The Terp Bees Co. business plan outlines a honey-based company that produces and sells various honey products including raw honey in jars and bears, beeswax candles, lip balm, and hand soap. The company also offers pollination services, beekeeping classes, and kids entertainment days. The plan provides details on production including projected income from 7 products, variable and fixed costs per hive, and a production calendar. It also includes a marketing plan to reach a local and nationwide audience. The overall goal is for the Terp Bees Co. to enhance customers' quality of life through exquisite natural products while educating the community about bees and pollination.

1.
Terp Bees
Business Plan
Make your day a little sweeter
AREC 306 Group Project
December 9, 2015
Co­Founders:
Liang Chai
Hana Bekele
Chyanne London
Jinyi Kuang

2.
Table of Contents
I. Mission and Overview………………….……….………..page 2
II. Production Plan………………………………...……..…..page 4
III. Production Calendar…………………...……………....….page 6
IV. Marketing Plan………………………….……….………...page 7
V. Explanation of Financial Plan….………………………….page 10
VI. Balance Sheet 2015...………………………...…….……...page 11
VII. Income Statement 2014…..………………………...……...page 12
VIII. Income Statement 2015……………………………....…....page 13
IX. Cash Flow 2015………………………………...……….....page 14
X. Resource Inventory..…………………...……………….….page 15
XI. Index of Additional Information………………....…….…..page 16
XII. Works Cited………………………………………………...page 17
Page 1

3. I. Mission and Overview
Mission Statement
The Terp Bees CO. is a sustainable honey based company that provides a plethora of
products and experiences to customers throughout the United States. We aimed to enhance our
customer’s quality of life by creating exquisite products with all natural tools, techniques and
ingredients. As a seasonal pollination service provider to small farms in the Eastern Shore of
Maryland, we value connections and communications, we also educate and train non­commercial
aspiring beekeepers with the most up­to­date technologies. To promote the wellbeing of
farm­related workers, the Terp Bees CO. care about our colleagues and partners. We consider
honey bees our friends that feeds both our body and soul, and endeavor to foster public
awareness of their importance in modern agricultural ecological structure. Honorably and
responsibly, we wish to “Make your day a little sweeter with Terp Bees!”
Executive Summary
Terp Bees strives to provide the best quality products to its consumers as they are our top
priority! Since beekeeping is seasonal we will work hard to ensure that our production levels are
high enough during “beekeeping season” to provide quality products throughout the year.
Terp Bee Co. takes pride in keeping bees. With many years of beekeeping experience, we
know how to make our honey just the way our consumer like it; straight from the bee, raw and
unfiltered. Our unique glass packaging showcases the stunning colors of our pure honey, price
ranging from $10.
We also offer Pure, Raw, Treatment­free honey, bottled in the cutest baby bears, which is
great for sampling and sharing with others. Two of our bear hold about eight and twelve ounces
of honey, made from our own honey bees. These bears are the perfect size for wedding favors
and showers. Our consumers can also spread them around the holiday or as thank you gifts for
those whom they want to share a little sweetness with. Our competitive price range from $6­$8.
In addition to our honey products, our candles, made predominantly from hand­poured
100% pure beeswax placed with all­cotton wicks, have a natural sweet smell and golden color.
Our beeswax candles are long burning that cleans and refreshes the air while burring.
Our practice of beekeeping have intrinsic health benefits through providing food source
of great nutritional value although it requires few inputs and capitalizes on a ready supply of
pollen. There is almost an unlimited source of pollen and our bees aid greatly in the natural
cross­pollination of local organic farmers. We will keep our hives on the farmer’s land all year
for pollination or will keep them on their land while a specific crop is in bloom. We do not keep
our bees where pesticides and other chemicals will be used on the crops that they will be near as
this could harm and even kill our bees. Our competitive and flexible rate for pollination is $125.
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4. Terp’s Bees will provide personal care products of all types that are not only supply
nourishing and uplifting effects, but that are also healthy for the environment and consumers. We
have an established line of all­natural, sustainably produced hand soap and lip shimmers. Our lip
balm, selling for $10 smooth and highlight your lips with our wonderful selection of shimmering
shades. Moreover, it nourishes, moisturize and soothe your lips with natural ingredients like
Vitamin E. Beside from our lip balm, our hand soap add some great design and fresh scent to
your day. This rich hand soap, selling for $15, is formulated with great care by using the finest
botanical extracts with an emphasis on body­friendly ingredients.
Terp’s Bees aimed to reach a wider audience by launching 7 products and supplying them
to both local community and nationwide. To provide a new stream of income, we provide
Beekeeping classes that is suitable for both beginners and those with some beekeeping
experience. This beekeeping classes take place during the winter months in preparation for
spring bees. We offer a variety of classes about the basic requirements and responsibilities for
organic beekeeping. Our mission is supporting beekeepers with knowledge helpful for each
season, as well as informational classes for the general public and kids. The fee for weekend
class is $200 per person if taking both days. Individual classes are $110.
Beside from our beekeeping class, we have offer Kids Entertainment Day. Although kids
are welcome to attend our adult classes, we strive to teach kids about bees in every chance we
get. Our kids Entertainment Day incorporate fun games, visual and hands on learning tools. Our
average price is about $20 per kids. We have constructed a platform for teaching children
developmental lessons like cooperation, responsibility, sharing, and working towards a common
goal. We always will be working on creating more resources for educating kids, while buzzing
with excitement.
The full establishments of one hive cost around $566.78. Establishment of this project
relies on relies on our rented 1 acre of land. We expect our initial establishment to last in the
timeframe of 1 year. In the first year, our aim is to meet the key goals and objectives before
looking at possible expansion of initiative. Projected revenue from a single hive per year is
$2,085.
The co­founders/managers of the Terp Bees Company are Hana Bekele, Production
Manager, Chyanne London, Marketing Manager, Jinyi Kuang, Website Developer and Liang
Chai, Product Maintainer.
Page 3

5. II. Production Plan
1. Gross Income from product sale per hive
Unit Quantity Price Total
Honey (1 lb plastic classic jar) 0.5 hive @ 150 lbs hive 75 $10.00 $750.00
Honey (12 oz plastic honey bear) 0.2 hive @ 150 lbs hive 40 $8.00 $320.00
Honey (8 oz plastic honey bear) 0.25 hive @ 150 lbs hive 75 $6.00 $450.00
Candles Sales (each/hive) hive 5 $20.00 $100.00
Lipstick Sales (each/hive) hive 5 $5.00 $25.00
Hand Soap Sales (each/hive) hive 6 $10.00 $60.00
Wax Sales (lb) hive 2 $20.00 $40.00
Pollination rents (each/hive) hive 1 $125.00 $125.00
Total Gross Income per hive $1,870.00
Total Gross Income @ 400 hives 400 $748,000.00
Note: The average production of honey yields 150 pounds per hive per year; the candle, lipsticks, and
hand soap takes 10% of honey in total. Terp Bees will maintain a total of 400 beehives.
2. Gross Income from other products and services
Unit Quantity Price Total
Postcard & birthday card card 50 $4.00 $200.00
Kids Entertainment Days family 100 $20.00 $2,000.00
New Bee Swarm Sales hive 20 $50.00 $1,000.00
Beekeeping Classes class 300 $200.00 $60,000.00
Total Income from other products and services $63,200.00
Note: Beekeeping class is offered 6 course per year, expecting 50 students per course.
3. Variable cost per hive
Unit
Quantit
y Price Total
Disease Control hive 1 $8.00 $8.00
Sugar Syrup lbs 8 $0.68 $5.44
Small Nutrition & Logo Label each 115 $0.05 $5.29
Large Nutrition & Logo Label each 75 $0.07 $5.55
1 lb Plastic Classic Jar each 75 $0.57 $42.72
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6. 8 oz Plastic Honey Bear Container & Lids each 75 $0.52 $38.70
12 oz Plastic Honey Bear Container & Lids each 40 $0.55 $22.00
Wax jars each 2 $1.00 $2.00
Lipstick containers & material each 5 $0.50 $2.50
Candle Jar & Wick & Label each 5 $1.15 $5.75
Transportation Cost hive 1 $50.00 $50.00
Total Variable Costs per hive $187.94
Total Variable Costs @ 400 hive 400 $75,177.76
Note: Sugar supply is necessary for bees to survive in the winter, we do not add sugar in our products.
4. Fixed Cost and purchases
Unit
Quantit
y Price Total
Building Depreciation $2,856.00
Material for post card and birthday cards $50.00
New Bee Swarm Catch Labor $10/hr @
2hrs/swarm
swarm 20 $20.00
$400.00
Seasonal Field Worker (labor hours) hours 250 $10.00 $2,500.00
Electricity KwH 31,800 $0.11 $3,498.00
Hive depreciation $7,436.00
Bee Hives Replacement each 4 $130.00 $520.00
Clothing Replacement each 1 $120.00 $120.00
Hive Tool depreciation $100.00 $0.00
Machinery and Equipment Depreciation $4,333.75
Managers' Salaries person 4 $50,000.00 $200,000.00
Accountant/Bookkeeper person 1 $5,000.00 $5,000.00
Total Fixed Cost $226,713.75
Note: For beehive, building, and machinery depreciation see Index table 1-3.
5. Summary
Total Gross Income $811,200.00
Net Income Over Variable Costs $736,022.24
Total Variable and Fixed Costs $301,891.51
Net Income Over Variable and Fixed Costs $509,308.49
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7.
III. Production Calendar
Terp Beekeeping Company’s Production Calendar
Month Products Major Operations Events
January Candles and Wax Sugar supply, Update Website Course teaching
February Lipsticks and Soaps Sugar supply, Equipment Repairment Course teaching
March
Candle and
Wax
Medical care of bees, Recruiting seasonal
workers
Course teaching
April
Lipsticks and Soaps Educating seasonal workers, beehive
transporting
Family visits and
Kids Education
May
Honey and
Pollination
Medical treatment if necessary, beehive
cleaning and maintenance
Family visits and
Kids Education
June
Honey and
Pollination
Honey super, attend seminars, weekly
market stand
Family visits and
Kids Education
July
Honey and
Pollination
Honey super, hive transporting, weekly
market stand
Family visits and
Kids Education
August
Honey and
Soaps
Honey super and process Family visits and
Kids Education
September
Honey, lipsticks,
and Candles
Honey super and process, hive
transporting
Family visits and
Kids Education
October Honey and Wax Configure hives for winter Course teaching
November Wax and Candles Store equipment, update website Course teaching
December
Wax, Pollination,
Cards
Sugar supply, Building maintenance Course teaching
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8. IV. Marketing Plan
Industry
1. Description
The beekeeping Industry is very important to maintain a large amount pollinators in the
ecosystem. Pollinators are generalized realized essential to agricultural production. This industry
also provide natural products such as honey, pollens and wax. In the United States about 200,000
people keep almost 5 million colonies of honey bees and produce 200 million to 250 million
pounds of honey annually. (Martin, E. C,1980) Beekeepers are independent and individualistic.
Most beekeepers in the U.S. are maintain a backyard business. They derive income from the sale
of honey, renting of colonies for crop pollination, production and sale of queen bees and
packaged bees, and to a minor extent, from the sale of beeswax, pollen, bee venom, propolis, and
royal jelly.
2. Historical Trends
Based on the datas collected by the American Bee Journal, the market for honey is strong
at both wholesale and retail levels. However, the price of honey is decreasing due to increase in
exporting the cheaper foreign honey.
3. Current Threat and Opportunity
The current problem of natural pollinators is the industrial production. The tremendous
change in land­use practice and monoculture threaten the survival of natural bees. At the same
time, climate change make honey bees become an endangered species. Due to the lack of natural
pollinators, the demand for pollination service is increasing. However, the use of pesticides is a
new threat for beekeeping industry. The pesticide not only kill bees, but bees also cannot be kept
in areas where pesticides are used on a regular basis (Martin, E. C,1980).
4. Projection Growth
In order to solve the pesticide problem, we focus our pollination service only on organic
farm and produce high quality honey which meets the prospective direction of the industrial.
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9. Target Customers
The final consumer demand is influenced by taste, season, location, income, age, quality,
similar use products. Since we offer three main categories of goods or services, our target
consumer are varies too.
● For our honey and honey products, we will focus on online selling, thus our potential
consumer will from all over the nation. Our target customers are the middle class
family with who are valuing seeking of high quality organic honey and honey
products.
● For our pollination services, our consumer will be the local organic farmers.
● For our pollination class, our consumer will be the people who has no background
knowledge about beekeeping and want to start beekeeping in their backyards.
Competition
There will be two different competitions depending on which is being sold and which
service is being provided. Because we are selling our honey, wax, candles, and lipsticks to a
nation audience, we have a plethora of competitors that we must overcome. Those companies
working in the honey retail industry as well as the companies in the personal consumer product
market will be our competitors. This does not only include small retailers, we also have to
account for large retailers and chain stores as well. Some of the large chain retailer stores we will
be competing with include:
● For lipstick sales: Sephora, Mac and BareMinerals.
● For candle sales: Bath & Body Works and Yankee Candles
● For handsoap sales: Bath & Body Works, Walmart and Target
Outside of the retail market, we have other local competitors to compete with throughout
the year. For example, Butler’s Orchard would be a huge competitor for the Kids Entertainment
Day because they provide similar services and seasonal festivals for family entertainment. Our
main competition for the beekeeping classes would be the University of Maryland, College Park.
They also provide similar courses in the same region as Terp Bees, but at a higher price.
Distribution
We sell all our honey and honey products online and we choose USPS to deliver our
produce which guarantee our products stay fresh, complete when reach to the consumers.
Merchandising
Quality is the king to attract more consumers. Besides that, we will have a partnership
with American Beekeeping Association to have more farmers come to our beekeeping class. We
will also hold annual beekeeping festival. The ticket is $20 per person and they can bring their
kids to learn beekeeping knowledge. This is a win­win events. The local residents got a chance to
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10. get more knowledge and we let more people know our farm. This a good way to strengthen the
public relation and local connection.
What’s more, we will start a partnership with the local TV and newspaper to let more
people know our festival. Each year during the festival, we pre sold ticket online and people will
have 20% discount. They can also purchase the ticket at our farm.
We will also put our products in some shopping website like amazon and ebay to attract
more consumers. We will create accounts in amazon and ebay and only accept paypal payment
method. The online store in these website will have a link to our own website. For website
building, we offer a sign in program: our consumer can sign in to earn credit by browsing our
website. Continuous sign in for 10 days can get a 1% discount for our products. Continuous sign
in for 30 days can enjoy free shipping for once. The discount code will be provided.
We also provide a great consumer service. Our potential consumer can reach us by phone
or leave comments in our website. We will built a BBS for people who want to discuss
beekeeping techniques, honey products recipe and honey choice. We will also post the picture in
our annual honey festival to attract more people. Besides that, our consumer service also include
everyday tips to the royal customers. They can choose to subscribe this service or not.
Pricing
The price strategy can be divided into three part depends on the goods and services we
offer:
● For the honey and honey products, we charge a slightly higher price because we have
a higher cost of our product since we use high quality but costly ingredients. For the
quality of our products, we aim to produce high quality products. In order to make
profit, we set our price slightly higher than the market price. Also from the perspective
of consumer psychology, slightly higher price indicate high quality products. Once our
quality is guaranteed, so the sales volume is guaranteed too. Besides that, we will have
membership program. For the royal consumer, we will give 10% off on every 100
dollar they spend and free shipping and free return.
● For the price of the pollination class, we charge the market average price because we
have a partnership with American Beekeeping Association.
● For the festival tickets, we charge a average activity ticket price among the state. We
also give discount to the people who committed to come.
Sales Term and Condition
We will have membership program for the people who are our royal customers. They will
enjoy a free shipping policy.
We don’t accept return.
All right reserved by Terp Farm.
Page 9

11. V. Explanation of Financial Plan
The Terp Bee company’s financial plan is based off a variety of assumptions when
deriving information for the income statement, balance sheet and cash flow statement. Because
this is a small business, Terp Bees will rely on the work of the four co­owners to run and operate
the company. Terp Bees will only be hiring a field worker additional employees to assist with
the company’s day­to­day operations and an accountant. Each of the co­owners will be
responsible for the maintenance of 100 beehives in addition to website management, teaching
beekeeping classes and delivering beehives to local farms that need require our pollination
services.
First we have assumed that will we lose one bee hive per year due to unforeseen causes
that may cause damage to the hives and the bees.The major part of the Terp Bees income will
come from teaching beekeeping classes to aspiring beekeepers. These classes will be taught
throughout the year with a major of them taking place during the winter months. We have
assumed that Terp Bees will be teaching six classes per year with 50 students per class.
Our consumers will be located all over the United States, thus, a website is important to
allow Terp Bees to easily and actively reach our customer base. For our financial plans, we have
assumed that the Terp Bees website is already up and running and we have already designed a
logo and worked the logistics of operating a website. In addition, Terp Bees will not be
responsible for any additional shipping costs to get products to customers because the consumers
will take on that cost. This fee will cover the packaging of the product and shipment fees.
The new swarm of bees will come when the queen bee leaves the hive with about 60 bees
and creates a new hive with additional bees. The use of these additional bees can be caught and
sold to our consumers, or can be used to sell the honey and wax. The levels of production would
be the same as those we would be gaining from each of our original beehives. In addition to
these sales, we will also host kids entertainment days for families and friends to come out and
learn about bees through our building tour and also create fun bee arts and crafts. This will be
done not only to generate profit, but to reach the community and teach children about the
beekeeping process.
On the cash flow statement, you will see that we will have capital purchases during the
fall and winter month of the year. These capital purchases will compensate for the clothings
replacement, bee hive replacement and a new extractor as needed. This would be needed because
of the assumption that at least one bee hive would be damaged each year, so we would need a
new extractor to resolve this problem. For the amortizing loan we have assumed that we will be
taking out a $50,000 loan with 5% interest paid back in 5 years.
For all of the equipment that we will be purchasing, we will be using the Brushy
Mountain Bee Farm. This company provides machinery and equipment at a reasonable price for
the Terp Bee company.
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12. VI. Balance Sheet
Terp Beekeeping Company Balance Sheet
Date: October 29, 2015
ASSETS LIABILITIES AND NET WORTH
Current Assets Value Current liabilities Value
Cash, savings, checkings $12,000.00 Accrued Interest on Equipment $4,000.00
Accounts Receivable $500.00 Accounts Payable $2,800.00
Supplies on hand $3,000.00 Short term operating loan $2,000.00
Product for sale $661,200.00
Intermediate and long term principal due within 12 months
Equipment Loan $4,500.00
Land Loan (due 2015) $8,500.00
Total current assets $676,700.00 Total current liabilities $21,800.00
Intermediate assets Intermediate liabilities (due beyond 12 months)
Hives with bees $20,000.00
Equipment and Machinery $25,000.00
Total intermediate assets $45,000.00 Total intermediate liabilities N/A
Long term assets Long­term liabilities (amount due beyond 12 months)
Land $15,000.00 Land Mortgage (total loan amount) $191,500.00
Building $150,000.00
Total long­term assets $165,000.00 Total long­term liabilities $191,500.00
Total assets $886,700.00 Total liabilities $213,300.00
Net Worth $673,400.00
Current ratio 31.04
Debt asset ratio 0.24
Page 11

13. VII. Income Statement ­ 2014
Terp Beekeeping Company Income Statement
Period: January 1 ­ December 31, 2014
Cash Income Cash Expenses
Beekeeping Classes $60,000.00 Disease Control Chemicals $3,200.00
Honey Sales $608,000.00 Sugar Syrup $2,176.00
Soap Sales $24,000.00 Supplies purchases $75,875.78
Candle Sales $40,000.00 Transportation $20,000.00
Lipstick Sales $10,000.00 Clothing Replacement $120.00
Pollination Rents $50,000.00 Beehive Replacement $520.00
Postcard & Birthday cards $200.00 Interest on Loan Payment $4000.00
New Bee Swarm Sales $1,000.00 Labor $4,500.00
Kids Entertainment $2,000.00 Property Tax $3,500.00
Wax Sales $16,000.00
Total cash income $811,200.00 Total cash operating expense $113,891.78
Net cash income $697,308.22
Inventory change
Glass Jars &
Labels
Honey Bear
Containers &
labels
Receivable
s Inputs Payables
Ending inventory 15,000 15,000 2000 6,500 500
Beginning
inventory 13,500 13,500 2000 6,000 500
Inventory change 1,500 1,500 0 500 0 $3,500.00
Net operating
profit $700,808.22
Depreciation $14,625.75
Profit or Loss $686,182.47
Page 12

14. VIII. Income Statement ­ 2015
Terp Beekeeping Company Income Statement
Period: January 1 ­ December 31, 2015
Cash Income Cash Expenses
Beekeeping Classes $60,000.00 Disease Control Chemicals $3,200.00
Honey Sales $608,000.00 Sugar Syrup $2,176.00
Soap Sales $24,000.00 Supplies purchases $104,000.00
Candle Sales $40,000.00 Transportation $20,000.00
Lipstick Sales $10,000.00 Clothing Replacement $120.00
Pollination Rents $50,000.00 Beehive Replacement $520.00
Postcard & Birthday cards $200.00 Interest on Loan Payment $5,500.00
New Bee Swarm Sales $1,000.00 Labor $4,500.00
Kids Entertainment $2,000.00 Repairs and Maintenance $4,000.00
Wax Sales $16,000.00 Property Tax $4,000.00
Utilities $3,500.00
Total cash income $811,200.00 Total cash operating expense $148,016.00
Net cash income $663,184.00
Inventory change
Glass Jars &
Labels
Honey Bear
Containers &
labels Receivables Inputs Payables
Ending inventory 15,000 15,000 2000 6,500 500
Beginning
inventory 13,500 13,500 2000 6,000 500
Inventory change 1,500 1,500 0 500 0 $3,500.00
Net operating
profit $666,684.00
Depreciation $14,625.75
Profit or Loss $652,058.25
Page 13

15. IX. Cash Flow
Terp Beekeeping Company Cash Flow Statement
2015 1st qtr. 2nd qtr. 3rd qtr. 4th qtr. Total
Cash Inflow
Beginning cash balance $10,000.00 $68,944.48 $270,516.95 $355,339.43 $704,800.86
Honey Sale $100,000.00 $300,000.00 $200,000.00 $8,000.00 $608,000.00
Wax Sales (lb) $4,000.00 $3,000.00 $7,000.00 $2,000.00 $16,000.00
Postcard & birthday card $80.00 $20.00 $20.00 $80.00 $200.00
Kids Entertainment Days $0.00 $1,000.00 $1,000.00 $0.00 $2,000.00
New Bee Swarm Sales $0.00 $200.00 $800.00 $0.00 $1,000.00
Soap Sale $6,000.00 $7,100.00 $3,200.00 $7,700.00 $24,000.00
Candle Sale $500.00 $500.00 $500.00 $500.00 $2,000.00
Lipstick Sale $3,000.00 $2,000.00 $1,500.00 $3,500.00 $10,000.00
Pollination Rents $0.00 $2,000.00 $3,000.00 $0.00 $5,000.00
Beekeeping Class $22,800.00 $7,200.00 $7,200.00 $22,800.00 $60,000.00
Total Cash Inflow $146,380.00 $391,964.48 $494,736.95 $399,919.43 $1,433,000.86
Cash outflow
Disease Control Chemicals $1,600.00 $0.00 $0.00 $1,600.00 $3,200.00
Sugar Syrup $1,088.00 $0.00 $0.00 $1,088.00 $2,176.00
Capital Purchase $3,000.00 $0.00 $0.00 $3,000.00 $6,000.00
Transportation Costs $1,000.00 $4,000.00 $4,000.00 $1,000.00 $10,000.00
Repairs and maintenance $1,000.00 $500.00 $500.00 $2,000.00 $4,000.00
Labor $150.00 $1,100.00 $1,600.00 $200.00 $2,900.00
Accounting Services $0.00 $0.00 $0.00 $5,000.00 $5,000.00
Supplies purchases $11,500.00 $27,250.00 $24,200.00 $12,250.00 $75,200.00
Taxes (property) $1,000.00 $1,000.00 $1,000.00 $1,000.00 $4,000.00
Utilities $500.00 $1,000.00 $1,500.00 $500.00 $3,500.00
Term loan payments $6,597.52 $6,597.52 $6,597.52 $6,597.52 $26,390.09
Total Cash Outflow $27,435.52 $41,447.52 $39,397.52 $34,235.52 $142,516.09
Cash flow summary
Inflow Minus Outflow $118,944.48 $350,516.95 $455,339.43 $365,683.91 $1,290,484.76
New Borrowing: Term/Credit
New Borrowing: Credit
Owners withdraws $50,000.00 $50,000.00 $50,000.00 $50,000.00 $200,000.00
Credit Line Payment $30,000.00 $50,000.00 $30,000.00 $110,000.00
Ending Cash Balance $68,944.48 $270,516.95 $355,339.43 $285,683.91 $980,484.76
Amortizing Loan Payment assuming a $50,000, 5% interest, 5 year loan
per month =
$1,649.38
per quarter =
$6,597.52
Page 14

16. X. Resource Inventory
Terp Beekeeping Company Resource Inventory
Item Description O/L/R/P
Market
Value
Land
2 acre of land For winter storage and bee development O $15,000.00
Buildings
Beekeeping House Storing bee hives in winter and horrible weather O $2,000.00
Equipment
Processing Equipment
2 Frame BEE­EZY Stainless Steel Honey
extraction P $600.00
Steel Smoker 2 sets of 4" X 10" Galvanized Steel Smoker P $51.90
Clothing Equipment
4 suits of Ventilated Coveralls with Hooded Veil ,
size s, protect beekeepers from getting stung P $480.00
Hive Tool Extra Long J Hook Hive tool P $17,335.00
Truck 1 truck, transport bees to local farms P $30,000.00
Bees
Bee hives KML 10­Frame Complete Hive P $52,000.00
Bee packs 3 lb Package with Queen P $8,000.00
Management
Marketing Manager 1 year marketing experience N/A $50,000.00
Production Manager 1 year related experience N/A $50,000.00
Human Resources
Website Developer Experienced in web designing N/A $50,000.00
Product Maintainer 1 year experience N/A $50,000.00
Seasonal Field Worker 1 year experience N/A $2,500.00
Accountant 5 years experienced in Accounting, part time N/A $2,000.00
Capital
Cash on hand Bank of America N/A $25,000.00
Line of Credit Bank of America N/A $75,000.00
Short Term Loans
Available Bank of America N/A $50,000.00
Grants Bank of America N/A $50,000.00
Page 15

17. XI. Index
Table 1: Building Cost and Depreciation
Number of square feet 2500
Amount per square feet $20
Total building value $40,000
Straight Line Depreciation @ 15 yrs
3.59% $1,436 1st year
7.14% $2,856
2nd to 14th
year
3.59% $1,436 15th year
Table 2: Beehives Cost and Depreciation
Materials per hive $100
2 hours labor per hive @ $10/hr $30
Total per new colony built $130
Total hive investment $52,000
Straight Line Depreciation @ 8yrs
7.10% $3,692 1st year
14.30% $7,436 2nd to 7th year
7.10% $3,692 8th year
Table 3: Machinery and Equipment Cost and Depreciation
Extractor $4,000
Whirl dry $1,000
Brand Melter $1,600
Sump pump tank $1,500
Uncapper $1,200
Filtering $3,200
Bee blower $3,000
Storage containers $1,835
Straight Line Depreciation @ 5 yrs $17,335
12.50% $2,167 1st year
25.00% $4,334 2nd to 4th year
12.50% $2,167 5th year
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18. Works Cited
Martin, E. C, E. Oertel, N. P. Nye, and others. 1980. Beekeeping in the United States. U.S.
Department of Agriculture, Agriculture Handbook No. 335 (revised), 193 p., illustrated.
Stanford, Malcolm T. “A Study In Profitability For A Mid­Sized Beekeeping Operation”
University of Florida Cooperative Extension Service, Institute of Food and Agriculture
Sciences, EDIS​. December 1992. Gainesville, Fla.
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