Craft Beer Brewery Startup Costs: $423K + $399K/Mo

Opening this craft beer brewery starts with $423,000 in modeled CAPEX before working capital, owner cushion, debt service reserve, or post-opening losses The largest capital items are the $200,000 brewhouse and fermenter system, $75,000 canning and packaging line, $40,000 taproom buildout, and $30,000 walk-in cooler Separately, the first operating year carries about $14,400 per month in fixed overhead and $25,500 per month in Year 1 payroll These are researched planning assumptions for budgeting and funding, not guaranteed vendor prices

Estimate Startup Costs with Calculator

Startup CAPEX Calculator

Estimates brewery startup CAPEX for capitalized assets only, before working capital and operating cash needs.

Excluded from this estimate This calculator covers capitalized startup assets only. It excludes inventory, payroll runway, owner salary cushion, deposits, debt service, working capital, launch marketing, licensing delays, and ongoing operating expenses unless you add them as separate items.

Calculate Fuding Needs

Startup cost summary

This table summarizes brewery startup assets and the opening cash buffer needed before breakeven.

Highlighted CAPEX$423,000Base planning example

Excluded cash needs$874,000Outside CAPEX total

Funding need$1,297,000CAPEX + excluded cash needs

Cost Category	Base Estimate	Main Cost Driver	CAPEX Calculator
Initial Brewing System (Brewhouse & Fermenters)	$200,000	Brewhouse size and fermenter capacity	Yes
Canning & Packaging Line	$75,000	Line speed and package handling setup	Yes
Taproom Buildout & Furnishings	$40,000	Finish level and guest seating count	Yes
Cold Storage & Walk-in Cooler	$30,000	Storage volume and refrigeration spec	Yes
Delivery Van and Opening Systems	$78,000	Used van, POS, water treatment, and keg fleet	Yes
Minimum Cash Buffer	$874,000	Cash to cover Year 1 losses, payroll, overhead, and launch runway	No

What does the CAPEX screenshot show?

Open the Craft Beer Brewery Financial Model Template: CAPEX tab tracks $423,000 startup costs, Month 1-10, depreciation/amortization; review assumptions.

Model highlights

$613,500 revenue linkage
$306,000 payroll ramp
$172,800 overhead, 35% costs
Working capital and funding

Craft Beer Brewery Financial Model capex inputs allow customizing startup and ongoing capital expenditures, equipment purchases, and installation costs to plan funding needs and investment timing.

Compare 3 Startup Cost Scenarios

Startup cost scenarios

Startup costs swing with tank count, taproom size, packaging, and staffing. The Base case is the only one with source-backed dollar values; Lean and Full are planning bands.

Lean, Base, and Full launch cost comparison
Scenario	Lean LaunchLowest capital	Base LaunchBalanced launch	Full LaunchHigher-capacity launch
Launch model	Start with fewer tanks and a smaller taproom, then add capacity after quotes.	Use the researched capex plan with production, taproom, canning, cold storage, POS, delivery van, water filtration, and keg fleet.	Open with more cellar capacity, a larger taproom, and broader packaging from day one.
Typical setup	Use simpler packaging, delay the van, and hire tighter staffing only after pricing is locked.	Match the sourced $423,000 setup across brewing, packaging, storage, and launch systems.	Add more cold storage and higher opening payroll, but only after quotes confirm the budget.
Cost drivers	Smaller brewhouse fewer fermenters simpler packaging delayed van tighter staffing	Brewhouse and fermenters canning line taproom buildout cold storage delivery van	More cellar capacity larger taproom broader packaging extra cold storage higher payroll
Planning rangeCAPEX only	Below base planCapital light	$423,000Source-backed	Above base planCapacity heavy
Best fit	Best for founders testing demand with limited upfront cash.	Best for operators who want a grounded launch plan with modeled cost support.	Best for teams with stronger funding and a clear push for volume.

Planning note: Scenario ranges are researched planning assumptions, not exact vendor quotes or bids.

How much does brewery equipment cost?

For a Craft Beer Brewery, brewery equipment is a major CAPEX line, not the whole startup budget. The core production set is about $340,000 before POS, delivery van, and taproom buildout, and the listed items total $348,000 if POS is included. Brewhouse size, tank mix, batch turns, packaging, refrigeration, glycol, controls, installation, and planned beer volume all move the price.

Core equipment spend

$200,000 brewhouse and fermenters
$75,000 canning and packaging
$30,000 cold storage
$15,000 water filtration

What moves the estimate

Bigger barrel size raises cost
More tanks lift CAPEX
Packaging method changes spend
Higher volume needs more controls

Other required lines

$20,000 stainless steel keg fleet
$8,000 POS and inventory management
Installation adds real cost
Glycol and refrigeration matter

Quick sizing rule

More batch turns can reduce unit cost
Smaller tanks limit volume flexibility
Taproom demand affects tank mix
Planned beer volume sets the build

What are the hidden costs of starting a brewery?

If you’re asking what it really costs to open a Craft Beer Brewery, the hidden costs sit outside tanks and taproom buildout: permits, approvals, professional fees, insurance, and the cash cushion to survive the first months. For revenue context, see How Much Does The Owner Of Craft Beer Brewery Typically Make? Licensing timing varies by state and municipality, so the startup bill can move fast. A simple model shows $500 per month for regulatory and licensing fees, $750 for insurance, $1,000 for professional services, and $25,500 per month in Year 1 payroll.

Pre-opening costs

TTB brewer’s notice filing
State alcohol licensing
Local permits and approvals
Fire and health reviews

Working capital

$25,500 monthly Year 1 payroll
Insurance at $750 per month
Professional services at $1,000
Cash for spoilage and slow sales

How do I fund a craft beer brewery startup?

Craft Beer Brewery funding should start with a separate stack for CAPEX, startup expenses, operating runway, contingency, and debt service. In the base case, you need at least $423,000 for modeled CAPEX before cash reserves, and your lender deck should show $613,500 in Year 1 revenue, $14,400 a month in fixed overhead, and $306,000 in Year 1 payroll so investors can see launch timing and the cash low point.

What lenders want

$423,000 modeled CAPEX
Equipment quotes and lease terms
Permits and production plan
Taproom assumptions in writing

What investors check

$613,500 first-year revenue
$14,400 monthly fixed overhead
$306,000 Year 1 payroll
Cash low point and debt service

Key Takeaways

Production equipment drives the biggest upfront cash need.
Taproom scope adds separate buildout and furnishing costs.
Licensing and insurance add steady monthly overhead.
Payroll and launch spend can strain early cash.

Craft Beer Brewery Core Five Startup Costs

Production Brewery Equipment Startup Expense

Core Equipment

This covers the brewhouse and cellar: mash tun, kettle, hot liquor tank, fermenters, bright tanks, pumps, hoses, controls, glycol, cleaning systems, water treatment, keg fleet, canning line, plus install and commissioning. The source figures add to $340,000 before separate install quotes: $200,000 brewing system, $75,000 packaging, $30,000 cold storage, $15,000 filtration, and $20,000 kegs.

Size By Volume

Here’s the quick math: Year 1 volume is 12,000 IPA 4-packs, 10,000 seasonal ale 4-packs, 25,000 lager draft pints, and 400 stout half-barrel kegs. Match batch size to tank turns, then test the packaging mix against the $75,000 canning line. If draft moves faster, cellar space matters more than can speed.

Size tanks to batch turns.
Keep draft and cans separate.
Quote install work early.

Control The Spend

To keep the budget tight, get separate quotes for brewing gear, packaging, cold storage, water treatment, and commissioning so you can see where the $340,000 lands. Don’t buy for planned expansion on day one. The cleanest savings come from right-sizing the canning line and delaying extra tank capacity until first-year turns are proven.

Separate equipment from install.
Buy for Year 1 demand.
Delay surplus tank capacity.

What Changes The Quote

Facility fit can move this cost fast. Larger batch size, more tank turns, and a heavier packaging mix push up equipment needs, while a draft-heavy plan can reduce near-term canning pressure. The main watchout is buying for expansion before sales prove the mix, because idle capacity ties up cash without adding output.

Taproom And Customer Area Startup Expense

Taproom Scope

Keep taproom spend separate from production equipment. Here the core customer-area budget is $40,000 for buildout and furnishings, plus $8,000 for POS and inventory management, with $30,000 of shared cold storage. Larger seating, more taps, and longer hours raise staffing needs fast.

Cost Detail

This cost covers draft lines, taps, bar buildout, seating, glassware, signage, restrooms, customer-area finishes, payment systems, and inventory tracking. The math starts with vendor quotes for fixtures and install work, then adds software setup for the POS. One clean split: guest-facing costs do not belong in brew-house equipment.

Spend Control

Hold the line by scaling seating in phases and matching hours to demand. A smaller room cuts buildout, cleaning, and labor pressure, while still supporting sales. Watch staffing first: more seats and late-night service can turn a modest taproom into a payroll problem before sales catch up.

Sales Link

Base the taproom on first-year demand: 25,000 lager draft pints at $750 and 700 shirts at $3,000. That mix helps justify the front-of-house spend, but only if seating, pours, and merch flow match traffic. What this estimate hides is labor, which rises as service hours stretch.

Opening Inventory, Packaging, And Staff Readiness Startup Expense

Opening Stock

Opening stock covers malt, hops, yeast, water treatment, adjuncts, cans, labels, carriers, kegs, bungs, cleaning agents, quality control supplies, and first-run shirts. Estimate it from planned unit counts × supplier quotes, then add launch marketing and training cash. The source unit costs, before variable cost of goods sold (COGS), are $125 per IPA 4-pack, $062 per lager pint, $1,550 per stout half-barrel keg, $800 per shirt, and $138 per seasonal ale 4-pack.

Packaging Mix

Packaging is the cash trap because cans, labels, carriers, kegs, and bungs are paid before sales come in. Tie the first buy to 12,000 IPA 4-packs, 25,000 lager draft pints, 400 stout half-barrel kegs, and 10,000 seasonal ale 4-packs. Keep cleaning and quality control supplies in the first order so production starts clean.

Staff Readiness

Year 1 payroll is $306,000, or about $25,500 a month, so hiring and training need real cash before sales ramp. That budget should cover brewing, taproom, and admin time, not just wages. If openings slip, payroll starts eating inventory cash fast, so stage hires by launch date and train before the first public pour.

Launch Cash

Plan for 20% payment processing and 15% marketing event costs in Year 1. That means 35% of gross launch sales leaves the business before ingredients and payroll. Use those rates to size cash needs, then pressure-test them against pre-sales and event traffic so you do not overfund slow channels.

Facility Buildout And Utility Upgrade Startup Expense

Buildout Scope

The model carries $40,000 for taproom buildout and furnishings, plus monthly facility costs of $8,000 rent and $2,200 utilities. Production flooring, drainage, ventilation, electrical service, water, gas, wastewater, walls, restrooms, layout, and code compliance can push the real buildout much higher, depending on shell condition and local rules.

Estimate Inputs

Get contractor quotes for floor drains, plumbing, electrical capacity, fire code, and wastewater handling before funding. The clean way to price this is quote-based, not guess-based. Use the landlord shell condition, required utility upgrades, and taproom layout as the main inputs. One missing drain or undersized panel can change the budget fast.

Quote production plumbing first
Check utility capacity early
Price code fixes separately

Keep It Tight

Control cost by using a space that already has floor drains, restrooms, and enough utility service. That’s the fastest path to lower spend without cutting compliance. Avoid signing before you know the cost of ventilation, wastewater, and fire upgrades. The real savings come from a better shell, not from trimming required work.

Reuse existing utility runs
Skip cosmetic extras
Match scope to code

Quote Before You Fund

For a brewery, buildout risk sits in hidden site work: drainage, wastewater, gas, electrical, and fire compliance. If the landlord delivers only a basic shell, the outlay can jump fast. Get written contractor bids for each trade, then compare them against the $40,000 taproom allowance and the monthly $8,000 rent base.

Licensing, Insurance, And Professional Setup Startup Expense

Permit Stack

The first layer is the federal brewer’s notice from the Alcohol and Tobacco Tax and Trade Bureau, plus the state alcohol manufacturing license, local business license, health approvals, fire approvals, entity setup, legal review, and accounting setup. Treat one-time permit fees as quote-based; the model only gives ongoing compliance carry.

Monthly Carry

Plan for $2,250 per month: $500 for regulatory and licensing fees, $750 for property and liability insurance, and $1,000 for accounting and legal services. That cost sits outside equipment and buildout, so it needs cash from day one. It keeps filings, renewals, and coverage current while approvals move.

Quote First

Because one-time permits are not priced here, get written quotes before funding. The key drivers are state, city, premises readiness, and the inspection schedule. If health or fire fixes are still open, the opening date can slip even when the fee does not change.

Approval Flow

Set up the entity first, then file licensing, then line up health and fire approvals once the site is ready. Don’t lock the opening date until inspections are on calendar. That keeps compliance tied to the lease and buildout plan, and it avoids paying carry costs on a space that can’t serve yet.