After a whirlwind 20 months nurturing our nascent distillery business, and edging our way tentatively through parenthood, we thought it was time to take stock and look ahead, to update all of you, and to thank you for being on hand to offer us advice and support. We’re also going to outline a proposition that has been brewing in the back of our minds for some time.
Let’s cut to the chase – we need cash, and we’re asking you to invest in our business as we take it to the next level. In return, you will not only have front row seats from which to cheer us on as we grow, we’ll be working hard to ensure that you see a substantial return as a huge ‘thank you’ for being here with us now, when we need you.
We’ve included some information below about what we’re looking for – but we’d also love to talk to you about this, so feel free to give us a call or drop by for a chat for further details.
Documents for your information included:
- Our visual dream for the Gogerddan Arms;
- Overview of our Business Plan;
- Our loan document – available on request.
We call ourselves ‘maverick’ distillers. In daring to be bold, we have established our business, and ourselves not only as disruptors but as
experts in our own right. Will you help support us as we move into the next phase of our journey?
Where we are now
Our second year of trading has seen exponential growth. When we first conceived the distillery, we intended to produce 1,500 litres (3,000 bottles) of gin for our own retail sales. Instead:
- We have distilled, bottled and hand-labelled over 7,000 litres of gin;
- We are continuing to develop our iconic gin brand, set to become a product synonymous with quality artisan spirits, and with West Wales;
- Our own In the Welsh Wind gin will be launched in the coming months;
- We make gin for 24 companies and organisations across the UK, producing 32 different gins;
We have worked with many of these companies to produce individual identity and branding for the gins we have been commissioned to create on their behalf;
- We are award-winning, thanks to the prestigious International Wine and Spirit Awards competition.At the time of writing, we have been shortlisted in the West Wales Business Awards ‘Food and Drink’ category;
- We have been commissioned to produce the first ever gin to raise money for the National Eisteddfod 2020 – a huge Welsh endorsement;
- We continue to export branded gin, distilled with Maltese botanicals, to Malta, and have been doing so since our 8th month of trading, and are currently working with other companies to produce branded gin for export;
- We worked with a company in Marrakech to produce a bespoke saffron bitters product and launch it to market;
- We have worked with ex-England cricketer Michael Vaughan to create, distil and launch his widely-acclaimed Declaration gin;
- We have now welcomed over 400 people at our unique ‘discover your gin’ gin making experiences and gin tastings. We continue to spearhead this movement of bringing people closer to the distillation process with the introduction of custom made copper pot mini-stills.
In terms of our business growth
- We have moved the distillery from Plas y Wern to an exciting new location on the main coast road just north of Cardigan;
- We have secured significant funding from Development Bank of Wales to secure our future there
- We have secured bonded status which allows us to store neutral grain spirit without paying duty
- We have employed 5 additional members of staff
- to keep up with demand for our brands and grown
- a network of talented professionals who are working with us to move the business forward
- We continue to make and develop connections throughout the artisan distillery world, forging closer links to distilleries throughout Scotland, Ireland, and further afield.
Where we are Going
Our vision is to bring more bespoke gin and premium spirits to more people; to develop a social hub – a provider of cheer to the community where we live and work; to create employment and growth; to offer support to other mavericks. Alongside creating gin brands for other companies, we’re committed to developing our own ‘In the Welsh Wind’ gin, drawing on the influences of the Ceredigion coastline we love. There’s whisky in our future too – we have our eye on Ceredigion barley.
How will we get there – and how you can be involved!
Our future depends on many things – but critical to our success is the final purchase of the iconic Gogerddan Arms, Tanygroes. Under the lease with option to purchase we currently have, our new In the Welsh Wind HQ is already a hive of distilling activity, the location for our gin lab, all-round ‘place to be’ and destination of choice in West Wales. Our initial refurbishment has proved hugely successful, creating a space that is equally suited to distilling as it is to welcoming the public.
Aiming high (as ever), we have secured support from Development Bank of Wales to enable us to complete the purchase of the property and we are seeking additional investment to continue and complete the final phases of refurbishment.
Our investment proposition
We aren’t offering equity in the business, rather a straightforward opportunity for you to lend us money on the basis that we will repay you not only the money you loan us, but an additional sum equivalent to the original loan. Effectively, it’s an opportunity to double your money.For every £5,000 you lend us, we will repay you 1% of our profit in that financial year.You’ll see in our Summary Business Overview that we’re estimating pre-tax profits of just over £232,000 in our second, and upcoming year (Feb 20 – Jan 21). Therefore, for a £5,000 investment, you’d receive £2,322. Based on our current projections, we’d be able to repay you a total of £10,000 – doubling your money – within 3 years..
The legal T’s and C’s are included in the attached loan agreement – please do have a read of it and, if necessary, talk to your own legal adviser about it.
Other things you probably want to know
- We intend to release up to 40% of our profit under this scheme
- We have no intention of releasing profit in any other form – no shares or equity.
- We will be raising capital through the launch of consumer offerings in the form of our own private ‘crowdfunding’ offers in the form of our Zephyr Edits, increased product sales and experience-led activities – and continuing to provide our consultancy services to other businesses – building on what we know works.
Our Gogeddern Vision
Summary business Overview
In the Welsh Wind are a unique and maverick gin and bespoke spirit producer based in Ceredigion, Wales. The company was first set up in September 2017, taking their beautiful copper still, Meredith, and crafting premium spirits for collaborations and businesses throughout the world.
Alex and Ellen, the business directors, turned their back on convention in 2013, embarking on a journey to complete the Wales coast path, and further. It is on this journey the business idea developed. With initial scope to develop and sell 3000 litres of Gin, In The Welsh Wind has gone from strength to strength, turning over in excess of £100,000 in 2018/19 (year 1), and on course to record circa an additional 250% growth in 2019/20 (year 2).
The business currently supplies bespoke spirits to several high profile local customers, as well as large regional players being in the pipeline. The couple also offer gin tasting sessions and a gin experience where they work with small groups to create their own custom gin recipe and product.
In late 2018 the opportunity arose to migrate from their boutique distillery on the family property in Plas-Y-Wern, Tresaith, to a high profile current pub and restaurant in a fantastic location. The Gogerddan Arms, Tan Y Groes is located on an important crossroads on the main road running down the coast, through Ceredigion and into Pembrokeshire and Carmarthenshire. Here, the road also runs east to west from Aberporth through to Newcastle Emlyn and on to Carmarthen. The original Gogerddan Arms was a coaching inn, a staging post on the journey from Aberystwyth to Whitland. The building historically, and remains, a well visited destination, with the name translating to ‘important meeting house’. It is Alex and Ellen’s aims to continue this history, taking the building to its next phase of life.
To date, In The Welsh Wind has developed its core transferable revenue generating activities at its previous location Plas Y Wern to a very high standard. These include:
- Distillation of bespoke spirits
- Gin Experience Days
- Gin Tasting Events
During its infancy, the company has already secured some very fruitful contracts to distil bespoke products for a number of local and regional companies. Alex and Ellen discuss in detail the proposition from these customers, and work with them to develop a spirit product they wish to sell. Once a craft batch has been developed, branding work is developed alongside the customer, to produce a fully branded product ready for sale through the customer’s chosen means. In The Welsh Wind then, on a contract basis, produces bottle numbers required by each business when ordered. Additional revenue generating activities to be developed within the new premises are to include:
- Gin Bar – The Gogerddan has operated as a bar and food establishment since 2014. As such the infrastructure within the building is perfectly suited for the development of a gin bar open to the public. The main requirement, as with most activities within the new premises, was just an internal redecoration to get the area fit for purpose. Once fully fit for purpose, it is proposed that the bar will open select nights, mainly weekends, but will mainly facilitate private hire and events that are to be held within the building;
- Gin Lab – The hosting of gin making and tasting experiences is set to become a major part of In the Welsh Wind distillery’s identity. With custom stills that closely replicate a true distillery experience, unlike any other in the current market, is set to put In the Welsh Wind on the map;
- Gin Shop Sales – The bar within the Gogerddan will be transformed into the Welsh Wind style. This boutique gin shop will not only display all products created by In The Welsh Wind, but also other craft distillery products;
- Private event space – The new distillery’s ample bar and lounge space is the perfect setting for private hire events. Private bookings are available to all customers, and certain crowdfunding rewards-based packages will include a private hosted event;
- Live Events – Alex and Ellen will host music and event nights on a ticketed basis. These events aim to raise the profile of the In the Welsh Wind brand and company ethos. Events will be hosted within the bar and lounge space of the distillery;
- Distillation Consultancy – Alex and Ellen, through their developed knowledge within the industry, offer consultancy support to organisations looking to develop their own gin brand. This consultancy can be delivered as part of the package for supplying the company with their bespoke gin, or it can be accessed as an independent service on an hourly or retainer basis;
- Off Site Events – Part of the In The Welsh Wind offering includes taking their mini stills to independent events to distil bespoke spirits on site. These may be festivals, weddings or charity fundraisers where In The Welsh Wind will be booked for a fixed fee;
- Online Tailored Gin Sales – Development of the In The Welsh Wind Website (www.inthewelshwind.co.uk) will come to offer a ‘create your own’ gin section. This will offer a range of botanicals that can be added to create your own gin recipe;
- Whisky Legacy Project – Future ambitions are to diversify from gin into a whisky product. Projected activity at this stage offers customers premium bespoke single cask distillations with bespoke ingredients lists and branding. The whisky will be cask aged in a choice of new or previously barreled casks for a minimum of 3 years. Customers can further individualise casks through re-casking at any stage of maturation. Small sample taskings can be drawn off to fully follow this process. Upon the completion of 3 year maturing in cask, the whisky will be available to the customer either in cask form, or a custom bottling exercise can be undertaken
In the last 2 years of trading, In The Welsh Wind has consistently recorded a profit; with a year 2 turnover growth of 250% based on the previous 12 months.
Detailed financial projections have been developed to scope the growth of the business over the next 3 to 5 years, taking into account future products launched and development of current income avenues. As such, we are confident of continued growth in a similar vein to previous business performance.
If further financial information is required, please contact our business manager Joe on firstname.lastname@example.org
The fun stuff
Cash is important. Knowing that you will see a significant return on our investment will, we hope, be a reassurance to you, but not the only reason why you’ll want to take the plunge.
With the premises secured, we can plan a full events programme. We’ll keep you up to date in our newsletter, and we’d like you to feel able to join us whenever you like, to relax at the bar and feel at home with us. As one of our Founder Investors, there will always be a warm welcome for you In the Welsh Wind.
Trust us because…
We know we’re asking you to trust us with your money. We want to reassure and encourage you that you’re making a good investment.
- We have been selected for the Welsh Government Accelerated Growth Programme. This is aimed at “…high growth businesses who want to enter their next growth phase and have the determination and potential to get there.” To be eligible, we have had to demonstrate our potential to achieve a minimum growth of £2 million turnover in 3 years.
- Development Bank of Wales have given us their backing, despite the fact that we do not yet have a full 2 years of accounts – normally a requirement for a Development Bank loan.
- An outline proposal for our planning application has already received approval from Ceredigion County Council. This paves the way for a full application to carry out phase one of the substantial work upgrading the premises so that it echoes the In the Welsh Wind ethos and allows the significant growth envisioned.
- We have taken delivery of a new 200 litre still, purchased exclusively to satisfy a single customers increased demand for their product.
The future is approaching – we’re working hard to make it happen and we’re really excited that you could help us realise our vision for In the Welsh Wind.
Please give us a shout if you’re interested and want to have a chat about any of this.
Alex & Ellen