The question of how much do breweries make is massively dictated by profit per barrel. Generally, the profit margin on bottled beer is 75%, and draft beer is 80%. If you sell a barrel of draft beer, you can expect to get prices of around $400-700. Of course, this depends on your brand reputation and beer quality.
Operating Costs and Profit Margins
With profit margins of 80% for beer on draught, it’s easy to see how you can make great profits per barrel. Operating costs tend to be pretty low for breweries, which helps to keep profits high.
Profitability of Small Breweries
A small brewery can easily be profitable selling around 500 barrels per year, especially if sales are done in one’s own taproom. Bars have a 200% to 300% markup on beer.
Earnings in the Brewing Industry
How Much Money Can You Make Working in a Brewery? Head brewers working in small brewpubs, on average, earn a yearly salary of $46,000. In larger brewpubs, they average around $51,000 per year.
Brewery Owner Earnings
Brewery owners can earn a varying range of income depending on the size and profitability of the business. The average annual income of a brewery business owner in the US is around $50,000 to $75,000.
Starting a Brewery
How much does it cost to start a craft brewery? Generally, most breweries range from $500,000 to $1 million in start-up costs. The cost of starting a brewery however, can depend on how big you plan your brewery to be, production levels, and location.