Equipment financing built for brewery operators

Brewery equipment is one of the more specialized segments of equipment financing. The equipment is expensive ($50K–$500K+ per major piece), highly specialized (a 30bbl brewhouse doesn't resell to a non-brewery), and the brewery business itself is regulated (TTB, state liquor authorities) in ways most equipment lenders don't routinely handle.

The result: a small ecosystem of brewery-specialty lenders who understand the business model, the regulations, the equipment, and the resale market. Bay Street works with brewery-specialty lenders alongside mainstream equipment lenders to match each brewery to the right financing partner. See our broader equipment financing guide →

Equipment Loan (Most Common)

Standard equipment loan secured by the brewing equipment. 3–7 year terms, 7–14% APR for established borrowers, 15–30% down. Best for keeping the equipment long-term and capturing Section 179 tax benefits.

$1 Buyout Lease

Functionally equivalent to a loan but structured as a lease. Equipment is yours at end of term for $1. Sometimes offered at slightly better terms than equivalent loans by lessors who specialize in food/beverage equipment.

SBA 7(a) for Brewery Equipment

SBA 7(a) supports brewery equipment up to $5M with 10-year terms and Prime + 2.75–4.75% APR. Slower (60–90 days) but lowest cost. Often combined with real estate (504) for breweries buying their own building. See SBA 7(a) vs 504 →

Vendor Financing

Major brewery equipment manufacturers (DME, Sprinks, Premier Stainless, Rolec, etc.) offer in-house financing or partner with brewery-specialty lenders. Often the fastest path during initial buildout because the vendor has direct interest in closing the equipment sale.

Startup breweries face a harder financing path than established ones. Common challenges:

• No operating history to underwrite against
• Equipment costs concentrated in the first 6 months of buildout
• TTB licensing timeline doesn't align with typical lender timelines
• Real estate, equipment, and working capital all needed simultaneously

Realistic startup brewery financing structure:

1. Owner equity: Typically 25–40% of total project cost. Often the binding constraint.
2. SBA 7(a) or 504 for the bulk of buildout — equipment, leasehold improvements, and working capital. SBA explicitly supports startups in regulated industries.
3. Vendor financing for select equipment to bridge gaps SBA doesn't cover.
4. Small working capital reserve for operating expenses during the 6–12 month ramp to cash flow positive.

For more on SBA loans for startups, see our SBA startup guide.

Used brewery equipment finances readily because it holds value well. Major brewing equipment (especially stainless tanks, brewhouses) is essentially indestructible if maintained — equipment 15–20 years old still operates fine and finances at reasonable terms.

Used equipment financing terms typically:

• Equipment under 5 years old: similar to new — 15–20% down, 5–7 year terms
• Equipment 5–15 years old: 20–30% down, 4–5 year terms
• Equipment over 15 years: case-by-case; appraisal usually required

The exception: canning lines and other complex automated equipment depreciate faster and have shorter useful financing horizons than tanks. See used equipment financing details →