I. Executive Summary
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[Company Name], located at [insert location here] is a new, 500 acre organicdairy, beef, and wheat farm providing food products to regional distributors. [Company Name] is headed by [Founder’s Name], an experienced farm manager.
[Company Name]will sell high-quality beef cuts, wheat by the bushel, and whole milk. The products will be certified organic as growth hormones, fertilizers and pesticides will not be used in production.
[Company Name] will primarily serve regional distributors of dairy, beef, and wheat products. Some products may be sold directly to manufacturers in the local area for the production of other products from these ingredients.
These businesses typically gross $5 million to $50 million in annual revenues and source their supplies from farms within a 100 mile radius of their facilities.
Distributors and manufacturers of food products in the region see growth in interest in organic products and are in need of organic ingredients for suppliers. Consumers show increased demand for these organic products at stores.
[Company Name]’s most valuable asset is the expertise and experience of its founder, [Founder’s Name]. [First name] has been a farm operations manager for the past 15 years. He has spent much of his career working with Blue Ridge Farms, where he oversaw dairy, meat, and grain production.
[Company name] will also employ an experienced salesmanager to sell to distributors and manufacturers. This will be a skilled salesperson trained in farm sales by [Founder’s Name]. An assistant manager will manage day-to-day operations of the farm.
[Company Name] is uniquely qualified to succeed due to the following reasons:
- [Company Name] will fill a specific market niche in organic foods. In addition, we have surveyed the regional distributors and received extremely positive feedback saying that they explicitly want to buy our products when launched.
- Our location is within 100 miles of numerous potential distributors and contains hundreds of acres of arable land.
- The management team has a track record of success in the farming business.
[Company Name] is seeking a total funding of $683,200 of debt capital to open its farm. The capital will be used for funding capital expenditures and location build-out, hiring initial employees, marketing expenses and working capital.
Specifically, these funds will be used as follows:
|Financial Summary||Year 1||Year 2||Year 3||Year 4||Year 5|
|Income Tax Expense||$0||$0||$0||$0||$21,639|
|Net Profit Margin||-||-||3%||10%||11%|