COLLYMOON CRAFT LIMITED

Executive Summary

Collymoon Craft Limited is a micro-entity in the early startup phase of the competitive UK craft spirits industry, specializing in small batch Scottish gin production. While currently experiencing typical early-stage financial challenges such as negative working capital and startup losses, the company is well positioned to leverage sector trends favoring artisanal and premium spirits. Strengthening financial footing and expanding market presence will be essential to establish itself amid strong competition from both craft and large-scale distillers.

COLLYMOON CRAFT LIMITED - Analysis Report

Company Number: SC727688

Analysis Date: 2025-07-29 19:25 UTC

1. Industry Classification
   Collymoon Craft Limited operates within SIC Code 11010 — "Distilling, rectifying and blending of spirits." This sector is part of the broader alcoholic beverage industry focusing on the production of spirits such as gin, whisky, vodka, and other distilled liquors. Key characteristics include capital intensity, regulatory compliance (e.g., excise duties, licensing), strong brand identity, and a growing consumer interest in craft and premium products. The UK craft spirits market is competitive yet expanding, benefiting from consumer trends favoring artisanal and locally produced beverages.

2. Relative Performance
   As a recently incorporated micro-entity (since 2022), Collymoon Craft Limited is in the very early stages of its business lifecycle. Its financials show net liabilities of £7,994 at the year ending March 2024, worsening from £3,378 in the prior year, reflecting initial startup losses common in new craft distilleries. Fixed assets are minimal (£602), indicating limited equipment or property investment so far. Current liabilities exceed current assets, resulting in negative working capital of £8,596, which is typical for early-stage micro businesses reliant on director loans—in this case, £10,618 loaned by the director. Compared to established distillers, these metrics are modest, but typical for micro-businesses in the craft spirits space where heavy upfront costs precede revenue generation.

3. Sector Trends Impact
   The craft spirits sector in the UK is experiencing growth driven by consumer preference shifts towards premiumization, authenticity, and local sourcing. Small batch producers like Collymoon Craft benefit from these trends but face challenges including high excise taxes, regulatory barriers, and strong competition from both large multinational distillers and other craft brands. The market also demands strong digital marketing and brand storytelling. Supply chain disruptions and inflationary pressures on raw materials and packaging can constrain margin improvements in the short term. However, the increasing popularity of gin and Scottish spirits internationally offers export potential.

4. Competitive Positioning
   Collymoon Craft Limited is a niche player, positioned as a small batch, family-run Scottish craft gin producer. This differentiates it from larger scale industrial producers by emphasizing artisanal quality and local heritage. Strengths include flexibility, close customer engagement, and the ability to innovate with product offerings. Weaknesses are its limited financial resources, negative working capital, and lack of economies of scale compared to sector leaders. The absence of employees suggests reliance on owner management and possible constraints on production capacity and marketing reach. To compete effectively, growth in brand recognition, distribution channels, and capital investment will be critical.