Starting a winery is one of the most exciting and rewarding ventures you can take on. It is also one of the most financially complicated. In those early years, you are likely spending heavily on grapes, barrels, bottles, vineyard labor, and equipment while waiting months or even years for sales to come in. With so much money going out and so little coming in at first, many winery owners look for ways to cut costs and dont think they need a bookkeeper in the first year of the winery. Bookkeeping often ends up on the chopping block.
It is easy to think, “I do not have that many transactions yet, so I can handle this myself.” But bookkeeping for a winery is not the same as balancing a checkbook or tracking simple business expenses. Setting things up correctly from the start is one of the most valuable investments you can make.
Why Winery Bookkeeping Is More Complex Than Other Small Businesses
Most small businesses can get away with a simple system. They track sales, a few categories of expenses, and payroll. Wineries are different because they sit at the intersection of several industries at once. You are running a farm, a manufacturing operation, and a hospitality business under the same roof. That means your books need to capture far more detail.
Here are just a few examples of what makes winery bookkeeping more complicated:
- Inventory is multi-stage. Grapes start as agricultural inventory, then move into bulk wine, and eventually become bottled wine. Each stage has different costs, and those costs need to follow the product all the way to the shelf.
- The timing of expenses and income is mismatched. You are paying for grapes, vineyard labor, and barrels this year, but you might not sell that wine until two or three years from now. Without proper accounting, your financials can make it look like you are losing money when you are actually building valuable inventory.
- Revenue comes from multiple sources. A single winery might earn money through a tasting room, a wine club, wholesale distribution, and direct-to-consumer shipping. If you lump all sales together, you cannot see which channel is driving the most profit.
- Regulatory requirements are strict. Federal excise taxes, state alcohol reporting, and agricultural deductions all depend on having accurate records. If your books are sloppy, compliance becomes stressful and risky.
The Hidden Costs of Waiting
Many winery owners tell themselves they will “get serious” about bookkeeping later, once sales pick up. The problem is that once “later” arrives, the damage is already done.
If you wait until tax season, you may find your books are out of sync with your bank accounts, your inventory has not been tracked correctly, and your expenses are scattered across vague categories like “supplies.” Cleaning up months or years of messy records can cost thousands of dollars and delay critical filings. By the time you bring in a professional, they often have to rebuild your entire system from scratch.
The other risk is missed opportunities. Without clean books, you cannot apply for financing with confidence, you cannot make pricing decisions based on actual costs, and you might miss valuable tax deductions that would have saved you money.
Why Starting With a Bookkeeper Pays Off
Hiring a winery accountant or bookkeeper in your first year may feel like an expense, but it actually saves you money in the long run.
Here is what you get when your books are set up correctly from the start:
- A chart of accounts designed for wineries, with categories that separate vineyard, cellar, tasting room, and overhead costs.
- Accurate tracking of inventory at every stage of production so you know your true cost per case.
- A clear picture of cash flow, showing when money is going out and when it will come in.
- Organized records that make compliance with federal and state reporting far less stressful.
- Financials you can actually use to make decisions about pricing, production, and staffing.
Instead of waiting for a tax surprise or a financing roadblock, you are building clarity into your operations from day one.
What If I Cannot Afford a Full-Time Bookkeeper?
Many new winery owners assume hiring a bookkeeper means committing to a full-time employee, which feels impossible in year one. The reality is, you have flexible options.
Some wineries start with a part-time bookkeeper who handles the basics each month. Others work with a winery accountant who sets up the system, provides a chart of accounts template, and then checks in quarterly to make sure everything is on track. At Llamas Financial, we often create a scaled approach so you only pay for the level of support you actually need in those early years. Then, as your winery grows, the bookkeeping support grows with you.
This allows you to protect your budget while still ensuring your books are accurate.
Takeaway
In your first year, you do not need to spend money on every possible service, but bookkeeping is not something you can afford to skip. Clean, accurate books give you the foundation for smart decisions, compliance peace of mind, and long-term profitability. Messy books create stress, cost more to fix later, and can even put your winery at risk of penalties or missed opportunities.
The short answer to the question is yes, you really do need a bookkeeper your first year.
But it does not have to be overwhelming or unaffordable. With winery-specific support, you can start simple, stay compliant, and build a financial foundation that supports your winery’s success for years to come.
At Llamas Financial, we make it easy for wineries to start strong. With a winery accountant guiding your bookkeeping from the beginning, you get clarity, control, and confidence in your numbers.
