LOUISVILLE, Ky. – August 26, 2025 — Lofted Custom Spirits, the nation’s first and leading custom contract whiskey distiller, has announced the launch of its Alternating Proprietorship program, a groundbreaking initiative that allows whiskey brands to leverage Craft Beverage Modernization Act (CBMA) tax benefits and save an average of $6 per proof gallon.
How the Program Works
Under current CBMA rules, only DSPs (Distilled Spirits Plants) that perform processing activities beyond bottling—such as blending, filtering, flavor addition, or manufacturing—can claim the lower federal excise tax rate on up to 100,000 proof gallons annually.
Lofted’s new program enables partners to use their own DSP license within Lofted’s dedicated processing facility, ensuring full TTB compliance and access to significant tax savings not available through other Kentucky contract distillers.
“Lofted Custom Spirits built this program like we’ve built our business – on a foundation of true partnership, operational integrity, the utmost quality and strict compliance,” said Mark Erwin, CEO of Lofted Spirits.
Hands-On Support and Seamless Integration
Operating in a newly outfitted facility, Lofted Custom Spirits will provide hands-on labor and support under the client’s DSP license, ensuring seamless operation and continuity.
“We’ve worked closely with the TTB to bring this offering on board in a way that ensures operational effectiveness and full compliance,” added Erwin.
The Alternating Proprietorship program is available now for both existing and new clients.
📲 Learn more at LoftedSpirits.com
About Lofted Spirits
Founded on the legacy of Peter Loftin and expanded since 2016, Lofted Spirits is the #1 producer of Kentucky contract whiskey, known for its innovative approach to custom distillation. The company is home to two of the fastest-growing American whiskey brands:
- Bardstown Bourbon Company
- Green River Distilling Co.
Lofted Spirits joined the Pritzker Private Capital family of companies in 2022 and continues to lead the global whiskey industry through innovation, trust, and transformative impact.
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