According to experts, there have been so many company failures in wine investment in the U.K. The question is, why? Well, they said that that wine is a fine investment but there are great risks in this kind of venture. If you try to check the statistical figure of the number of people who joins this investment, you will see the increasing trend. Now, take note, if you are very interested about it and you want to venture, think before you leap. There is danger in this investment most especially to the inexperienced, Twelve-By-Seventy-Five (http://www.twelve-by-seventy-five.com/) have put together some things to consider before you make the jump.
The cost of wine
If the profit fails to materialize, then you can at least drink it for pleasure; which means to say, do not get into the business to gain profit because you cannot expect too much in investment like this. Although wine investment is very tempting for some individuals, a person should be wise enough to find the best marketing strategies by weighing the chances and putting much hard work in marketing the fine wine. According to recent studies, this venture is risky even in experts. Sums of money is at stake here. You are not only going to find the wine per se but also spend cost on insurances, storage fees etc.
The volume of wine
For very eager amateurs, the initial step you should take is to at least buy at least two cases of any wine. Small quantities are good most especially for starters. This will give them the idea on how this venture works and it would further help them in weighing their chances in the business. If you are just starting and you spend too much on larger volumes, then you are putting yourself into too much danger. It does not make any financial sense to do this unless if your bank account allows it. An expert has once said “Collect wine as more of a hobby than an investment. Do not do it for money”. If you instill this in your head, then it would not hurt you so much in the end if it does not sell. Fine wines will always be a smart buy because it could last until 20 years ahead of them.
The quality of wine
The other hazard you should be cautious of is picking the quality of wine you are going to sell. Vintage wines is a great option but the thing is, there are suppliers who sell fake wines. Another thing to mention is, there are also suppliers who overprice their wines. Anybody who is tempted to venture should secure a trustworthy wine merchant and research to have the best buy. Also, they need to find time in examining different vintage reports and assessment on the variety of wines. Furthermore, if they are not confident enough to choose the wine themselves, then they should find someone who can give them good advises to guide them to the process.
The storage of wine
The risk does not end there. You need to find the suitable storage for your wines. Once you fail to find one, then it means a failing investment. Poor conditions can cause intense and drastic wine deterioration. What then is a suitable storage for your vintage wines? Well, to ensure the best cellar, you need a cool, dark place with no vibrations.