennial age group
- Gen Z who are over the age of 21
- Boomer age group
- Wine connoisseurs
- Walla Walla locals
- Walla Walla tourists
- Wine novices
Competitive Analysis
Direct and Indirect Competitors
Great Grape Winery will face competition from other companies with similar business profiles. A description of each competitor company is below.
Valley Winery
Valley Winery makes fine wines from locally sourced grapes. Located in Walla Walla, Valley Winery is able to save on shipping costs by using local suppliers. The winery’s list of services includes wine tasting, winery tours, and private event hosting. Valley Winery makes a range of wines including white, reds, and dessert wines.
Valley Winery promises to deliver the highest quality products at reasonable prices. The winery follows a strict quality control process and only uses the best grapes for its wines. Valley Winery’s team of experienced winemaking professionals assures the wine is made with the best of care. Customers are guaranteed to love the company’s fine wines and if they don’t like a particular wine, the company will offer another type of wine at no additional cost or provide a refund.
Hilly Valley Winery
Hilly Valley Winery in Walla Walla, Washington provides outstanding wines for the pickiest wine connoisseurs. Hilly Valley Winery offers classic wines including Cabernet Sauvignon, Pinot Noir, and Syrah. The owners of Hilly Valley Winery come from a family of winemaking professionals so they understand how fine wine should be produced. The winery also boasts a small cafe where customers can relax with some wine and cheese. On weekends, the winery hosts wine tasting events and tours of the production facility.
Winning Wine
Winning Wine is a trusted Walla Walla winery that provides superior wines, breads, and cheeses for wine enthusiasts in the area. Winning Wine uses organic grapes processed through sustainable methods to ensure a green operation. The winery hosts special events, tours, and winemaking classes. Customers can purchase wine accessories in addition to fine wine while in the tasting room. Winning Wine’s fine wines sell for premium prices due to the company’s use of hand-picked grapes and sustainable production methods.
Download the winery business plan template (including a customizable financial model) to your computer here <–
Competitive Advantage
Great Grape Winery will be able to offer the following advantages over their competition:
- Highly qualified team of winemakers, wine tasters, and experts on wine selection and pairing work side by side with friendly and knowledgeable sales and tasting room staff to ensure each customer receives personalized and attentive service and gets all of their questions answered.
- Great Grape sells its wine, food products, and wine accessories in-store and online, giving customers more flexibility in the way they can shop. The company will also have a monthly wine club subscription so customers never have to worry about running out of wine or missing out on new products.
- Great Grape Winery works with local suppliers and uses a cost-effective packaging process that allows the company to save money.
Marketing Plan
Brand & Value Proposition
Great Grape Winery will offer the unique value proposition to its customers:
- Friendly and knowledgeable employees ensure each customer receives personalized and attentive service and gets all of their questions answered.
- Great Grape Winery offers competitive pricing. The winery works with local suppliers and uses a cost-effective packaging process that allows the company to save money. This savings is then passed on to the customers.
Promotions Strategy
The promotions strategy for Great Grape Winery is as follows:
Word of Mouth/Referrals
Nicholas Perez has built a reputation over the years for producing exceptional wine. Many former customers have expressed great enthusiasm for the new winery and have expressed excitement over trying out the wine selection. Great Grape Winery will give customers discounts for referring their friends and families and spreading the word about the new establishment.
Professional Associations and Networking
Great Grape Winery will become a member of professional associations such as the American Society for Enology and Viticulture, the American Wine Society, and the Washington State Wine Commission. Nicholas and Angela will focus their networking efforts on expanding their customer and supplier networks.
Print Advertising
Great Grape Winery will invest in professionally designed print ads to display in programs or flyers at industry networking events, in Walla Walla tourism magazines, in wine trade publications, and in direct-mailers.
Website/SEO Marketing
Great Grape Winery will create and maintain an attractive, well-designed website. The website will be well organized, informative, and list all of the wines and other products currently available at Great Grape. The website will also include a regularly updated blog with interesting and educational articles about wine.
The company’s marketing director will manage Great Grape’s website presence with SEO marketing tactics so that when someone searches for “Walla Walla winery” or “winery near me”, Great Grape Winery will be listed at the top of the search results.
Social Media Marketing
The company will maintain an active presence on various social media platforms including LinkedIn, Twitter, Instagram, Facebook, TikTok, and YouTube. The marketing director will post new content to these accounts multiple times throughout the week to keep the brand fresh in followers’ minds.
Email Marketing
Great Grape Winery will send email newsletters and promotional offers to customers who subscribe. The newsletter will provide informative content and the promotional offers will help drive traffic to the winery and the online shop.
Pricing
The pricing of Great Grape Winery will be competitive so customers feel they receive value when purchasing wine from the company.
Operations Plan
The following will be the operations plan for Great Grape Winery.
Operation Functions:
- Nicholas Perez will be the Co-owner and Lead Winemaker. He will oversee the winemaking process and winemaking personnel.
- Angela Perez – Co-owner and Operations Manager who will manage the day-to-day operations of the winery, tasting room, sales staff, and customer relations.
- Justin Lee – Bookkeeper/Accountant who will provide all budgeting, accounting, tax payments, and monthly financial reporting for the company.
- Brenda Moore – Marketing Director who will implement the marketing plan for Great Grape.
- Larry White – Inspection and Maintenance Director who will provide all maintenance on the equipment and internal quality control inspections for the winery.
Download the winery business plan template (including a customizable financial model) to your computer here <–
Milestones:
Great Grape Winery will have the following milestones completed in the next six months.
10/1/2022 – Finalize contract to lease the facility.
10/15/2022 – Finalize personnel employment contracts for the Great Grape Winery team.
11/1/2022 – Finalize contracts with grape suppliers and begin the winemaking process.
1/15/2023 – Begin networking at industry events and implement the marketing campaign.
2/1/2023 – Great Grape Winery opens for business.
Management Team
Great Grape Winery will be owned and operated by Nicholas and Angela Perez. Nicholas will be in charge of the winemaking process and oversee all production staff. Angela Perez will be the Operations Director and manage the tasting room, sales staff, and customer relations.
Nicholas Perez is a graduate of the University of California with a Bachelor’s degree in Viticulture. He has been working at a winery in California for nearly two decades as a winemaker. Now, he wants to bring his winemaking expertise to the Walla Walla, Washington wine country.
Angela Perez is a seasoned operations director with over eight years of experience overseeing the operations for a small winery. Angela has a Master’s degree in Business Administration and is known for her keen attention to detail, organization, and efficiency.
Financial Plan
Key Revenue & Costs
The revenue drivers for Great Grape Winery are the winery fees charged to customers in exchange for wine products. The company’s price range for its fine wines is $15-$50 per bottle.
The cost drivers will be the overhead costs required in order to staff a winery and the grapes that will be made into wine. The expenses will be the payroll cost, rent, utilities, winemaking supplies, and marketing materials.
Funding Requirements and Use of Funds
Great Grape Winery is seeking $600,000 in debt financing to launch its winery. The funding will be dedicated towards securing and building out the facility and towards purchasing equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing expenses. The breakout of the funding is below:
- Facility build-out: $300,000
- Equipment, supplies, and materials: $120,000
- Three months of overhead expenses (payroll, rent, utilities): $150,000
- Marketing costs: $20,000
- Working capital: $10,000
Download the winery business plan template (including a customizable financial model) to your computer here <–
Key Assumptions
The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.
- Number of cases of wine produced per year: 6,000
- Average fees per month: $60,000
- Facility lease per year: $200,000
Financial Projections
Income Statement
| FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
|---|---|---|---|---|---|---|
| Revenues | ||||||
| Total Revenues | $360,000 | $793,728 | $875,006 | $964,606 | $1,063,382 | |
| Expenses & Costs | ||||||
| Cost of goods sold | $64,800 | $142,871 | $157,501 | $173,629 | $191,409 | |
| Lease | $50,000 | $51,250 | $52,531 | $53,845 | $55,191 | |
| Marketing | $10,000 | $8,000 | $8,000 | $8,000 | $8,000 | |
| Salaries | $157,015 | $214,030 | $235,968 | $247,766 | $260,155 | |
| Initial expenditure | $10,000 | $0 | $0 | $0 | $0 | |
| Total Expenses & Costs | $291,815 | $416,151 | $454,000 | $483,240 | $514,754 | |
| EBITDA | $68,185 | $377,577 | $421,005 | $481,366 | $548,628 | |
| Depreciation | $27,160 | $27,160 | $27,160 | $27,160 | $27,160 | |
| EBIT | $41,025 | $350,417 | $393,845 | $454,206 | $521,468 | |
| Interest | $23,462 | $20,529 | $17,596 | $14,664 | $11,731 | |
| PRETAX INCOME | $17,563 | $329,888 | $376,249 | $439,543 | $509,737 | |
| Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
| Use of Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
| Taxable Income | $17,563 | $329,888 | $376,249 | $439,543 | $509,737 | |
| Income Tax Expense | $6,147 | $115,461 | $131,687 | $153,840 | $178,408 | |
| NET INCOME | $11,416 | $214,427 | $244,562 | $285,703 | $331,329 |
Balance Sheet
| FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
|---|---|---|---|---|---|---|
| ASSETS | ||||||
| Cash | $154,257 | $348,760 | $573,195 | $838,550 | $1,149,286 | |
| Accounts receivable | $0 | $0 | $0 | $0 | $0 | |
| Inventory | $30,000 | $33,072 | $36,459 | $40,192 | $44,308 | |
| Total Current Assets | $184,257 | $381,832 | $609,654 | $878,742 | $1,193,594 | |
| Fixed assets | $180,950 | $180,950 | $180,950 | $180,950 | $180,950 | |
| Depreciation | $27,160 | $54,320 | $81,480 | $108,640 | $135,800 | |
| Net fixed assets | $153,790 | $126,630 | $99,470 | $72,310 | $45,150 | |
| TOTAL ASSETS | $338,047 | $508,462 | $709,124 | $951,052 | $1,238,744 | |
| LIABILITIES & EQUITY | ||||||
| Debt | $315,831 | $270,713 | $225,594 | $180,475 | $135,356 | |
| Accounts payable | $10,800 | $11,906 | $13,125 | $14,469 | $15,951 | |
| Total Liability | $326,631 | $282,618 | $238,719 | $194,944 | $151,307 | |
| Share Capital | $0 | $0 | $0 | $0 | $0 | |
| Retained earnings | $11,416 | $225,843 | $470,405 | $756,108 | $1,087,437 | |
| Total Equity | $11,416 | $225,843 | $470,405 | $756,108 | $1,087,437 | |
| TOTAL LIABILITIES & EQUITY | $338,047 | $508,462 | $709,124 | $951,052 | $1,238,744 |
Cash Flow Statement
| FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
|---|---|---|---|---|---|---|
| CASH FLOW FROM OPERATIONS | ||||||
| Net Income (Loss) | $11,416 | $214,427 | $244,562 | $285,703 | $331,329 | |
| Change in working capital | ($19,200) | ($1,966) | ($2,167) | ($2,389) | ($2,634) | |
| Depreciation | $27,160 | $27,160 | $27,160 | $27,160 | $27,160 | |
| Net Cash Flow from Operations | $19,376 | $239,621 | $269,554 | $310,473 | $355,855 | |
| CASH FLOW FROM INVESTMENTS | ||||||
| Investment | ($180,950) | $0 | $0 | $0 | $0 | |
| Net Cash Flow from Investments | ($180,950) | $0 | $0 | $0 | $0 | |
| CASH FLOW FROM FINANCING | ||||||
| Cash from equity | $0 | $0 | $0 | $0 | $0 | |
| Cash from debt | $315,831 | ($45,119) | ($45,119) | ($45,119) | ($45,119) | |
| Net Cash Flow from Financing | $315,831 | ($45,119) | ($45,119) | ($45,119) | ($45,119) | |
| Net Cash Flow | $154,257 | $194,502 | $224,436 | $265,355 | $310,736 | |
| Cash at Beginning of Period | $0 | $154,257 | $348,760 | $573,195 | $838,550 | |
| Cash at End of Period | $154,257 | $348,760 | $573,195 | $838,550 | $1,149,286 |
Winery Business Plan FAQs
What Is a Winery Business Plan?
A winery business plan is a plan to start and/or grow your winery business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.
You can easily complete your winery business plan using our Winery Business Plan Template here.
What are the Main Types of Winery Businesses?
There are a number of different kinds of winery business, some examples include: Estate Winery, Farmstead Winery, and Custom Crush Winery.
How Do You Get Funding for Your Winery Business Plan?
Winery businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.
What are the Steps To Start a Winery Business?
Starting a winery business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.
1. Develop A Winery Business Plan - The first step in starting a business is to create a detailed vineyard business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.
2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your winery business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your winery business is in compliance with local laws.
3. Register Your Winery Business - Once you have chosen a legal structure, the next step is to register your winery business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.
4. Identify Financing Options - It’s likely that you’ll need some capital to start your winery business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.
5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.
6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.
7. Acquire Necessary Winery Equipment & Supplies - In order to start your winery business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.
8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your winery business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.
Learn more about how to start a successful winery business and starting a winery business plan:
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