SproutHubStartup Weekend

Sunday, September 16th 2012

Startup Weekend2

ProblemLocal Farmers markets have

limited reach to potential consumers

• Farmers markets operating hours are not always convenient

• Locations of markets is sparse & fragmented across Louisville

• Limited awareness of product availability, locations & time

# of Markets open on Saturday

8-11 11-1 1+

Other Location Time

Reasons for not shopping at Markets

11 21

711

8

Startup Weekend3

“…Genius, amazing, hilarious #SWLOU” @ZacharyCohn

Startup Weekend4

Market OverviewWhere to find customers?

Marketing Strategy• Initially, leveraging traditional, mobile

& social platforms• Marketing via traditional media once

business is expanding & scalable

$/Units CAGR%# of markets 5,274 8%Market Revenues $1.2B 8%CSA offering farms 1,400 15%

National Market

• Direct to consumer model for farming showing steady growth over last 10 yrs

• Community Supported Agriculture (CSA’s) growing double-digit per year

Startup Weekend5

Financial OverviewSegment / Data

Strategy / Assumptions

EBITDA

Rev

‘13 ‘15

~50%CAGR

Margin %

ROI

• Pilot starting in Louisville, KY … expansion to 3 nearby cities by ‘15

• Total initial investment 10k … ~75-100K incremental needed per expansion

• Investigating low-cost methods to acquire customers … leveraging new & old technologies

0.2

~20x

0.4

~9x

$’s in millions

0.5

1.7

36 21

Sale / Unit $3.50Cost / Unit $1.50Lab & OH / Unit $0.40Gross Profit % 54%

Unit Economics

Startup Weekend6

SproutHub Team• Jeremy Gray – Sprout Master

Finance & IT Management

• Brandon Kobel – Chief Fertilizer.Software Engineer

• Daniel VanderMeer – Master GardenerSoftware Architecture & Design

• Harry Talamini – Compost OfficerBusiness Development

• Mark Mintman – Cool CucumberFinance and Investor Relations