BORROWING
Like any credit facility or bank lending, this option requires assets to be used as security. It exposes the distillery to fickle fates of interest rates – not a viable option for distilleries with existing credit lines in place.
Distilleries are also up against a new ruling. Asset backed lenders must now take their company’s further liabilities into account. The upshot of this is low funding levels offered by lenders.
INVESTMENT
High Net-worth investors and Family Offices are an alternative funding option for distilleries, but there’s a downside; The distillery owner has to give up a large amount of equity and control of the distillery.
One of the things that make Scotch Whisky a globally desired commodity, is the generations of expertise that goes into its production. Many distilleries are family owned and corporatizing any family business runs the risk of killing its heart and soul. The very things that make it a great business. offered by lenders.
CASK SPIRITS LTD
Due to our strong relationships with several leading distilleries, we have contracts in place to purchase New Make Spirit casks at heavily discounted prices. This gives the distillery much-needed funding, helping them cover operational costs.
It also creates an opportunity for private investors, like you, to take New Make Spirit from distillation to cask. Your cask is then laid till maturity in a bonded warehouse, insured for 10 years against theft and accidental damage
