Qila Marias Tequila Ria Crowdfund Pitch Deck
RISK FACTORS CONT.
The Company's initial plan of distribution is in Florida and the Southeastern United States of Georgia, South Carolina, Tennessee, Louisiana and Arkansas. The
Company's tequila and margaritas will require the registration of the brands and get label approvals in each individual state. This is not particularly expensive, but
slow, and could cause the Company's distribution plans to be slower than we anticipate. As the Company expands into other states, each one will also require such
approvals.
Initially, the Company will bottle Tequila Blue Head under contract with Tequilera Las Juntas in Amatitan, Mexico. Las Juntas currently produces several other
brands of tequila, and the Company will be dependent upon Las Juntas to produce and bottle Tequila Blue Head in a timely manner. Distilling and bottling tequila
is time consuming; consequently, the Company will be subject to having its orders fulfilled slower than needed, should Las Juntas be producing and bottling
another brand.
Initially, the Company's portfolio will include Tequila Blue Head and Quila Maria's Tequila and Classic Lime Margaritas. Major liquor marketers and brands
have several flavors of tequila, margaritas and other ready-to-drink products available creating a tremendous advantage on the retail shelf. Shelf space is difficult
to obtain and a major brand with several flavors can, and does, demand that a retailer inventory all flavors, squeezing the small brand off the shelves or prime
placement. The Company does plan to develop other flavors of ready-to-drink margaritas; however, development of flavors and getting the required approvals is
time consuming and expensive and will require the Company to spend its resources.
Quila Maria's Tequila Ria, is a start-up company; investors should not invest more than they can afford to lose. They could lose their entire investment.
The Company will not be able to build the tequila ria until substantially all of the $1,000,000 is subscribed, consequently the Company will have to rely on third-
party bottling contractors and tequila distillery's. This will diminish margins increasing the difficulty of producing a profit. Although agreements are in place, no
assurance can be made that the contractors will continue to produce and bottle the margaritas and tequila.
The Company believes it can purchase bottling, distilling and other equipment sufficient to build the tequila ria with the allocated budget of $500,000. However,
no assurance can be made that is sufficient capital to attain such a task.
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