2. agenda
• vision & mission
• team
• ideas leading to farmlist
• problem
• solution
• investment thesis
• market
• financials
3. vision
• chefs have the tools to readily access and order local food in an
efficient online marketplace
• farmers have the ability to sell their crops to local businesses with
ease, allowing them to grow and prosper for generations to come
4. mission
to provide chefs with
24/7 access to local food
AND
to provide farms with an online
market to sell their goods
5. ideas leading to farmlist
• demand for local food is increasing
• the current local food wholesale market is inefficient
• infrastructure has not been built yet
• no market presently caters specifically to restaurants
• current and future generations of farmers need enhanced market support
• farmers and chefs prefer a marketplace that preserves the identity of the farm
6. team
marianne sundquist, founder/CEO
• seasoned chef
• co-founder of Ground Up, a chef-farmer community
• bachelor's of english/creative writing from hope college (holland, mi)
• grand diploma in culinary arts, the french culinary institute (new york, ny)
seasoned CTO to join upon funding
seasoned CFO / COO to join upon funding
7. problem
chef perspective farmer perspective
many chefs want to order local but don't have the farms rely on limited self generated e-mail lists as their
time to keep track of multiple farms primary access to customers
farmers have to split their time between
current farm to chef sales doesn’t work efficiently
farming and sales
chefs cannot easily compare availability, current market is unreliable/inefficient while demand
quality and prices in one place continues to increase
8. solution
for chefs, we aim to help them: for farmers, we aim to help them: for each market we aim to:
• have immediate access to market • have immediate access to restaurants •establish a market security of access and
availability beyond their contact list connection to potential customers/local food
at all times
• order from a variety of farms and still • lower technical burden of keeping up
have time to run their kitchens with orders •create access through browser or phone
app.
• make informed purchases based on • have market stability for future
curated assessment and peer review. planning and growth •two front ends to support chefs & farmers
VHS AGE
• help them maintain and organize their • have access to easy to maintain •free up capacity for farms to focus on
Place your text here
orders availability lists growing food
• differentiate themselves as good • daily/weekly/ seasonal order reports • free up capacity for restaurants to buy
stewards. local with greater ease.
• improve the health of citizens & reduce
energy consumption
9. investment thesis
• demand for local food is increasing but where is the efficient market?
• underdeveloped infrastructure (unsaturated market)
• technical innovation can now meet this demand
• passionate chef/founder--who deeply understands the needs of farm & restaurant
• scalable concept, one in every major city would establish a market standard
• market making opportunity
• good earnings, return and large market opportunity with terrific exit
• investment offers way to participate and accelerate sustainable movement
10. market paradigm
• chefs rank locally grown produce as the #1 menu trend of 2010
• 9 out of 10 believe demand for local food will continue to grow in the future
• 89% of fine-dining operators serve locally sourced items
• 70% of adults say they are more likely to visit a restaurant that offers locally produced food items
(national restaurant association)
• number of farmer’s markets has more than tripled in the past 15 years and there are now more than 7,175 around the
country
• retail sales of organic foods up to $21.1 billion in 2008 from $3.6 billion in 1997
11. demand
demand for organic is demand for local is
increasing increasing
12. competitive landscape
• wholesale grocery distributors—are clumsy handling small & medium sized farms & don’t preserve the
farm identity which is increasingly critical for chefs and consumers. distribution logistics are focused on
more than the information sharing between chef and farmer.
• farmers markets—are a good pick-up location, but are catered towards low-volume buyers,
not high-volume buyers (chefs)
• direct farm to chef sales—the administrative work for chefs and farmers is heavy and holding both
groups back from buying more local food (chefs) and selling it (farmers)
• socially driven food hub businesses—these groups cater mostly to non-industry consumers and provide
information but not the tools chefs and farmers need to make the exchange
13. Raising $500k of equity capital Series A;
financial plan current plan doesn’t contemplate additional capital
beyond this amount.
financial proforma
$9 markets & growth
$8
total markets yoy growth
$7
$6
50
$5
37
Millions
$4
$3 25
$2 15 13
10 12
7 8
$1 3
2 4
1
$0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
-$1
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
total revenue 129,850 502,350 1,172,150 2,511,750 4,186,250 6,195,650 8,372,500
gross profit -38,725 155,706 655,697 1,877,680 3,383,933 5,232,159 7,185,521
net profit (EBITA) -302,475 -188,627 -20,914 935,883 2,052,341 3,510,270 4,847,576
marginal net profit per new market (in market size and growth
thousands) v. # of new markets (red line) market size
140 14
121.49 1,500,000,000
119.60
120 111.65 12
102.87
# of New Markets 1,110,000,000
100 10
thousands
80 8 750,000,000
56.92
60 6
41.93 450,000,000
40 4 210,000,000
30,000,000 90,000,000
20 2
NM Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
0 0
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
14. financial plan
cost estimates as compared to
revenue by type
revenue growth projections
restaurant/retailers fee farm fee farm ranking/preferred positioning
9
$9 8
$8 7
$7 6
Millions
5
Millions
$6
$5 4
$4 3
2
$3
1
$2
0
$1
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
$0
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 total revenue total COGS total operating expenses
100% 4,575
COGS structure
18,644 40,453
84,070
revenue analysis 90% 152,317
263,491
386,980
0.35% 80%
0.30%
70%
transaction fees
0.25%
60% 120,000 240,000 300,000 300,000 300,000
0.20% 300,000
300,000
0.15% 50%
0.10%
40%
0.05%
0.00% 30%
1 2 3 4 5 6 7
cost ratio - restaurant 0.31% 0.31% 0.31% 0.31% 0.31% 0.31% 0.31% 20% 250,000 350,000 400,000 500,000
176,000
cost ratio - farm fee 44,000 88,000
0.06% 0.06% 0.06% 0.06% 0.06% 0.06% 0.06% 10%
cost ratio - farm fee
(preferred) 0.06% 0.19% 0.19% 0.19% 0.19% 0.19% 0.19% 0%
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
web operations - labor, mdse updating & curation
web operations - labor, programming
web operations - connectivity, swipe fees, etc.
