Issue link: http://winesandvines.uberflip.com/i/80303
CO VER S T OR Y E CONOMICS COMPANY American AgCredit George Peterson Insurance Agency Heffernan Group Invensure Insurance Brokers John Hancock Metropolitan Life Wells Fargo Insurance Services & Commerical Banking Winery Pak Insurance Suppliers PHONE (800) 800-4865 (707) 525-4150 (707) 789-3060 (949) 756-4100 (916) 922-4211 (559) 435-0206 (707) 773-1864 (888) 386-5701 Donovan said US Bank also can provide "progress lending." If, for example, a coop- erage expected a $1 million payment for a shipment of new barrels within six months of the order, the bank could provide 20% up front, 40% when loaded for freight and the final 40% when delivered. That fund- ing would then be incorporated into the monthly payments on the barrel lease. The bank doesn't have conditions re- garding what type of leases or loans it will offer for equipment. Donovan said clients often shop around requests to various lenders. "We ultimately look to the cus- tomer for what they want to do," he said. WEBSITE agloan.com gpins.com heffins.com invensure.net johnhancockfinancialnetwork.com metlife.com cybersure.com winerypak.com For more on insurance suppliers, see Wines & Vines' 2012 Buyer's Guide in print or online at winesandvinesbuyersguide.com. Data current as of Aug. 1, 2012. Barrel leasing H&A Financing & Services only offers bar- rel leasing and doesn't have plans to expand to other products. "In a word, that's what we do," said Ken Seymour, the managing director of the U.S. division. "We're not a lender to talk about fleets of cars or bottling lines, we're there to handle barrels." H&A was founded in France, where it maintains two offices, and also has the U.S. branch and a location in Spain. The firm employs 30 workers and according to its own figures posted $110 million in net sales last year, more than double what it did in 2009. Seymour said the firm serves 800 clients and leases 400,000 barrels. He said it doesn't matter where a winery wants to source its barrels, H&A will facilitate the deal and help wineries flatten their barrel costs. "The way our program works, it al- lows the winery with our financing—our rates are very competitive—to save that cash and keep it in their pockets." He added that the firm also launched an online database that allows clients to main- tain several years' worth of barrel inventory and costs. Winemakers can look up how much they spent on what type of barrel and during which vintage. The data should allow wineries to maintain a consistent budget for their barrel costs. "They know exactly what they're spending year after year," he said. When the barrels have reached the end of their useful life, Seymour said H&A sells them on the secondary market. Win- eries can opt-in to a "quality charter" pro- gram that involves wine analysis before the final racking to ensure the barrels are at top quality to earn the greatest value on the second-hand market. Seymour said the clients for second- hand barrels include other wineries, distilleries and breweries. "A barrel has many, many lives to it." TRY BEFORE YOU BUY – CONTACT YOUR LOCAL REP TODAY FREE TRIAL OF OUR NEW TANKJET® 55 BARREL CLEANER SUPERIOR SPRAY. SERIOUS RESULTS. TankJet 55 barrel cleaner for cleaning barrels up to 5' (1.5 m) in dia. Take advantage of this risk-free offer to try our new TankJet 55 barrel cleaner in your winery. You'll experience benefits like these: • Powerful cleaning using low flow rates to prevent toast removal and reduce water and chemical use • Fast cycle times enable cleaning of multiple barrels in minutes • Durable construction and use of wear-resistant materials extend service life • Easy to use – compatible with most pumps and pressure washers Try the TankJet 55 today! Call 1-800-95-SPRAY or visit TankJet.com. WINES & VINES SEPTEMBER 2012 39 WINE INDUS TR Y FINANCE