cienegaagroexchange.com. executive summary increasing demand for sustainable agricultural products...
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Executive SummaryIncreasing demand for sustainable
agricultural productsCommercialization of sustainable production
not bullet proof Improved quality products for consumerBottom line gains for producers, suppliersBroader access to marketsCompliment technology with current
practices
Agricultural IndustryU.S. is world leaderCalifornia’s # 1 industryIncrease in exports and imports by 20%Large scale farming, processing, selling etc.Opportunities to revert operations to small
scale farming, more specializedLong term. No matter how much technology
we still have to eat
Product/ServiceBusiness to business modelTransactional revenue modelBuyers meet SellersFacilitate the transactions between bothRevenue is generated from transactions and
annual membership fees
Future ExpansionBusiness to business modelSubscription revenue modelAgronomic adviceAgribusiness consulting
MarketOpen to allGeared for the small farmer, shipper,
marketer not aligned with big business giantsSpecialty producers. I.e.. Exotic fruits and
vegetablesOversupply allocationUndersupply procurement
Marketing StrategyAg expos, tradeshows, conferencesNational and International Trade SitesRegional and local ag coalitionsWord of mouth. News spreads fast in
agricultural communityPiggy-backingAg journals, websites, etc..
CompetitionCompetition- Only 1 similar business.
Conventional growing, shipping, logisticsBig players do not do good job with specialty
productsMargins are less with big coolers, farms, etcMany executives in top firms know little
about farming and its constituentsCan be considered not attractive for large
firms
OperationsMainly web based Latest technologyTwo offices: Salinas, Zamora ,Michoacán
MexicoOffice managers with tech support personnelOwners maintaining conventional jobs and
providing support on daily operationsAs business grows addition of customer
agronomists and other tech support
ManagementJose Ramirez- B.S. Crop Science. Experience
in agricultural operations from seed to salad. Trilingual. Existing potential customer contacts. Work experience in Mexico.
Tony Ojeda-B.S Agricultural Business. Exceptional experience in sales and marketing. Existing customer base.
FinancialFunded by self and partnerStart-up costs minimalOffice facilities based out of personal
propertyMajor costs in marketing and advertising1st year loss to break even2nd year on profits gradually increasing
Exit StrategyMinimal risk involvedCompany will be consumed by existing
playersCustomer base will benefit employers of
owners