Little Greenie Shop grows all types of flowers. These flowers are sold both in their own retail flower store and as wholesale flowers to regional small flower shops and food stores. The quality products grown at Little Greenie Shop are unique and exclusive. The target market is women of middle- to upper-income levels. Our competitive edge is that all of our products are all grown using state-of-the-art, environmentally friendly growing methods, rather than our competitors' more traditional methods requiring large amounts of insecticides and producing vast amounts of waste water.

The company plans to attract retailers to distribute our products by attending greenhouse trade shows in and around Clearwater. These trade shows are where suppliers' flowers and other greenhouse-related products are displayed and suppliers meet with buyers to arrange deals to sell the product.

Our projected sales is approximately $700,000 by the end of the first year of operation. Also during this year, we plan to open booths in three local farmers markets, all of which are within a 45 minute drive of our operation. Booths at farmers markets are easy to set up and normally last for only one to two days; the benefits of participating in them are twofold—we can sell extra products when they are in season and we can gain more exposure for our own retail store.

The Little Greenie Shop family will expand in 2009 with the addition of a second retail outlet. Every three years after this, we plan to add more retail stores as the market justifies and with the goal of always remaining profitable.

Little Greenie Shop headquarters are to be built at 7 Pierson Rd. in Dunedin at the founder's acreage. This area was recently rezoned for commercial operations. The greenhouse will be 15,000 square feet, with a 2,000 square-foot front for the retail store and offices.

Company Ownership

Little Greenie Shop is a privately-held corporation. Tabitha Westcott, founder and owner, is the sole owner of the greenhouse and retail outlet.

FINANCIAL ANALYSIS

Start-up Expenses

Start-up costs are approximated at $100,000 which primarily consists of building the first greenhouse and includes the cost of setting up the retail store.

Start-up expenses
Legal	$	2,500
Insurance	$	1,200
Monthly mortgage payment	$	2,430
Other	$	2,200
Total Start-up expenses	$	8,330
Start-up assets
Cash balance on starting date	$	200,000
Start-up inventory	$	0
Other current assets	$	0
Total current assets	$	200,000
Long-term assets
Total assets	$	200,000
Total requirements	$	200,000
Investment
Investor 1	$	100,000
Investor 2	$	100,000
Total investment	$	200,000
Current liabilities
Current borrowing	$	100,000

Financial Goals

Achieve sales of $700,000 by 2008
Open first flower shop in front of greenhouse within first six months
Expand to the wholesale business in first year by securing contracts with major food stores and other stores that sell flowers and plant items

BUSINESS STRATEGY

Mission

The mission of Little Greenie Shop is to become known for quality flower items and plant products that are priced at a competitive level. We will also be known for employing environmentally-friendly growing methods.

Growth Strategy

Little Greenie Shop focuses on providing high-quality products to consumers with outstanding customer service. Customization of orders and specialization of services will create a competitive advantage.

Little Greenie Shop is developing the organization by beginning with few employees to keep costs down; however, we will also hire local students in a work project through their school to secure the needed manpower at a significant savings.

The first year of service will be the most important, as Little Greenie Shop plans to establish strong relations with both suppliers and buyers. These relationships will help us to grow and evolve in this industry. Currently, the market for permanent floral products is rapidly expanding. According to 2002 statistics, the value of permanent floral products for the 2001 fiscal year was over $3.2 billion, and it still continues to grow. The greenhouse industry is also growing, as households headed by 25- to 59-year- olds are the biggest greenhouse purchasers.

In 2005, the average American household gave 5.8 percent of its total spending to flowers and home plants, a 0.3 percent increase from 2004. Households headed by 25- to 59-year-olds are the largest purchasers of house plants for both interior and exterior uses. These consumers spend an average of $296 per year on plants and seeds.

Households with incomes over $100,000 spend 32 percent more than average on greenhouse-related items. Households with incomes over $55,000 spent 27 percent more than average on greenhouse items. By the year 2011, it is estimated that households headed by 35- to 54-year-olds will account for 72 percent of the greenhouse sales market.

In the flowers and greenhouse industry, accumulated sales for flowers alone totalled more than $4.95 billion in 2002. This category still continues to grow.

SALES

Little Greenie Shop projects the gross margin to be approximately 32 percent. Sales projection for 2008 is at $700,000. Little Greenie Shop is looking for an investor who would invest $200,000 for a return of 15 percent over three years, 20 percent for two years and full payout of the original $200,000 in the fifth year. In addition, the investor will get 14 percent of gross profit over the next five years. Little Greenie Shop projects profits for every month of 2006 and on into both 2007 and 2008, in addition to positive growth margins for the same time periods.

		2007		2008
Sales	$	700,000	$	750,000
Expenses
Sales and marketing	$	130,000	$	162,302
Depreciation	$	3,200	$	2,904
Utilities	$	20,000	$	25,000
Insurance	$	2,500	$	2,900
Mortgage	$	20,000	$	25,000
Payroll taxes	$	15,300	$	16,540

Building Blocks to Success

High level of product quality
Great customer service
Keeping our costs in line with the market to insure profit

PRODUCTS AND GROWING SCHEDULES

Products

House plants
Bedding plants
Annuals
Flowers
Trees and shrubs
Water plants
Garden rocks
Fountains
Ornaments
Fertilizer
Plant seeds
Pots and planters
Garden tools
Wind chimes
Lawn furniture
Bird houses and feeders
Gifts
Gardening books

Product Growing Schedules

Month	Crop produced
January	spring bulbs, azalea, primula, cineraria, calceolaria, cyclamen
February	roses, spring bulbs, oxalis, cineraria, calceolaria, primula, cyclamen, azalea, lilies
March	hydrangea, kalanchoe, cineraria, calceolaria, primula, cyclamen, azalea, lilies, bedding plants
April	spring bulbs, azalea, lilies, gloxinia, heimalis begonia, bedding plants, flowering baskets
May	hydrangea, azalea, kalanchoe, lilies, gloxinia, potted roses, late flowering bulbs, geranium, new guinea impatiens, bedding plants, flowering baskets
June	gloxinia, heimalis, begonia, foliage, hibiscus, gerbera, potted bedding plants
July	gerbera, gloxinia, streptocarpus, heimalis begonia
August	hibiscus, azalea, heimalis begonia, foliage plants, field chrysanthemum
September	foliage plants, gloxinia, azalea, hibiscus, ornamental pepper, field chrysanthemum
October	hibiscus, foliage, flowering cabbage, flowering kale, cyclamen
November	poinsettia, cyclamen, Christmas cactus
December	poinsettia, Christmas cactus, cyclamen, heimalis begonia

Seasonal plant material produced for specific holidays is outlined below.

Occasion/season	Preferred type*	Plant material
*The holidays are denoted as either 'cut' or 'potted' based on whether cut flowers or potted plants are the primary products sold.
Valentine's Day	cut	anything red, cut roses, potted tulips, azalea, cyclamen
Easter	potted	spring bulbs, Easter lily, hydrangea, chrysanthemum, azalea
Secretary's Day	both	cineraria, spring bulbs, potted chrysanthemum, primula
Mother's Day	both	roses, hydrangea, spring bulbs, azalea, potted chrysanthemum, gloxinia, African violet, early bedding plants, fuchsia
Memorial Day	potted	geranium
September	potted	foliage plants
Thanksgiving	cut	chrysanthemum
Christmas	potted	poinsettia, cyclamen, Christmas cactus

Competition

All of our competitors sell a wide variety of products that will be the same or similar to ours. We will focus on quality and customer service to win our clients. We think this will be enough to earn 10 percent of the market in our first year.

CUSTOMER ANALYSIS

Below is an analysis of potential customers that will comprise our market. Wholesale clients will outweigh retail clients, but both will be instrumental to our success. In less than three years of operations, we anticipate sales of more than one million dollars.

Market analysis

Potential customers	2007		2008		2009		2010		CAGR
Wholesale clients	$	500,000	$	600,000	$	650,000	$	700,000	$	750,000
Retail clients	$	200,000	$	300,000	$	350,000	$	400,000	$	450,000
Other	$	50,000	$	50,000	$	50,000	$	50,000	$	50,000
Total	$	750,000	$	950,000	$	1,050,000	$	1,105,000	$	1,250,000

PERSONNEL

Only incremental growth in personnel costs are expected in the coming years. Planters, retail staff, and production workers comprise the biggest expense.

Personnel plan

	2007		2008		2009
Production	$	120,000	$	130,000	$	140,000
Sales and marketing	$	12,000	$	14,000	$	14,000
Administration	$	20,000	$	25,000	$	35,000
Planters	$	150,000	$	170,000	$	190,000
Retail staff	$	120,000	$	120,000	$	120,000