Each type of beer brewed in a microbrewery has a gross margin which is the difference between the selling price and the cost of the batch.
The gross margin is used to calculate the gross margin percentage which is an indication of how profitable a beer will be.
This microbrewery gross margin percentage calculator will help you to estimate the gross margin percentage of each batch for use in the Financial Projections Template.
If your microbrewery has multiple products then use the calculator for each product and then average the margin using our weighted average gross margin calculator.
The calculator is used by entering the details of each type of cost associated with a particular batch.
Details of direct materials (hops, grain, yeast), and direct labor (brewers costs), are entered both in quantity and rate terms. A batch can be defined as barrels, kegs, pints etc depending on how the microbrewery is operated, providing the quantity and rate are adjusted accordingly.
Other variable costs such as electricity, gas, water supplies are allowed for and general administration operating costs can be allocated in percentage terms.
On entering the unit selling price, the gross margin % and the markup % for the batch are calculated.
Microbrewery Gross Margin Percentage Calculator Download
The microbrewery gross margin percentage calculator is available for download in Excel format by following the link below.
Users use this micro-brewery gross margin percentage calculator template at their own risk. We make no warranty or representation as to its accuracy and we are covered by the terms of our legal disclaimer, which you are deemed to have read. This is an example of a start up microbrewery margin calculator format that you might use. It is purely illustrative. This is not intended to reflect general standards or targets for any particular company or sector. If you do spot a mistake in the microbrewery gross profit calculator template, please let us know and we will try to fix it.
About the Author
Chartered accountant Michael Brown is the founder and CEO of Plan Projections. He has worked as an accountant and consultant for more than 25 years and has built financial models for all types of industries. He has been the CFO or controller of both small and medium sized companies and has run small businesses of his own. He has been a manager and an auditor with Deloitte, a big 4 accountancy firm, and holds a BSc from Loughborough University.