Gourmet Foods Company

BUSINESS PLAN   GOOD EARTH FOODS COMPANY

1705 Stubbleton Road
Bismarck, North Dakota 58502

People are smarter about the foods they eat these days, and more consumers have turned to organic food products for personal health and reasons of quality. The Good Earth Foods Company will provide high-quality organic foods and ready-made convenience items for people who are too busy for complex food preparation but who care about what they eat.

• EXECUTIVE SUMMARY
• STATE OF THE INDUSTRY
• MISSION
• MARKETING STRATEGY
• COMPANY FOUNDER PROFILE
• FINANCIALS

EXECUTIVE SUMMARY

Introduction

Good Earth Foods Company has formed to meet the growing demand for unique, organic, partially prepared, specialty convenience foods.

Good Earth Foods is initially focusing on the development, production, and marketing of dry spice products, which is detailed in this document. Other food product development opportunities will be addressed in future amendments to this business plan that will provide additional profit with expanded market share.

Good Earth Foods has retained legal counsel and has developed a business relationship agreement with a volume food manufacturer to partner with in ongoing business operations. In addition to establishing a relationship with a food production producer, Good Earth Foods has sought out and secured professional services firms to evaluate, validate quality, and longevity of products and product life cycle. These additional professional services will allow Good Earth Foods Company to ensure food quality compliance with state, federal, local, and industry group certifications.

Our line of products will conform to the guidelines established by the California Organic Foods Act of 1994.

STATE OF THE INDUSTRY

The organic and gourmet convenience foods market in the U.S. and Canada is emerging at an accelerating rate.

Organic foods, gourmet convenience products, and partially prepared specialty items, once a novelty, have grown to become an integral part of the overall consumer shopping environment. This serves to indicate a consumer's commitment to personal health, quality food consumption, and intelligent shopping.

Consumer expectations for food convenience and high quality food products is rapidly "pushing" old-line food manufacturers into new exciting food trends and convenience areas.

The consumer food industry is quickly becoming ready for mass market, customized, organic food products.

MISSION

GEFC is characterized as a developer of unique organic products catering to the discriminating consumer who demands a high degree of creativity, quality, and convenience.

Before the end of the year 2002, GEFC will be recognized as a highly visible company in the customized, gourmet food, dry spice product marketplace. We will have introduced products aimed directly at industry-standard product brands and will become known for high quality, consistent taste, and easy-to-prepare products. Our anticipated revenues will exceed $7,000,000. GEFC will actively seek to develop new products and promote expansion into other additional market opportunities.

MARKETING STRATEGY

Create an essence of high quality premium products through the delivery of high quality merchandise consumer food shoppers can count on time and time again. We will approach the market as a premium manufacturer of premium products with the highest quality organic ingredients. Our reputation will be unmatched in our product segments. We will position ourselves head-to-head with other industry brand leaders while maintaining a degree of perceived "smallness." Our customers demand the very best and we will provide it.

Our sales, merchandising, and distribution strategies will play a linchpin role in the success of our company. Our ability to foster relationships within the retail and distribution value chain will challenge traditional business models.

Expected Accomplishments: Year One

In order for Good Earth Foods Company to attain its vision as described in our mission statement, the following primary goals need to be achieved in year one of operations.

• Develop two products and release to retail marketplace
• Establish marketing and consumer image processes
• Establish distribution process for promotions and product release
• Establish two additional products into development pipeline
• Participate with industry-leading trade associations for relationship and brand development opportunities
• Leverage market recognition of the quality of our product and develop demand for our products featuring similar uniqueness

Customer Profile

Our strategy is to focus first on those prospective consumers who understand food, appreciate high quality food products, and earn a high degree of income. These customers will be the basis for working out price points, product development, and expected consumer volumes.

We believe a ready-made market exists for our products and those in the premium, convenience food category.

The demographics of the typical Good Earth Food Company consumer are:

• Over $42,000 annual income
• Business person with little time for complex food preparation
• Equally split between male and female, age 32-40 years old
• Highly educated regarding food ingredients
• Creative spirit with love for outdoors
• Shop primarily in high-end grocery stores and specialty shops

Competition

Smith Specialty Foods: Unveiled a new product line with similar characteristics in February 2000. These products included organic certifications. The demonstration of these products was being featured in high-end retail grocery chains. It is not known whether the features of these products include similar ingredient formulas.

Since this company is....