Wine is not only a drink for the chosen ones, but also a kind of investment. Wine cellars are not only a place to store wine, but also a real investment portfolio. A bottle of aged wine with a protected geographical name has a tendency to grow not only in taste, but also in price.
Nowadays it is considered that investments in wines are illiquid and risky. Nevertheless, practice shows that these risks are well compensated by higher returns from such assets. Over the past 5 years, the Liv-ex 1000 wine index has brought investors more than 45% of the investment, which is 8-10% of the average annual growth rate - no less than the popular S&P 500 and much more than the investment in gold.
Several private equity funds are already investing in wine, although the amount of funds raised for these assets is still small - in 2011 it amounted to $ 300 million. So far, wine remains an exotic type of investment, but is already gaining popularity.
Wine is an absolutely unique asset class - not only profitable from the point of investment, but also attractive aesthetically. Investing in wine, you join a closed club of high connoisseurs of delicacy. There are risks for wine assets, of course, but they do not directly concern illiquidity or possible devaluation, and the interested party needs a lot of time and effort to study the market and the product.
more than 500 kinds of grapes;
more than 3000 wine producers;
half of them produce less than 2000 bottles
1 wine evangelist to understand all this...
It is well known that Georgia is the homeland of winemaking, which was founded here more than 8000 years ago. During the Soviet period, only a few mass brands of wine were produced in the country, which damaged the richness of the recipe and the diversity of winemaking technologies.
Nowadays there is a real renaissance of winemaking in Georgia. More than 300 kinds of grapes are cultivated, new producers appear every year, there are more unique climatic microzones than in any other country in the world. Georgia is the only country where the Kakhetian method of winemaking is widely used (in qvevri), which gives amazing results, incredible flavor and taste.
All this leads to the fact that interest in Georgian wine is growing every year, the number of medals at prestigious international competitions is constantly increasing. Foreign investors and restaurateurs buy out their crops completely. Georgian wines represent a unique product for investment!
Therefore, we believe that it is time to focus on Georgian wine seriously and for a long time.
We believe that Georgian wine is unique and the wine world needs it!
Therefore, we are creating a new international company headquartered in Montreux, Switzerland, which will establish a network of wine bars for the systematic distribution of Georgian wines around the world, as well as provide conditions for long-term storage and aging of wines.
Our business has two main components. The first is the storage of unique wines in Georgia, with a high potential for storage and aging. The second one is the bar network, through which we ensure and develop the sale of Georgian wines.
As an exclusive supplier, we can select and promote wines and bring them to the market as they age and grow.
We also have exclusive rights of wine buyers from many Georgian producers, which makes our product truly unique.
Favorable pricing policy for Georgian wines and control of retail margins allows to return the initial investment for 1 year just from the current wine sale.
At the same time, a third of the crop remains in the form of investments in the wine portfolio with an average annual growth rate of 10% or more
of the entire crop is stored in the cellars of GWC in Georgia, forming a wine portfolio2 / 3
is for the WineStation bars and for sale
In the first year of our business we will open 10 bars in Europe and sell 1 000 000 bottles of wine
From 2 years onwards we'll double the number of bars and sell 3 000 000 bottles
At the same time, 1 300 000 bottles will be kept in storage as the form of investments
The GWC project starts with a 90-day wine festival marathon in 15 European cities.
Two events will be held in each city. The public event is aimed at the effective and mass development of the market and "live" advertising: visitors will be able to taste our wines for a fixed amount of money and make an opinion about it.
The second event is a private one, where we invite special guests, discuss the prospects of cooperation and sell the franchise.
Our project starts with private investments, and we offer our investors comfortable conditions for participation. Attraction of investments takes place in several rounds.
We attract investments for the start of the project in the amount of 5 million euros from a single source. The investor receives a 15% share in the company with a privileged position. The funds are used for initial registration events, festival organization and marketing.
Attracts 18 million Euros from various sources for the share of 30% of the company's capital. At the same time, none of the investors receives more than 15% of the capital. The funds provide the company's primary working capital for the wine portfolio.
We distribute 4% of our capital among interested "late" investors at a combined price. The funds are used to increase working capital.
The IPO of GWC is held at the London Stock Exchange, where half of the company's remaining capital is placed. This event will provide growth in the value of shares and increase the company's capitalization and raise additional funds for the growth of business turnover.
WineStation is a brand of GWC bars that sell Georgian wine. Franchise gives the participant the right to open the bar under the proven name and provide him with an uninterrupted wine supply from the GWC cellars.
The price of the franchise includes the supply of wine in the first month, logistics in the future, the right to use the name of the bar, training and consultations at the beginning and business development and 30% of wine bottles in the GWC wine cellar of the procurement volume.
Franchisees can set an arbitrary commercial margin for wine, independently make up the menu of food and snacks. We do not limit the bar design, area of operation and food suppliers. Franchise restrictions are as follows. Only 1 bar of WineStation opens in one city.
The franchisee undertakes to buy and sell only GWC-approved wine. The bar must be open and start working within 1 month. Royalty is 20% of net profit.
the cost of the WineStation franchise
payback period for investments
IRR in the first 5 years of business operation
NPV in the first 5 years of business operation
number of competitors in the city of operation
New profitable company in Switzerland with transparent business
1 year - payback period
Unique product with guaranteed demand
In the first 5 years of operation:
191% - IRR
205М € - NPV
340М € - company capitalisation