Rising Sun Breads

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BUSINESS PLAN
Rising Sun Breads
March 2009
DARLA main–SCHNEIDER
1014 Mulberry Road
Martinsville VA 24112
P 276 956 2293 M 414 379 0006
www.risingsunbreads.com
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A. Executive Summary page 6
B. Management and Organization Plan page 9

Legal Form of Business 9
Management Team 9
Board of Directors/Advisory Board 9
Recruitment and Selection of Employees 9
Compensation and Ownership 9
Employee Reward and Incentive Plan 9
Communication 11
Infrastructure 11
C. Product/Service Plan page 13

Purpose of Product/Service 13
Features and Benefits 13
Stage of Development 13
Product/Service Limitations 13
Product Liability 14
Production 14
Facilities 14
Suppliers 14
Related Products/Services and Spin-Offs 14
Trademarks, Patents, Copyrights, Licenses, Royalties 15
Governmental Approvals 15
D. Marketing Plan page 17

Industry Profile 17
Current Size
Growth Potential
Industry Trends
Other Characteristics
Distribution Channels
Competitive Analysis 19
Direct Competition
Indirect Competition
Future Competition
Competitive Analysis
Market Analysis 21
Target Market Profile
Customer Profile
Future Markets
Pricing 23
Pricing Strategy
Price List
Pricing Policies
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D. Marketing Plan (Cont.) page 26

Market Penetration 26
Company Image
Customer Service
Location
Direct Sales Force
Sales Representatives
Licensing or Distributors
Advertising and Promotion
Publicity
Telemarketing/Direct Mail
Internet
Trade Shows
Market Penetration Effectiveness
E. Financial Plan page 29

Start-Up Costs
Sales Projections
Income Projections
Cash Requirements
Sources of Financing
Exit Strategy
Projected Financial Statements
Monthly Cash Flow Report (for three years)
Year-End Income Statement
Year-End Balance Sheet
Ratio Analysis
F. Appendix
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A Executive Summary R ISI N G SU N B R E A DS
Rising Sun Breads is a new organic, nutritionally evidenced-based

bakery specializing in artisan breads and bagels; baked locally with no
preservatives; initially serving the wholesale markets within a fifty mile
radius of Martinsville, Virginia. There are no other baking facilities in the
area which offer fresh, nutritionally-dedicated, consumer-driven and locally
sensitive alternatives.
Our Mission: Provide top-quality, all natural ingredients, baked in an old

world bread-baking technique, to create baked goods for everyone to love.
To be sensitive to the often over-looked allergy sufferers and cater to their
needs for healthy, delicious baked goods.
Mission Statement: One body, One planet. Eat well.
The legal name of the bakery is Rising Sun Breads, LLC .
Start-up baking production to be located in conjunction with The Cakes

& Dessert Pantry LLC, locates at 6629 Greensboro Road, Ridgeway,
Virginia. Open six days a week, Monday thru Saturday. Owner Derrick
Beverley, a Johnson Wales Graduate with multiple years experience in the
food service industry has graciously agreed to mentor Darla and provide
a designated baking area to begin the production requirements for
Rising Sun Breads.
The legal form of the business will be an LLC, as registered in the States
of Virginia and North Carolina. Estate planning will be combined with
the LLC.
Founder of Rising Sun Breads, Darla Main-Schneider, holds an MBA in

Business Management from the University of Wisconsin - Milwaukee
and recently completed an Artisan Bread Baking program at The French
Culinary Institute of New York. With over twenty five years in Materials
Management with several Fortune 500 Corporations, Darla has decided to
transition her skills, gifts and talents in order to fulfill her dream of owning
her own business.
With over twenty years of experience in business, hands on training in

artisan bread baking, and a well-developed business plan, Darla Main-
Schneider is well–positioned to start a new business that will flourish,
as indicated in the market analysis in this business plan will amply
demonstrate. With a unique concept and the ability to fill a genuine unmet
need in a healthy community, this bakery has the potential to become a
keystone business in its locale.
The location at 6629 Greensboro Road has proven retail traffic.

Strategically located with easy access to Greensboro, Danville,
Martinsville, Stuart, and Roanoke.
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A Executive Summary (Cont.) R ISI N G SU N B R E A DS
Management’s vision is to make Rising Sun Breads a cornerstone bakery

operation in the Martinsville area within the next five years. Creating a
neighborhood atmosphere where customers feel comfortable and become
instant regulars. The primary clientele of the business will be adults
aged 18 to 99, for whom healthy eating is a goal. Overall national trend
indicates that people are eating with a more health conscious trend. The US
Bakery Industry forecasts a growth at an annual compounded rate of 3.8%
between 2007 and 2012. Wholesale opportunities, direct purchase of core
products, with establishment of a retail market for local products
Artisan breads and bagels provide a healthy alternative to the morning

donut or biscuit readily available in the area. As the founder of Rising Sun
Breads, I believe that the metropolitan area is a great place to develop my
bakery. There are no other freshly baked bread and bagel shops in the area.
The closest competition is The Daily Grind in uptown Martinsville.
Rising Sun Breads fits well into the Martinsville/Henry County

demographics, as 37% of the households fall into the $50,000 plus per year
income level. Bagel consumers come from all income levels in the market.
The area also contains over 20,000 people residing in a 3 mile radius from
which to draw business. Repeat sales of bread and bagels by the dozen are
the key factor to be considered in the marketing approach.
Rising Sun Breads will provide artisan breads and bagels in both the
wholesale and the retail markets in 2009 with a plan to obtain a balance of
60 percent wholesale and 40 percent retail business in the first year.
The bakery business has potential growth of 3.8% compounded annually
according to the October 2008 US Bakery report, with Artisan Breads as
the top trend setter with high margins.
Areas for potential marketing are the Martinsville Farmers Market, Taste
of Town event, donations to local Charity events, A Holiday Open House,
Fast Track 2010, and a shared concession spot at the new soccer fields.
Rising Sun Breads will seek fair and responsible profit, enough to keep the
company financially healthy for the long term and to fairly compensate
owners and investors for their money and risk.
The initial investment to start-up Rising Sun Breads will be the Capital
Expense required to purchase/ lease equipment currently not available at
The Cakes and Desserts store. Other start-up costs include:
Advertising Brochures
Bakery Inventory
Insurance
Minor Improvements to the designated Baking Area
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B Management and Organization Plan R ISI N G SU N B R E A DS
Legal Form of Business The legal form of the business will be an LLC, as registered in the States of
Virginia and North Carolina.
Management Team Founder of Rising Sun Breads, Darla Main-Schneider, holds an MBA in
Business Management from the University of Wisconsin - Milwaukee
and recently completed an Artisan Bread Baking program at The French
Culinary Institute of New York. With over twenty five years in Materials
Management with Fortune 500 Corporations, Darla has decided to
transition her skills, gifts and talents in order to fulfill her dream of owning
her own business. Initially, Darla is committed to building the business as
the sole manager with additional management added to meet the expansion
needs of the business.
Board of Directors/ The Advisory Board for Rising Sun Breads will include members of the
Advisory Board local SCORE and Lisa Fultz, Director of Small & Minority Business
Development.
Recruitment and Recruitment of employees will be done through word of mouth and placing
Selection of Employees Help Wanted ads in the Martinsville Bulletin. A partnership with Patrick
Henry Community College to develop an exclusive Bread and Pastry
Program with a defined Apprenticeship Program is planned for the future.
A job application will need to be filled out with a drug test prior to starting
work. All references will be checked. The owner will interview candidates,
hiring the best person for the job. The addition of new employees will be
based on a target percentage of gross income for payroll and will be
revised yearly.
Compensation will be the current minimum wage with monetary increases

equivalent to learned skill sets. A training manual with specific job
descriptions and the expected dress code will be provided to all
new employees.
Compensation and The owner, Darla Main-Schneider, will retain 50% plus, controlling
Ownership interests in Rising Sun Breads, with compensation when funds
become available.
Employee Reward “People want to be part of a Successful Company.” A key toward the
and Incentive Plan success of the employees and Rising Sun Breads is treating all employees
fairly with respect, rewarding performance, and a critique of unsuccessful
performance. Sharing the big picture lets employees know and understand
how their job fits into the businesses success. A personnel goal is to be a
role model who is comfortable discussing what has been learned from her
mistakes, to develop an experimental, learning attitude with the employees.
As Rising Sun Breads or an individual contributor reaches a milestone it
will be celebrated. Those who produce will share in the rewards. Saying
“Thank You” will provide priceless affirmation of effort and interest.
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B Management and Organization Plan (Cont.) R ISI N G SU N B R E A DS
Communication Creating a healthy organizational culture at Rising Sun Breads, where it

will be fun, interesting, motivating, and provide opportunities for each
individual involved is an important piece of the business plan. Specific goals
with results will be established and posted around the baking workplace,
with monthly updates that are highly visible, easy to read and understand.
People need to know their roles and responsibilities and how they relate
to the working team, so these will be an integral part of the written job
specific activities (JSA). Finally, direction and the purpose for Rising Sun
Breads will be developed and posted in the workplace.
Infrastructure Chris Fields, CPA

Molenda & Associates
9401 West Beloit Road
Milwaukee, WI 53222
(414) 545- 2800
Janine M. Jacobs
Daniel, Medly, & Kirby P.C.
106 East Church Street 2nd Floor
Martinsville, VA. 24112
(276) 666-1585
Aaron M. Schneider
Creative Director
527 East Blithedale Avenue
Mill V alley, CA 94941
Fay DeShazo
Personalized Computing and Training
102 Oak Street
Martinsville, VA 24112
(276) 866-2669
fpdeshazo@yahoo.com
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C Product/Service Plan R ISI N G SU N B R E A DS
Purpose of Provide locally produced, baked daily, breads and bagels containing all
Product/Service natural Ingredients. Healthy bread will be created that is not only unique,
but complimentary and sensitive to seasons, holidays, and religious/ethnic
requests. Local requests for specialty breads and other bread products
from the historical roots of the Martinsville/Henry County area will be
encouraged. Rising Sun Breads will offer evidence-based, healthy nutrition
products. Freshly baked breads and bagels are currently not available in
Henry County.
An additional group of allergen free products is planned to be developed

within the first year of Rising Sun Breads. This plan will target specialized
products that are sugar-free, wheat free (gluten free), and dairy free.
Medical and nutritional evidence is clear that there have been significant
increases in demand for these bakery products as doctors have begun to
diagnosis specific food allergies and specific nutritional limitations. For
example, according to Nancy Dietz, a nutritionist in Martinsville, over
9% of the population has been diagnosed with diabetes at differing levels
of severity. Individual requests with these nutritional limitations for these
products in the local community will be encouraged.
Features and Benefits All Rising Sun Bread products will be made from scratch; using unbleached
flour, whole grains, stone ground flours, real honey, molasses and no
preservatives or harmful additives. Our dough will rise slowly and gently,
leaving vitamins and nutrients whole, thus imparting a fuller, less
yeasty flavor.
These products will be created using a reliance on tradition, and as

little mechanical interference as possible. Each product will be a unique
fingerprint to the consumer; conveying taste as well as presentation.
Consumer input will be ongoing. Superior quality will be guaranteed.
Bagels meet the needs of the “breakfast on the go” individual, as a healthy
alternative to fattening fast food. With a variety of flavors available, a
warm, crusty, 5 oz kettle boiled bagel with cream cheese or butter is a
healthy start to the day.
Stage of Development Conception stage: developing training plan timeline, business plan
development—with product mix and wholesale, retail, and farmers market
timeline projects.
Product/Service Daily production is required to provide a superior quality product. The

Limitations shelf life on Artisan breads and bagels is 48 hours; with fresh first day
and day old second day. Continual product research and development is
required to meet customer requirements and stay on the cutting edge
of trends. Today in Martinsville and the surrounding area, trained
resources are limited. A co-operative program to provide “hands on
training” through Patrick Henry Community College is being developed.
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C Product/Service Plan (Cont.) R ISI N G SU N B R E A DS
Product Liability A general liability policy, quoted at $500/year, will be purchased to cover
the liability of the product and the owner. Additional vehicle insurance
with Liberty Mutual, quoted cost of $250/year, will be added to cover
deliveries of the baked products to wholesale accounts.
Production The entire artisan bread and bagel production process will be done on
site using the authentic slow, simple methods of the past. Artisans that
understand the alchemy that turns four basic ingredients; high quality
organic flours, fresh yeast, fine sea salt, and conditioned water into the
greatest, most complete food on earth. A distinctive signature for Rising
Sun Breads will be done by hand scoring before baking. Stone hearth ovens
evenly bake the breads and bagels; producing crunchy crust outside, dense,
chewy texture on the inside.
Facilities Rising Sun Breads will begin production in a co-leased facility in Ridgeway,
Virginia. The owner, Derrick Beverly, has designated an area 12 foot by
12 foot for the production of artisan breads and bagels. There are separate
areas designated for clean up, mixing, and storage provided above the
144 square feet designated for production. In addition to a production
area Derrick will provide a designated section of retail space for the sale
of bagels and Artisan breads. Classroom space is also available for future
classes in the baking of artisan breads.
As Rising Sun Breads becomes recognized in the community a new facility

will be built to meet the baking and retail requirements of Rising Sun
Breads, along with the addition of local wines, cheeses, and organic
produce. The actual site has not yet been selected, but several options have
been investigated. The key factors is that the location offer ample parking,
easy in and out access for the morning and afternoon rush times, and high
visibility from the road.
Suppliers A screening process to qualify suppliers before providing products to Rising

Sun Breads will be completed by Darla. To date, several suppliers have
been contacted, price listings have been provided, and meetings will be
scheduled in February 2009. High-quality ingredients are key to the success
of Rising Sun Breads. See appendix for supplier information.
Related Products/ A local resident of Martinsville has voiced a desire to join Rising Sun
Services and Spin-Offs Breads. Her specialties are pies, cakes, and an array of miscellaneous
baked products. She brings her talents and gifts along with an established
customer base.
A website for Rising Sun Breads which will include forms to order breads
and gift baskets by the Fall of 2009.
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C Product/Service Plan (Cont.) R ISI N G SU N B R E A DS
Complimentary products will be added per customer requests. A systematic

evaluation will be conducted for any new product introduced. This will
include data from initial taste testing by customers, determination to add
or remove the product, and the tracking of sales revenue for the product.
Equip the store with a drive-thru window for quick pick-up of

baked products.
Possible future services may include catering and classroom learning.

Based upon the Charlottesville, Virginia model for Fiesta an indoor, year
round farmers market which may include; organic meats, flowers, seafood,
and fair trade coffees and teas.
Trademarks, Patents, The Rising Sun Breads brand name and logo will be trademarked and
Copyrights, Licenses, Royalties registered with the Martinsville Circuit Court and Commonwealth of
Virginia. Copyright protection for all printed literature and the website will
be pursued. All employees and advisors for Rising Sun Breads will be asked
to sign a non-disclosure agreement that prohibits them from disclosing any
recipes used during their employment at Rising Sun Breads.
Governmental Approvals Government approvals are required at all levels of the government as
stated below:
Federal Requirements:
– Federal Employer Identification number
– An SS-4 form which registers Rising Sun Breads with the government
– OSHA regulations/EPA-SPCC
– Clean Air and Water Act
– When hiring or providing services for ADA
– Latest Regulation: January 2006; Product labeling requirements-
a nutritional label must indicate trans-fat content and any known
allergens. (FALCPA)
Virginia Requirements:
– Virginia retail sales and use tax – Sales Tax Number
– Register with the State Department of Taxation.
Forms available online at www.tax.state.va.us
– VEC for employee withholding
Martinsville Requirements:
– Business License Tax – Commissioner of Revenue office
– Business Tangible Personal Property Tax
– Tax on Prepared Food and Beverages – Commissioner of the
Revenue office
– A Certificate of Occupancy
– Register Rising Sun Breads trade name – Clerk of Court office
– Business Location Inspection – Inspections Office
– FDA – Health and Sanitation Inspection
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See Business Pamphlet in Appendix for specifics
D Marketing Plan R ISI N G SU N B R E A DS
Industry Profile Current Size

As of October of 2008 there were 7,000 small bakeries in the United
States with $2 Billion in total revenue. Small bakeries compete by offering
specialty goods and superior local distribution services.
Annual US per capita consumption of bread is close to 60 pounds,

according to The Wheat Foods Council.
Growth Potential
The output for US bakery and pasta products is forecast to grow at an
annual compounded rate of 3.8% between 2007 and 2012.
The consumer price index for food, an indicator of bakery production
values, rose 6% in July 2008, compared to one year ago.
A recent article, Healthy Gains in Breads, by Phil Lempert, in Facts,
Figures, & the Future; Dollar sales of total fresh bakery bread has grown
steadily from $5.9 billion in 2004 to $6.7 billion in August 2008 per US
FDA data. See copy of article in appendix.
• Largest gain in whole Wheat Bread with double digit growth;
$881.9M 2004 to $1.6 B 2008
• Preservative free Bread; $381.8M 2006 to $507.2M in 2008
• Natural Breads; $183.2M in 2006 to $303.8M in 2008
• Sweetener presence (sugar amounts); Sales of $121.1 M in 2008
an increase of 36.2%
• Organic Breads; $35.8m in 2004 to $95.7M in 2008.
Industry Trends
According to the industry profile for Bakeries compiled on October 6, 2008
the following trends and opportunities are available:
• Changing consumer tastes have given rise to “artisan” breads, which
smaller bakeries like Rising Sun Breads, with flexible production
facilities can capitalize on and differentiate with regional and local
tastes delivering a wider variety of products at a higher margin. Breads
that contain seeds, nuts, and fruits are among new products with
high margins.
• Demand is rising for Organic foods at a rate of 20% per year,
according to the Organic Consumer Trends.
• More bakeries are entering the online gift market, which is in Rising
Sun Breads marketing plan for 2009.
Industry Challenges
• Raw material prices continue to rise due to the rising cost of producing
those materials and rising global demand on grains. Bakeries pay for
flour, base mixes, and dough rose 26.6% in July 2008 compared to
July 2007.
• Energy costs have been volatile in 2008, varying more than 50%
during the year. Investigating into and signing future contracts can
protect a baker against sharp increases in raw material costs.
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D Marketing Plan (Cont.) R ISI N G SU N B R E A DS
• Nationwide deteriorating water quality requires an investment in

purification equipment. Martinsville’s water quality remains high.
• Bakery products sell more during holiday and spring and summer
causing cash flow challenges. Creative product line development and a
strong marketing plan to discover untapped markets is required for
continual growth.
Distribution Channels
The distribution plan for Rising Sun Breads:
• Business to Business; 25%, initial sales contacts made by Darla.
• Business to Consumer; 70%, with a 5% sales projection from
internet sales.
Competitive Analysis Direct Competition

Today there is not a bakery in Martinsville or Henry County that bakes
from scratch, artisan breads and bagels. A survey of the competition clearly
indicates that Rising Sun Breads will fill a unique niche in the Martinsville
market. Given that the American Baking Outlook report identifies
“a continued focus on health and nutrition” as the trend, and given that
this trend is even more pronounced among the weight-conscious and
health-conscious 18–99 year-old demographic, it’s clear that a major
opportunity is currently being missed by our competition.
There are several retail businesses in Martinsville that sell baked goods
retail; The Daily Grind, Binding Times, and Arts, Ect. Additionally there
are several specialty baking businesses; The Dessert and Cake Pantry, Tasty
Cream, and Cakes with Personality.
See Cost Comparison Chart in Appendix
Indirect Competition
Martinsville has 2 major food chains; Kroger and Food Lion, with several
locations, and Wal-Mart, which sells a limited variety of frozen product,
baked on site. Convenience stores/ gas stations stock a limited variety of
baked goods, none baked on site or fresh.
See Cost Comparison Chart in Appendix
Future Competition
According to Nielson Label Trends bakery bread sales showed a 3.1%
growth in 2007 and a 6.1% growth in 2008. As the growth of fresh bakery
bread continues to trend upward grocery stores and Super Centers may
expand their current bakery operations to include fresh baked breads
verses the par baked products. The local framers market could expand into
more organic produce and baked products. The annual sales of organic
breads neared $100 Million in July 2008; up more than 18% from 2007,
according to Nielson Label Trends.
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The price structure of the breads and bagels at Rising Sun Breads will be
about 13%–15% higher than the local grocery stores and equal to the
bakeries that I visited. Rising Sun Breads will bake their breads fresh daily,
with only the finest ingredients. All artisan breads and bagels are baked on
stones to produce a crusty outside with a soft, chewy inside, enhancing the
top quality ingredients. Weekly advertisements for breads with seasonal
ingredients, holiday specials, and various flavors of cream cheeses and
butters, will keep customers coming back.
See the chart comparing the competitions strengths and weaknesses in Appendix
Market Analysis Target Market Profile

Even with food prices going up, consumers continue to purchase baked
goods; particularly “upscale” items. According to Modern Baking, June
2008 edition, specialty breads and rolls have gained market share with
donuts and white breads declining. Additionally, organic/natural, gluten-
free, and low trans-fat have made sizable increases in the market share.
This data supports the decision for Rising Sun Breads target market strategy
to provide high quality artisan breads and bagels to the Martinsville
area residents. Smaller bakeries have held the pricing increase to 4% in
comparison to larger commercial in-store bakeries that have increased their
pricing as much as 57%. Sales projections for 2009 continue to remain
strong with an average increase in the retail price of 10% overall. Average
sales per customer are projected to rise to $3.96; an increase of 19%.
Customer Profile
The targeted customer profiles for Artisan breads and rolls; citizens
in Martinsville, Henry County between the ages of 25 and 85 with
household incomes of $50K or more/year, who are health conscious and
prefer to purchase smaller quantities more frequently. According to the
2008 Business Census information for Martinsville/Henry County that
would include approximately 11K households or 35K customers. With the
addition of bagels, which are a lower cost baked product, with eat on the
go convenience, adding in the 18 to 24 year old population would increase
the customer base to over 42K.
Future Markets
In a published article on October 23, 2008 the CDC states that approximately
3 million children in the US under 18 were reported to have a food or
digestive allergy with eight specific types of foods. Baking Business noted
in an article published on November 3, 2008 that the CDC states that
incidence of diabetes among adults has climbed more than 90% in the last
10 years. Developing grain-based foods that appeal to that group continues
to be a challenge. Developing baked products that are allergen or sugar free
meet an emerging market for the near future. The wholesale market is open
to the addition of complimentary bread items for their menus.
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Pricing Pricing Strategy

Pricing that is set initially will determine the image and value the owner
places on the quality of the products baked and sold at Rising Sun Breads.
The image for Rising Sun Breads is to represent the value adds to a
customer’s meal selection. All the ingredients in Rising Sun Breads are
natural, sustainable, baked to produce a tasty good. Limited quantities are
available due to the time required to hand form all products. Our mission
is to avoid genetically-modified organisms which impact biodiversity in the
planned world and have unknown effects on the human body.
Bagels are made fresh on site with the highest quality ingredients, high
protein, unbleached wheat flour, fresh yeast, water, salt, and malt syrup.
They are kettle boiled and baked on a stone hearth, which gives the bagels
that crunchy crust on the outside, dense, chewy texture on the inside.
Pricing Policies
Wholesale; Volume pricing or tiered pricing with set payment terms
of c.o.d. or 2/10.
Return on Investment – profit margins expected.
Costs – Actual costs for producing products.
Price ceiling $2.99 to $4.99 per loaf – Comparison pricing.
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R Monday–Friday: 6 am to 5 pm
Saturday: 6 am to 6 pm
B Closed Sunday
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Bread Production Schedule

THE BREADS AT RISING SUN BREADS ARE HEART BAKED WITH PATIENCE AND CARE
FROM THE FINEST INGREDIENTS.BREADS MARKED WITH A (*) ARE FAT FREE.
Daily *Baguette: The strong crust of this 12-ounce loaf conceals a golden thick crumb.
Baguette/ Baton It is the perfect beginning for any meal or on its own.
Ciabatta
*Baton: A smaller version (8 ounce) of our baguette.
Focaccia
Seeded Rolls / Petit Brioche: Beautiful, tasty, and rich, this egg and butter bread also makes the best
Pains French toast. 1 pound loaf or small popover sizing.
Challah: This traditional braided egg bread is available with or without poppy
Monday seeds. Call ahead to order for special occasions.
Wheat Levain
Multigrain Ciabatta: Italian for “slipper”, this bread features a porous interior enclosed in a
Sour Dough Rye crunchy crust. Great for dipping in olive oil.
Focaccia: Soft Italian bread traditionally filled with delicious seasonal ingredients.
Tuesday
Pain de Mie Fougasse Aux Olives: An aromatic loaf made with a sourdough starter, Kalamata
Grissini olives, and fresh thyme.
Pain de Mia
Grissini: Thin, crisp sticks of Italian bread, plain or covered in poppy seeds.
Chef’s tip: great with thin strips of prosiutto wrapped around them or served with
Wednesday spicy or creamy dips.
Mulitgrain
Pain Normand Multigrain: Weighing in at a pound and a half, this bread is packed full of
cracked wheat, cut oats, barley grits, buckwheat grits, corn grits, wheat bran,
Spelt
millet, and flax seed.
Whole Wheat Sandwich
Pain de Mie: Long and square, this is the ultimate soft-crust sandwich bread.
Thursday Made with milk and butter, kids just love it.
Grissini
Pain Normand: Made with diced local apples and cider in a white, whole wheat,
Pain de Mia
and rye flour combination. Delicious toasted.
Panmarino
Wheat Levain Petits Pains Au Lait: Small rolls made with an enriched bread dough and milk for
a soft texture and a golden crust.
Friday
Panmarino: An aromatic loaf made with a sourdough starter and rosemary.
Challah Excellent for dipping in olive oil.
Fougasse Aux Olives
Multigrain Seeded Rolls: Small, soft clover leaf rolls are made with wheat flakes, sunflower,
millet, sesame, and poppy seeds for a nutty texture.
Saturday
*Sourdough Rye: A classic European–style rye bread with a robust tangy flavor.
Brioche
Grissini *Spelt Bread: Our wheat-alternative bread has a nutty, barley-like taste.
Wheat Levain We use an organically grown spelt.
Sourdough Rye
*Wheat Levain: A sourdough loaf made with stone ground organic
Seasonal Special whole-wheat flour.
*Whole Wheat Sandwich: A hearty bread with whole wheat flour, cracked wheat,
poppy seeds, and sunflower seeds. The addition of honey, butter, and milk make
this a soft-crusted bread perfect for sandwiches.
Market Penetration Company Image

Even before a customer walks through the front door of Rising Sun Breads,
an enticing aroma of fresh baked breads draws them in. The atmosphere
in the bakery is one of warmth with a bit of a European flair. Repeat
customers are greeted by name and new customers are immediately
welcomed. Baskets of freshly baked breads and bagels, a brightly lit
display case showing off cream cheeses in a variety of flavors, and local
artists music playing softly in the background. Towards the back are glass
windows where anyone can peer in and see the activity of a buzzing bakery,
with bakers in white coats and black checkered pants mixing, scoring,
removing bread from an oven. From the smiles it appears everyone seems
to enjoy whatever activity they are performing. The phone is answered by a
live person who genuinely cares that you have called and wants to provide
excellent customer service for you. After the customer has tasted the days
special, decided what they will purchase, and received their order in a
paper bag or reusable tote, a “thank you” is spoken as the customer leaves
for another day.
Customer Service
The focus of Rising Sun Breads is to make our customers happy. To
accomplish this a connection will be established by listening to the
customers. Customer Service will wear name tags and training will be
provided daily on the preparation and ingredients for all baked items of the
day. Customer service will be empowered to solve problems immediately.
A salutation to all customers upon entering the bakery as well as the use of
first names of repeat customers. A wallet size punch card will be provided
to hand out to customers. “Thank you” is mandatory.
Location
Rising Suns Breads will initially be located at 6629 Greensboro Road,
Ridgeway, Virginia. The owner of The Cake and Dessert Pantry, Derrick
Beverly, has agreed to mentor Darla and provide a production area for
Rising Sun Breads. This site has excellent traffic both North and South
on 220, with adequate parking, and a large retail area. Future plans to
relocate to an uptown location will be based upon the financial success of
Rising Sun Breads.
Direct Sales Force and Sales Representatives

The customers of Rising Sun Breads will be the salespeople for the bakery.
Licensing or Distributors
There is no plan to license or establish distributors for Rising Sun Breads at
this time.
26
Market Penetration Advertising and Promotion

(Cont.) A banner announcing “Opening Soon Rising Sun Breads.” Advertisement
in Sundays food section of the Martinsville Bulletin a month prior to the
actual opening will build up anticipation, costing approximately $____.
A grand opening event will be planned which will include advertisement
in the newspaper and on the radio, costing $____.
The most effective program is word-of-mouth, and its free. At Rising

Sun Breads it will be a goal to inform and educate our patrons, provide
service that is unique and personal, in a warm, friendly, atmosphere. Our
customers will be the extended salespeople for the bakery.
In store promotions will include sampling of a new product which may be

introduced depending on the feedback from the customers. A wallet sized
internal courtesy coupon that can be issued to customers to be used on
return visits; also to a customer with complaints. A flyer attached to orders
which will introduce upcoming holiday and seasonal specials.
Publicity
The Martinsville Bulletin will do a feature story on Rising Sun Breads and
its owner. As a former member of The Charity League, which has a positive
impact on the community, Rising Sun Breads will provide breads and
bagels for the annual Bargain Fair, a highly advertised event with heavy
attendance from the community. An Open house is planned for November;
working with Derrick to provide a variety of deserts and breads to enhance
and ease the holiday season’s stress. The local farmers market, a county
4-H Fair, and a concession stand at the new soccer complex along with a
sponsored team.
Telemarketing/Direct Mail
No plan to invest in telemarketing. A direct mail plan may be utilized in
the future.
Internet
Construction of a web-site is in process. The site will highlight the products
with short, descriptive copy and photos that clearly identify baked products
to stimulate the viewer’s appetite, along with information about the baker
at Rising Sun Breads. Also included will be the bakery hours, location with
directions, a phone number, and a comment section, which I will reply to
in a timely fashion. Holiday promotions, seasonal specialties, an electronic
menu for ordering, and community celebrations that Rising Sun Breads
supports will be featured to personalize the website.
27
Market Penetration Trade Shows

(Cont.) Rising Sun Breads will be at the spring 2010 trade show in Martinsville.
The expectation is to provide samples to approximately 1500 people, with
a rebate of $500 to cover costs. I plan to attend the Bakery trade show in
Chicago in September of 2009 to network and meet suppliers.
Market Penetration Effectiveness

I will track the number of hits on the Rising Sun Breads website, the number
of coupon codes used, comments to samples, names in the guest book,
yellow page ads, trade show leads, and send out a prepaid postcard survey.
A promotion comparison chart will be used to check the effectiveness of
each marketing promotion and how well it is penetrating the market.
28
–E–
FINANCIAL PLAN
29
START-UP FUNDING & EXPENDITURES
Start-Up Cash
Equity Investments 5,000
Loan Proceeds 30,000
Real Estate -
Line of Credit 30,000
Total Start-Up Cash 65,000
Start-Up Expenditures
Security Deposits
Rent (last month's) -
Telephone Deposit -
Utilities Deposit -
Other Deposits -
Total Security Deposits -
Other Costs
Opening Inventory 2,500
Capital Expenditures
Computer Equipment 250
Equipment & Machinery 20,000
Furniture & Fixtures -
Vehicles -
Leasehold Improvements 10,000
Building -
Land -
Total Start-Up Capital Expenditures 30,250
Start-Up Expenses
Accounting Fees 500
Activation Fee 20
Corporate Fees & Taxes 125
Federal Tax ID 30
Fictitious Name Costs 60
Insurance 450
Legal & Consulting Fees 1,000
Marketing 500
Meals & Entertainment 100
Office Expense 100
Office Supplies 100
Payroll Expenses (training/setup) 0
Salaries & Wages -
Payroll Taxes -
Benefits -
Pre-opening Advertising 1,750
Printing (cards, stationery, brochures) 200
Rent -
Sales Tax Permit 30
Other Start-Up Expenses -
Total Start-Up Expenses 4,965
Total Start-Up Expenditures 37,715

Basic Mechanical Equipment Start-up
23-Apr-09
Quoted
Name Mfg Cost Supplier Transport Cost Repair/Install Value
Need to Operate:
Spiral Mixer, 60 qrt Hobart 4100 Gov Deals Arrange 100000
Mixer, A200- 20 qrt. w/ SS Hobart
table Hobart 1600 Gov Deals Arrange 3750
Stone/Steam Oven Chaney 1000 Ad Arkansas PU me 2000
Stone/Steam Oven Chaney Quote ABS, Cedar Rapids Arrange 2000
Electric deck oven GE 0 Derrick None Stones $75 ea 1000
Exhaust Hood 0 Derrick None Solo Quote install 800
Stove 0 Derrick None 100
Refrigerator 0 Derrick None 100
Refrig under couner 1 door Delafield 100 Solo, MV PU Me Gasket $60
Freezer Home 0 Me 100
Coffee Pot Home 0 Me 20
Display case 1000 Pinecreast
Alumium proofer w/ sheet pans 0 Derrick None Clean & reglaze pans 35.00 +
Fax Machine 75 Office Max
Total 7875
Would be nice to have:

Sheeter table topper acme 1500 Pinecrest
Sheeter Ecnomo 5400 Atlantic Coast
Sheeter Table top reversable 5000 ABS Arrange
Water Treatment 200
Water Meter
Hand Dryer Excel 400
Dough Divider Dutchess 750 Atlantic Coast Pick-up
Dough Divider 5000 ABS new Arrange
Total
Future Purchases:
Stone Mill Burr Mill 2000
Fermenter Sour Dough 8000 ABS used Arrange
Bagel Kettle
Total
Estimated Total
Facility Start-up Costs
Plumbing Est. Cost Est. Time Who Mo. Follow-up
Quote #1 1900 1 day Prillman & Pace
Quote #2 1275 2 day Schrader Precision Services
Electrical
Quote #1 4239 2 days Triangle 276-957-2281
Quote #2 2395 2 days Kenny Hoffman 340-4847
Hood Install
Quote 1900 1 day Solo w/new exhaust fan and roof curb
Repair Oven- Blodgett 120 2 hrs. Julian Goode Comfort heating & Cooling
Wall Painting 25 Darla Touch up only
Floor restoration 350 Ramos $50-75/ mo.

(1000 sq. ft) 300 Jones Janitorial Phone no visit
Equipment installation ? As Req'd Mike Grant
Fire Extinguisher 54 Comm'l Fryers 81 Dye Plant Rd. 1 a year $15

276-632-3473
Printing Business Plan $317 10 bound copies Sanwell 638-3772

$165 10 bound copies Quick Print
.49/pg 10 66 page doc Office Max
Start-up Inventory
5-Dec-08
Total # to
Product Qty Cost Per Cost Purchase Total/Mo
Fresh Yeast-SAF 16 3.99 $0.25 1 3.99
Fine Sea Salt 50 18.27 $0.37 0.083 1.51641
Walnuts 30 128.21 $4.27 0.05 6.4105
Butter 64 8.63 $0.13 1 8.63
Eggs 180 21.13 $0.12 1 21.13
Sugar (white granular) 50 20.96 $0.42 0.083 1.73968
Wheat Germ 40 15.16 $0.38 0.083 1.25828
Dried Apples 20 86.17 $4.31 0.083 7.15211
Caraway Seeds 5 8.07 $1.61 0.083 0.66981
Honey 60 99 $1.65 0.083 8.217
Vegetable Oil 35 45.39 $1.30 0.083 3.76737
Olive Oil 192 88.8 $0.46 0.083 7.3704
Malt Syrup(dry diastatic) 50 62.22 $1.24 0.083 5.16426
Milk 5 10 $2.00 0.083 0.83
Flax Seed 25 19.4 $0.78 0.083 1.6102
Sesame Seed 20 50.07 $2.50 0.083 4.15581
Sunflower Seed 25 29.09 $1.16 0.083 2.41447
Rolled Oats 50 24.32 $0.49 0.083 2.01856
Olives 16 2.99 $0.19 0.083 0.24817
Poppy Seeds 25 87.24 $3.49 0.083 7.24092
Pumpkin Seeds 10 27.23 $2.72 0.083 2.26009
Brown Sugar 50 23.15 $0.46 0.083 1.92145
Powdered Milk(whole) 50 147.83 $2.96 0.083 12.26989
Millet Seeds 25 11.44 $0.46 0.083 0.94952
Cracked Wheat 25 13.33 $0.53 0.083 1.10639
Dried Blueberries 10 107.46 $10.75 0.083 8.91918
Raisins 30 40.64 $1.35 0.083 3.37312
Pretzel Salt 10 6.24 $0.62 0.083 0.51792
Aple Cider 1 2 $2.00 0.083 0.166
Lemons 10 2 $0.20 0.083 0.166
Caraway Seeds 5 8.07 $1.61 0.083 0.66981
Cardom Seed 2 26.92 $13.46 0.083 2.23436
Ground Cinnamin 3 12.07 $4.02 0.083 1.00181
Baking Spray 120 39.25 $0.33 0.083 3.25775
Molasses 192 42.77 $0.22 0.083 3.54991
Wheat Bran 25 8.38 $0.34 0.083 0.69554
Splenda 18 11.88 $0.66 0.083 0.98604
Splenda Brown Sugar 18 11.88 $0.66 0.083 0.98604
Dried Currants 25 44.86 $1.79 0.083 3.72338
Dark Brown Sugar 50 23.15 $0.46 0.083 1.92145
Sub Total 1359.77 140.56477
Start-up Inventory- Cont'd
Total # to
Qty Cost Per Cost Purchase Total/Mo
Flours:
Dark Rye 40 28.5 $0.71 0.083 2.3655
Semolina 50 30 $0.60 0.083 2.49
Rice Flour 25 18.67 $0.75 0.083 1.54961
Pumkernickel 50 37.19 $0.74 0.083 3.08677
Sir Galahad 50 30.3 $0.61 1 30.3
Sir Lancelot 50 33.94 $0.68 0.083 2.81702
King Arthur Special 50 31.44 $0.63 1 31.44
Organic Course Rye 50 37.19 $0.74 1 37.19
Organic Fine Wheat 50 54.52 $1.09 0.25 13.63
Whole Wheat-course 50 23.5 $0.47 0.083 1.9505
Buckwheat- Light 50 28.91 $0.58 0.083 2.39953
Duram 50 33.15 $0.66 0.083 2.75145
Cornmeal - Course 50 10.9 $0.22 0.083 0.9047
WW Graham Flour 50 17.45 $0.35 0.083 1.44835
WW Pastry Flour 50 15.39 $0.31 0.083 1.27737
Sub Total 431.05 135.6008
Sub Total pg 1 2451.1
SubTotal 2882.15 135.6008
Subtotal 1 1360
Subtotal 2 2883
Total 4243
SALES PROJECTIONS
Year 1 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTAL
Sales Budget
Bagels - - - - 1,560 1,560 1,560 1,560 1,560 1,560 1,560 1,560 12,480
YEAR 1
Baguettes - - - - 750 750 750 750 750 750 750 750 6,000
Rolls/Batons - - - - 500 500 500 500 500 500 500 500 4,000
Artisan Breads - - - - 3,141 3,141 3,141 3,141 3,141 3,141 3,141 3,141 25,128
Misc. Additions - - - - 250 250 250 250 250 250 250 250 2,000
YEAR 1
Breakfast Pastries - - - - 792 792 792 792 792 792 792 792 6,336
Product/Service Category G - - - - 500 1,000 1,500 2,000 2,500 2,700 3,000 3,496 16,696
Gross Sales - - - - 7,493 7,993 8,493 8,993 9,493 9,693 9,993 10,489 72,640
YEAR 1
Less: Returns & Allowances - - - - - - - - - - - - -

Net Sales - - - - 7,493 7,993 8,493 8,993 9,493 9,693 9,993 10,489 72,640
Other Income - - - - - - - - - - - - -
Total Income - - - - 7,493 7,993 8,493 8,993 9,493 9,693 9,993 10,489 72,640
YEAR 1
Credit Management
Sales (cash) - - - - 7,493 7,993 8,493 8,993 9,493 9,693 9,993 10,489 72,640
Sales (credit) - - - - - - - - - - - - -
Received on Account - - - - - - - - - - - - -
Bad Debt Expense - - - - - - - - - - - - -
Year 1 Assumptions
Bagels .65 ea 12/hr. x 8 hr day x 25 days
YEAR 1
Baguettes 2.99 ea x 10/day x 25 days

Rolls/Batons .45 ea x 15/hr x 8 x 25 days
Artisan Breads 3.49 ea x 6 bread varities x 6 x 25 days
Misc. Additions Cream Cheese, butter, preservatives
YEAR 1
Breakfast Pastries Cinnamin Buns, Scones, Sticky Buns, Danish $.99 ea x 4/hr. x 8 x 25 days
Product/Service Category G Wholesale : includes soccer complex
Less: Returns & Allowances
Other Income
YEAR 1
Sales (cash)
Sales (credit)
Received on Account
Bad Debt Expense
Sales Budget
Bagels 2,080 2,080 2,080 2,080 2,080 2,080 2,080 2,080 2,080 2,080 2,080 2,080 24,960
YEAR 2
Baguettes 1,121 1,121 1,121 1,121 1,121 1,121 1,121 1,121 1,121 1,121 1,121 1,121 13,452
Rolls/Batons 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 21,600
Artisan Breads 5,235 5,235 5,235 5,235 5,235 5,235 5,235 5,235 5,235 5,235 5,235 5,235 62,820
Misc. Additions 500 500 500 500 500 500 500 500 500 500 500 500 6,000
YEAR 2
Breakfast Pastries 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 14,400
Product/Service Category G 3,500 3,750 4,000 4,250 4,500 4,750 5,000 5,250 5,500 5,750 6,000 6,000 58,250
Gross Sales 15,436 15,686 15,936 16,186 16,436 16,686 16,936 17,186 17,436 17,686 17,936 17,936 201,482
YEAR 2

Net Sales 15,436 15,686 15,936 16,186 16,436 16,686 16,936 17,186 17,436 17,686 17,936 17,936 201,482
Other Income - - - - - - - - - - - - -
Total Income 15,436 15,686 15,936 16,186 16,436 16,686 16,936 17,186 17,436 17,686 17,936 17,936 201,482
YEAR 2
Credit Management
Sales (cash) 15,436 15,686 15,936 16,186 16,436 16,686 16,936 17,186 17,436 17,686 17,936 17,936 201,482
Sales (credit) - - - - - - - - - - - - -
Bad Debt Expense - - - - - - - - - - - - -
Year 2 Assumptions
Bagels .65 ea x 16/hr. x 8 hr day x 25 days
YEAR 2

YEAR 2
Product/Service Category G Wholesale: includes soccer complex
Other Income
YEAR 2
Sales (cash)
Sales (credit)
Received on Account
Bad Debt Expense
SALES PROJECTIONS
Sales Budget
Bagels 2,600 2,600 2,600 2,600 2,600 2,600 2,600 2,600 2,600 2,600 2,600 2,600 31,200
YEAR 3
Baguettes 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 18,000
Rolls/Batons 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 21,600
Artisan Breads 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 84,000
Misc. Additions 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
YEAR 3
Breakfast Pastries 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 18,000
Product/Service Category G 6,000 6,250 6,500 6,750 7,000 7,250 7,500 7,750 8,000 8,500 9,000 10,000 90,500
Gross Sales 21,400 21,650 21,900 22,150 22,400 22,650 22,900 23,150 23,400 23,900 24,400 25,400 275,300
YEAR 3

Net Sales 21,400 21,650 21,900 22,150 22,400 22,650 22,900 23,150 23,400 23,900 24,400 25,400 275,300
Other Income - - - - - - - - - - - - -
Total Income 21,400 21,650 21,900 22,150 22,400 22,650 22,900 23,150 23,400 23,900 24,400 25,400 275,300
YEAR 3
Credit Management
Sales (cash) 21,400 21,650 21,900 22,150 22,400 22,650 22,900 23,150 23,400 23,900 24,400 25,400 275,300
Sales (credit) - - - - - - - - - - - - -
Bad Debt Expense - - - - - - - - - - - - -
Year 3 Assumptions
Bagels .65 ea 20/hr. x 8 hr day x 25 days
YEAR 3

YEAR 3
Product/Service Category G Wholesale: includes soccer complex
Other Income
YEAR 3
Sales (cash)
Sales (credit)
Received on Account
Bad Debt Expense
Industry Volume Break Down by Product
Baked Breads
Rolls, buns, muffins, bagels,

Croissants
Cakes
Other- Pies, Pastries, Donuts, &

variety Sweet Goods
Item Percentage
Baked Breads 50
Rolls, buns, muffins, bagels, Croissants 20
Cakes 11
Other- Pies, Pastries, Donuts, & variety Sweet Goods 19
Rising Sun Breads
Cash Flow Report (Projected)
2009 Pre Start-Up JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTAL
Cash In
Cash Sales - - - - 7,493 7,993 8,493 8,993 9,493 9,693 9,993 10,489 72,640
Collections from Accounts Receivables - - - - - - - - - - - - -
Equity Received 5,000 - - 500 500 500 500 500 500 500 500 500 500 10,000
Loans Received - - - - 60,000 - - - - - - - - 60,000
Other Cash In (receipts from other assets) - - - - - - - - - - - - -
Other Cash In (for example, interest, royalites) - - - - - - - - - - - - -
Total Cash In 5,000 - - 500 60,500 7,993 8,493 8,993 9,493 9,993 10,193 10,493 10,989 142,640
Total Cash Available 5,000 5,000 5,000 5,250 55,750 38,598 38,983 38,861 41,156 43,556 44,199 46,959 50,220 147,640
Cash Out
Inventory Expenditures
Inventory/Raw Material (Cash) - - - - - - 150 150 150 200 200 200 200 1,250
Inventory/Raw Material (Paid on Account) - - - - - - - - - - - - - -
Production Expenses - - - - - 2,100 2,100 2,100 2,100 2,100 2,100 2,100 2,100 16,800
Operating Expenses
Advertising - - - - 200 200 200 200 200 200 200 200 200 1,800
Bank Charges - - - 10 10 10 10 10 10 10 10 10 90
Dues & Subscriptions - - - - - - - - - - - - - -
Insurance - - - 40 40 40 40 40 40 40 40 40 360
Licenses & Fees - - - - - 100 100 100 100 100 100 100 100 800
Marketing & Promotion - - - - - 100 100 100 100 100 200 200 200 1,100
Meals & Entertainment - - - 100 100 100 100 100 100 100 100 800
Miscellaneous - - - - - 100 100 100 100 100 100 100 100 800
Office Expense - - - - - 100 100 100 100 100 100 100 100 800
Office Supplies - - - - - 50 50 50 50 50 50 50 50 400
Outside Services - - - - 25 25 25 25 25 25 25 25 25 225
Payroll Expenses
Salaries & Wages - - - - - 800 800 800 800 800 800 800 800 6,400
Payroll Taxes - - - - - 80 80 80 80 80 80 80 80 640
Benefits - - - - - - - - - - - - - -
Professional Fees - - - - 100 100 50 50 50 50 50 50 50 550
Property Taxes - - - - - - - - - - - - - -
Rent - - - - - -
Repairs & Maintenance - - - - - 100 100 100 100 100 100 100 100 800
Shipping & Delivery - - - - - 50 50 50 50 50 50 50 50 400
Telephone - - - - 40 40 40 40 40 40 40 40 40 360
Training & Development - 400 400 400 400 400 2,000
Travel - - - - - - - - - - - -
Utilities - - - - - - - - - - - - - -
Vehicle - - - - - 200 200 200 200 200 200 200 200 1,600
Other - - - - - 1,000 - - - - - - - 1,000
Other - - - - -
Other - - - - - - - - - - - - - -
Paid on Account - - - - - - - - - - - - - -
Non-operating Costs
Capital Purchases - - 250 10,000 20,000 - - - - - - - - 30,250
Estimated Income Tax Payments - - - - 1,912 - 1,912 - - 1,912 - - 1,912 7,648
Interest Payments - - - - 484 479 474 469 464 459 454 449 444 4,177
Loan Principal Payments - - - - 2,334 2,334 2,334 2,334 2,334 2,334 2,334 2,334 2,334 21,006
Owner's Draw - - - - - - - - - - - - - -
Other Cash Out - - - - - - - - - - - - - -
Total Cash Out - - 250 10,000 25,145 8,108 9,115 7,198 7,593 9,550 7,733 7,728 9,635 102,056
Monthly Cash Flow (Cash In - Cash Out) 5,000 - (250) (9,500) 35,355 (115) (622) 1,795 1,900 443 2,460 2,765 1,354 40,584
Beginning Cash Balance - 5,000 5,000 4,750 (4,750) 30,605 30,490 29,868 31,663 33,563 34,006 36,466 39,231 -
Ending Cash Balance 5,000 5,000 4,750 (4,750) 30,605 30,490 29,868 31,663 33,563 34,006 36,466 39,231 40,584 40,584
2010 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTAL
Cash In
Cash Sales 15,436 15,686 15,936 16,186 16,436 16,686 16,936 17,186 17,436 17,686 17,936 17,936 201,482
Equity Received - - - - - - - - - - - - -
Loans Received - - - - - - - - - - - - -
Total Cash In 15,436 15,686 15,936 16,186 16,436 16,686 16,936 17,186 17,436 17,686 17,936 17,936 201,482
Total Cash Available 56,020 61,218 66,665 72,363 60,044 65,511 63,789 69,766 75,998 74,507 81,249 87,996 242,066
Cash Out
Inventory/Raw Material (Cash) - - - - - - - - - - - - -
Inventory/Raw Material (Paid on Account) - - - - - - - - - - - - -
Production Expenses 5,040 5,040 5,040 5,040 5,040 5,040 5,040 5,040 5,040 5,040 5,040 5,040 60,480
Operating Expenses
Advertising 400 400 400 400 400 400 400 400 400 400 400 400 4,800
Bank Charges 20 20 20 20 20 20 20 20 20 20 20 20 240
Dues & Subscriptions 20 20 20 20 20 20 20 20 20 20 20 20 240
Insurance 50 50 50 50 50 50 50 50 50 50 50 50 600
Licenses & Fees 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Marketing & Promotion 150 150 150 150 150 150 150 150 150 150 150 150 1,800
Meals & Entertainment 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Miscellaneous 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Office Expense 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Office Supplies 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Outside Services 50 50 50 50 50 50 50 50 50 50 50 50 600
Payroll Expenses
Salaries & Wages 800 800 800 800 800 800 800 800 800 800 800 800 9,600
Payroll Taxes 80 80 80 80 80 80 80 80 80 80 80 80 960
Benefits - - - - - - - - - - - - -
Professional Fees 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Property Taxes - - - - - - - - - - - - -
Rent -
Repairs & Maintenance 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Shipping & Delivery 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Telephone 40 40 40 40 40 40 40 40 40 40 40 40 480
Training & Development 400 400 400 400 400 400 400 400 400 400 400 400 4,800
Travel 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Utilities - - - - - - - - - - - - -
Vehicle 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Paid on Account - - - - - - - - - - - - -
Non-operating Costs
Capital Purchases - - - 10,500 - - - - - - - 500 11,000
Estimated Income Tax Payments - - - 7,031 - 7,445 - - 7,978 - - 8,449 30,902
Interest Payments 445 445 445 440 435 430 425 420 415 410 405 400 5,113
Loan Principal Payments 1,594 1,594 1,594 2,334 2,334 2,334 2,334 2,334 2,334 2,334 2,334 2,334 25,788
Owner's Draw - - - - - - - - - - - - -
Other Cash Out - - - - - - - - - - - - -
Total Cash Out 10,489 10,489 10,489 28,754 11,219 18,659 11,209 11,204 19,177 11,194 11,189 20,133 174,203
Monthly Cash Flow (Cash In - Cash Out) 4,947 5,197 5,447 (12,568) 5,217 (1,973) 5,727 5,982 (1,741) 6,492 6,747 (2,197) 27,279
Beginning Cash Balance 40,584 45,532 50,729 56,177 43,608 48,825 46,853 52,580 58,562 56,821 63,313 70,060 40,584
Ending Cash Balance 45,532 50,729 56,177 43,608 48,825 46,853 52,580 58,562 56,821 63,313 70,060 67,863 67,863
Rising Sun Breads
Cash Flow Report (Projected)
2011 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTAL
Cash In
Cash Sales 21,400 21,650 21,900 22,150 22,400 22,650 22,900 23,150 23,400 23,900 24,400 25,400 275,300
Equity Received - - - - - - - - - - - - -
Loans Received - - - - - - - - - - - - -
Total Cash In 21,400 21,650 21,900 22,150 22,400 22,650 22,900 23,150 23,400 23,900 24,400 25,400 275,300
Total Cash Available 89,263 98,834 108,655 118,725 62,686 72,427 71,995 82,246 92,701 92,687 104,103 116,523 343,163
Cash Out
Inventory/Raw Material (Cash) 200 200 200 200 300 300 300 350 350 400 400 400 3,600
Inventory/Raw Material (Paid on Account) - - - - - - - - - - - - -
Production Expenses 5,540 5,540 5,540 5,540 5,540 5,540 5,540 5,540 5,540 5,540 5,540 5,540 66,480
Operating Expenses
Advertising 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
Bank Charges 50 50 50 50 50 50 50 50 50 50 50 50 600
Insurance 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Licenses & Fees 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Miscellaneous 400 400 400 400 400 400 400 400 400 400 400 400 4,800
Office Expense 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Office Supplies 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Outside Services 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Payroll Expenses
Salaries & Wages 400 400 400 400 400 400 400 400 400 400 400 400 4,800
Payroll Taxes 80 80 80 80 80 80 80 80 80 80 80 80 960
Benefits - - - - - - - - - - - - -
Property Taxes - - - - - - - - - - - - -
Rent -
Telephone 40 40 40 40 40 40 40 40 40 40 40 40 480
Travel 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Utilities - - - - - - - - - - - - -
Vehicle 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Paid on Account - - - - - - - - - - - - -
Non-operating Costs
Capital Purchases - - - 55,000 - - - - - - - 500 55,500
Estimated Income Tax Payments - - - 10,625 - 10,428 - - 10,974 - - 11,991 44,017
Interest Payments 400 400 400 395 390 385 380 376 371 366 361 356 4,580
Loan Principal Payments 1,594 1,594 1,594 2,334 2,334 2,334 2,334 2,334 2,334 2,334 2,334 2,334 25,788
Owner's Draw - - - - - - - - - - - - -
Other Cash Out - - - - - - - - - - - - -
Total Cash Out 12,079 12,079 12,079 78,439 12,909 23,332 12,899 12,945 23,914 12,985 12,980 25,465 252,106
Monthly Cash Flow (Cash In - Cash Out) 9,321 9,571 9,821 (56,289) 9,491 (682) 10,001 10,205 (514) 10,915 11,420 (65) 23,194
Beginning Cash Balance 67,863 77,184 86,755 96,575 40,286 49,777 49,095 59,096 69,301 68,787 79,703 91,123 67,863
Ending Cash Balance 77,184 86,755 96,575 40,286 49,777 49,095 59,096 69,301 68,787 79,703 91,123 91,057 91,057
Sources of Financing – multiple options available to pursue
Family:
• Don and Delores Main $5000
• Ed and Donna Schneider
• Craig Schneider $500/month
Banks: Options of small business or retail as amount is small
• BBT
• SunTrust
• Smith River
Line of credit from existing Equity in 1014 Mulberry Road
Credit card
Take out of 401K

Exit Strategy
“Every business should be sale ready, even if there is no intention to sell business ever”.
It is my personnel goal to build value and equity into Rising Sun Breads by creating
unique products, developing strong community and business relationships, and a solid
retail and wholesale customer base. Building value lies in the team of Rising Sun Breads
to create and refine all the products we offer with methods and systems in place that do
not rely on specific people to carry them out. It is important that Rising Sun Breads
provide a substantial potion of my retirement funds. As a successful business owner I
have determined the following exit strategies:
#1. Sell to a Friendly buyer (employees) – passing the ownership of Rising Sun Breads
to another true believer(s) will assure that the legacy will be preserved. Possibly
financing the sale will allow the buyer(s) to pay it off over time. Win-Win for everyone.
Pro:
• Know the buyer(s) and they know me. Less due diligence required.
• The buyer(s) will most likely preserve what’s important to me about the business.
Con:
• I may become so attached to the business being bought by someone nice that I
leave too much money on the table.
#2 Acquisitions/ Buyout – find someone who wants to purchase Rising Sun Breads.
Pro:
• If the business has strategic value that an acquirer is seeking, they may be willing
to pay a substantial price.
• Best case scenario there may be multiple acquirers, causing a bidding war which
may cause the price to sky rocket.
Con:
• Acquisitions can become messy.
• Sometimes there is a non-compete clause and other strings attached which may
make my life a bit unpleasant for a time, but money can overcome that obstacle.
MONTHLY INCOME STATEMENT
Rising Sun Breads
2009 Pre Start-Up JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Total
Net Sales (less returns & allowances) - - - - 7,493 7,993 8,493 8,993 9,493 9,693 9,993 10,489 72,640
Cost of Goods Sold - - - - 1,873 1,998 2,123 2,248 2,373 2,423 2,498 2,622 18,160
Gross Margin - - - - 5,620 5,995 6,370 6,745 7,120 7,270 7,495 7,867 54,480
Operating Expenses
Advertising - - - - 200 200 200 200 200 200 200 200 200 1,800
Bad Debt Expense - - - - - - - - - - - - - -
Bank Charges - - - 10 10 10 10 10 10 10 10 10 90
Depreciation & Amortization - - 7 174 412 412 412 412 412 412 412 412 412 3,886
Dues & Subscriptions - - - - - - - - - - - - - -
Insurance - - - 40 40 40 40 40 40 40 40 40 360
Licenses & Fees - - - - - 100 100 100 100 100 100 100 100 800
Marketing & Promotion - - - - - 100 100 100 100 100 200 200 200 1,100
Meals & Entertainment - - - 100 100 100 100 100 100 100 100 800
Miscellaneous - - - - - 100 100 100 100 100 100 100 100 800
Office Expense - - - - - 100 100 100 100 100 100 100 100 800
Office Supplies - - - - - 50 50 50 50 50 50 50 50 400
Outside Services - - - - 25 25 25 25 25 25 25 25 25 225
Payroll Expenses -
Salaries & Wages - - - - - 800 800 800 800 800 800 800 800 6,400
Payroll Taxes - - - - - 80 80 80 80 80 80 80 80 640
Benefits - - - - - - - - - - - - - -
Professional Fees - - - - 100 100 50 50 50 50 50 50 50 550
Property Taxes - - - - - - - - - - - - - -
Rent - - - - - -
Repairs & Maintenance - - - - - 100 100 100 100 100 100 100 100 800
Shipping & Delivery - - - - - 50 50 50 50 50 50 50 50 400
Telephone - - - - 40 40 40 40 40 40 40 40 40 360
Training & Development - 400 400 400 400 400 2,000
Travel - - - - - - - - - - - -
Utilities - - - - - - - - - - - - - -
Vehicle - - - - - 200 200 200 200 200 200 200 200 1,600
Other - - - - - 1,000 - - - - - - - 1,000
Other - - - - -
Other - - - - - - - - - - - - - -
Total Operating Expenses - - 7 174 827 3,607 2,557 2,557 2,957 2,957 3,057 3,057 3,057 24,811
Operating Income - - (7) (174) (827) 2,013 3,438 3,813 3,788 4,163 4,213 4,438 4,810 29,669
Interest Expense - - - - 484 479 474 469 464 459 454 449 444 4,177
Other Income (for example, interest) - - - - - - - - - - - - - -
Income Before Taxes - - (7) (174) (1,311) 1,534 2,964 3,344 3,324 3,704 3,759 3,989 4,366 25,492
2010 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Total
Net Sales (less returns & allowances) 15,436 15,686 15,936 16,186 16,436 16,686 16,936 17,186 17,436 17,686 17,936 17,936 201,482
Cost of Goods Sold 3,550 3,608 3,665 3,723 3,780 3,838 3,895 3,953 4,010 4,068 4,125 4,125 46,341
Gross Margin 11,886 12,078 12,271 12,463 12,656 12,848 13,041 13,233 13,426 13,618 13,811 13,811 155,141
Operating Expenses
Advertising 400 400 400 400 400 400 400 400 400 400 400 400 4,800
Bad Debt Expense - - - - - - - - - - - - -
Bank Charges 20 20 20 20 20 20 20 20 20 20 20 20 240
Depreciation & Amortization 412 412 412 539 539 539 539 539 539 539 539 553 6,101
Insurance 50 50 50 50 50 50 50 50 50 50 50 50 600
Licenses & Fees 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Miscellaneous 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Office Expense 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Office Supplies 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Outside Services 50 50 50 50 50 50 50 50 50 50 50 50 600
Payroll Expenses
Salaries & Wages 800 800 800 800 800 800 800 800 800 800 800 800 9,600
Payroll Taxes 80 80 80 80 80 80 80 80 80 80 80 80 960
Benefits - - - - - - - - - - - - -
Property Taxes - - - - - - - - - - - - -
Rent -
Telephone 40 40 40 40 40 40 40 40 40 40 40 40 480
Travel 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Utilities - - - - - - - - - - - - -
Vehicle 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Total Operating Expenses 3,822 3,822 3,822 3,949 3,949 3,949 3,949 3,949 3,949 3,949 3,949 3,963 47,021
Operating Income 8,064 8,257 8,449 8,514 8,707 8,899 9,092 9,284 9,477 9,669 9,862 9,848 108,120
Interest Expense 445 445 445 440 435 430 425 420 415 410 405 400 5,113
Other Income (for example, interest) - - - - - - - - - - - - -
Income Before Taxes 7,619 7,812 8,004 8,074 8,272 8,469 8,667 8,864 9,062 9,259 9,456 9,448 103,007
MONTHLY INCOME STATEMENT
Rising Sun Breads
2011 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Total
Net Sales (less returns & allowances) 21,400 21,650 21,900 22,150 22,400 22,650 22,900 23,150 23,400 23,900 24,400 25,400 275,300
Cost of Goods Sold 4,494 4,547 4,599 4,652 4,704 4,757 4,809 4,862 4,914 5,019 5,124 5,334 57,813
Gross Margin 16,906 17,104 17,301 17,499 17,696 17,894 18,091 18,289 18,486 18,881 19,276 20,066 217,487
Operating Expenses
Advertising 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
Bad Debt Expense - - - - - - - - - - - - -
Bank Charges 50 50 50 50 50 50 50 50 50 50 50 50 600
Depreciation & Amortization 553 553 553 1,374 1,374 1,374 1,374 1,374 1,374 1,374 1,374 1,388 14,042
Insurance 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Licenses & Fees 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Miscellaneous 400 400 400 400 400 400 400 400 400 400 400 400 4,800
Office Expense 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Office Supplies 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Outside Services 100 100 100 100 100 100 100 100 100 100 100 100 1,200
Payroll Expenses
Salaries & Wages 400 400 400 400 400 400 400 400 400 400 400 400 4,800
Payroll Taxes 80 80 80 80 80 80 80 80 80 80 80 80 960
Benefits - - - - - - - - - - - - -
Property Taxes - - - - - - - - - - - - -
Rent -
Telephone 40 40 40 40 40 40 40 40 40 40 40 40 480
Travel 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Utilities - - - - - - - - - - - - -
Vehicle 200 200 200 200 200 200 200 200 200 200 200 200 2,400
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Other - - - - - - - - - - - - -
Total Operating Expenses 4,898 4,898 4,898 5,719 5,719 5,719 5,719 5,719 5,719 5,719 5,719 5,733 66,182
Operating Income 12,008 12,206 12,403 11,779 11,977 12,174 12,372 12,569 12,767 13,162 13,557 14,333 151,305
Interest Expense 400 400 400 395 390 385 380 376 371 366 361 356 4,580
Other Income (for example, interest) - - - - - - - - - - - - -
Income Before Taxes 11,608 11,805 12,003 11,384 11,586 11,789 11,991 12,194 12,396 12,796 13,196 13,977 146,724
Rising Sun Breads
Year-End
Income Statement (Projected)
2009 2010 2011

Net Sales (less returns & allowances) 72,640 100.0% 201,482 100.0% 275,300 100.0%
Cost of Goods Sold 18,160 25.0% 46,341 23.0% 57,813 21.0%
Gross Margin $ 54,480 75.0% $ 155,141 77.0% $ 217,487 79.0%
Operating Expenses
Advertising 1,800 2.5% 4,800 2.4% 12,000 4.4%
Bad Debt Expense - 0.0% - 0.0% - 0.0%
Bank Charges 90 0.1% 240 0.1% 600 0.2%
Depreciation & Amortization 3,886 5.3% 6,101 3.0% 14,042 5.1%
Dues & Subscriptions - 0.0% 240 0.1% 300 0.1%
Insurance 360 0.5% 600 0.3% 1,200 0.4%
Licenses & Fees 800 1.1% 1,200 0.6% 1,200 0.4%
Marketing & Promotion 1,100 1.5% 1,800 0.9% 2,400 0.9%
Meals & Entertainment 800 1.1% 2,400 1.2% 2,400 0.9%
Miscellaneous 800 1.1% 2,400 1.2% 4,800 1.7%
Office Expense 800 1.1% 1,200 0.6% 1,200 0.4%
Office Supplies 400 0.6% 1,200 0.6% 1,200 0.4%
Outside Services 225 0.3% 600 0.3% 1,200 0.4%
Payroll Expenses 0.0% 0.0% 0.0%
Salaries & Wages 6,400 8.8% 9,600 4.8% 4,800 1.7%
Payroll Taxes 640 0.9% 960 0.5% 960 0.3%
Benefits - 0.0% - 0.0% - 0.0%
Professional Fees 550 0.8% 1,200 0.6% 1,200 0.4%
Property Taxes - 0.0% - 0.0% - 0.0%
Rent - 0.0% - 0.0% - 0.0%
Repairs & Maintenance 800 1.1% 2,400 1.2% 4,800 1.7%
Shipping & Delivery 400 0.6% 1,200 0.6% 1,800 0.7%
Telephone 360 0.5% 480 0.2% 480 0.2%
Training & Development 2,000 2.8% 4,800 2.4% 4,800 1.7%
Travel - 0.0% 1,200 0.6% 2,400 0.9%
Utilities - 0.0% - 0.0% - 0.0%
Vehicle 1,600 2.2% 2,400 1.2% 2,400 0.9%
Other 1,000 1.4% - 0.0% - 0.0%
Other - 0.0% - 0.0% - 0.0%
Other - 0.0% - 0.0% - 0.0%
Total Operating Expenses $ 24,811 34.2% $ 47,021 23.3% $ 66,182 24.0%
Operating Income $ 29,669 40.8% $ 108,120 53.7% $ 151,305 55.0%
Interest Expense 4,177 5.8% 5,113 2.5% 4,580 1.7%

Other Income (for example, interest) - 0.0% - 0.0% - 0.0%
Income Before Taxes $ 25,492 35.1% $ 103,007 51.1% $ 146,724 53.3%
Income Taxes (if C Corp) - 0.0% - 0.0% - 0.0%
Net Income $ 25,492 35.1% $ 103,007 51.1% $ 146,724 53.3%

Rising Sun Breads
Year-End
Balance Sheet (Projected)
2009 2010 2011
Assets
Current Assets
Cash & Equivalents 40,584 67,863 91,057
Accounts Receivable - - -
Inventory 40 14,179 26,446
Security Deposits - - -
Other Current Assets - - -
Total Current Assets $ 40,624 $ 82,042 $ 117,504
Fixed Assets
Property, Plant & Equipment 30,250 41,250 96,750
Less: Accumulated Depreciation (3,886) (9,987) (24,029)
Net Fixed Assets 26,364 31,263 72,721
Other Non-Current Assets - - -
Total Non-Current Assets $ 26,364 $ 31,263 $ 72,721
Total Assets $ 66,988 $ 113,305 $ 190,224
Liabilities
Current Liabilities
Accounts Payable (1,250) (1,250) (1,250)
Line of Credit 23,340 16,680 10,020
Other Current Liabilities - - -
Total Current Liabilities $ 22,090 $ 15,430 $ 8,770
Long-term Liabilities
Loans 15,654 (3,474) (22,602)
Mortgages - - -
Other Non-Current Liabilities - - -
Total Non-Current Liabilities $ 15,654 $ (3,474) $ (22,602)
Total Liabilities $ 37,744 $ 11,956 $ (13,832)
Equity
Equity Investments 10,000 10,000 10,000
Retained Earnings 25,492 120,852 236,674
Less: Owner's & Investor's Draws (7,648) (30,902) (44,017)
Total Equity $ 27,844 $ 99,949 $ 202,656
Total Liabilities and Equity $ 65,588 $ 111,905 $ 188,824

Rising Sun Breads
Financial Ratios
Industry Avg 2009 2010 2011
Profitability Ratios
Net Margin Net Income 35.09% 51.12% 53.30%

Net Sales
Gross Margin Gross Margin 75.00% 77.00% 79.00%

Net Sales
Expense Analysis Operating Expenses 34.16% 23.34% 24.04%

Net Sales
Return on Assets (ROA) Net Income 38.05% 90.91% 77.13%

Total Assets
Return on Equity (ROE) Net Income 91.55% 103.06% 72.40%

Total Equity
Efficiency Ratios
Inventory Turnover Cost of Goods Sold 454.00 3.27 2.19

Inventory
Accounts Receivable Turnover Yearly Credit Sales #DIV/0! #DIV/0! #DIV/0!

Accounts Receivable
Liquidity Ratios
Current Ratio Total Current Assets 1.84 5.32 13.40

Total Current Liabilities
Quick Ratio Current Assets - Inventory 1.84 4.40 10.38

Current Liabilities
Risk Ratios
Debt Ratio Total Liabilities 0.56 0.11 -0.07

Total Assets
Debt to Equity Total Liabilities 1.36 0.12 -0.07

Total Equity
Cash Cycle
Days Receivable Accounts Receivable x 365 - - -

Sales per year
Days Inventory Inventory x 365 1 112 167

COGS per year
Days Payable Accounts Payable x 365 (25) (10) (8)

COGS per year
Days Payroll Accrual Numer of Days 7 7 7

Between Pay Periods
Cash Cycle Days Receivable + Days 26 122 175

Inventory - Days Payable
- Days Payroll Accrual
–F–
APPENDIX
F Appendix R ISI N G SU N B R E A DS
List of Potential Suppliers Sysco, Inc.

5081 South Valley Pike
Harrisonburg, VA 22801
Phone# 540-434-0761
Dakota Prairie Organic Flour

500 North Street West
Harvey, ND 58341
Phone# 701-324-4330
KDL Foods
2410 Farrington Point Drive
Winston-Salem, NC 27101
Phone # 336-403-0540
kdifoods@aol.com
Albert Ulster Imports

9211 Gaither Road
Gaithersburg, MD 208778
Phone# 201-258-7350
iaviswisscatalogue@aol.com
Triangle Food Products

1334 Bobbitt Drive
Garner, NC 27529
Phone # 919-773-8677
Dutch Valley Food Distribution, Inc.

7615 Lancaster Avenue
P.O. Box 465
Myerstown, PA 17067
800-733-4191
www.dutchvalleyfoods.com
Qualifying Potential Who else does this supplier do business with (references)?
Suppliers
How is the company doing financially?
Basic Financial Information
Dunn & Bradstreet
Better Business Bureau
Payment Terms available.

Inventory Start-up Miscellaneous
Original 12/5/2008
Revised 3/01/2009
Number Purchase
Name Mfg Est Cost Req. Total Date
Bannetons 1 kg Oval 32.8 8 262.4
Bannetons - 750 kg Oval 31.7 8 253.6
Bannetons - 750 kg Round TBJ 8 8 64 3/5/09
Bannetons - 1kg round TBJ 10 8 80 3/5/09
Pelle w/handle Lillsum 59 1 59
Parchment Paper 18 x 26 500 sheets 56 1 56
Alumium Foil 18 x 500' Sam's Club 19.32 1 19.32
Bar Towels 60 Sam's Club 17.12 1 17.12
Rolling Bins - Flour 28 8 224 3/9/09
Lexar Bins w/lids 37 6 222
Digital Scale Large used 400 1 400
Digital Scale Small 100 1 100
Balance Scale Detecto 300 1 300
Blackboards- Prod/specials Craig Built 19.95 1 19.95 3/9/09
Chalk & Eraser 5 1 5
Plastic Scoops 64 oz. 10 20 200
Peg Board w/hooks 12.95 1 12.95
Baker Racks Pinecrest 100 3 300
Plastic Zipper Rack Cover 60 2 120
Wooden Proof Boards Lilley 8 12 96
Can Opener 10 1 10
Metal Padded Stool 65.99 1 65.99
Clock 19.99 1 19.99
Sheet pan 18x26 10.56 12 126.72
Saute Pans 5 qrt. 40 1 40
Can Crusher 0 1 0
Recycle Bin set 65.61 1 65.61
Square Garbage Cans 24.99 2 49.98
Compost Bin 24.99 1 24.99
1st Aided Kit Wall 18.99 1 18.99
Flour Sifter-Round SS 26.99 1 26.99
Plastic Wrap 18 x 3000 Sam's Club 14.56 1 14.56
Coat Hook 2.99 1 2.99
Round Laundry Bin 4.99 1 4.99
Metal Pitcher 24.99 2 49.98
Square Clear Plastic Cont 25 2 50
Couche 26" wide 9.5 10 95
Radio Home Sony 0 1 0
Pullaman Pansw/ lids 23 8 184
1 pound loaf pans 11.93 20 238.6
Pull Out Drying Rack 14.99 1 14.99
Sink At Bakery 0 0
Wooden Table Tops 6' cover SS 300 1 300
Delivery Trays pkg 6 98 1 98
Rolling Metro shelf 150 2 300
Sub Total 4613.71
Inventory Start-up Miscellaneous
Number Purchase
Name Mfg Est Cost Req. Total Date
Scraper Metal 10 1 10
Scraper plastic 1 3 3
Rolling Pin no handles Lilly 5.45 1 5.45
Rolling Pin Marble 16.99 1 16.99
1" Pastry Brush 1.69 2 3.38
Pizza Cutter Metal 4.95 1 4.95
Silpat Ateco 35 1 35
Brioche Pan Small 24 25 600
Brioche Pan Large 30 12 360
Stainless Steel Shelf 6' 100 4 400
French Ergo Whip 14" 4.99 2 9.98
Fluted Tart Tins 1.09 25 27.25
Kraft Bags 2 lb 500 ea 7.86 1 7.86
Kraft Bags 6 lb 500 ea 9.58 1 9.58
Kraft Bags 12 lbs 500 ea 16.63 1 16.63
Mandoline Slicer 170 1 170
Square Grater 7.99 1 7.99
Accurate Grater 21.99 2 43.98
SS Strainer 8" med/fine 6.17 1 6.17
Round Plastic w/lid 18 2 36
Bagel Scoop 46 1 46
Sauce Pan Alumium 4.5 qrt 23.99 1 23.99
Large offset spatula 10.8 1 10.8
Cookie Spatula 3 1 3
18" Metal Ruler 4.5 1 4.5
Oven Thermometer 3.5 2 7
Potholders & Mitts 30 1 30
Wooden Rolling Pin Ateco 48.99 1 48.99
Bakers Blade Holder TMB 6 1 6
Flour Brush 18.5 1 18.5
Croissant Cutter TMB 122 1 122
Bratforms Wicker - Round TMB 20.99 8 167.92
Bratforms Wicker - Oval TMB 18.99 8 151.92
American Bread Poster TMB 15 1 15
Fire Extinguisher + sign 35 1 35
Storage Bins Dry Goods Cambro 65 14 910
Dunage Rack Flour 300 1 300
Jucier- lemons/oranges Home 0 1 0
Zester 10 1 10
.
Subtotal 3684.83
Subtotal pg.1 4613.71
Total 8298.54
Cleaning Equipment and Supplies
5-Dec-08
Name Cost Supplier Supplier

Brooms 9.21 Liberman Sam's Club
Lobby Dust Pan 14.99 Sam's Club
Oven Brush 26 Sam's Club
Bar towels 16 x 19 10.36 Sam's Club
Recycled tee Shirts 14.88 Sam's Club
SubTotal 75.44
All Non-Toxic Cleaners Meet Green Kitchen Certification Program Requirements

Toliet Cleaner 2
Multi Purpose Cleaner 8.67
Stainless Steel Cleaner 5.87
Dish Soap 17
Pan Scrubbers 6.88
White Vinegar 1.69
Bleach 1
Subtotal 43.11
SubTotal 75.44
Total 118.55
Competitive Analysis PRICING Indirect Competition

Updated Oct-08
Item Description Sam’s Club Food Lion Kroger WalMart

Muffins 0.54 0.95 0.99 See Note
Whole Wheat Rolls 0.14 0.26 0.34
Croissants 0.25 0.4 0.99
French Bread 1.99 1.91 1.99
Sour Dough Bread — 3.37 2.99
Tuscan Boule — 3.49 —
Hogie Rolls — 0.49 —
Hot Dog/
Hamburger Buns 0.16 0.37 0.39
Kaiser Rolls — 0.57 0.59
Bagels — 0.79 0.99
Ecce Pane — 3.29 3.49
Ciabatta — 3.29 3.49
Semolina — 3.29 3.49
Harvest Grain — 3.29 3.49
Sour Dough Bread — 3.99 —
Note: WalMart bakery closed renovations

Competitive Analysis PRICING Bakeries

(Cont.) Updated Oct-08
Arts Ect. Hot Cakes Wild Flowers Daily Grind

Item Description Martinsville Charlottesville Roanoke Martinsville
Croissant $1.50 $2.25 — $2.25
Danish-Sticky Bun $1.25 $2.95 — —
Scone $1.25 $1.95 — $2.25
Muffin $1.25 $0.95 — $1.95
Cookie $1.50 $0.99 $1.50 $1.50
Bars $1.50 $1.95 $2.25 $2.25
White Baguettes $2.50 $2.95 — —
Sweet Potato
White Dinner Rolls $0.95 $0.65 — —
Foccacia
(Bread by Loaf) — $3.25 $4.25 —
Bagels $0.75 — — $1.50
Slice Pie $2.00 — — —
Whole Wheat Bread $4.25 $3.99 $4.25 —
Multi-grain Bread $4.00 $3.99 $4.25 —
Sour Dough Bread $4.00 $3.99 $4.25 —
Olive Bread $3.85 $3.99 $4.25 —
Brioche $4.50 $3.99 $4.25 —
Challah $4.50 $3.99 $4.25 —
Rye Bread $4.00 $3.99 $4.25 —
Ciabatta $3.75 $3.99 $4.25 —
Whole Wheat
C’Berry Walnut $4.25 $3.99 $4.25 —
Bagels:
(VA)Brudders $0.99
(NJ) Bagel Shops $0.90
(VA) Oodels of Bagels $0.70
(VA) Manhatten Bagels —
(Cont.)
Competitor A Frozen
Sit down and Product
Daily Grind 10 East Church stay awhile High end Gourmet Pannini Baked on Sit and Stay/
Similar to Street (uptown) Community Highest in Less than 1 Sandwiches/ Site/Franchis Gourmet Coffees/
Starbucks Nice restoration meeting rooms Community yr Good Location e menu Panini Sandwich
Competitor B Diversified
Products Retail
Arts Ect. Full Original Gift Shop & Name products &
Service Coffee/Wines coffee shop Frame Shop doesn't fit Framing;
Breakfast & 45 East Church Sandwiches On Middle to High uptown Good Breakfast and products Sandwiches &
Lunch Street (Uptown) Variety Breads end cost Reputation Lunch Slow Service Specialty Coffees
Competitor C
Flavored Wireless Internet

Coffees, Lattes, & New/Used Specialty is
115 Spruce Smoothies, Ice Middle to High Books/ Book Similar to Coffees,
Binding Times Street Druid Hills Cream, End/Compara 3 Times Signings/ SPCA Arts Etc. Sandwiches, &
Breakfast, Lunch Martinsville sandwiches ble to Arts Etc. Relocated sponsor theme Reading Area
Competitor D Not fresh or
unique
Mid-high Dependant
Multiple range pay for One stop on supplies
Gas Station Locations None convenience Steady shopping for fresh None
Competitor E
Offer fresh
baked breads Middle to Low
and pastries- End - 1/2 price Lower Cost
Multiple frozen than of coffee /Quantity/multiple Not fresh or Basic grocery
Food Lion Locations baked shops Steady products unique store
6629 Greensboro Rd. Site Map
6629 Greensboro Rd Martinsville-Henry County Latitude: 36.60127
Ridgeway, VA 24148 February 10, 2009 Longitude: -79.861859
©2007 ESRI On-demand reports and maps from Business Analyst Online. Order at www.esri.com/bao or call 800-292-2224 Page 1 of 1
Market Profile
Martinsville-Henry County
6629 Greensboro Rd. 6629 Greensboro Rd 6629 Greensboro Rd 6629 Greensboro Rd

Latitude: 36.60127 Ridgeway, VA 24148 Ridgeway, VA 24148 Ridgeway, VA 24148
Longitude: -79.861859 Drivetime: 10 minutes Drivetime: 20 minutes Drivetime: 30 minutes
2000 Total Population 13,800 77,242 128,550

2000 Group Quarters 107 1,381 1,697
2008 - 2013 Annual Rate -0.53% -0.48% -0.27%
2000 Households 5,734 32,250 52,869

2000 Average Household Size 2.39 2.35 2.4
2008 Households 5,749 31,487 52,665
2013 Households 5,660 30,981 52,352
2008 - 2013 Annual Rate -0.31% -0.32% -0.12%
2000 Families 4,103 21,904 36,923
2000 Average Family Size 2.84 2.86 2.89
2008 Families 3,967 20,632 35,616
2013 Families 3,817 19,888 34,783
2008 - 2013 Annual Rate -0.77% -0.73% -0.47%
2000 Housing Units 6,138 35,229 57,773

Owner Occupied Housing Units 74.3% 65.0% 67.8%
Renter Occupied Housing Units 19.3% 26.6% 23.8%
Vacant Housing Units 6.4% 8.4% 8.4%
2008 Housing Units 6,298 35,958 59,765
2013 Housing Units 6,306 36,253 60,671
Median Household Income

2000 $36,140 $30,854 $31,886
2008 $43,823 $38,471 $39,474
2013 $49,619 $44,163 $45,248
Median Home Value
2000 $83,391 $70,113 $71,111
2008 $163,052 $122,985 $118,655
2013 $170,035 $127,144 $122,671
Per Capita Income
2000 $20,426 $17,016 $16,763
2008 $24,344 $20,776 $20,336
2013 $27,051 $23,237 $22,643
Median Age
2000 40.9 39.6 39.3
2008 44.2 42.0 41.9
2013 45.9 44.0 43.8
Data Note: Household population includes persons not residing in group quarters. Average Household Size is the household population divided by total households.
Persons in families include the householder and persons related to the householder by birth, marriage, or adoption. Per Capita Income represents the income received
by all persons aged 15 years and over divided by total population. Detail may not sum to totals due to rounding.
Source: U.S. Bureau of the Census, 2000 Census of Population and Housing. ESRI forecasts for 2008 and 2013.
©2008 ESRI On-demand reports and maps from Business Analyst Online. Order at www.esri.com/bao or call 800-292-2224 2/10/2009 Page 1 of 8
Market Profile

2000 Households by Income

Household Income Base 5,738 32,398 52,996
< $15,000 18.9% 22.4% 21.8%
$15,000 - $24,999 15.6% 18.2% 17.4%
$25,000 - $34,999 13.9% 15.5% 15.4%
$35,000 - $49,999 18.0% 18.2% 18.8%
$50,000 - $74,999 18.4% 16.0% 16.6%
$75,000 - $99,999 6.9% 5.2% 5.5%
$100,000 - $149,999 4.9% 2.8% 3.0%
$150,000 - $199,999 1.9% 0.8% 0.7%
$200,000+ 1.6% 0.9% 0.8%
Average Household Income $47,950 $40,174 $40,275
< $15,000 14.2% 17.5% 17.2%
$15,000 - $24,999 13.1% 14.8% 14.2%
$25,000 - $34,999 12.0% 13.2% 12.9%
$35,000 - $49,999 16.6% 17.1% 17.6%
$50,000 - $74,999 22.9% 22.4% 23.1%
$75,000 - $99,999 9.3% 7.8% 8.1%
$100,000 - $149,999 7.9% 4.9% 4.8%
$150,000 - $199,999 1.7% 1.0% 1.0%
$200,000+ 2.4% 1.3% 1.1%
< $15,000 12.7% 15.5% 15.3%
$15,000 - $24,999 11.6% 12.0% 11.8%
$25,000 - $34,999 11.2% 12.6% 12.0%
$35,000 - $49,999 14.8% 15.8% 16.0%
$50,000 - $74,999 25.4% 25.0% 26.1%
$75,000 - $99,999 10.1% 10.3% 10.4%
$100,000 - $149,999 9.6% 6.2% 6.1%
$150,000 - $199,999 1.8% 1.0% 1.0%
$200,000+ 2.7% 1.5% 1.3%
2000 Owner Occupied HUs by Value
Total 4,545 22,945 39,062
<$50,000 23.4% 30.0% 29.6%
$50,000 - 99,999 38.8% 47.5% 46.3%
$100,000 - 149,999 20.0% 13.7% 14.9%
$150,000 - 199,999 9.1% 4.7% 5.1%
$200,000 - $299,999 5.7% 2.5% 2.8%
$300,000 - 499,999 1.7% 0.9% 0.8%
$500,000 - 999,999 1.2% 0.6% 0.4%
$1,000,000+ 0.0% 0.1% 0.1%
Average Home Value $104,529 $83,586 $83,362
2000 Specified Renter Occupied HUs by Contract Rent
Total 1,155 9,190 13,375
With Cash Rent 91.6% 92.6% 90.6%
No Cash Rent 8.4% 7.4% 9.4%
Median Rent $329 $317 $315
Average Rent $363 $322 $316
Data Note: Income represents the preceding year, expressed in current dollars. Household income includes wage and salary earnings, interest, dividends, net rents,
pensions, SSI and welfare payments, child support and alimony. Specified Renter Occupied HUs exclude houses on 10+ acres. Average Rent excludes units paying no
cash rent.
Market Profile

2000 Population by Age

Total 13,802 77,241 128,551
0-4 5.2% 5.7% 5.8%
5-9 6.4% 6.2% 6.3%
10 - 14 7.1% 6.8% 6.7%
15 - 19 6.0% 5.9% 6.0%
20 - 24 4.3% 5.3% 5.3%
25 - 34 11.7% 13.0% 13.1%
35 - 44 15.9% 15.4% 15.6%
45 - 54 15.3% 13.9% 14.3%
55 - 64 11.9% 11.0% 11.0%
65 - 74 9.5% 8.9% 8.7%
75 - 84 5.4% 5.8% 5.4%
85+ 1.3% 2.0% 1.8%
18+ 77.3% 77.5% 77.4%

Total 13,458 74,043 125,786
0-4 5.1% 5.7% 5.8%
5-9 5.4% 5.7% 5.8%
10 - 14 5.8% 5.7% 5.8%
15 - 19 5.8% 5.8% 5.7%
20 - 24 4.9% 5.4% 5.3%
25 - 34 10.6% 11.9% 11.9%
35 - 44 13.5% 14.2% 14.4%
45 - 54 16.0% 15.2% 15.4%
55 - 64 14.8% 13.0% 13.2%
65 - 74 9.9% 8.9% 8.8%
75 - 84 6.2% 6.0% 5.6%
85+ 2.0% 2.5% 2.2%
18+ 80.1% 79.3% 79.1%

Total 13,106 72,291 124,101
0-4 5.0% 5.6% 5.6%
5-9 5.2% 5.4% 5.5%
10 - 14 5.6% 5.7% 5.8%
15 - 19 5.5% 5.6% 5.7%
20 - 24 4.8% 5.3% 5.2%
25 - 34 10.4% 10.9% 10.7%
35 - 44 12.0% 12.9% 13.1%
45 - 54 15.9% 15.7% 15.9%
55 - 64 16.1% 14.5% 14.7%
65 - 74 10.7% 9.4% 9.4%
75 - 84 6.2% 6.1% 5.8%
85+ 2.4% 2.9% 2.5%
18+ 80.8% 79.9% 79.5%
2000 Population by Sex

Males 48.0% 47.5% 48.0%
Females 52.0% 52.5% 52.0%
Males 48.3% 47.9% 48.4%
Females 51.7% 52.1% 51.6%
Males 48.4% 48.0% 48.5%
Females 51.6% 52.0% 51.5%
Market Profile

2000 Population by Race/Ethnicity

Total 13,799 77,241 128,551
White Alone 76.3% 71.2% 74.7%
Black Alone 21.2% 25.9% 22.6%
American Indian Alone 0.1% 0.1% 0.2%
Asian or Pacific Islander Alone 0.6% 0.4% 0.4%
Some Other Race Alone 0.7% 1.4% 1.3%
Two or More Races 1.0% 0.9% 0.8%
Hispanic Origin 1.9% 3.2% 3.0%
Diversity Index 39.6 46.2 42.7

Total 13,460 74,042 125,784
White Alone 73.4% 68.4% 72.2%
Black Alone 23.1% 27.5% 23.9%

Total 13,108 72,290 124,097
White Alone 71.4% 66.7% 70.7%
Black Alone 24.3% 28.3% 24.6%
2000 Population 3+ by School Enrollment

Total 13,369 74,776 124,273
Enrolled in Nursery/Preschool 1.4% 1.4% 1.4%
Enrolled in Kindergarten 0.8% 1.3% 1.4%
Enrolled in Grade 1-8 12.5% 10.8% 10.9%
Enrolled in Grade 9-12 5.2% 5.5% 5.4%
Enrolled in College 2.8% 3.3% 3.2%
Enrolled in Grad/Prof School 0.9% 0.5% 0.4%
Not Enrolled in School 76.5% 77.2% 77.2%
2008 Population 25+ by Educational Attainment

Total 9,814 53,100 90,104
Less than 9th Grade 7.9% 11.2% 11.5%
9th - 12th Grade, No Diploma 15.2% 16.9% 17.2%
High School Graduate 29.6% 34.4% 35.0%
Some College, No Degree 18.0% 17.5% 17.7%
Associate Degree 7.5% 6.8% 6.7%
Bachelor's Degree 14.3% 8.6% 7.8%
Graduate/Professional Degree 7.6% 4.5% 4.1%
Data Note: Persons of Hispanic Origin may be of any race. The Diversity Index measures the probability that two people from the same area will be from different race/
ethnic groups.
Market Profile

2008 Population 15+ by Marital Status

Total 11,261 61,366 103,926
Never Married 20.2% 22.2% 21.9%
Married 61.7% 57.2% 58.8%
Widowed 7.8% 9.3% 8.7%
Divorced 10.3% 11.3% 10.7%
2000 Population 16+ by Employment Status

Total 10,977 61,925 102,842
In Labor Force 59.6% 58.4% 60.0%
Civilian Employed 56.2% 54.5% 56.4%
Civilian Unemployed 3.3% 3.8% 3.5%
In Armed Forces 0.1% 0.1% 0.1%
Not in Labor Force 40.4% 41.6% 40.0%
2008 Civilian Population 16+ in Labor Force

2013 Civilian Population 16+ in Labor Force

2000 Females 16+ by Employment Status and Age of Children

Total 5,825 33,108 54,263
Own Children < 6 Only 6.1% 6.5% 6.7%
Employed/in Armed Forces 4.2% 4.2% 4.3%
Unemployed 0.5% 0.5% 0.5%
Own Children < 6 and 6-17 Only 4.1% 4.7% 4.9%
Own Children 6-17 Only 20.1% 17.1% 17.3%
No Own Children < 18 69.7% 71.7% 71.1%
Source: U.S. Bureau of the Census, 2000 Census of Population and Housing. ESRI forecasts for 2008.
Market Profile

2008 Employed Population 16+ by Industry

Total 5,591 30,355 54,120
Agriculture/Mining 0.3% 0.5% 0.7%
Construction 5.3% 8.0% 8.8%
Manufacturing 26.5% 28.5% 28.4%
Wholesale Trade 2.2% 2.0% 2.3%
Retail Trade 12.8% 11.4% 11.2%
Transportation/Utilities 3.7% 4.3% 4.7%
Information 0.9% 1.1% 1.1%
Finance/Insurance/Real Estate 5.3% 4.3% 4.2%
Services 38.8% 36.9% 35.5%
Public Administration 4.2% 3.1% 3.1%
2008 Employed Population 16+ by Occupation
Total 5,590 30,352 54,120
White Collar 55.5% 46.9% 45.1%
Management/Business/Financial 12.1% 8.6% 8.3%
Professional 18.5% 15.7% 14.7%
Sales 10.7% 9.8% 9.2%
Administrative Support 14.2% 12.8% 12.9%
Services 12.8% 14.1% 14.5%
Blue Collar 31.7% 39.0% 40.3%
Farming/Forestry/Fishing 0.1% 0.2% 0.4%
Construction/Extraction 5.6% 7.1% 7.5%
Installation/Maintenance/Repair 3.9% 5.0% 5.7%
Production 15.0% 17.6% 17.5%
Transportation/Material Moving 7.1% 9.0% 9.2%
2000 Workers 16+ by Means of Transportation to Work
Total 6,056 33,102 56,800
Drove Alone - Car, Truck, or Van 84.8% 80.9% 80.9%
Carpooled - Car, Truck, or Van 10.7% 15.0% 15.0%
Public Transportation 0.1% 0.4% 0.4%
Walked 1.3% 1.1% 1.2%
Other Means 1.4% 1.0% 0.9%
Worked at Home 1.6% 1.6% 1.6%
2000 Workers 16+ by Travel Time to Work
Total 6,056 33,100 56,801
Did Not Work at Home 98.4% 98.4% 98.4%
Less than 5 minutes 3.0% 2.7% 2.9%
5 to 9 minutes 14.1% 12.5% 10.7%
10 to 19 minutes 40.5% 39.8% 36.3%
20 to 24 minutes 15.4% 15.7% 15.7%
25 to 34 minutes 14.1% 13.5% 15.7%
35 to 44 minutes 2.0% 2.9% 4.3%
45 to 59 minutes 3.3% 5.4% 6.7%
60 to 89 minutes 3.4% 4.0% 4.0%
90 or more minutes 2.6% 2.0% 2.1%
Worked at Home 1.6% 1.6% 1.6%
Average Travel Time to Work (in min) 21.4 22.2 23.5
2000 Households by Vehicles Available
Total 5,724 32,296 52,856
None 7.4% 10.3% 9.3%
1 29.7% 32.8% 30.4%
2 40.7% 35.2% 35.8%
3 16.5% 15.9% 17.4%
4 4.2% 4.3% 5.1%
5+ 1.5% 1.6% 1.9%
Average Number of Vehicles Available 1.9 1.8 1.9
Market Profile

2000 Households by Type

Total 5,734 32,250 52,869
Family Households 71.6% 67.9% 69.8%
Married-couple Family 55.9% 49.3% 52.3%
With Related Children 22.2% 20.0% 21.4%
Other Family (No Spouse) 15.7% 18.6% 17.6%
With Related Children 10.3% 11.8% 11.0%
Nonfamily Households 28.4% 32.1% 30.2%
Householder Living Alone 25.4% 28.7% 26.8%
Householder Not Living Alone 3.0% 3.4% 3.3%
Households with Related Children 32.4% 31.7% 32.4%

Households with Persons 65+ 27.7% 28.5% 27.6%
2000 Households by Size

Total 5,734 32,250 52,869
1 Person Household 25.4% 28.7% 26.8%
7+ Person Household 0.5% 0.8% 0.8%
2000 Households by Year Householder Moved In

Total 5,723 32,295 52,855
Moved in 1999 to March 2000 13.8% 15.1% 14.3%
Moved in 1995 to 1998 23.8% 24.1% 24.0%
Moved in 1990 to 1994 13.3% 13.5% 13.8%
Moved in 1980 to 1989 18.3% 16.0% 16.7%
Moved in 1970 to 1979 14.0% 12.6% 13.0%
Moved in 1969 or Earlier 16.8% 18.7% 18.2%
Median Year Householder Moved In 1990 1991 1991
2000 Housing Units by Units in Structure

Total 6,108 35,221 57,666
1, Detached 74.8% 71.5% 71.1%
1, Attached 0.9% 1.0% 0.9%
2 2.3% 2.7% 2.0%
3 or 4 2.2% 3.3% 2.6%
5 to 9 1.3% 3.1% 2.5%
10 to 19 0.8% 2.0% 1.5%
20+ 1.9% 2.1% 1.7%
Mobile Home 15.7% 14.1% 17.5%
Other 0.0% 0.0% 0.1%
2000 Housing Units by Year Structure Built

Total 6,120 35,238 57,726
1999 to March 2000 1.9% 1.4% 1.7%
1995 to 1998 4.9% 4.9% 6.2%
1990 to 1994 6.2% 6.6% 7.2%
1980 to 1989 13.4% 13.3% 14.7%
1970 to 1979 22.5% 18.9% 19.5%
1969 or Earlier 51.2% 54.9% 50.7%
Median Year Structure Built 1970 1967 1970
Source: U.S. Bureau of the Census, 2000 Census of Population and Housing.
Market Profile

Top 3 Tapestry Segments
1. Southern Satellites Southern Satellites Southern Satellites

2. Prosperous Empty Neste Heartland Communities Salt of the Earth
3. Salt of the Earth Salt of the Earth Heartland Communities
2008 Consumer Spending shows the amount spent on a variety of goods and services by households that reside in the market
area. Expenditures are shown by broad budget categories that are not mutually exclusive. Consumer spending does not equal
business revenue.
Apparel & Services: Total $ $9,489,791 $45,359,977 $75,222,167
Average Spent $1,650.69 $1,440.59 $1,428.31
Spending Potential Index 61 54 53
Computers & Accessories: Total $ $959,456 $4,648,697 $7,627,630
Average Spent $166.89 $147.64 $144.83
Education: Total $ $5,026,198 $25,416,923 $40,678,747
Average Spent $874.27 $807.22 $772.41
Entertainment/Recreation: Total $ $17,360,213 $80,404,343 $135,060,840
Average Spent $3,019.69 $2,553.57 $2,564.53
Food at Home: Total $ $22,284,982 $105,941,640 $176,842,353
Average Spent $3,876.32 $3,364.62 $3,357.87
Food Away from Home: Total $ $14,975,083 $71,547,064 $118,941,594
Average Spent $2,604.82 $2,272.27 $2,258.46
Health Care: Total $ $21,161,151 $98,960,764 $166,039,827
Average Spent $3,680.84 $3,142.91 $3,152.75
HH Furnishings & Equipment: Total $ $9,210,232 $42,599,380 $70,885,604
Average Spent $1,602.06 $1,352.92 $1,345.97
Investments: Total $ $3,575,271 $16,541,256 $26,244,330
Average Spent $621.89 $525.34 $498.33
Retail Goods: Total $ $124,836,262 $577,144,162 $971,773,298
Average Spent $21,714.43 $18,329.60 $18,451.98
Shelter: Total $ $60,464,053 $285,927,988 $470,508,355
Average Spent $10,517.32 $9,080.83 $8,933.99
TV/Video/Sound Equipment: Total $ $6,245,497 $30,226,267 $49,968,465
Average Spent $1,086.36 $959.96 $948.80
Travel: Total $ $7,937,074 $36,340,181 $60,175,579
Average Spent $1,380.60 $1,154.13 $1,142.61
Vehicle Maintenance & Repairs: Total $ $4,542,932 $21,074,247 $35,341,911
Average Spent $790.21 $669.30 $671.07
Data Note: The Spending Potential Index represents the amount spent in the area relative to a national average of 100.
Source: Expenditure data are derived from the 2004 and 2005 Consumer Expenditure Surveys, Bureau of Labor Statistics. ESRI.
Darla Main-Schneider
1014 Mulberry Road
Martinsville, VA 24112
(276) 632-0454
darlaschneider@yahoo.com
EDUCATION
The French Culinary Institute, New York, NY Jan 2009

Diploma
• Intensive eight week course of study with 240 hours of hands-on training in artisanal
breads from France, Germany/ Middle Europe, Italy, and other countries.
• Coursework also included owning/operating a bakery, introduction to diabetic and
gluten free baking, and advanced braiding techniques.
University of Wisconsin-Milwaukee, Milwaukee, WI May 2002

MBA, Executive Business Program
Bloomfield College, Bloomfield, NJ May 1996

BS, Business w/Manufacturing and Operations
Hawkeye Community College, Waterloo, IA May 1986

AS, Architectural and Construction
EXPERIENCE
MasterBrand Cabinets, Martinsville, VA 2005 – 2008

Materials Manager
Eaton Corporation, Forging Division, South Bend, IN 2005 - 1996

Production Manager
Master Scheduler/Planner, Industrial Electrical Division, Watertown, WI
Allied Signal Aerospace, Teterboro, NJ 1996 - 1999
Production Planner
Rotary Power International, Previously John Deere REDIV, WoodRidge, NJ 1992 - 1996
Production Control Supervisor
John Deere Technologies, WoodRidge, NJ 1984 - 1992
Government Property Administrator
ADDITIONAL EXPERIENCE
Volunteer at several functions for James Beard Foundation and God’s Love We Deliver
Worked in all areas of Food Service during college days, including the Jefferson Inn, NJ
CERTIFICATIONS
Lean Certification, University of Tennessee, 2001, Knoxville, TN
Six Sigma Greenbelt Certification, 2000, Eaton Corporation, Watertown, WI
APICS Classes, 1996-1998, Teterboro, NJ
Numerous courses on Leadership and Management Skills, Diversity, Communication
One body, One planet. Eat well.

Rising Sun Breads

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I N G SU

A. Executive Summary   page 6

B. Management and Organization Plan   page 9

C. Product/Service Plan   page 13

D. Marketing Plan   page 17

D. Marketing Plan (Cont.)   page 26

E. Financial Plan   page 29

Rising Sun Breads is a new organic, nutritionally evidenced-based

Our Mission: Provide top-quality, all natural ingredients, baked in an old

Mission Statement: One body, One planet. Eat well.

The legal name of the bakery is Rising Sun Breads, LLC .

Start-up baking production to be located in conjunction with The Cakes

Founder of Rising Sun Breads, Darla Main-Schneider, holds an MBA in

With over twenty years of experience in business, hands on training in

The location at 6629 Greensboro Road has proven retail traffic.

Management’s vision is to make Rising Sun Breads a cornerstone bakery

Artisan breads and bagels provide a healthy alternative to the morning

Rising Sun Breads fits well into the Martinsville/Henry County

Compensation will be the current minimum wage with monetary increases

Communication Creating a healthy organizational culture at Rising Sun Breads, where it

Infrastructure Chris Fields, CPA

An additional group of allergen free products is planned to be developed

These products will be created using a reliance on tradition, and as

Product/Service Daily production is required to provide a superior quality product. The

As Rising Sun Breads becomes recognized in the community a new facility

Suppliers A screening process to qualify suppliers before providing products to Rising

Complimentary products will be added per customer requests. A systematic

Equip the store with a drive-thru window for quick pick-up of

Possible future services may include catering and classroom learning.

Industry Profile Current Size

Annual US per capita consumption of bread is close to 60 pounds,

• Nationwide deteriorating water quality requires an investment in

Competitive Analysis Direct Competition

Market Analysis Target Market Profile

Pricing Pricing Strategy

Return on Investment – profit margins expected.

Costs – Actual costs for producing products.

Price ceiling $2.99 to $4.99 per loaf – Comparison pricing.

Bread Production Schedule

Market Penetration Company Image

Direct Sales Force and Sales Representatives

Market Penetration Advertising and Promotion

The most effective program is word-of-mouth, and its free. At Rising

In store promotions will include sampling of a new product which may be

Market Penetration Trade Shows

Market Penetration Effectiveness

Total Start-Up Expenditures 37,715

Would be nice to have:

Wall Painting 25 Darla Touch up only

Floor restoration 350 Ramos $50-75/ mo.

Equipment installation ? As Req'd Mike Grant

Fire Extinguisher 54 Comm'l Fryers 81 Dye Plant Rd. 1 a year $15

Printing Business Plan $317 10 bound copies Sanwell 638-3772

Less: Returns & Allowances - - - - - - - - - - - - -

Baguettes 2.99 ea x 10/day x 25 days

Less: Returns & Allowances - - - - - - - - - - - - -

Baguettes 2.99 ea x 15/day x 25 days

Less: Returns & Allowances - - - - - - - - - - - - -

Baguettes 2.99 ea x 20/day x 25 days

Rolls, buns, muffins, bagels,

Other- Pies, Pastries, Donuts, &

• Don and Delores Main $5000

• Ed and Donna Schneider

• Craig Schneider $500/month

A. Executive Summary page 6

B. Management and Organization Plan page 9

C. Product/Service Plan page 13

D. Marketing Plan page 17

D. Marketing Plan (Cont.) page 26

E. Financial Plan page 29

• Nationwide deteriorating water quality requires an investment in