This business plan is for XXXX LLC which is seeking a $250,000 working capital grant to expand their sales of bedding made from logs. If awarded the grant, funds would be used for marketing, sales travel, acquiring wood, and processing wood into bedding. The goal is to increase annual sales from $0 to $1,660,224. Key activities include print and online marketing, sales travel, wood intake, and bedding production. The plan provides details on the business, products, markets, management, operations, and finances. Financial projections estimate a total profit of $432,877 during the grant period and continued profits after.

1. A project of
XXXX LLC
1234 street
City, State, Zip
Business Plan
CONFIDENTIAL: The contents of this document cannot be reproduced or released to any
business or individual without the written permission of the Company.
June 30, 2016
Table of Contents

Table of Contents
1. Applicant Legal Name
2. Project Location
3. Executive Summary
3.1 The overall project
3.2 The raw commodity
3.3 The form and quality of the Value-Added Product
3.4 Projected return on investment
4. Business Description
4.1 Business form
4.2 Business type
4.3 Goals and objectives of the business
4.4 Value-added product to be provided
4.5 Differentiation from competitors
5. Economic Factors

2. 5.1 Availability of trained labor and total labor requirements
5.2 Availability of infrastructure
5.3 Overall economic impact of the project
6. Marketing
6.1 Sales Organization
6.2 Customers and target market
6.3 Nature and extent of market area
6.4 Marketing plans for sale of projected output
6.5 Competition and mitigation of barriers
6.6 Commitments from customers and brokers
6.7 Management
7. Technical Operations
7.1 Technical report
7.2 Proposed site
7.3 Environmental impact analysis
7.4 Verifiable data
7.5 Analysis of constraints and limitations
7.6 Financial risk mitigations
7.7 Project development and operating costs
7.8 Sources and uses of funds
7.9 Estimated fixed costs and working capital
8. Financial Management
8.1 Balance sheet and income statement
8.2 Pro-forma balance sheet at start-up
8.3 Projected year-end balance sheet and income statements
8.4 Assumptions used in developing financial statements
8.5 Reliability of financial projections
8.6 Cost accounting system
8.7 Short-term credit
8.8 Adequacy of raw materials and supplies
8.9 Commitment of raw material
8.10 Identification of key drivers and sensitivity analysis
8.11 Government tax credit - subsidies
9. Management
9.1 Key personnel
9.2 Mitigation of risk
9.3 Organizational structure
1. Applicant Legal Name
XXXX LLC
2. Project Location
3. Executive Summary
3.1 The overall project

3. The XXXX, LLC (IRFP) Value-Added Producer Grant is being sought to expand the sales of “” IRFP
seeks a $250,000 working capital grant for the processing and marketing tasks associated with this
project with the ultimate goal to expand the sales of “P
The goal of this Value-Added Producer Grant project for this independent producer is to increase
sales through the expansion of the company’s market and product line. Because these products
demand higher margins and prices than wood, it could have a direct effect on the sustainability of
the company for the near future. Tasks for this project include marketing, sales travel, obtaining the
wood for production, and processing of the wood into the value-added product.
This Value-Added Producer Grant request is for working capital purposes. This request is for
$250,000 in matching working capital grant funds from the General Fund. Funds will be used for
marketing and managing the cost of purchasing and processing our value-added product.
For this project, we will implement the following activities and will use matching funds at a rate equal
to or in advance of grant funds:
1. Marketing: We will seek to further develop our brand and expand sales of our product by
marketing through print marketing (bedding ads) and online product marketing. This will
occur during the grant period between January 1, 2017 and September 29, 2019
2. Sales Travel: We will pay for our sales personnel to travel and meet with potential customers
and current customers.
This will occur during the entire grant period between October 1, 2016 and September 29,
2019.
3. Intake of Delivered Wood: We will obtain the delivered wood from our owners so that we
3.2 The raw commodity
Logs
3.3 The form and quality of the Value-Added Product
Bedding
3.4 Projected return on investment
The $250,000 grant investment is projected to result in a total profit during the grant of $432,877,
plus a profit one year after the grant of $230,444 and a profit 2 years after the grant of $275,030
4. Business Description
4.1 Business form
Independent Producer
4.2 Business type
4.3 Goals and objectives of the business
XXXX LLC seeks a $250,000 working capital grant for the xxxx value-added processing and
marketing activities associated with this project with the ultimate goal being to expand the sales of
XXXX LLC

4. Financially the goal is to increase sales from $0 in the year before the project began to
$1,660,224 in the year following the project.
4.4 Value-added product to be provided
The value-added product to be provided by this project is bedding.
4.5 Differentiation from competitors
The fact is that our product is unique, and it can only be produced because of the equipment that
we have. Our relationships with allow us to compete with this product and it is their 3rd party
information that details why we are able to produce this product that we would be able to do with
standard machinery. We believe this barrier to entry coupled with our competitive advantages will
prove very valuable in the future
5. Economic Factors
5.1 Availability of trained labor and total labor requirements
The company has sufficient labor and expertise. As outlined in the section, Qualifications of Project
Personnel, management that has been in working in this industry for a considerable amount of time.
Their general employees are also well trained. The company will recruit and train 5 new
employees; trained and trainable labor is available in this area.
5.2 Availability of infrastructure
The infrastructure required for the project such as utilities, electricity, natural gas, water, sewer, as
well as rail, air transportation, and hard surface roads for the project is sufficient.
1. Number of employees: With the implementation of this Value-Added Project ?? full-time
employees will be either retained or hired over the course of the project.
2. Dollar wages per hour and total of local employees: The pays upper market rate for wages. No
wages are paid to non-local seasonal employees.
3. Estimate Dollars spent in local economy: The annual expenditure of the company, including cost
of goods sold and payroll, for the of implementation of this project will be $3,762,97.
6. Marketing
Total marketing costs are budgeted at $17,000 in year 1.
6.1 Sales Organization
Name:
Project Role:
Qualifications:
Availability/Commitment:
6.2 Customers and target market
The targeted market primarily consists of poultry producers but also will include farms that have
horses and dairy cow.

5. 6.3 Nature and extent of market area
The marketing program will focus on using the existing relationships that the management team has
built to grow this brand. The focus will be on entrenching our products with our customers will be
within our local and regional market, and because of this, we can employ a marketing plan that
directly targets prospects that we are already familiar with, we believe this gives us a competitive
advantage while also attempting to build more relationships that could lead to a boost in our sales.
6.4 Marketing plans for sale of projected output
Activity
Total $33,000 $0 $0
6.5 Competition and mitigation of barriers
The fact that most other bedding producers do not have our processing set-up is the reason why
they cannot produce The fact is that our product is unique, and it can only be produced because of
the equipment that we have. allow us to compete with this product and it is their 3rd party
information that details why we are able to produce this product at 2 to 3 times the rate that we
would be able to do with standard machinery. We believe this barrier to entry coupled with our
competitive advantages will prove very valuable in the future
6.6 Commitments from customers and brokers
End-User Commitments
Xxxx have provided letter of intent, though numerous other buyers have also verbally expressed
interest in buying. Contracts are not normal in this industry. The current customers is 132 and future
customers expected to be added due to this project is 60. We plan to grow project sales to
$1,660,224 in the year following the grant.
End-User Commitments
Organization Signer Date Description of Support
Cat will continue to provide: Sales, parts and service, to continually help repair and/or maintain
your equipment used to produce the “your product” product from XXXX LLC. Additionally Energy
unlimited INC. will provide maintenance and repair for the drying plant used to produce “your
product”. maintaining their equipment is critical to our successful expansion. Our other suppliers
and partners have also committed verbally to assist us in this expansion.

6. Third-Party commitments
Organization Signer Date Description of Support
6.7 Management
Key Personnel: Robert Schauf,
Key Personnel:
Key Personnel:
7. Technical Operations
7.1 Technical report
A technical report has been completed regarding the facilities and the process to be utilized for
processing the raw commodity, logs into “your product”. Existing and planned facilities and
equipment are adequate for this project.
7.2 Proposed site
The proposed site is located in the city of Barron, WI and is suitable for the use in this project.
7.3 Environmental impact analysis
There is no requirement for an environmental impact analysis for this type of project.
7.4 Verifiable data
The technical report has been based upon verifiable data and does contain sufficient information
and analysis required to determine the projected levels of income and production levels that are
shown in the pro-forma financial statements specifically prepared for this value-added project.
7.5 Analysis of constraints and limitations
This Business Plan found that there are no constraints and limitations related to the facility or
design factors that may affect the success of the value-added project.
7.6 Financial risk mitigations
Sales volume is their key variable. They must achieve at least $1,386,724 in year three sales, based
on current prices, in order to maintain cash flow without additional investment. Past similar
launches and their performance to date show this sales volume to be very likely.
In addition, this Business Plan found no significant problems preventing us from realizing the
financial returns estimated in their business plan. It also found that the expansion would become
much more viable with additional grant funding to increase startup resources.

7. 7.7 Project development and operating costs
The technical report has identified and estimated the project development and operating costs and
has determined that the level of accuracy of these estimates and the assumptions are sufficient for
this type of project. The project development and operating costs are presented in the table that
follows this section.
7.8 Sources and uses of funds
Grant funding $250,000 for working capital
Match contribution $250,000 for inventory
7.9 Estimated fixed costs and working capital
This Business Plan found that this project does not require any investment for land, facilities, or
equipment.
This project will begin with $250,000 in working capital from the owners and $250,000 from a
grant, for a total initial capital investment of $500,000.
8. Financial Management
8.1 Balance sheet and income statement
A balance sheet and income statements for 3 years is presented in the Appendix.
8.2 Pro-forma balance sheet at start-up
A pro-forma balance sheet for this project is presented in the Appendix.
8.3 Projected year-end balance sheet and income statements
The projected year-end balance sheets and income statements for three years are presented in the
Appendix, and include comparison with industry standards.
Bizminer/Brandow Company comparisons show the project and the overall organization to be
above average for a company of this size. Overall profits, most significantly, put this project above
average. The average profit before taxes for operations of this size is 3.96% % according to recent
statistics. This project estimates a profit before tax of 16.47% % percent excluding grant funding by
the final year of this grant period. Net profit percentages are calculated by dividing net income by
sales as shown in the income statement included in this plan.
8.4 Assumptions used in developing financial statements
The assumptions presented in the Appendix of the business plan are based on historic costs for the
company and estimates from the experience of the owners. This level of expenses is also in line
with industry standards.
8.5 Reliability of financial projections
The financial projections presented are considered to be reliable and the project has the ability to
achieve the projected income and cash flow.
8.6 Cost accounting system

8. The cost account system to be used by this project was found to be appropriate for the size of the
venture.
8.7 Short-term credit
The availability of short term credit was found to be sufficient, the project is not subject to
seasonal business.
8.8 Adequacy of raw materials and supplies
The available raw materials and supplies required for this value-added project were found to be
sufficient.
8.9 Commitment of raw material
This study found that the commitment of raw materials is supported by adequate marketing
agreements. The company does not use signed contracts with their agricultural producers as this is
not standard in the industry.
8.10 Identification of key drivers and sensitivity analysis
Sales volume is their key variable. They must achieve at least $1,386,724 in year three sales, based
on current prices, in order to maintain cash flow without additional investment. Past similar
launches and their performance to date show this sales volume to be very likely.
In addition, this Business Plan found no significant problems preventing us from realizing the
financial returns estimated in their business plan. It also found that the expansion would become
much more viable with additional grant funding to increase startup resources.
8.11 Government tax credit - subsidies
There are no applicable government tax credits or subsidies for this project
9. Management
9.1 Key personnel
The key personnel has been evaluated and the continuity and adequacy of management has been
evaluated and verified as satisfactory for the size of venture. Please find the key personnel listed in
section 6.7.
9.2 Mitigation of risk
No constraints or limitations were found on the management of the project.
9.3 Organizational structure
The organizational structure described in the previous section meets the needs of the “your
product”
project.