EXHIBIT 10.30

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                       REGISTRATION STATEMENT ON FORM SB-2



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                     COMMITMENT LETTER FROM WESTAMERICA BANK



                          [WestAmerica Bank letterhead]

Sonoma Region Credit Administration

October 30, 1996

Norman Franks, Vice President, CFO
Mendocino Brewing Company, Inc.
P.O. Box 400
Hopland, CA 95449

Dear Mr. Franks:

WestAmerica  Bank is  pleased  to  commit  to the  restructure  of the  existing
non-revolving  line of  credit  into a  revolving  line of  credit  prior to the
expiration  date of April 30,  1997.  This  commitment  is subject to the Bank's
review of the 1996 fiscal year end financial  statement,  and involves the basic
terms outlined below:

 1.   Type Of Facility:

      Revolving line of credit.

 2.   Maximum Principal Amount:

      $600,000 or the maximum applicable  Borrowing Base as may change from time
      to time, as will be defined in the credit documentation.

 3.   Forms of Utilization:

      Cash advances, including direct deposits to your checking account.

 4.   Interest Rate:

      To be negotiated.

      Interest will accrue daily on the basis of a (365/360-day) year and actual
      days elapsed.

 5.   Expiration and/or Maturity Date:

      April 30, 1997

 6.   Borrowing Bass:

      80% of  eligible  accounts  receivable  (as will be  defined in the credit
      documents).

      25% of eligible  inventory to a maximum of $200,000 (as will be defined in
      the credit documents).


EXHIBIT 10.30



 7.   Collateral:

      Perfected  security  interest of this priority in the  following  personal
      property: Accounts Receivable and Inventory

 8.   Purpose of Line of Credit:

      Finance trading assets.

 9.   Fees Payable On or Before Closing:

      Loan Fee: To be negotiated.

 10.  Repayment:

      Interest payable  (monthly) with all accrued interest and unpaid principal
      to be due at maturity.

 11.  Loan Document:

      In addition to the documentation  that will be required in connection with
      the security interest to be given to Bank in the property which will serve
      as  collateral  for this loan,  the following  documentation,  in form and
      substance satisfactory to Bank will be required:

      Business Loan  Agreement.  Among other terms,  this agreement will contain
      various  financial and other  covenants,  agreements  and conditions to be
      negotiated.

      Loan and Security Agreement (Accounts Payable/Inventory).

This commitment is also subject to such  additional  terms as may be provided in
Bank's credit documents or otherwise required by Bank or its counsel.

Sincerely,

/s/ Dwight Davenport
Dwight Davenport
Vice President and Manager



EXHIBIT 10.30              
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