Aurochs Brewing
Regulation Crowdfunding offering on StartEngine
$298,558
of $525,000 goal
56.9% funded
About the offering
At Aurochs Brewing, we believe that you shouldn’t have to choose between a gluten-free beer and great taste. Since our inception, we have brewed over 40 different styles of award-winning, naturally gluten-free beer while developing strong partnerships and an enthusiastic customer base. After an incredible few years of growth, we are ready to expand regionally to deliver our product to as many people as possible.Inadequate Gluten-Free Beer OptionsWhen our co-founder Ryan Bove discovered he could no longer process gluten, he enlisted the help of lifelong celiac and co-founder Doug Foster to help navigate the transition to a gluten-free diet. In the process, they discovered that beer options were extremely limited. Products either reduced gluten without eliminating it, or lost the delicious taste of craft beer.THE SOLUTIONBrewing a Delicious, Gluten-Free Craft BeerRyan and Doug started home-brewing the kind of beer they wanted to drink. When they found that their beer tasted better than anything they could get at a bar, they made it their mission to revolutionize the world of gluten-free brewing. Now, Aurochs Brewing makes great-tasting craft beer that is 100% gluten free from start to finish. Our beers are brewed with millet, quinoa, and buckwheat and are milled, brewed and packaged at our dedicated gluten-free facility.THE MARKETFilling the Intersection of Two Major MarketsBy providing a great-tasting product that is naturally gluten-free, Aurochs Brewing Company is filling a niche at the intersection of two growing markets: craft beer and gluten-free.The overall beer market in the United States is $94 billion, and the craft beer market in the United States is $29 billion. Meanwhile, the gluten-free market is $6 billion, and the active lifestyle lager market is $1.9 billion. In addition to being gluten free, our Aurochs Light Lager is only 85 calories.OUR TRACTIONSignificant Sales, Prestigious Awards, and Relentless GrowthWe have earned over $1 million in revenue to date. Throughout the state of Pennsylvania, we have distribution in key retailers including Wegmans, Whole Foods, and Giant Eagle.We have won four national awards in the past four years including the Gold Medal in the Gluten-Free Beer category at the 2020 Great American Beer Festival® for our Aurochs Hazy IPA. Other awards include:Silver Medal - Gluten-Free Beer Category - 2018 Great American Beer Festival®Aurochs Brewing Company - Aurochs Blonde AleBronze Medal - Gluten-Free Beer Category - 2018 US Open Beer ChampionshipsAurochs Brewing Company - Aurochs Session IPABronze Medal - Gluten-Free Beer Category - 2019 US Open Beer ChampionshipsAurochs Brewing Company - Aurochs PorterWe have grown 800% from 2016 to 2019, and 40% from 2018 to 2019 alone in our home state. We have averaged 75% CAGR since 2014. In addition, our direct to consumer shipping has averaged over 50% growth from Q3 2020 to Q1 2021.In Q4 2020, we started distributing outside of Pennsylvania and have added 8 states in 6 months including Connecticut, Virginia, Ohio, New Hampshire, Vermont, Kentucky, West Virginia, and North Carolina.WHAT WE DOWe Make and Sell Delicious, Gluten-Free Craft BeerWe make great tasting craft beer that is naturally gluten-free, filling a niche need in multiple markets. We have released over 40 unique brews through our tasting room, but primarily sell our core six styles through distribution (Aurochs Blonde Ale, Aurochs Session IPA Aurochs Amber Ale, Aurochs Porter, Aurochs Light Lager, and Aurochs Hazy IPA). We anticipate that if this offering is fully subscribed, we will be able to launch an additional 8 styles into distribution including our Aurochs Hefe, Aurochs Strawberry Blonde Ale, and Aurochs Pumpkin Ale.The response to our products has been enormously positive. Gluten-free customers drive for hours to stock up on our product. We are ready to expand and make our beer more accessible to those customers who desperately need and want it.THE BUSINESS MODELExpanding to Regional SalesWe sell our beer through three primary channels:Our Tasting RoomIn this channel, customers will purchase beer to go in the form of cases, cans, and 32 oz. crowlers or consume beer on premise (pre-covid) in the form of pints and tasters.Distribution in the Three-Tier SystemIn this system, beer is shipped from the brewery to the wholesaler. In turn, the wholesaler sells beer to retail accounts such as bars, restaurants, six-pack shops, and grocery stores. Also in Pennsylvania, we are sold at over 100 accounts including Wegmans, Whole Foods, and Giant Eagle. We launched through wholesale into Connecticut in December 2020 with partner Craft Connecticut. Already this year we have launched with two additional wholesalers, expanding our reach into retailers in West Virginia and North Carolina. We currently have five wholesale partners distributing to retail across four states - Pennsylvania, West Virginia, North Carolina, and Connecticut.Direct Shipping to ConsumersWe launched direct shipping to consumers in June 2020 in Pennsylvania and Washington D.C. We also launched direct to consumer shipping in Virginia, Vermont, and New Hampshire in Q4 2020, and in Ohio and Kentucky in Q1 2021. HOW WE ARE DIFFERENTA "Beer for Everyone" with an Incredible TasteWe sit at the intersection of gluten-free beer and craft beer, and we are outperforming the growth rates of both industries. We believe most of the other nationally distributed competitors are either not entirely gluten-free (gluten-reduced) or have an inferior taste profile. As of right now, no one has captured this market on a national level.Our beer tastes incredible and is naturally gluten-free from grain to glass. We brew our beers with millet, quinoa, and buckwheat and we test every ingredient that comes through the door to ensure no cross-contamination. Our beers are brewed in a dedicated gluten-free facility. We have a high quality, truly gluten-free product that we believe can capture the market on a regional and eventually national level.THE VISIONWorking to Bring Gluten-Free Craft Beer to EveryoneOur vision is to fly anywhere in the world and be able to drink great tasting gluten-free beer brewed by Aurochs Brewing Company. We plan to expand distribution from our home state of Pennsylvania to a total of 38 states, transforming the company from a local to a regional brewery. We have already begun shipping and distributing beer into 10 of these markets in the past six months. In 2022, we hope to finalize our launch in the remaining states and start driving volume through these additional 28 states and growing within our current building.We also anticipate expanding our 12oz can product offerings to include a total of 14 different styles by the end of 2022. In the future, we anticipate transforming our company from a regional brand into a national brand with a build out of a larger production facility. OUR LEADERSHIPCraft Beer Lovers with Extensive Business and Sales ExperienceThe journey began in 2012, when after a prolonged, serious illness, our co-founder Ryan Bove discovered he was no longer able to process gluten. Longtime friend, co-founder, and lifelong celiac Doug Foster helped Ryan transition to a gluten-free diet. Everything was going smoothly until they got to beer. The choices were limited, either not entirely gluten-free (gluten-reduced beer) or tasting nothing like the delicious craft beers Ryan loved. In search of a solution, Ryan and Doug started home brewing the kind of beer they wanted to drink. When they found that their beer tasted better than anything they could get at a bar, Doug and Ryan made it their mission to revolutionize the world of gluten-free brewing.Our team of founders and advisors has extensive combined experience across product development, sales, craft beer brewing, strategic planning, and finance. We believe that nobody should miss out on the great taste of a craft beer, and we have the perfect product to make sure there’s a beer for everyone.WHY INVESTJoin Us as We Hope to Change the Experience of Gluten-Free BeerWe anticipate that if this offering is fully subscribed, we will be able to expand our distribution to 38 total states and launch 14 products in those states, accomplishing four major goals: expand distribution, release new products through distribution, implement cost reductions through process improvements, and decrease some older credit card and equipment financing debt. We are a fast-growing company at the intersection of the $29.3 billion craft beer market and the growing $6 billion gluten free market. This expansion will provide us access to six times the population our product currently reaches. With current access to 17% of the population today, we hope to expand our reach to 82% of the US population by the end of 2022.Join us as we change the face of gluten-free craft beer with our delicious, truly gluten-free product. MEET OUR TEAM
FAQ
How much has Aurochs Brewing raised?
Aurochs Brewing has raised $298,558 of a $525,000 goal.
Where is Aurochs Brewing's campaign listed?
The offering is listed on StartEngine, an SEC-registered Reg CF intermediary.
What are the terms of Aurochs Brewing's raise?
Convertible Debt, $15M cap, 15% discount, 6% interest.
When does Aurochs Brewing's offering close?
The stated close date is May 2, 2022.
