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Absurd Marinade – a Contract Manufacturing Success
“I sought Manufacture Nevada to assist in putting the pieces of my start-up together. Their representative was our teacher, mentor, business advisor, and more as I began contacting third party production providers. Without Manufacture Nevada and their assistance, A&S Industries, LLC and its initial product line of Absurd Marinade would not have achieved the product placements in such high end retail outlets as Safeway, WalMart, Winco, and many more. In addition, through their start-up assistance, negotiation assistance, growth guidance and marketing strategies A&S/Absurd would not have achieved such growth selling out their first production line under target date as well as in the midst of finalizing their second product release, designing third product recipe and authorizing a second pallet run of the first product.”
– Alan Roach
The Client
A&S Industries, LLC is a start-up hand-crafted marinade company specializing in marinades for meat, poultry, seafood and more. A&S Industries was founded in 2016 by Alan and Sherri Roach with its initial product Absurd Marinade. The business was created because Alan and Sherri wanted to bring a product to the west coast that Alan’s father introduced to him as a child. The call to action for initiating manufacturing of the launch product – marinade for beef and pork – was because the success of several E Clampus Vitus (ECV) weekend events. Alan prepared and served numerous steak sandwiches that he marinated in the original recipe from his Dad. At these events, Alan marinated over 20 to 30 pounds of beef. The feedback he received was extremely positive with the request that he provide these sandwiches at all the ECV events. A&S Industries knew they had something good with so much positive feedback so the journey began with the original thought of opening a small drive thru / storefront to sell the sandwiches. However, after looking at all the steps and costs involved in opening a small drive thru, it quickly became apparent that a standalone facility was out of their scope at this time. A&S Industries then decided to look into what it would take to manufacture the marinade – enter Manufacture Nevada. Through their project work with Manufacture Nevada, Alan and Sherri agreed that contract manufacturing was the best way to get their in-demand product to the marketplace.
The owner, Alan Roach, is in a contract manufacturing arrangement with a local food and beverage manufacturer, Damon Industries.
The Situation
Because Alan had a great recipe for a marinade and did not have the resources to do the actual manufacturing, entry into the industry was the initial problem to be resolved. As a result of his contact with Manufacture Nevada, Alan began negotiations with the local food and beverage manufacturer utilizing the guidance of his Manufacture Nevada rep. The relationship with the contract manufacturer has evolved into a multi-product engagement.
The Solution
Manufacture Nevada's expertise in both manufacturing and start-up businesses assisted with many business needs such as establishing NDAs, negotiating contract agreements, determining volume demands, financing of first run and providing for continued expansion. Manufacture Nevada assisted in the establishment of an ongoing business contract with Damon Industries while insuring Alan’s interest and intellectual property was protected. In addition, Manufacture Nevada assisted with his marketing, placement and growth strategies. At present, Alan is working with his Manufacture Nevada Project Manager in the development of his financial statements in anticipation of his next expansion and possible funding needs.
The Results
In early June, the first run of Absurd Marinade for use on beef and pork was completed through the contract manufacturer, Damon Industries. The commercial start-up began in early April, 2016 and had first product produced June, 2016. Currently it is reaching sold out stage; and second run of product one and first run of product two is in the process–ahead of schedule by two months. A&S, through both Manufacture Nevada and Damon Industries contacts, has secured placement in 19 locations including both Northern Nevada Winco locations, all Scolari’s and Sak N Save locations, both Sportsman’s Warehouse locations in Reno and Carson City, Butcher Boy, Buy Local Nevada and Flag Stores, Fallon Food Hub and Louis’s Ace Hardware, 76 Station Deli in Fernley and Payneless Tattoo, Fernley, Starpoint Trading Post in Imlay, along with approval for Safeway in the spring of 2017. Also, established an online presence with sales through Amazon and the company website. Phase II anticipates inclusion in Costco, Safeway and other large scale retailers.
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