The Advisor - Issue #32 v1 : simplebooklet.com

CEO s Note Kicking off Q4 of 2023 with a bang Looking For New Liquor Store Listings CLICK HERE Changes are coming to the liquor license industry in Boston The long awaited hearing for Boston s proposed Home Rule Petition happened last week as restaurant owners across the city patiently await the final ruling As many as 250 non transferable liquor licenses could be added to the market over the next 5 years leaving today s liquor license owners wondering how this will impact them Meanwhile off premise owners prepare for how Sober October and other trends will affect their sales numbers If you re curious about the impact on your liquor store or license reach out anytime Sincerely DAN NEWCOMB Founder CEO Liquor License Advisor THE ADVISOR MAGAZINE 2 www LiquorLicenseAdvisor com Page 3 4 Boston s Home Rule Petition Hearing Page 5 6 Don t Fall Behind This Fall Page 9 Sober October Page 10 Listings Liquor License Advisor has been a trusted resource in the liquor store and license industry since 2002

Page 3

Boston s Home Rule Petition Hearing October 2 2023 by Dan Newcomb Hearing to Consider 250 New Liquor Licenses in the City of Boston A Brief Summary and What the Change Could Mean for Local Business Owners On October 2 2023 a legislative hearing to consider additional Boston liquor licenses took place at the State House Mayor Michelle Wu City Councilor Ruthzee Louijeune Councilor Brian Worrell and Councilor Ricardo Arroyo were the forefront of the proposal to advocate in support of the home rule petition which would allow the city to issue 250 new liquor licenses in ten specific zip codes over the next five years if it becomes law To become law the bill still needs to pass the full Legislature and be signed by the Governor Most everyone in the liquor industry here in Boston has not only heard of this bill but likely has an opinion on it as the stakes and emotions are high The Boston Herald The Boston Globe CBS Boston and WGBH Boston are just a few of the local news outlets that immediately covered the hearing which also struck up some chatter on social forums like Reddit Boston as well THE ADVISOR MAGAZINE 3 There are a few reasons why the petition has received so much attention the quota system currently instituted within the city allows only for a certain amount of full alcohol and wine malt licenses to be issued which some view as an antiquated system Due to the limited supply and the high demand for them full liquor licenses in Boston have recently sold for as much as 600 000 which is being seen as disadvantageous competition to obtain a license The hearing highlighted what some view as inequity in the current system because a majority of the licenses end up in wealthier parts of the city In these higherincome neighborhoods business owners have historically had the financial standing to afford the current high cost of a liquor license The Boston Herald reported that Mayor Wu told The Joint Legislative Committee that the legislation seeks to remedy inequities created by the city s current structure which allows licenses to be transferred from the targeted neighborhoods to wealthier areas like the downtown and Seaport The argument that the neighborhoods lacking licenses are often lower income which proponents of the bill argue leads to a lack of cultural representation in Boston s restaurant and bar scene

Page 4

BOSTON S HOME RULE PETITION HEARING CONTINUED CBS News ran a story on October 3 titled Bill aims to bring more liquor licenses to minority owned businesses in Boston making race the forefront of the push to change The article reports that Right now there are about 1 100 liquor licenses in Boston But less than four percent are held by Black owned businesses and that Some of the owners who testified at the State House say this bill will make or break them The hearing featured many restaurant owners from the zip codes in question including Mattapan Dorchester Roxbury Roslindale East Boston and Hyde Park who fear that their doors will be closed without a liquor license Another facet of support for the proposal is that sit down restaurants where patrons can enjoy a drink and a meal create a sense of community and bring vibrancy to a neighborhood and that without these establishments many Boston neighborhoods are suffering and are less likely to drive tourism and patronage The hearing addressed statistics such as the South Boston waterfront is home to half a percent of Boston s population but has more than 15 of the city s liquor licenses and that Dorchester houses over 14 of all Bostonians but has less than 3 of the city s liquor licenses Some current license holders who are not in favor of the bill expressed their opinion According to The Boston Globe the fear that flooding the market with new licenses will devalue the ones they currently hold That can be devastating for businesses whose licenses make up a large chunk of their equity or those who plan to use the permit as collateral for a loan People may also wonder how many more bars and restaurants serving alcohol will affect the social climate of Boston or how levelling the system will affect capitalism here in the city Although the hearing did feature a lot of support from restauranteurs as well as city and state officials members of The Joint Committee on Consumer Protection and Professional Licensure pointed out their concerns with the petition including whether or not there would be demand for 250 new liquor licenses in the targeted neighborhoods and if one owner could potentially own all new licenses in a designated area There are many sides to this proposal and many personal and business stories to consider The Consumer Protection and Professional Licensure Committee is not yet ready to move forward with the proposal WGBH reports that They the lawmakers on The Consumer Protection and Professional Licensure Committee asked Wu and her team to return with more information including data on how many licenses are not currently in use and the status of licenses granted under a 2014 law that made a new crop of licenses available in certain parts of the city If you are wondering how this proposal may affect your business if it passes or not feel free to give us a call We will continue to monitor the progress and will keep you informed on the latest developments and what they might mean for business owners here in Boston THE ADVISOR MAGAZINE 4

Page 5

Don t Fall Behind This Fall What Beverages Are Consumers Falling For by Michelle Hansford As autumn moves in the summer now seems like a distant memory bringing with it a season of change in all aspects The leaves begin to turn temperatures continue to drop darkness sets in earlier and the holiday season is suddenly just around the corner Fall means football to many and get togethers shift to include indoor spaces with friends and family huddled around the TV to watch a Sunday football game or perhaps gathered at the local bar to catch a Thursday evening game after work And let s not forget tailgating at any and all football games from the NFL to the local high school many enjoying the crispier weather and reason to celebrate outdoors beyond the summer months And of course this month also brings Halloween which traditionally has been a children s holiday but is now increasingly celebrated more than ever by witches and goblins of all ages with many Halloween parties and celebrations While trick ortreaters are collecting treats adults are enjoying 21 treats of their own namely the many seasonal alcoholic beverage options now available this time of year THE ADVISOR MAGAZINE 5 As soon as Halloween is over plans for Thanksgiving Friendsgiving and holiday shopping are in full effect resulting in more reasons to get together and celebrate this fall With the feeling of change in the air and a variety of reasons to celebrate it is important for off premise and on premise operators to understand what consumers are drinking and buying Immediately following Labor Day Drizly s BevAlcInsights announced their Top Predictions for Fall 2023 Beverages Sales which includes critical data to consider when stocking your shelves and bars for the months ahead There are three key categories trending right now and it s not all pumpkin Read on to see what beverages consumers are falling for this fall Italian Red Wines Red wine is generally associated with colder weather but this year the category remained popular all summer long Liz Paquette the head of consumer insights at Drizly states in the report that consumers are beginning to see red wine as a more versatile year round drink rather than a seasonal beverage with increasing plans to drink it during the summer months and that s spilling over into the fall season as well

Page 6

Don t Fall Behind This Fall Continued More specifically this fall it s the Italian wine category that is growing in popularity which could be due to the social media focus on an Italian summer The fastest growing red wine varieties on the platform this year are Sangiovese Montepulciano Barbera and Nebbiolo according to Drizly s report The increase in Italian red wine s popularity could be a good thing for retailers as a higher average unit price comes along with these imported options Drizly suggests that Retailers should consider stocking Italian reds in the 10 to 20 and 20 to 30 range which account for 65 percent of Italian wine category share Lagers Consumers typically have brews brewing at the forefront of their minds this time of year as beer is the typical go to for tailgating and football and the popular and highly anticipated pumpkin and autumn inspired beer flavors are top of mind Lagers and lager subcategories including light lagers American style lagers pilsners and pale lagers have all seen an increase in popularity as it appears that consumers have recently shifted back to more classic beverages as IPAs and hard seltzers are put on the backburner The top selling pumpkin flavored beers on Drizly over the past year and ones to ensure are on your shelves and menus this fall are Montauk Pumpkin Ale Shipyard Pumpkinhead Ale Elysian Brewing Pumpkin Pack Brooklyn Post Road Pumpkin Ale and Downeast Pumpkin Cider Reposado We all know how popular tequila has become in the past few years and according to the Drizly report tequila has become a Halloween drink as consumers are sipping the beverage more now than ever and not only using it for their warm weather margaritas Reposado appears to be the most popular option and brands to include in your autumn ordering are Clase Azul Reposado Tequila Casamigos Reposado Don Julio Reposado Espol n Tequila Reposado Teremana Tequila Reposado and Don Julio Rosado Tequila Reposado As summer led into fall which will soon turn into winter don t be left out in the cold by offering what consumers don t want Italian red wine lager pumpkin flavored beers and reposado are trending now Don t fall behind this fall Paquette notes that light lager has regained its position as the top selling beer subcategory on Drizly but lager s popularity doesn t mean that pumpkin flavored beer won t be popular as well according to the report THE ADVISOR MAGAZINE 6

Page 7

FOR LIQUOR STORE AND RESTAURANTS OWNERS Our 20 years of experience in the industry have allowed us to become a major go to resource What We Do Traditionally we re known as a broker of liquor licenses and stores in the state of Massachusetts with clients in NJ RI CT and NY Our roots are in Boston however with the full New England perspective we re able to gain insight into trends policy and resources for our clients Who We Are We are a small sized family based team with big dreams We ve had the honor of representing more than 1500 transactions over the years and continue to strive to be the industry gold standard for our clients NEED ADVICE GET IN TOUCH Call Text 617 648 5558 Did You Know We Can Help With License Acquisition Strategy If you re expanding into new markets and want to get strategic we are here for you We know where the competition is and when to capitalize Liquor License Or Store Valuations Sometimes owners need to know the value of their assets to sell or for other personal reasons This is our wheelhouse Transition Planning If you are planning to exit your business in the next few years we can help you to plan to get the greatest return

Page 8

IN HIGH DEMAND LIQUOR STORES WANTED CONTACT US NOW Call text 617 648 5558 Email team llausa com STORE OWNERS We have a number of highly qualified buyers looking for well run stores in specific locations Since the pandemic a specific store type and location have been in high demand Liquor stores doing close to or over 1 million in sales that are well run and in prime locations include but are not limited to the following areas CAPE COD SOUTH SHORE MIDDLESEX COUNTY If this sounds like your store or you ve been considering selling and want to know what your options are it s time for a confidential conversation WE RE HERE FOR YOU

Page 9

Sober October How This Trend Is Impacting Alcohol Sales by Michelle Hansford We ve all become increasingly familiar with Dry January but have you heard of Sober October According to a recent USA Today article this movement is becoming increasingly popular as consumers make more health conscious purchases trading in their alcoholic beverages for non alcoholic or low alcohol substitutes Some people are trying out this lifestyle shift for a month to consider the benefits of not drinking while others are trading out a few beverages here and there however others are making the shift to eliminate all alcohol entirely be sure to display and forefront the no and low alternatives for the pumpkin beer and spiked ciders that will occupy your shelves this autumn Here are some popular no and low options according to the USA Today article Beer Some popular choices are Clausthaler Bud Zero Heineken 0 0 Samuel Adams Just the Haze and Boulevard Brewing s Flying Start non alcoholic IPA Special Effects Hoppy Amber Sierra Nevada Brewing Co s Hop Splash With so many options for no and low alcoholic beverages now on the market and so many consumers willing and eager to try them out it is important for liquor store owners to stock their shelves this month with a variety of choices for Sober October The USA Today article cites that sales at retail racked up 510 million for nonalcoholic products during the 52 week period ending July 29 2023 which is an increase of 31 over the same period a year ago according to the Nielsen IQ which tracks sales at retail including supermarkets and convenience stores Wine Some brands to try include Sovi Surely Proxies Blanc Slate Non Spirits Some brands to try include Mocktails Peak Cocktails De Soi Kin Euphorics Tilden Cocktails Will this sober movement affect liquor sales for the month of October For the foreseeable future Combined with the impact inflation continues to have on consumers will liquor sales dip due to consumers cutting back not only their drinking but their spending The younger generations are continuing to cutback and as they often drive the market producers have listened and retailers should too We will keep you updated on the emerging no and low trends as inflated prices continue into the quickly approaching holiday season THE ADVISOR MAGAZINE 9

Page 10

THE ADVISOR MAGAZINE  | 10QUESTIONS ABOUT LISTINGS?Call/Text Ben Jerrom Partner & Buyer SpecialistCell: 617.936.7102OUR FEATURED LISTINGLiquor License Advisor is proud to offer, for yourconsideration, a unique opportunity to own a“reinvented” liquor store in a prosperous SuffolkCounty neighborhood. The store, which is currentlyoperating as a boutique liquor store within arestaurant, has a full liquor license and is ready toexpand into the 2,000 square foot restaurant space.This new concept presents an incredible opportunityfor a new owner who is seeking a high-end, freshlyrenovated store at a reputable, established location,complete with a full liquor license in an extremelysought-after neighborhood. Do not miss thisopportunity to reinvent this newly expanded space intoa thriving, upscale business! Featured Listing: Full Alcohol - Package Store Suffolk CountyReason For Selling: The owner isexploring other business opportunities.Opportunities: Online Presence, delivery,and special orders. Asking Price: $300,000 by Ben JerromContact Ben Jerrom directly for further details on all of our current listings.Call For InformationCall For Information

Page 11

OUR FEATURED LICENSES by Ben Jerrom Off Premise Retail Beverage License suited for a package store supermarket convenience store or gas station Attleboro S15 WM 125 000 NEW Cambridge S15 AA 550 000 Franklin S15 WM Inquire For Pricing Great Barrington S15 WM Inquire For Pricing Maynard S15 WM Inquire For Pricing Newton S15 WM 135 000 Somerville S15 WM 225 000 On Premise Retail Beverage License suited for a restaurant hotel club or tavern Gloucester S12 AA 125 000 Saugus S12 AA 125 000 Woburn S12 AA 110 000 Call For Information Contact Ben Jerrom directly for further details on all of our current listings QUESTIONS ABOUT LISTINGS Call Text Ben Jerrom Partner Buyer Specialist Cell 617 936 7102 THE ADVISOR MAGAZINE 11

Page 12

YOUR TRUSTED INDUSTRY PARTNERDid you know that for over 2 decades, our Founder, Dan Newcomb, hasbeen in the liquor license industry as the "go-to" for other industryprofessionals and leaders? Every phone call that comes into our office is about a liquor license. Wedon't work in any other industry besides liquor stores and licenses.We provide owners with a "firewall" to protect them from all of the pitfallswe know are out there throughout a transaction because we know how toprepare the deal and navigate the waters. We're here for you.Meet Our TeamDan NewcombCEO & FounderBen JerromBuyer SpecialistJennifer MedicoTransaction SpecialistGlenn LawlerSeller SpecialistMichelle HansfordSeller ConciergeSherri BeauchampMarketing SpecialistQuestions?Call 617.648.5558 orvisit: LiquorLicenseAdvisor.comKate NewcombProject Specialist

Page 13

References:© Liquor License Advisor 2023, All Rights Reserved Unless Otherwise NotedSpecial Contributions & Acknowledgements:- Features Editor & Editorial Assistant: Michelle Hansford & Kate Newcomb;- Magazine & Digital Editor: Sherri Beauchamp.THE ADVISOR MAGAZINE  | 13Don’t Fall Behind This Fall (Page 5-6)1 – Drizly’s Top Predictions for Fall 2023 Beverage Sales, Drizly by BevAlc Insights Team.(https://bevalcinsights.com/drizlys-top-predictions-for-fall-2023-beverage-sales/)1 – 'Sober October' is here. With more non-alcoholic options, it's easy to observe. Here's how. USA Today, Mike Snider on Oct. 2, 2023. (https://www.usatoday.com/story/money/2023/10/02/sober-october-2023-mocktails-non-alcoholic-beer-wine/70980938007/)Sober October (Page 9)Boston’s Home Rule Petition Hearing (Page 3-4)1 – Boston Mayor Wu petitions Beacon Hill for 250 liquor licenses, Boston Herald October 2, 2023 by GAYLA CAWLEY(https://www.bostonherald.com/2023/10/02/boston-mayor-wu-petitions-beacon-hill-for-250-liquor-licenses/)2 - Bill aims to bring more liquor licenses to minority-owned businesses in Boston, CBS News Boston, OCTOBER 3, 2023 byPAUL BURTON (https://www.cbsnews.com/boston/news/minority-run-small-restaurant-owners-speak-out-in-support-of-new-liquor-license-bill/)3 - Wu, Boston councilors ask lawmakers for 250 extra liquor licenses, GBH, on October 02, 2023 by Katie Lannan(https://www.wgbh.org/news/politics/2023-10-02/wu-boston-councilors-ask-lawmakers-for-250-extra-liquor-licenses)4 - Boston takes its case for more liquor licenses to Beacon Hill, Boston Globe by Diti Kohli, Updated October 2, 2023(https://www.bostonglobe.com/2023/10/02/business/boston-liquor-license-expansion-proposed/)

The Advisor - Issue #32 v1

Page 1

Page 2