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(Dan Shelton in happier times}
On November 5, Good Beer Hunting broke the news that Shelton Brothers, who for the last 24 years have imported some of Europe’s most infamous beers was, ceasing operations.
So what happened?
Well, COVID-19 happened, but Shelton Brothers’ downfall was seeded even before the pandemic hit our shores…
Launched in 1996, Shelton Brothers was formed by three family members, all beer lovers, who turned a hobby into a successful import business aftef Joel Shelton stumbled upon Cantillon Brewery in Brussels.
Riding the wave of beer interest generated by the emerging craft beer scene in the US, the company quickly broadened into an international portfolio of Belgian and European offerings and even added some hot American craft beer brands.
At its peak Shelton Brothers was the sole importer for renowned brands that include Cantillon, Drie Fonteinen, Fantôme, and De La Senne. And as GBH reports they also served “as a distribution partner for American breweries, cideries, and meaderies including Jolly Pumpkin Artisan Ales, Anchorage Brewing Company, and Saint Somewhere.”
And the brothers, Dan, Joel, and Will Shelton also sponsored a prestigious series of festivals that brought together some of Europe’s most celebrated brewers and some of the world’s most coveted beer brands.
Shelton Brothers’ problems started some years prior to the onset of Covid-19, which clearly impacted the Belchertown, Massachusetts-based company…
According to the always excellent beer writer, Kate Bernot, who spoke with Dan Shelton regarding the issue, the company’s cash-flow problems date back to 2018, when two significant craft brands stopped doing business with the importer…
“Prior to that, Shelton asserts business was good with annual revenue in excess of $10 million. But those revenues were heavily dependent on selling products from two beer companies: Copenhagen-based Mikkeller and McAlester, Oklahoma-based Prairie Artisan Ales. Together, Shelton says, sales of the two beer brands made up half of Shelton Brothers’ revenue.”
The Denmark-based Mikkeller opened its own brewing operation in the US, dumped Shelton Brothers, leaving the company with a huge imported inventory while it sold its San Diego brewed products for less.
And finally the economic impact of COVID-19 dealt a deathblow to the influential importer…leaving Shelton Brothers with difficult debt obligations.
The importer’s lender, “Berkshire Bank, plans to seize the importer’s assets to cover their extensive debts.” reports MSN. “And at this point, the company has reportedly already laid off 25 members of its staff.”
