OPPORTUNITY: A thirty million liter global market gap in the premium white rum / cane-based spirits category, which we project SOUL to capture one and a half percent in five years, resulting in a four hundred and fifty thousand liter business with revenue of over $7 million by 2020
PRODUCT: A luxury Brazilian cachaça, produced in Brazil, then refined and bottled in the United State.
The sensorial profile has the nose of a fine tequila, the taste of natural fresh cane, and the smoothness of a refined vodka. The spirit is well-suited for cocktails, particularly the emerging Caipirinha cocktail, as well as bar chef twists on classic cocktails, and simple mixed drinks.
SOUL has been recognized as a true premium cachaça by the leading industry organizations. In 2012, SOUL was recognized as the “Cachaça of the Year” by the New York International Spirits Competition. Soul has received the “Gold Medal” by the New York World Wine & Spirits Competition in 2011, 2012, and “Double Gold” in 2013. SOUL has a rating of 93 points by The Tasting Pane Magazine, the highest rating ever given to a cachaça.
In 2015, SOUL was recognized by the prestigious publication, Wine Enthusiast Magazine with a rating of 92 points out of a possible 100. SOUL was recognized not only by a high rating, but has also reached “Best Buy” status. SOUL was named by the Wine Enthusiast Magazine as a TOP 100 Spirits of 2015. SOUL has demonstrated that it is a superior, premium, and more attractive product.
BRANDING: The brand name comes directly from the idea of capturing the spirit of Brazil in a bottle, and is well-suited for the opportunity given the simple bar call and luxury connotations. The brand concept is built on the idea of authenticity and the map of Brazil serves as a brand icon. Packaging is an upscale bottle, and pricing at the $29.99 per liter and $24.99 per 750 ml price point is a critical threshold for premium spirit brands.
PROOF OF CONCEPT: We have demonstrated the SOUL brand concept superiority in experiential events versus the top competitor, and launched the business effectively in 2012. We have utilized the attractive demographic profile of Rhode Island to validate our plan. By testing the market for two years in Rhode Island, SOUL has built a solid and proven partnerships with national and regional establishments.
FINANCIAL PROJECTIONS: We intend to capture one and a half percent of the premium white rum spirits market by 2020. When accomplished, we project over $7 million sales revenue by 2019 with a 74.82 percent gross profit margin.
FUNDING REQUIREMENTS: We will require a total of $2.5 million in equity financing.