Acclaimed California Winemaker Shutters Margins Wine After a Decade

Megan Bell, a leader in the state's natural wine movement, cites debt and industry challenges as reasons for closing her Santa Cruz winery.

Published on Feb. 13, 2026

Got story updates? Submit your updates here. ›

Megan Bell, the owner and winemaker of Margins Wine, a leading natural wine label in California's Santa Cruz region, is shutting down her winery after 10 years in business. Bell cited significant debt, mostly related to opening a tasting room, as well as broader industry challenges such as a drop in global alcohol consumption and grape oversupply, as reasons for the closure. Margins was known for its focus on marginal grape varieties and climates, and Bell was one of the first California winemakers to openly acknowledge the industry's crisis.

Why it matters

The closure of Margins Wine is the latest in a series of high-profile winery shutdowns in California, reflecting the broader pressures facing the state's wine industry. Bell's candor about the challenges she faced in running a small, independent winery helped reset the conversation around the industry's struggles, which include oversupply, declining consumption, and the financial strain of expanding operations.

The details

After opening a 120-square-foot tasting room in 2023 that ended up costing $134,000 due to unexpected buildout costs, Bell said sales didn't grow quickly enough to make up for the debt. She took herself off payroll in the last year to enable the business to pay back about $200,000 to its creditors, but ultimately decided to wind down Margins Wine by the end of April 2026.

  • Margins Wine was founded in 2016 when Bell was working as an assistant winemaker at Beauregard Vineyards.
  • Bell began thinking about winding down the business in the fall of 2024.
  • Margins Wine will close at the end of April 2026.

The players

Megan Bell

The owner and winemaker of Margins Wine, a leading natural wine label in California's Santa Cruz region. Bell was one of the first California winemakers to openly acknowledge the industry's crisis.

Margins Wine

A California winery founded in 2016 that was part of the natural wine scene in Santa Cruz, known for its focus on marginal grape varieties and climates.

Got photos? Submit your photos here. ›

What they’re saying

“It was just me asking myself, 'Do you want to be liable for this type of financial pressure for the next 10 years?' Because that's what the terms of our loans were.”

— Megan Bell, Owner and Winemaker, Margins Wine (sfchronicle.com)

“I really didn't want to file for bankruptcy, since that would have meant not paying back some of what I owed, and having integrity is one of my top values.”

— Megan Bell, Owner and Winemaker, Margins Wine (sfchronicle.com)

What’s next

Megan Bell plans to stay in the agricultural field, though she does not want to work in the wine industry again. The Margins Wine Cubby tasting room will remain open through the end of April 2026, and Bell is hosting a goodbye party on April 25.

The takeaway

The closure of Margins Wine is a sobering example of the challenges facing small, independent wineries in California, even those that have achieved critical acclaim. Bell's transparency about the financial pressures she faced may inspire other winemakers to be more open about the industry's struggles, which could lead to new solutions to support the long-term viability of California's wine sector.