‘Insufficient cash’: Online drinks retailer BoozeBud hunts for new buyer

While consumer trends around beverages and alcohol have shifted over the past few years and led to the growth of the non-alcoholic and ready-to-drink sectors, Australians have displayed a penchant for pouring their own money into budding beverages start-ups.

Equity crowdfunding platform Birchal’s top three campaigns last year were breweries that raised more than $2 million each. Its 2022 report revealed the food and beverages industry was the most-invested industry last year, accounting for $28 million, or 39 per cent, of total Australian crowdfund raisings.

BoozeBud was founded in 2014 by Alex Gale, Mark Woollcott, and Andy Williamson and initially began trading under the name BeerBud, specialising in craft beer.

It was rebranded to BoozeBud in 2016 to encompass a wider range of liquor after being sold to Carlton United Breweries (CUB). It was sold again to ZX Ventures, the global venture capital arm of AB InBev, the world’s largest brewing company, in 2018.

Japanese beer giant Asahi acquired CUB and ZX Ventures in 2019, and decided to sell BoozeBud back to the original founders in 2020.

The drinks website’s first creditors’ meeting will be held on May 9.

The number of failing businesses has nearly doubled in a year due to tough economic conditions and the withdrawal of government pandemic support, with some experts describing the situation as “insolvency armageddon”.

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