Karrikin Spirits — HB 669 — Written Testimony

Summary

Written testimony from Karrikin Spirits on HB 669, with the bill described as an act to amend sections 4301.10 and 4303.041 and to enact sections 4303.185 and 4303.252 of the Revised Code on the sale and delivery of alcoholic beverages by liquor permit holders. The testimony states that Karrikin Spirits was founded by seven partners in December of 2018, that the company had to lay off 30+ employees when the shutdown occurred, and that it went from 40+ employees to 5. It states that passing the bill would put distilleries on a more level playing field with wineries and breweries, whose deliveries are permitted. Karrikin Spirits states that it is a proponent for HB 669, and an About Jeff Hunt section closes the document.

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Karrikin Spirits - HB 669 - Written Testimony
To amend sections 4301.10 and 4303.041 and to enact sections 4303.185 and 4303.252 of the
Revised Code to enact provisions of law relative to the sale and delivery of alcoholic beverages
by liquor permit holders and to declare an emergency.

Karrikin Spirits Background
Karrikin Spirits was founded by seven partners in December of 2018. As a company, Karrikin
makes multiple products for retail - a range of spirits that includes vodka, gin, rum, brandies,
etc.; beer; non-alcoholic sodas; sparkling spirits (low proof cocktails); and hand sanitizer. As part
of the Karrikin brand, we also operate a restaurant and bar that has been recognized by the
Cincinnati community for it's flavorful culinary dishes and unique cocktail program. Karrikin's
innovative sparkling spirits have been recognized in the City Beat "Best of" competition. Outside
of Cincinnati, Karrikin products can be found in Dayton, Columbus and Cleveland. Prior to the
pandemic, Karrikin had also been exploring other markets (Chicago and the East Coast) to start
launching it’s products.

Difficult Startup
As with any startup business, there are often challenges in starting your business. And in a
heavily regulated and taxed industry, it certainly does not get easier. From the beginning,
navigating the waters of obtaining our permitting and doing so in a timely manner was certainly
not easy. Ohio is state controlled which certainly has some benefits, but can also make it tough
to market and promote our locally made products. There has been some progress in that side of
things to try and help highlight Ohio made products, but standing out against all the products the
international companies produce is tough and any edge the company can get to distinguish the
brand and services is beneficial.

Pandemic and shutdown
Since the pandemic started there have been a lot of highs and lows for Karrikin Spirits. The
company had to immediately lay off 30+ employees when the shutdown occurred because of
the lack of business. The restaurant side of Karrikin shut down and had to release all the kitchen
staff, management staff and front of house. The company was able to still carry on (limited)
alcohol sales with carry out and delivery, but that was not enough revenue generated to support
bringing staff back on the payroll. With bars and restaurants shutting down around the state,
Karrikin’s total sales dipped and all but 5 of the production staff had to be laid off. Going from a
company of 40+ employees to 5 was necessary but also has caused a good deal of stress and
strain on the company as a whole.

HB 669 Benefits
Currently, deliveries of products from wineries and breweries are permitted through Ohio law.
Delivery services from companies such as Amazon, Instacart, Kroger, etc. have allowed
consumers to order wine and beer with their grocery orders. Passing this bill would put
distilleries on a more level playing field with these other alcohol industries. Also, allowing bars
and restaurants to do deliveries of mixed drinks would help to move more product through those
businesses. Also, specifically giving distilleries the ability to deliver bottles would allow small
independent businesses to drive more business and drive more dollars locally. Currently,
Karrikin buys raw ingredients and packaging materials from Ohio farmers and businesses.
Keeping our business dollars within the state only helps to boost the Ohio economy.

Karrikin Spirits is a proponent for HB 669 and urges the committee and House Members to pass
the bill.



About Jeff Hunt
Jeff Hunt founded MadTree Brewing in Cincinnati in 2012, Karrikin Spirits in Cincinnati in 2018
and Ministry of Brewing in Baltimore, MD in 2020 and has other projects in the works within the
state of Ohio. His roles and responsibilities have included everything from master brewer and
distiller to engineering to President. He has won multiple awards for different beers, including
Happy Amber winning a gold medal at the Great American Beer Festival as well as multiple
awards throughout other various competitions and continues to innovate and push the
boundaries of the beverage world.


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