3 legal considerations when developing a vineyard business

On Behalf of | Sep 2, 2022 | Vineyard Law |

The overall climate and the soil in many parts of California make it an ideal location for successful vineyards, which is likely one of the reasons why most of the best-known domestic wine brands come from somewhere in California.

Maybe you were just able to purchase a large tract of arable land, or maybe you are about to inherit your family’s vineyard and want to expand the scope of operations to turn it into a much more profitable business. Whether you want to start a Wine of the Month Club to appeal to frequent drinkers or you want to start providing winery tours of your facilities, you will likely require legal advice as you make those adjustments to your business operations.

Federal and state laws closely regulate alcohol producers

Did you know that the size of the alcohol warning label that you have to include on every bottle of wine must get larger as the bottle grows in size? Are you familiar with restrictions at the state level that might affect the legality of shipping wine to consumers directly? Do you even have the right kind of insurance to allow visitors to traipse through your vineyards?

The exact legal concerns that your winery or vineyards will need to address depend in no small part on the kind of business operations you want to perform. Developing a working business model requires an understanding of your legal obligations and the possible liabilities associated with that plan.

An attorney can help you review your situation carefully, from validating the kind of insurance that you require to drafting contracts that will reduce your liability when you have consumers visiting your property.

Competing as a vineyard owner requires creativity or excellence

There are numerous approaches to running a successful vineyard that could work for your company, and you will very likely face competition from others intent on cornering the same market. Cooperating with numerous tour companies to bring visitors to your facilities is one option. Focusing on offering unusual kinds of grapes or winning awards for your wines could also be a way to command better prices for the wine that you produce or to drive demand for your wine in particular.

Simple mistakes during the planning stage and in how you protect your business’s assets could diminish the impact of your company’s success in the future. Identifying and addressing liabilities and expenses that may stem from your business model could help you run a more successful vineyard.