Welcome to Power HomeBiz Guides!

Home | About Us Contact Us | Site Map | Search

 

 

Starting a Business
Working at Home
Financing a Business
Growing a Business
Managing a Business
Marketing/Promotions
Ecommerce/Internet
Online Marketing
Business Ideas
Leadership/Mgt.

Consult Your Guide


Consult Your Guide
Starting a Biz
Financing a Biz
Business Ideas
Marketing and Promoting
Managing & Growing a Biz
Submit a Question
Meet Your Guides 
 

ab
 

Can I Import Beer Without an Alcohol License?

Q. I signed an exclusive right for USA with a brewery from Europe. Now, the problem is that I do not have an alcohol license so I wonder how I can import the beer without me having license. I want to resell it to stores. Should I have a broker or should the stores import it or how should I do, but not to be cheated.-- snjezana

A. Dear Snjezana,

It seems like you are going for the big time. Signing up an Exclusive contract of beer for distribution in the US is definitely not a home-based operation and is beyond the scope of Power Homebiz Guides. I can only suggest some pointers on what you can do.

If you are planning to do the importation yourself, I recommend that you check with your local authorities or the Bureau of Commerce or the Bureau of Customs and check out the requirements and regulations on importing beer and/or liquor and related products. Definitely, you should have a license to import as well as a license to distribute these products. Visit your city hall and check at the Business Permits Division.

In the meantime, have you done any kind of study on how would you compete with other brands which are already in the market? Since we are talking about imported beer, have you checked how big the market is and how do you intend to penetrate that market? How would you promote the beer? How will you deliver? Do you have a warehouse? Will you have trucks to deliver the beer? Remember, you are talking about USA, a pretty big country.

How will you convince stores to buy and sell your beer? Most stores will not buy products that are unknown in the market. You will need a very very big budget to introduce your product in the market. Will your suppliers help you on this?

And, when the stable beer companies notices your attempt to introduce a new product to compete with them, they will have the tendency to sacrifice a "promotional price" period and drastically lower their price to say half. Are you ready to face this eventuality?

On the other hand, as you said you have signed up an exclusive contract with the European brewery but you did not mention whether your contract is for you to do the importing or you will be acting as a Representative of the brewery. If you are a representative, you may try to look for the beer importers and offer your beer on "Indent" basis. 

Indenting means the importer orders from you but they open the Letters of Credit directly to your principals. Then you collect your commissions or mark-ups from your principals. Again, as you said you have an exclusive contract, and in international trading, the principals normally respect their words like their signatures. Therefore, there is no way that your customers can cheat on you by going directly to your suppliers. They can always do that but as long as your principals protect you, they will always give you the credit.

Also, if you were doing the business as representative, you won't need the alcohol license. All you need will be your Business License as an International Trader.

Hope this helps.

About the PowerHomeBiz.com Guide: 

Nach Maravilla is the Publisher of Power Homebiz Guides. He has over thirty years experience in sales and marketing of various products, which covered as he jokingly describes, "from toothpicks to airplanes"  He also had extensive experience in International trading and he always excelled in special promotional ideas for  retail outlets. 

The opinions expressed in this column are those of the author, not of PowerHomeBiz.com. Users should not treat the Guide's response as legal, accounting, or professional advice as all answers are intended to be general in nature. Such advice can only be properly given by qualified professionals who are fully aware of a user's specific geographical areas or circumstances, such as an attorney or accountant.

   

ab

Special Top Sponsor

Sponsored Links
(Advertisements: Your Link Here)