Sycamore is changing LLC name to "Club West Brewing," signaling a rebrand

Why it matters: Sycamore became one of Charlotte's most successful breweries in the years since its 2014 inception. You couldn't find a seat on one of its wooden picnic benches on any given weekend.

• But after co-founder Justin Brigham was arrested Dec. 11 and charged with breaking into a home and allegedly raping a 13-year-old girl, Sycamore emptied overnight.

Catch up quick: Brigham faces numerous other charges and was swiftly removed from the company.

• Still, Sycamore's once-packed taproom closed Jan. 5. Sarah Taylor — the company's now-sole owner and Brigham's wife, who said she's begun divorce proceedings — described the closure as "temporary," with no reopening date.
• Yet the taproom has removed all those wooden benches and even its light-bulb lettered sign, hung less than three years ago when the "new Sycamore" — as the longtime patrons called it — opened. Foundry Commercial confirms Sycamore still holds a lease there.
• Sycamore's lease for its planned Cotswold taproom was terminated. Its space at Charlotte's airport is transitioning into a new concept.

The big picture: Companies have survived scandals and successfully rebuilt their images in the past after separating themselves from problematic leadership. Look at Papa John's, whose founder, John Schnatter, was ousted after reports he used the N-word on a conference call.

• In Sycamore's situation, Taylor may be too closely tied to Brigham. Barry Finkelstein, principal of Charlotte crisis management firm Truth Advisors, says she should appoint another individual, such as an outside investor or trustee, to "take the reins" and speak on behalf of the company. Finkelstein is not directly working with Sycamore.
• Taylor has not responded to multiple requests for comment.

However, a local craft brewery faces much greater challenges in rebuilding a damaged image than a national chain. Here's why.

1. Unlike other products, craft beer customers identify with the brand.

Sycamore had become the go-to hangout for everyone from young South Enders to families with children.

• "Patrons often say, 'This is my brewery,'" says Jia Li, an associate professor of marketing at Wake Forest University. "Craft beer depends very heavily on trust and community goodwill."
• This "emotional connection" to the third place could aid in Sycamore's comeback if they use the venue to support causes related to victims of sexual assault, especially underage abuse, Finkelstein says. For example, Sycamore could use the space for charitable events or agree to donate money from beer sales.
• So far, Taylor, without offering specifics, has only said the company will be partnering with organizations dedicated to child safety and protection.
• "Just saying you're gonna do something versus actually doing it, I think there's a key difference there," Finkelstein says.

2. Craft beer consumption is social and visible.

Unlike a pizza you can take home and eat in the privacy of your home, drinking at a brewery is a public act, Li says. People who may be willing to come back will face social pressure not to.

• Li says customers will ask: "What does it say about me if I'm seen here?"
• Quickly after Brigham's arrest, bars posted videos on social media of themselves trashing Sycamore tap handles and pouring their beer down the drain to distance themselves from the brand.

3. The craft beer bubble may be bursting.

Sycamore is working against a weaker economic environment in its recovery than during its rise.

• In 2024, craft beer production decreased 4%, the largest decline in industry history outside of the pandemic, according to the Brewers Association.
• "For many breweries, the challenges they've faced over the past few years have either continued or accelerated," Matt Gacioch, the association's staff economist, previously told Axios.
• Those obstacles range from an overcrowded market to a waning interest in alcohol.

What's next: Rebranding to "Club West" is an option. But it'll be expensive. And Sycamore is bleeding money.

• As grocers yanked Sycamore from shelves, its sales in the Carolinas crashed 85% in the week starting Dec. 15, the Charlotte Ledger reported, citing data from market research company Circana. Sales were just over $31,000, compared to $206,000 the same week in 2024.
• A rebrand may also be ineffective, Finkelstein says. "The public would likely see that as whitewashing, and the backlash could be devastating."

The bottom line: Experts envision the most viable path forward as selling to an unrelated buyer, such as an investor group or a large beverage company. Sycamore could sell its assets, like its recipe and equipment. Then, the purchaser could rebrand.

• "Charlotte is hot. It's trendy," Li says. "This could be a very good opportunity for those kinds of companies."