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W i n e s & V i n e s s e p t e m b e r 2 0 1 4 43 any other changes you have seen in wine finance during the past 12 months? rOB McMiLLan: Most of the changes relate to the financing of direct-to- consumer efforts and expansion of established california wineries into Washington and oregon. Mark BrOdy: It might be somewhat harder for smaller companies without much of a track record to get financ- ing at this point. The industry is doing well, and a clear divide exists between those that are performing well and those that are not or do not have much of a track record. perry deLUca: Increase in specialty lending—including equipment financ- ing, barrel lending and asset-based lending—are on the rise. QUinTOn Jay: Dtc is important be- cause of margin—not just top line, but how much it costs to get it sold all the way through to the consumer. The second factor is the consistency of the money that comes into the win- ery. How much eBITDA does it bring to the table for every bottle sold? With a wholesaler you don't know when the order will come in, but with Contact: Glen Stanley in Santa Rosa at (707) 508-3380 Ruth Edwards in Napa at (707) 265-2002 Alameda | Marin | Napa | San Francisco | Sonoma bankofmarin.com | Member FDIC Better banking, bottled. Our strong lending support moved Ryan Mobile Bottling into high gear so they could fill, label, and cork 100 bottles of wine a minute, delivering wine faster than ever before. a wine club you know the money is running through every quarter. of course you have to fight attrition and sign up more members. I like the con- sistency of Dtc dollars, while with the wholesale channel your fate is up to somebody else. We have seen a lot of activity in the pacific Northwest in vineyards, winer- ies and brands. It will be interesting to see what other deals shake out there. The region is starting to take note with the recent Kendall-Jackson re- lease of their oregon wines and others to follow suit. Bacchus was in early in the pacific Northwest with (Wine by Joe) Dobbes and panther (creek), but now bigger wine companies are com- ing in with distribution power. rob McMillan is executive vice president and founder of silicon Valley bank's Wine Division. based in st. helena, Calif., McMillan manages a deal team and assists clients and bankers by sharing his views of the macro factors impacting the economy and the fine wine business. McMil- lan has published reports of varied and emerging wine industry trends, and he lectures at numerous West Coast universities. McMillan is also the author of the bank's annual state of the Wine industry report and speaks about the topic regularly. Quinton Jay is the managing director of bacchus Capital Management in san Francisco, Calif., and president and national sales manager of panther Creek Cellars in Dundee, ore. Jay has more than 20 years of ex- perience running both boutique and well-known wineries. prior to joining bacchus in 2009, Jay was vice president and general manager of artesa Vineyards and Winery in Napa, Calif., and before that ran his own consult- ing firm with clients including beringer blass Wines and estates, etude, Quintessa and Geyser peak Wines. Practical Winery library.com Single-subject articles on a wide range of topics From the archives of Practical Winery & Vineyard PracticalWinerylibrary.com F I N A N C E rOB McMiLLan "Most of the changes relate to the financing of direct-to- consumer efforts and expansion into Washington and Oregon."