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clairehall0 clairehall0 is offline
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Join Date: Jan 2005
Posts: 15
New Drink

Everyone (but moneyman in particular)!

Sharon recomended I chat with you.

Over the past two years I have developed, tested and reasearch throughly a new drink. Its unique and there is a mass market for it.

I have created a fantastic brand. and have spent over 10,000 pounds of my own money on it, and work two jobs to support it and me.

A small loan from business links is not enough infact it would only do me a small festival, and then I would be back to square 1 - besides I've already tested the product at a couple of festivals and its definately a winner. but need a lot of investment.

I am trying to find out if there are any grants I'm eligable for.

What would you reccomend I do next? My business plan is almost complete and is very strong.

hope you can help

Claire
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kinster kinster is offline
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Join Date: Sep 2003
Location: Leeds
Posts: 702
Did you not apply for a loan before you spent your £10k? Firms/lenders like to put in money if you contribute towards it yourself.

Have you tried a Small Firms Loan Guarantee? This is where the DTI have a group of participating lenders/banks.

http://www.businesslink.gov.uk/bdotg...mId=1074447105

Also, have you contacted supermarkets/retailers to see if they will stock your drink? If you get an big order than I think you're on a winner.
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clairehall0 clairehall0 is offline
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Join Date: Jan 2005
Posts: 15
Hello,

No i did not apply for a loan, as i wanted to take it as far as i could on my own - developing and testing the idea - (just in case it fell through or I lost my passion)

Then my idea was that the loan would kick off the business - however as I have researched more and worked on my business plan - it has come to light that a small loan would not help me..... i would need hundreds of small loans! which is pointless!

I will try 'small loan Firm'

Would i not be better off though- although I will obviously loose full control of my project, searching for an investor - but for one who can not only put up the cash someone who can also offer me contacts and buisness experience - as although passion has got me this far and I'm learning everyday - there are other business skills i must develop.

I could approach a drinks company - but they would most prob, eat me for breakfast! plus they are not interested until they see the product in the shops!

I work and know of a couple of bars that would take my drink - but in order for this to work I would need to be in 200 bars! Otherwise there is no way I could operate.
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kinster kinster is offline
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yes, you could get an investor/angel/VC in to help you but wouldn't having an order help you get that funding?
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Play!! Play!! is offline
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Join Date: May 2005
Location: Wales
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Forgive me if my brain just incorrectly processed the info but did you just say your drink needs you there to be sold?
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clairehall0 clairehall0 is offline
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My drink is niche and will only be sold to on trade. So a large order from one supermarket would not be possible.

I could easily prove and show banks / investors thats two / three bars would stock this drink.

But would this make much of difference, 3 bars - ordering two cases a week - there is no profit until I'm making about 50,000 of these drinks a year!

Until I am making this amount the drink will cost over two pounds to make - If I'm mass producing then the drink will then cost far less and there is profit to be made.

So lets say I do up a run of my drinks -1000 - which will cost a big sum (as its such a small run). I go round the bars in London and I have twenty or thirty that want to make an order - but I have no cash flow to do this! especially because the small runs are soooo expensive to do.

I do not want to take my drink around the bars of London - get there interest- they place an order and I can't deliver the good as I'm not prepared! As the brand that I've created will most prob be destroyed by a bad reputation.


PLAY - My drink does not need me there to sell it- however there is a great marketing story that can be used to sell the drink with me. And my research of all drinks shows that drinks sell best with a story behind them, he he! Already by word of mouth people sometimes ask me ' ohhhh you are the girl with this drink'.....! Plus i have great contacts from working in a bar in the westend - radio wise etc.
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Play!! Play!! is offline
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Ahh, sounds like your stuck between a rock and a hard place. I'm curious to find out more about this drink now though. Any chance I could get a sample sent if I send you a few quid. I'm guessing it's alcohol.

The only thing I can suggest or even think of (and it might cost a bit to do) is to patent the drink and then show it to the drinks companies. You will then get royalties I think. Does anyone know if this is even possible?
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Incepto Incepto is offline
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Join Date: Mar 2005
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Why don't you ask a few small shops to stock the drink, see how it sells. If it sells well, then theywill want to make more orders- but as their small orders arn't much use to you- it will still shop the bigger players that people want your product.

You could approach supermarkets and show them the product, all of your research and the sales figures for these few shops, bars, and festivals.

They may order 20,000 units to test in the South East, before drawing up a longer term contract with you. If they are able to pay up front, great, but if you do get a contract sorted, show this to your bank manager, they are bound to look on it favourably as you will have a guaranteed income stream.

The main obstacle I can think of though, is when the product is on the shelves in shops, why would people buy it if it is a brand which they have never heard of before? Are you going to launch the product with a huge publicity campaign?
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clairehall0 clairehall0 is offline
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Trouble is no point in getting a patent as its about a grand per recipe - and someone can copy the concept soon enough.

After seeking much advice they only thing I can do really - which I have done is protect my brand!

But now i just need to get the brand out there!

I would be happy to send you up a sample of my drink- but unfortunately have none in stock at the moment and its actually not something i can make in my bin at home anymore, he he - Have a chap that produces it for me as need to make sure its safe for everone to drink.

Trouble is at at the mo- is when I will be doing this run -... money!!!

Yes it is alcoholic!

As soon as I do a run I will send you one- you if give me your address.

Could be within the next few weeks
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clairehall0 clairehall0 is offline
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RSS -thank you for this.

This is a very good point - why will they buy my brand?

This is a problem that i am addressing at the moment and whilst I'm woprking on it every day - the reason they will but my brand is

1 x it unique, very atrractive to the eye and personal.

2x in Bars i will have a great POD that will get peoples attention.

2x I am relying on word of mouth - which i know may seem crazy but ..... never say never

3x I know some radio presenters- who would give my drink a mention

3x I would like to do an e-mail campaign - but this actually need a lot of thought into it

4x Urmmmm I'm open to ideas?


The only supermarket i would go into is Waitrose - i know this may seem silly but it is not aimed at the other supermarkets - on trade only really. I will investigate Waitrose though (thanks)
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clairehall0 clairehall0 is offline
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My goodeness,

I apologise for my spellings throughout - I'm currently in work and am not able to check my emails I'm responding with throughly.

Sorry anyway! - but think you get the jist of my problems
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Play!! Play!! is offline
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Yeah, I've got no problems with that. Got an email addy for me to send it to? or do you just want to give me a shout when you've sorted some out?
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clairehall0 clairehall0 is offline
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claire_louisa111@hotmail.com.

But please do give me a shout in a few weeks- just in case I forget.
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JamieM JamieM is offline
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Join Date: Jul 2004
Location: Glasgow
Posts: 472
Why don't you apply to Dragons Den?

http://www.bbc.co.uk/dragonsden/application.shtml

You could either get a major investment, loads of publicity or both.

Worth considering maybe.
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Jamie Miller
Active Sports Ltd
Distributors of Powerball
How Fast Can You Spin It....?
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Play!! Play!! is offline
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Will do, thanks. If I think of any other options for you I'll let you know. Good luck.
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