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THIS BAR SAVES LIVES 1


THIS BAR SAVES LIVES is a nutrition bar company setting out to do one simple thing:

SAVE LIVES. 2


Severe acute malnutrition leads to 2.25 million preventable child deaths each year.

That’s one child every 14 seconds. 3


OUR MISSION:

To lift millions of children from the grips of starvation by giving away one packet of life saving food for each nutrition bar sold. 4


HOW IT WORKS

You’re hungry.

You eat one of our delicious

For every bar you eat, our

We send that food to

Boom.You helped save

nutrition bars.

non-profit partner makes a

where it’s needed most.

a child’s life.

life saving food supplement.

FEED YOURSELF. FEED A CHILD. 5


TWO GUYS AND A SIMPLE IDEA Ryan Devlin and Todd Grinnell teamed up in 2009 for a humanitarian trip to Africa. Upon visiting a refugee camp in Liberia, they came face to face with the tragedy of severe acute malnutrition and the incredible life saving food that was combating it. They’d seen Plumpy’Nut® hailed as a “miracle supplement” on 60 Minutes, but to witness it literally lifting children from the brink of starvation was a watershed moment for Todd and Ryan. THIS BAR SAVES LIVES began taking shape right then and there. Similar to other socially conscious companies like TOMS Shoes and Ethos Water, THIS BAR SAVES LIVES has a simple plan to impact millions of people: For every delicious nutrition bar sold, one life-saving packet of food will be given to a child in need. One for one. 6


What Are We Selling?

OUR GOALS

Learn more about our line of nutrition bars on page 14

• Produce a line of great tasting, socially responsible nutrition bars made from the highest quality ingredients • Deliver 500,000 Plumpy’Nut® and Nutributter® packets to severely malnourished children by the end of 2013 • Deliver 1 million Plumpy’Nut® and Nutributter® packets to

What Are We Giving Away? Learn more about these miracle products on page 10

severely malnourished children by the end of 2014 • Increase Plumpy’Nut and Nutributter contribution each year to reach 20 million children by 2020

7


THIS BAR SAVES LIVES is focused

on helping children suffering from severe acute malnutrition to survive and thrive.

What is Severe Acute Malnutrition? Children with severe acute malnutrition have a low weight for height ratio and suffer from wasting (extreme thinness) or edema (swelling)—often resulting from illness and a lack of nutritious foods in their diet. It is a preventable, yet serious, life-threatening condition currently afflicting 20 million children worldwide.

What’s At Stake If We Don’t Help? Without our help, millions of children will lose their lives—most of them before reaching their 5th birthday. While severe acute malnutrition is treatable and preventable, less than 10% of children receive the life-saving treatment they need. BUT THAT’S ALL ABOUT TO CHANGE.

8


THIS BAR SAVES LIVES is tackling acute malnutrition in two ways:

TREATMENT AND PREVENTION

9


TREATMENT

In the last decade, Plumpy’Nut® has become the most important weapon in the war on global hunger. It’s a simple nutrient-rich paste made from peanuts, milk powder, sugar, vegetable oils, and a mixture of vitamins and minerals. Children love the sweet taste, mothers love watching their children recover at home, and doctors love that it doesn’t need to be refrigerated or mixed with water and has a 2-year shelf life. The World Health Program and UNICEF both endorse Plumpy’Nut® because the recovery rate for a child diagnosed with severe acute malnutrition is over 90%. In seven weeks, a child’s life can be transformed from near death

Plumpy’Nut ® is a revolution. It is like an essential medicine, the equivalent of Penicillin to these kids.”

to certain survival.

-- Dr. Milton Tectonidis, Chief Nutritionist for Doctors Without Borders

BEFORE 10

AFTER


While there are millions of malnourished children that require the immediate help of Plumpy’Nut®,

PREVENTION

the best long-term solution to this global tragedy is preventing acute malnutrition in the first place. Nutributter® was designed to do exactly that. Nutributter® is a nutritional supplement in the form of a ready-to-use paste, which acts as a daily fortification to a child’s regular diet. After the age of 6 months, a mother’s milk no longer provides all the energy and nutrients an infant needs in order to grow strong and healthy. It’s a dangerous point when far too many children in developing countries fall victim to acute malnutrition. Similar to Plumpy’Nut®, Nutributter® doesn’t need to be refrigerated or mixed with water, and a daily dose is specifically designed to keep a child from slipping into the tragic grips of acute malnutrition.

”An ounce of prevention is worth a pound of cure.” 11


Horn of Africa

Where Are We Sending Help?

Most notably Ethiopia and Somalia where 10 million people are affected by the

Millions of children throughout Africa are suffering from severe acute malnutrition— sparked by forced migration, droughts, and skyrocketing food prices—and urgently need ample supplies of Plumpy’Nut® and Nutributter®.

Sahel Region Stretching from the Atlantic Ocean to the Red Sea, the Sahel has fallen victim to crippled harvests due to late and erratic rains. 10 million people face severe food shortages and famine.

Southern Africa In countries such as Zimbabwe, Malawi, and Zambia, severe food shortages threaten close to 14 million people with famine.

12

worst drought in 60 years, leaving 40% of children malnourished.


OUR NONPROFIT PARTNER Edesia Global Nutrition Solutions is a nonprofit company headquartered in Providence, Rhode Island. They are the only US producer of Plumpy’Nut® and Nutributter®, and since opening in March 2010, their factory has produced enough of each product to literally save the lives of 150,000 children. In partnership with Edesia,THIS BAR SAVES LIVES aims to make it millions.

Edesia continually supplies Plumpy’Nut® and Nutributter® to well-known and experienced humanitarian aid agencies such as the World Food Program, UNICEF, and Doctors Without Borders. Our partnership with Edesia means that robust supplies of Plumpy’Nut® and Nutributter® will be sent to where they are needed most.

For each THIS BAR SAVES LIVES sold online or in stores, we’ll get a Plumpy’Nut® or Nutributter® packet into the hands of a child whose life depends on it. IT’S THAT SIMPLE: BUY A BAR, FEED A CHILD.

13


R U O S R BA THIS BAR SAVES LIVES has an inspiring mission that’ll get millions of people to sample the product...but their loyalty will be earned only if the product itself delivers. That’s why we’re spending as much time on our recipe as we are on our mission.

14


SUPERIOR TASTE

THIS BAR SAVES LIVES will launch with three delicious recipes, currently in development with one of the top nutrition bar firms in the nation, JPG Resources. Project Leader Jeff Grogg previously led the R&D team for Kashi brand nutrition bars and cereals, where he oversaw new product development and helped grow the brand from annual revenues of $25 million to over $500 million. Jeff and his team are among the most proven and sought after health and natural food innovators in the world. In partnership with JPG Resources, THIS BAR SAVES LIVES will focus on organic, nutritious and ethically sourced ingredients to deliver a product that tastes great...and does good.

In addition, THIS BAR SAVES LIVES is forming an exclusive partnership with VitaForce to include their super foods supplement in each of our bars. VitaForce is made from real

SUPERIOR NUTRITION

fruits and vegetables like organic acai, organic pomegranate, organic kale, organic wheat grass, and organic wild blueberries, which are absorbed more efficiently and healthfully than synthetic nutrients. It is sold in Whole Foods stores, and will fortify each THIS BAR SAVES LIVES with more vitamins, minerals, antioxidants, and probiotics than nearly any snack bar on shelves today. 15


Nutrition bars continue to be one of the hottest products within the Health and Snack Food sectors, and THIS BAR SAVES LIVES is perfectly situated for the busy, socially conscious,

CURRENT MARKET

healthy snacker. Over 20% of U.S. adults eat snack bars at least once every two weeks, more than doubling the amount from a decade ago. U.S. retail nutrition bar sales grew 7% to $3.3 billion in 2011, which capped off an impressive 50% sales growth over the past five years for the booming industry. The following companies represent the three phases THIS BAR SAVES LIVES will look to emulate as we launch and grow towards eradicating child starvation.

Pure Bar: The Upstart Pure Bars began in 2006 when a Michigan mom wanted to create an organic, vegan snack bar for her family, which also turned out to be a hit on store shelves. Sales have doubled every year since 2006 and Pure Bars can now be found in Whole Foods, Ralph’s, Kroger, Bed Bath & Beyond, and other major retailers.

Kind Bar: The Rising Star Started in 2004, Kind Bars went from niche to national in a very short amount of time, and has since gone global. Kind now offers 19 varieties of bars in over 60,000 retail outlets, with sales reaching $100 million in 2011, roughly doubling 2010 sales.

Clif Bar: The Top Dog Clif Bar began in 1991 and was an immediate hit with sports enthusiasts as it entered the burgeoning natural foods movement. First year sales topped $700,000 and the business exploded from there, with sales doubling each year. Today Clif Bar & Company is a household name with over $235 million in annual revenue. 16


WHAT SETS US APART? ONE FOR ONE

SUPER FOOD

THIS BAR SAVES LIVES can boast

VitaForce has spent years

an exclusive snack bar partnership

developing the most effective

with Plumpy’Nut® and Nutribut-

super food supplement in exist-

ter®. In giving away one life-saving

ence. By including it in our bars,

nutrition packet for each bar we sell,

customers will enjoy a delicious

we’re offering added value to our

snack that offers health benefits

customers that other bars aren’t.

far superior to most other options on store shelves.

The meteoric rise of socially

CELEBRITY ENDORSEMENTS

conscious companies like

THIS BAR SAVES LIVES was

TOMS Shoes and LiveStrong

created by two actors. Todd and

can be attributed to the power

Ryan will reach out to their friends

of grassroots, consumer activism.

and colleagues in Hollywood to

THIS BAR SAVES LIVES, with

assist them in getting the word out

its similar vision, will benefit from

through social and tradition media

the strongest type of advertising:

outlets, ensuring a launch that’ll

word-of-mouth.

reach millions.

GRASSROOTS

17


OUR GRASSROOTS STRATEGY We wish every product out there helped to feed starving children, but since they don’t,

VIRAL VIDEOS Earlier this year, Invisible Children entered the history books with a viral video seen by more than 100 million people in less than a week. With help from our friends in Hollywood, THIS BAR SAVES LIVES will launch with a 2-minute video to spark our grassroots movement, laying the foundation for a viral video campaign worth millions in traditional ad dollars.

THIS SCHOOL SAVES LIVES Our THIS SCHOOL SAVES LIVES initiative will begin by establishing

there’s a huge opportunity for

programs at the nation’s 10 most populous campuses within the first 3 months

THIS BAR SAVES LIVES to explode

of our launch. THIS SCHOOL SAVES LIVES will inspire and sponsor student led

onto the marketplace.

initiatives to raise awareness of the hunger crisis by bringing the movement

Our product offers everyone the chance to become part of a history making grassroots movement, similar to the those

to their campuses. “Launch Kits” filled with free bars, t-shirts, banners, and strategy guides will challenge students to get the word out and establish THIS BAR SAVES LIVES in their campus stores.

BUILDING LOYALTY Customer interaction leads to customer loyalty, and THIS BAR SAVES LIVES will engage our audience in ways no other snack bar company is currently

of TOMS Shoes and LiveStrong

doing. Customers will receive photos, maps, videos and personalized updates

bracelets: two companies that

of the children being saved through their purchase, thus leading to thousands

started from humble beginnings and used the power of grassroots

of “Product Ambassadors” eager to spread the word of THIS BAR SAVES LIVES to their networks of friends and family.

marketing to bring in millions

JOINING FORCES

in revenues... and help millions

most established and accomplished non-profit organizations. Their millions

of people.

THIS BAR SAVES LIVES is forming relationships with some of the nation’s of like-minded supporters will help to seed our grassroots movement as they become early adopters and champions of THIS BAR SAVES LIVES.

18


Early support from popular actors, athletes, and musicians will launch THIS BAR SAVES LIVES and its philanthropic mission into the hearts and minds of millions of consumers. A typical company could spend years of time to attain the brand awareness that THIS BAR SAVES LIVES will launch with. Ryan and Todd’s friends and colleagues interact with millions of fans on Twitter and Facebook as they instantly create and foster trends. Simply put, they have the power to help THIS BAR SAVES LIVES become an iconic brand just as Lance

GETTING THE WORD OUT

Armstrong and his friends did with the LiveStrong bracelets, and Paul Newman did with Newman’s Own. Additionally, Todd and Ryan have access to the most popular media outlets, from Entertainment Tonight and TMZ, to The Los Angeles Times and Us Weekly. An initial media blitz will create buzz around THIS BAR SAVES LIVES and kick off the grassroots campaign on a national level...which means getting Plumpy’Nut® and Nutributter® shipments out that much faster.

19


THIS BAR SAVES LIVES WILL LAUNCH WITH THE POWER TO REACH MILLIONS…AND HELP MILLIONS.

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PROJECTED TIMELINE • Official launch of THIS BAR SAVES LIVES • Throw THIS BAR SAVES LIVES launch party with media blitz • Place order for 150,000 bars • Approve initial three recipes

AUGUST • Continue recipe development with JPG Resources • Begin work on website • Begin work on wrapper and box design

• Complete work on website

• Complete THIS BAR SAVES LIVES logo

• Complete launch video

• Implement THIS SCHOOL SAVES LIVES campus program

• Visit manufacturers and oversee test runs

• Begin seeding social media campaign

• Continue acquiring regional sales deals

SEPTEMBER

OCTOBER

NOVEMBER

• National expansion into Whole Foods and Trader Joe’s

• Launch full scale Celebrity and Grassroots campaign

DECEMBER

JANUARY

FEBRUARY

• Delivery of sample run of bars

• Delivery of 150,000 bars (three flavors)

• Place order for additional 150,000 bars

• Test bars in local Whole Foods

• Soft launch of THIS BAR SAVES LIVES online

• Pursue ancillary markets (vending machines, movie theaters, etc.)

• Begin work on launch video • Place order for wrappers and boxes

• Begin acquiring regional accounts (supermarkets, coffee shops)

• Accompany Edesia officers to Africa for delivery of 100,000th Plumpy’Nut • Introduce new bar recipe

MARCH

• Continue regional market expansion

21


FINANCIALS & SALES FORECASTS 22


RETAIL PRICE

RETAIL PRICE

To incentivize grocery distribution, retail pricing will be consistent across all platforms. Bars will be priced at $2.25 apiece online and in stores, with RETAIL PRICE bulk discounts and in-store promos offered once the brand is established. To incentivize grocery distribution, retail pricing will be consistent across allincentivize platforms. grocery Bars willdistribution, be priced atretail $2.25pricing apiecewill online and in stores, with To be consistent across discounts andwill in-store promos offered once online the brand allbulk platforms. Bars be priced at $2.25 apiece andisinestablished. stores, with bulk discounts and in-store promos offered once the brand is established. With recipes still in development, the estimated cost per bar is based on preliminary testing and the expertise of JPG(COGS) Resources. The following are COST OF GOODS SOLD targets for our three launch recipes: With recipes still in development, the estimated cost per bar is based on

RETAIL PRICE

COST OF GOODS SOLD (COGS) COST OF GOODS SOLD (COGS) COST OF GOODS SOLD (COGS)

preliminary and the expertise JPG Resources. following are With recipes testing still in development, the of estimated cost per The bar is based on targets for our three launch recipes: preliminary testing and the expertise of JPG Resources. MANUFACTURING COSTS (allocated per The bar)following are targets for our three launch recipes:

Raw Ingredients $0.21 MANUFACTURING COSTS (allocated per bar)

MANUFACTURING COSTS (allocated per bar) Co-Packer Toll $0.15 Raw Ingredients $0.21 Raw Ingredients VitaForce Co-Packer Toll

$0.21 $0.05 $0.15

Co-Packer Wrapper VitaForce Toll

$0.15 $0.03 $0.05

VitaForce Box Wrapper

$0.05 $0.02 $0.03

Wrapper Box Box

$0.03 $0.02 SHIPPING COSTS (allocated per bar) $0.02

SHIPPING COSTS (allocated per bar) Fulfillment Services $0.15 (internet sales only)

bar) Fulfillment SHIPPING Services COSTS (allocated per $0.15 Bulk Delivery Grocer/Distributor (internet sales to only) $0.02 Fulfillment Services $0.15 Bulk Delivery to Grocer/Distributor $0.02 (internet sales only) TAX DEDUCTABLE DONATION (allocated Bulk Delivery to Grocer/Distributor $0.02per bar) TAX DEDUCTABLE per bar) Plumpy’Nut / Nutributter DONATION (allocated $0.29

Plumpy’Nut / Nutributter DONATION (allocated $0.29per bar) TAX DEDUCTABLE

Plumpy’Nut / Nutributter

$0.29

STARTUPUP COSTS START COSTS

Nutrition bars represent one of the fastest growing and most successful segments of the food product industry, and also benefit from one of the STARTUP COSTS lowest barriers to entry. Nutrition bars represent one of the fastest growing and most successful segments of therepresent food product and also benefit from one of the Nutrition bars oneindustry, ofathe fastest growing most The following costs represent full-scale launch of and THIS BARsuccessful SAVES lowest barriers to entry. segments of the food product industry, and also benefit from one of the LIVES. Co-founders Ryan Devlin and Todd Grinnell will not be taking a lowest barriers to entry. salary; every dollar of startup capital will go towards preparing and The following costs represent a full-scale launch of THIS BAR SAVES launching THIS BAR SAVES LIVES. LIVES. Co-founders Devlina and Todd Grinnell willTHIS not be taking a The following costsRyan represent full-scale launch of BAR SAVES salary; every dollar of startup capital will go towards preparing and LIVES. Co-founders Ryan Devlin and Todd Grinnell will not be taking a launching THISdollar BARROUND SAVES LIVES. salary; every of startup will go towards preparing and 1 capital CAPITAL BUDGET launching THIS BAR August SAVES 2012 LIVES. - October 2012

STARTUP COSTS

ROUND 1 CAPITAL BUDGET Recipe Development $20,000.00 August 2012 - October BUDGET 2012 ROUND 1 CAPITAL Website Design August 2012 - October 2012 $5,000.00 Recipe Development $20,000

Recipe Development LaunchDesign Video Website

$20,000.00 $5,000.00 $5,000

Website Design Packaging Design Launch Video

$5,000.00 $1,000.00 $5,000

Launch Video Legal Fees Packaging Design

$5,000.00 $2,000.00 $1,000

Packaging Insurance Legal Fees Design

$1,000.00 $2,000.00 $2,000

Legal Insurance Total Fees

$2,000.00 $2,000 $35,000.00

Insurance Total

$2,000.00 $35,000

Total

ROUND 2 CAPITAL BUDGET $35,000.00 November 2012 - February 2013

ROUND 2 CAPITAL BUDGET November 2012 - February 2013 $70,000.00 Initial Run of 150,000 Bars ROUND 2 CAPITAL BUDGET Initial RunRun of 150,000 BarsBars $70,000 November 2012 - February 2013 Second of 150,000 $70,000.00 Second Runofof150,000 150,000 Bars Bars Initial Run Marketing

$70,000 $70,000.00 $10,000.00

Marketing Second Total Run of 150,000 Bars

$10,000 $70,000.00 $150,000.00

Total Marketing

$150,000 $10,000.00

Total

$150,000.00

23


INTERNET SALES

INTERNET SALES Because THIS BAR SAVES LIVES is in the unique position of being a grass roots company with the marketing power of a major brand, the majority of initial sales will funnel through the company website, ThisBarSavesLives.com. This method of distribution is ideal for a number of reasons: • Profits are approximately 300% higher than through traditional brick-and-mortar distribution as a result of low overhead costs and full retainment of retail price.

Bars Sold Per Month (2013) 60,000 50,000 40,000 30,000 20,000 10,000 0

• Consumer feedback and interaction is immediate. • Robust website traffic and internet sales will lead to a more advantageous bargaining position with distributors. Sales forecasts reflect the high impact from celebrity endorsements (via social and traditional media outlets), particularly as THIS BAR SAVES LIVES launches. January sales of 40,000 bars equates to approximately 3,000 customers obtained via 3 million social media impressions (at industry estimated 1% customer obtainment). After the expected dip in month two, we conservatively estimate 10% monthly growth as word-of-mouth and grassroots advertising spread.

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Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec Year 1

Unit Sales (Bars)

Year 2

Year 3

205,317

225,849

282,311

$2.25

$2.25

$2.25

$461,963

$508,160

$635,200

Direct Cost Per Unit*

$0.61

$0.58

$0.58

Plumpy’Nut / Nutributter Donation

$0.29

$0.29

$0.29

Total Direct Cost

$184,785

$196,488

$245,611

Net After COGS / Donation

$277,178

$311,672

$389,589

60%

61%

61%

Retail Price Per Unit Total Revenue

Gross Margin %

*Includes Fulfillment Service charge for processing online orders *Lowered Unit Cost in years 2 and 3 as a result of bulk discounts on ingredients and processing


DIRECT-TO-GROCER& & DIRECT-TO-GROCER ANCILLARYSALES SALES ANCILLARY The initial online sales blitz (beginning in January) will create grocer awareness for THIS BAR SAVES LIVES as retailers take note of the impressive product demand. Regional expansion will be fueled by two additional sales representatives commissioned for new accounts. For Whole Foods and Trader Joe’s, THIS BAR SAVES LIVES plans to expand from Southern California at the rate of three regions per month until national contracts are directly secured without the need of a broker. Current forecasts put THIS BAR SAVES LIVES into 850 stores by the end of 2013. Our campus ambassador program, THIS SCHOOL SAVES LIVES, will launch in January and target the 10 largest campuses in the nation, totaling more than 500,000 students. Additionally, the following Ancillary Markets will be targeted for regional and national contracts: Coffee Shops - Starbucks: 12,800 locations - Coffee Bean: 830 locations - Pete’s Coffee: 193 locations - Caribou Coffee: 593 locations Gyms - LA Fitness: 500 locations - 24 Hour Fitness: 425 locations Theaters - Regal Entertainment Group: 545 locations - AMC Entertainment: 307 locations - Cinemark Theaters: 294 locations

Bars Sold Per Month (2013) 50,000 40,000 30,000 20,000 10,000 0

Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec

Year 1 Unit Sales (Bars)

Year 2

Year 3

300,588

330,647

495,971

$1.12

$1.12

$1.12

$336,659

$370,325

$555,488

Direct Cost Per Unit*

$0.48

$0.45

$0.45

Plumpy’Nut / Nutributter Donation

$0.29

$0.29

$0.29

Total Direct Cost

$231,453

$244,679

$367,019

Net After COGS / Donation

$105,206

$125,646

$188,469

31%

34%

34%

Wholesale Price Per Unit Total Revenue

Gross Margin %

*Lowered Unit Cost in comparison to Online Sales, as Fulfillment Services aren’t needed *Lowered Unit Cost in years 2 and 3 as a result of bulk discounts on ingredients and processing 25


NATIONAL NATIONAL DISTRIBUTION

DISTRIBUTION

First year sales will be via internet and directto-grocer avenues only, which will maximize profit margins as the brand gains national recognition. The goal for 2014 is to establish a presence in all regional and national markets, accomplished by bringing on a Distribution Broker to expand THIS BAR SAVES LIVES’ line of products into the thousands of grocers, convenience stores, and regional outlets that require “boots on the ground” to sign and stock. Broker fees will be somewhat offset by lower variable costs as high volume sales allows us to take advantage of reduced rates for bulk ingredients, packaging, and shipping. More importantly, national distribution across multiple platforms will result in millions of Plumpy’Nut® and Nutributter® donations as THIS BAR SAVES LIVES becomes a familiar product on store shelves in the U.S. and internationally. As has been proven by Clif Bar, Kind Bar, and other successful brands, national distribution results in sales growth of 100% (doubling) year-to-year.

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TARGET SUPERMARKET GROUPS

Kroger - 2,460 stores (Kroger, Bakers, Meijer, Food 4 Less) Safeway Inc. - 1,358 stores (Safeway, Carrs, Pavilions, Vons) SuperValu Inc - 2,398 stores (Albertsons, Shop ‘n Save, Farm Fresh) Aldi - 1,400 stores Delhaize Group - 1,300 stores (Bloom, Bottom Dollar)

TARGET REGIONAL AND NATIONAL CONVENIENCE STORES 7-11 - 8,200 stores BP - 4,730 Shell - 4,630 Circle K - 3,569

Year 1 Unit Sales (Bars)

Year 2

Year 3

0

443,504

1,330,512

$0.00

$0.90

$0.90

$0

$399,154

$1,197,461

Direct Cost Per Unit*

$0.00

$0.45

$0.45

Plumpy’Nut / Nutributter Donation

$0.00

$0.29

$0.29

Total Direct Cost

$0

$328,193

$984,579

Net After COGS / Donation

$0

$70,961

$212,882

0%

18%

18%

Wholesale Price Per Unit Total Revenue

Gross Margin %

*Lowered Unit Cost in years 2 and 3 as a result of bulk discounts on ingredients and processing


3-YEAR 3-YEAR OUTLOOK OUTLOOK

INCOME STATEMENT

Sales and earning forecasts align along the industry standard model for successful nutrition bar startups: a doubling of sales year-to-year for the first five years. Our ability to immediately market our products to a massive audience (rather than a slow rollout) may result in sales figures exceeding those predicted in this outlook.

2013

2014

2015

Revenue

$798,622

$1,277,639

$2,388,149

COGS

$269,525

$479,360

$985,657

Charitable Donation

$146,712

$290,000

$611,550

Net After COGS / Donation

$382,385

$508,279

$790,942

48%

40%

33%

Employee Salaries

$0

$20,000

$40,000

Sales Commissions

$36,832

$47,032

$58,774

Marketing

$10,000

$10,000

$20,000

1,478,400

Travel

$3,000

$5,000

$10,000

1,267,200

Trade Shows

$1,000

$1,000

$1,000

1,056,000

Legal + Insurance

$4,000

$6,000

$6,000

Food Scientist

$20,000

$20,000

$20,000

Supplies

$1,000

$4,000

$8,000

$0

$0

$24,000

Pre-Tax Net Income

$306,553

$395,247

$603,168

Plumpy’Nut / Nutributter Donations

505,905

Combined 3-Year Sales (Units) Internet

Grocer

Distributor

2,112,000 1,900,800 1,689,600

844,800 633,600

Expenses

Rent

422,400 211,200 0

Gross Margin %

2013

2014

2015

packets

1,000,000 2,108,794 packets

packets

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THIS BAR SAVES LIVES 28


This Bar Saves Lives