# Bespoken Spirits Financial Model Technology company that replaces barrel aging with a proprietary ACTivation process to produce premium, customizable spirits in days rather than decades. - Canonical: https://finamodel.com/startups/bespoken-spirits - Excel download: https://finamodel.com/startup-models/bespoken-spirits.xlsx - Category: Consumer/DTC - Model type: Unit-economics / DTC - Funding round: Seed - Funding: $2.6M - Founded: 2020 - Geography: US-based operations; global market framing. - Customer: B2C ## About the company Bespoken Spirits uses proprietary technology to produce and customize premium spirits in days rather than barrel-age them for years. Its process delivers targeted aroma, color, and taste while reducing capital lockup, waste, and slow production cycles. The company operates three models: selling its own spirits, maturation as a service for producers, and custom alcohol services for retailers and hospitality customers. It had won 22 medals across six competitions, validating product quality alongside process innovation. The model separates branded spirits, B2B maturation, and custom-service revenue. Production volume, price, COGS, capacity, client contracts, and channel mix drive gross profit. Equipment utilization and repeat B2B customers are key levers. ## What's included - 5-year monthly revenue build with stage-appropriate growth assumptions - Full P&L, headcount plan, and operating-expense schedule - Cash-flow statement, runway, and burn-rate tracking - Valuation via exit multiple with a DCF cross-check - Returns analysis with MOIC and IRR - Unit economics including CAC, LTV, payback, and cohort retention ## Product & value proposition - Proprietary "ACTivation Technology" - instills barrel character into spirit in ~72 hours vs. years of barrel aging. - Process steps: Source spirit → Design (aroma, color, taste) → Tailor (wood type/treatment + ACTivator settings) → Finished product → Data feedback loop. - Eliminates "angel's share" loss (up to 20%), wasted wood/water/energy, locked-up capital, and slow product iteration inherent in barrel model. - Enables mass customization: billions of recipes; regional/demographic tailoring possible. - Sustainability angle: reduces resource waste, aligns with climate-conscious millennial consumer. - Award-winning quality validated externally: 22 medals across 6 competitions (NY World Wine & Spirits, SF World Spirits, ADI, BTI, MicroLiquor) in whiskey, bourbon, rye, and rum categories. ## Market - TAM: $500B global spirits market. - Key tailwinds cited: climate crisis forcing sustainability; demographic shift to millennial consumers (less brand-loyal, value-seeking, tech-savvy); COVID-19 financial strain on craft distilleries (potential MaaS demand driver). ## Revenue model Three distinct business models operating simultaneously: 1. **Bespoken Brand** - sells Bespoken-labeled house spirits direct-to-consumer and through retail/wholesale channels. Validates process, taste, and unit economics. 2. **Maturation as a Service (MaaS)** - bulk maturation/enhancement service for distillers, rectifiers, and breweries. B2B; high-volume; can be performed at Bespoken's facility or customer's. Customers: distillers (white → matured spirit), large rectifiers (quality/price-point enhancement), breweries (expired/excess beer → premium whiskey). 3. **Customization as a Service (CaaS)** - private-label spirit production for retailers, hotels, bars/restaurants. Design + produce + ship. Customers include a Western US/PA grocery chain (award-winning Japanese-style light whiskey already delivered), a CA/NV grocery chain (big-brand look-alike), and restaurants/bars (customized well products). ## Traction & metrics - 22 medals won across 6 prestigious competitions (2019–2020). - Named CaaS customers: at least 2 grocery chains (Western US/PA; CA/NV) + restaurants/bars. - Process validation: 6 distinct finished spirits produced from a single source spirit in 72 hours. - No revenue figures, customer count, volume, or growth metrics disclosed in deck. ## Competition / moat - Moat: Proprietary ACTivation Technology (implied IP/patent protection, not explicitly stated); data flywheel (tasting feedback → recipe mapping → predictive outcomes). - Implicit competitive positioning: vs. traditional barrel aging (time/cost) and vs. other accelerated aging startups (not named). ## Team & funding ask / use of funds - Founded: 2018. ## Recommended financial model - **Archetype + why:** Multi-segment CPG/services P&L with three separate revenue streams (Brand DTC/wholesale, MaaS B2B services, CaaS B2B services). Not a pure SaaS (no subscription MRR), not a marketplace, not M&A. Best modeled as a 3-statement operating model with segment-level revenue buildup - volume × ASP per segment - feeding into a consolidated P&L, BS, and CF. Inventory/COGS treatment for spirits (spirit cost, wood/materials, processing labor) is central given physical product. - **Forecast horizon & granularity:** 5 years (2021–2025); monthly for Year 1, quarterly for Years 2–3, annual for Years 4–5. Deck is Oct 2020 pre-revenue/early-traction stage. - **Key drivers & assumptions:** - **MaaS revenue:** gallons processed per year × price per gallon - **CaaS revenue:** number of private-label contracts × average contract value - **Brand revenue:** cases sold × ASP per case - **COGS:** source spirit cost + wood/materials + processing labor + overhead - **Capex:** ACTivator equipment investment - **Headcount:** R&D/data science, production operations, sales/BD - **Market size ($500B global):** - no addressable subset defined - **Production cycle:** 72 hours per batch - **Award wins (22 medals):** - quality validation, useful for pricing power assumption - **Scenarios (Base / Bull / Bear - which variables flex):** - Bear: MaaS ramp delayed (sales cycle longer than expected); Brand volumes below plan; single CaaS contract - Base: MaaS scales to 3–5 distillery customers by Y2; 2–3 CaaS grocery/bar contracts; Brand grows organically from award recognition - Bull: Rapid MaaS adoption driven by craft distillery cash constraints (COVID tailwind); CaaS scales to national retailer; Brand raises pricing on award wins - **Required sheets / outputs:** - Assumptions tab (all drivers centralized) - Revenue build: 3-segment detail (Brand units/cases, MaaS gallons, CaaS contracts) - COGS + Gross Margin by segment - OpEx (R&D, Sales, G&A) - Income Statement (consolidated) - Balance Sheet (inventory, PP&E for ACTivators, cash) - Cash Flow Statement (operating CF, capex, financing) - Headcount schedule - Scenario toggle (Bear/Base/Bull) ## Frequently asked questions ### Is the Bespoken Spirits financial model free? Yes. The Bespoken Spirits model is a free Excel download with live formulas. ### Can I change the assumptions? Yes. The workbook is editable and its live formulas recalculate when assumptions change.