Should a small spirits brand build an internal sales team or work with a distributor to grow distribution?

The choice depends heavily on brand maturity, geography, and long-term exit strategy. Both approaches have distinct trade-offs.

**Distributor Route:** - **Reduces upfront investment** — blending your brand into an existing portfolio cuts costs compared to hiring a dedicated sales team - **Serves as a reality check** — distribution through a distributor is "the moment of truth" for whether the brand resonates with the trade at scale; this can be more objective than founder assumptions - **Portfolio dilution risk** — your brand becomes one of many; sales staff will not talk exclusively about your brand, so visibility may be lower - **Works best with niche, high-quality distributors** — a hybrid approach with a distributor who has several premium brands and a strong on-trade network can accelerate growth while keeping payroll lean

**Internal Sales Team Route:** - **Founder advantage** — founders typically close more business than hired salespeople because buyers value relationships with founders and you know the brand best - **Stage matters significantly**: Early days (geographic focus) — hire a small, passionate, charismatic person to build trade relationships locally; no need for a big salary. National accounts — expect much higher salaries, longer sales cycles, and substantial listing fees and rebates - **Long-term investment** — regional and national teams rarely show ROI in year one; this is a multi-year play - **Benchmark value** — employing salespeople can serve as a strategic benchmark for where your brand actually sits in the market, providing a reality check on distribution targets and ROS

**Hybrid Approach (Emerging Best Practice):** - Work with a strong distributor to build brand recognition and performance within their portfolio, then reinvest profits (not spent on a large team) into your own small sales team as the brand matures - Keep founder actively selling (delegate ops/finance to others) — this usually generates better ROI than hiring expensive salespeople early

**Critical Consideration:** - Clarify your exit strategy first. Whether you plan to sell the brand or build it for ongoing profit shapes how much you should invest in a sales force and for how long.