14 Businesses Doing a Great Job at venture capital

Posted by Atilano on January 19th, 2021

Frederick Achom is the chairman and founder at the Rosemont Group, which is an offshore based company that, among other things, owns a majority stake in the Bordeaux Wine Company, a wine advisory company with head-offices in London. Together with business partner and wine expert Anthony Grant, he has experienced the flurry that has taken place in the wine market over the past ten years as investors have come to realize the benefits of fine wines as an appreciable commodity. The fact that the market has increased from a 7 billion a year market in 2001 to 14 billion today confirms Achom's optimism and faith in what was previously perceived as a risky market.

™

Enjoying the Benefits of Investment in Fine Wine

The investment benefits deriving from the wine market is well known today, but it hasn't always been that way. It was only a decade ago that Boington & Fredericks of London, which was Frederick Achom's first company that provided wine investment consultation, was suspended from trading by the Department of Trade and Industry. The reason? The financial regulatory boards claimed that charging fees for wine investment advisory for wines with little or no chance of achieving a profit or growth. At a time that retailers were selling a case of Lafite '96 for only 2,000, Achom's company was selling them for as much as 3,900 with value-adds. While many believed that the money was ill-invested, they were proven wrong. As a case in point, that same case of Lafite '96 today sells in the region of 15,000 per case, cementing the notion that Achom's original perceptions about investment in fine wines were right on track.

Being the son of a wine collector, Frederick Achom has long been interested in wine qualities and varying vintages, but especially that of Bordeaux wine. However, in the past he rarely heard anyone speak about wine in regards to investment other than socially. With the mind of an entrepreneur, when a friend suggested that they begin buying wine to stock their own wine cellar, he took the opportunity to do an in-depth study on the wine market trends and pricing. While studying venture capital this field, he began to realise the paucity of available advice to help him make purchasing decisions. Although experienced wine investors were privy to this information, it was very difficult for the general buyer to come by. In 1999 he began to understand the great potential and took the plunge into the fine wine market. Achom felt that fine wine investment ticked most of the boxes for a sound investment; a finite commodity with a strictly limited production that enjoys an increasingly growing demand throughout the world.

Achom's company offered added value services, which were until then was only found in traditional investment markets, so for the first few years in business it had to charge relatively high-mark ups on its range of products. Now that the idea of investing in fine wine has evolved, he faces more competition and has restructured the company's business model to be even more competitive in the. That being said, his Bordeaux Wine Company still offers a more comprehensive wine advisory service than the ordinary wine merchants of today.

Preferred Wines for Safe Investment

Bordeaux wines rule the market hands-down when it comes to buying for investment purposes. The Bordeaux Wine Company goes one step further in advising its clients to purchase wines "en primeur", or wines in the barrel that have not yet been bottled. The "first growths" have a tremendous propensity for accruing value over time and they account for more than 60% of the wines sold at auctions. Some of the real winners have been vintages produced from classic years such as: 1982, 1986, 1989, 1990, 1996, 1998, with an emphasis on 1982.

Basics of Wine Investment

With the growing popularity in wine investment, there is an increasing need for professional wine advisories. This can be seen especially with the very recent emergence of the market in the Far East and South America, where the interested buyers are coming into the market without vast knowledge. First and foremost, the purchasing of fine wine should be viewed as a medium to long term investment. New investors need to spend some time doing their own research to understand the basics of wine investment. Carolyn Holmes, senior wine specialist for Christie's of London, advocates choosing wines with a long track record of success and a good reputation. Enzo Giannotta, of Cult & Boutique Wines, advises his clients to stick to the first growth wines, also known as the blue chip wines, which have shown consistency. He adds that it's good to buy en primeur wines, but only from well established wine merchants, but it's mandatory to make sure the company you're buying from has experience with en primeur wines, since you might need to wait two or three years from the time of the purchase until you actually have the bottled wine in hand.

When wood is used in widespread industrial and commercial applications, it is important to make it safe from biological degeneration, termite or fire.

It is done by a special chemical process called impregnation. Since the demand for treated wood is quite high, we need automated timber impregnation plant to cater it.

Several methods of impregnation are available, e.g., capillary, hydrostatic, diffusive, etc. The method depends on the physical phenomena involved in the process.

Before impregnation, the wood is required to be processed using any of these methods; mechanical working, slitting, drying or barking. These processes create slits and openings in the wood that increase the effectiveness of impregnation.

In the timber impregnation plant, the steps are carried out in a sequence.

A state-of-the-art plant brings process efficiency

When an impregnation plant uses advanced technology, it offers several models to the clients. These models take care of the exact needs.

Cylindrical, footed and horizontal models are used popularly. The plant includes mixing tank, impregnation tank, storage tanks and vacuum pump.

It is very important that the plant uses standard quality equipment so that high-quality impregnation can be achieved.

Properly processed wood contains all the necessary properties such as durability, strength, and longevity.

In order to make the wood safe against termites, pests, insects, and fungi, several preservatives are impregnated.

Impregnation not only increases the durability but safeguards the wood from external threats as well. It is the reason; it is a high demand.

A timber impregnation plant serves the increasing needs of the clients.