PowerPoint Presentation

AgricycleGrowing around Atlanta

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycle1Our team and missionArchitects: Lu Grace Pang, Animesh Shiestha, Jeremey GentryGrower: Corey Mosser, Charles GreenleafEntrepreneur: Houtan ZojajiEngineer: Jeffrey LandauMarketing Professional: Erik MaguinaSustainability Manager: Arsalan MahtafarGeneralist: Tanner BarrOur mission is to innovate local sustainable food systems #|

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleOur goals/missionDevelop an urban farm that is economically sustainableGenerate market rate of return on capitalEngage the local communityPromote sustainable urban farmingCreate jobs for marginalized communitiesProvide quality produce to areas that do not have market access (i.e., food deserts)Minimize adverse environmental impactEnsure environmental footprint for our production is less than traditional agriculture

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycle3Our locationKey characteristicsLocated in an industrial zone50 acres large30-40% paved landNo existing structures on propertyNear interstate highways (I-85 and I-20)Railroad accessPossible future Belt-line and Marta accessNear several food deserts

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleOur business planDevelop an urban vertical farm with 2 componentsClosed artificially lit indoor farm with aeroponics producing leafy greens (lettuce, kale, arugula, microgreens)Enclosed/convertible farm producing root vegetables (carrots, beets, turnips, kale, collard greens, broccoli)Vertical urban farmFood distribution hubProcessing (washing, cut/chop, packaging, flash freeze)Cold storageDistributionDivisionDescriptionFarmer servicesConsultingTraining/workshopsCommunity events#|

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycle5Business plan elevation view and integration

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleBusiness plan flyover

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleIndoor farm systems diagram

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleEnclosed/convertible farm

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleConvertible farm systems diagram

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleConvertible farm systems diagram

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleFood hub systems diagram

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycle

Year 2Year 42.4-3.2-3.9Year 33.02.1-2.5Year 1Year 5-8.7-10.53.08.36.34.38.35.3-5.3-5.3CapexOpexRevenuesAnnual cash flow1USD Millions 7% IRRKey assumptions:Initial CAPEX$7.5 M for indoor farm$0.6M for convertible farm$2.5M for food hubOngoing OPEX$1.7 M for indoor farm$0.2 M for convertible farm$2.5 M for food hubIndoor farm revenue assumptionsTotal sq. feet of grow beds: 90kAverage yield per sq. foot: 5 lbAverage price/lbs: $6.00Convertible farm assumptionsTotal sq. feet 82kAverage yield per sq. foot: 1.9 lbAverage price/lbs: $4.00 Food-hub assumptionsVolume processed/stored/distributed per year: 5 tons year 1, growing to 25 tons in year 4Net margin on revenues: 30%

HIGH LEVEL ESTIMATES1 Have not included any revenue or costs from farming servicesThe operation will produce a 7% rate of return over 5 years and generate 35% margin at run-rateBusiness model, economic sustainability, and yield estimates#|

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleMarketing planRestaurantsGrocery storesTarget customersSchoolsMarketing strategyMedical centers and institutionsFarmers marketFocus on selling high value products out of season in AtlantaRoots and greens from December to AprilHigh-value grocery chains in Atlanta and nearby metro areasMom and pop locations in food desertsSell to K-12 to help them meet their healthy meal quotasPromote our quality and nutritional valueCapitalize on their need for healthy and traceable foodParticipate in farmers markets to engage community and promote brand awarenessOutreach to farmers to promote farmer services#|

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleEnvironmental sustainabilityDesignElectricity provided by solar panelsThree 20,000 gallon cisterns to collect and redistribute rainwater throughout the siteRecycling nutrients prevents agricultural pollution through run-off15 acres of vegetation on the land will be in conservation3 quarter-acre facilities to collect neighborhood compostProcessAnnual evaluation and benchmarking against traditional agricultureCarbon footprint (electricity, food miles)Water consumptionContinuous improvementKaizen workshops for developing innovative improvements

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TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycle

Sources: www.ers.usda.gov/data-products/food-access-research-atlashttp://www.neighborhoodnexus.org/mapshttp://www.city-data.com/city/Atlanta-Georgia.htmlhttp://apps.ams.usda.gov/fooddeserts/fooddeserts.aspxSocial sustainability

Our locationOur target communitiesFood Deserts in ATL:BankheadWhittier VillageCenter HillEast AtlantaWinnona ParkCampelltonOld Fourth WardRiversideWest HighlandsPeoplestownMechanicsvilleLakewoodEast LakeGreenbriar

Many of these Neighborhoods have poverty rates as high as 86%#

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleThank you!

Questions?#|

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycleAppendix Financial model assumptionsAssumptionAmountIndoor farmCost per square foot$57.80 Square footage warehouse10,000Number of grow beds per level20Number of levels12Nuumber of LEDs per growbed488Price per LED132.5Lettuce yield (lbs/sq.foot/year5Size of each bed376Lettuce per pound (wholesale)$6.00 Building facilities (as % of building)50%Total capital costs7400000Kale (price/lb) $1.03 Microgreens $25.00 Average price of produce $6.00 Enclosed / convertible farmNumber of units12Beds per unit17Sq foot/bed400Total sq footage81600Yield per bed per year (per year)750Sq footage per bed400Yeild per sq foot per year1.9Average price of produce $4.00 Labor for harvest per bed (hr)6Number of harverst per year5Labor cost per hour12Labor for plant and prep per bed (hr)2Labor for upkeep per bed (hr)2.5Seed $5,000 Fertilizer $3,000 Organic pesticide $2,000 Compost cost per bed (CAPEX) $500 Bed cost $200 Convayer (per unit) $20,000 Irrigation (per unit) $6,000 Cistern (for 3) $100,000 Convertible cover (per unit) $8,000 #|

TRACKERUnit of measure1 FootnoteSOURCE: SourceTitleUnit of measureAgricycle