Black Collar Distillery founders Jonathan McLean of Kerikeri, left, and Jamie Chisnall of Whangārei are optimistic and expanding despite a looming recession. Photo / Peter de Graaf
Black Collar Distillery founders Jonathan McLean of Kerikeri, left, and Jamie Chisnall of Whangārei are optimistic and expanding despite a looming recession. Photo / Peter de Graaf
Predictions of a recession aren’t dampening the enthusiasm of Northland business owners planning to expand after years of Covid restrictions.
Upbeat entrepreneurs include Jonathan McLean, of Kerikeri, and Jamie Chisnall, of Whangārei, whose Black Collar Distillery has just moved into bigger premises near Bay of Islands Airport.
The duo —who make award-winning vodka, gin and rum — had been operating out of a small industrial unit in Waipapa, but the move means they can scale up the business and buy ingredients in bulk to reduce costs.
McLean started the business in 2017 after years of working in the UK and the Middle East.
His time overseas taught him the Bay of Islands had a “fantastic” international reputation so he was convinced it was the right place to start a distillery.
McLean said they had cultivated multiple sales channels — online, through stores, and direct to hospitality — and were staying flexible and ready to adapt at short notice.
While the Waipapa premises suited them at the start it proved too small once the business started taking shape.
“We were constantly moving five things to get at one thing and it restricted our ability to order materials in bulk. Most of all, it slowed our production as we had to plan our movements.”
The new premises, roughly four times the size, meant they could now order ingredients in bulk. That cut out some supply issues and constant price rises.
“We recently took delivery of our first container of molasses, which we use to make rum, direct from the grower in Mozambique. It was a monumental day,” McLean said.
Black Collar Distillery founders Jonathan McLean, left, and Jamie Chisnall make award-winning vodka, gin and rum. Photo / Peter de Graaf
Chisnall said they had reduced costs not by cost-cutting but by being smarter, for example by seeing if products of the same quality were available elsewhere at a lower price.
They had also invested during the past year to automate anything that didn’t have to be done manually.
Despite the gloomy predictions for 2023 Chisnall said they were feeling optimistic.
“I think we’ve put ourselves in the right place in the market. People who still want to enjoy fine things will find we’re still accessible. We have awards and quality behind us but customers don’t have to fork out the $90-$100 per bottle charged by some overseas brands. Our quality is as good if not better.”
McLean said the launch of a series of new spirits was another reason to be excited about 2023.
“We’ll also be looking for more staff for our next stage of growth. We feel that after five years in the business, we’ve only just started to get going. The next five are going to be truly epic.”
Waikeri “Budda” Birch has been running his personal training business out of a Tikipunga garage but he's about to move into proper commercial premises in Glenbervie. Photo / Tania Whyte
Personal trainer Waikeri “Budda” Birch, of Whangārei, is another small business owner looking forward to 2023.
Birch started Smart Active Solutions straight after the first lockdown, offering personal training in a converted garage in Tikipunga as well as bootcamps and boxing classes in the community.
He also runs specialist fitness classes in an adult daycare centre and for men with prostate cancer. He has had to take on a contractor to meet demand.
Now Birch is about to take another step by moving into a 70sq m building in Glenbervie.
The extra space would allow him to bring in more equipment, run group training sessions and boost client numbers.
Whangārei personal trainer Waikeri “Budda” Birch started Smart Active Solutions straight after the first lockdown, operating out of a garage. Photo / Tania Whyte
Birch admitted expanding in the face of a recession was “a little bit daunting” with prices rising and people likely to cut discretionary spending.
However, that worked both ways in the fitness industry — while some people cut spending, others saw economic stress as an added reason to focus on their mental and physical wellbeing.
“Clients have been telling me, ‘I might as well look after myself’. It’s the first time since Covid they’ve really had a chance to do something for themselves.”
Birch’s plans for dealing with a recession included keeping costs within people’s means.
“Instead of putting prices up I’ll try to keep them lower but get more people through the door.”
Waikeri “Budda” Birch's plans for dealing with a recession include keeping costs within people’s means. Photo / Tania Whyte
