Financial projections and valuation model for local start-up Bluehouse Market, a Sacramento-based urban aquaponic farm and market. Contact info@oldgoatcapital.com for additional investor information or to receive a free estimate on your next project.

1. FINANCIAL PROJECTIONS
AND VALUATION MODEL
2017 - 2021

2. UNITS SOLD
PRODUCTS SOLD JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
Greenhouse A: 42,120 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 42,120 42,120 42,120 42,120 42,120
Greenhouse B: 126,360 10,530 10,530 10,530 31,590 126,360 126,360 126,360 126,360
Greenhouse C: 126,360 126,360 126,360 126,360
Greenhouse D: 126,360 126,360 126,360
TOTALUNITS HARVESTED 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 14,040 14,040 14,040 73,710 168,480 294,840 421,200 421,200
TOTALGREENHOUSES: 1 1 1 1 1 1 1 1 1 2 2 2 2 2 3 4 4
PRODUCTS SOLD
Living Basil 33% 1,170 1,170 1,170 1,170 1,170 1,170 1,170 1,170 1,170 4,680 4,680 4,680 24,570 56,160 98,280 140,400 140,400
Living lettuce 33% 1,170 1,170 1,170 1,170 1,170 1,170 1,170 1,170 1,170 4,680 4,680 4,680 24,570 56,160 98,280 140,400 140,400
Napa Cabbage 33% 1,170 1,170 1,170 1,170 1,170 1,170 1,170 1,170 1,170 4,680 4,680 4,680 24,570 56,160 98,280 140,400 140,400
TOTALUNITS SOLD 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 14,040 14,040 14,040 73,710 168,480 294,840 421,200 421,200
CASES SOLD
Living Basil 48.8 48.8 48.8 48.8 48.8 48.8 48.8 48.8 48.8 195.0 195.0 195.0 1,024 2,340 4,095 5,850 5,850
Living lettuce 48.8 48.8 48.8 48.8 48.8 48.8 48.8 48.8 48.8 195.0 195.0 195.0 1,024 2,340 4,095 5,850 5,850
Napa Cabbage 48.8 48.8 48.8 48.8 48.8 48.8 48.8 48.8 48.8 195.0 195.0 195.0 1,024 2,340 4,095 5,850 5,850
146 146 146 146 146 146 146 146 146 585 585 585 3,071 7,020 12,285 17,550 17,550

3. REVENUE AND GROSS PROFIT
REVENUE
/Unit JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
Living Basil 2.49 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 11,653 11,653 11,653 61,179 139,838 244,717 349,596 349,596
Living lettuce 2.49 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 11,653 11,653 11,653 61,179 139,838 244,717 349,596 349,596
Napa Cabbage 2.49 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 11,653 11,653 11,653 61,179 139,838 244,717 349,596 349,596
TOTALREVENUE 8,740 8,740 8,740 8,740 8,740 8,740 8,740 8,740 8,740 34,960 34,960 34,960 183,538 419,515 734,152 1,048,788 1,048,788
COST OF GOODS SOLD
/Unit JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
Iron: 0.01 22 22 22 22 22 22 22 22 22 86 86 86 453 1,036 1,813 2,590 2,590
Potassium Carbonate: 0.01 40 40 40 40 40 40 40 40 40 160 160 160 840 1,920 3,360 4,800 4,800
Calcium Carbonate: 0.01 40 40 40 40 40 40 40 40 40 160 160 160 840 1,920 3,360 4,800 4,800
Supplement Total: 0.03 102 102 102 102 102 102 102 102 102 406 406 406 2,133 4,876 8,533 12,190 12,190
Plastic Bag: 0.19 667 667 667 667 667 667 667 667 667 2,668 2,668 2,668 14,005 32,011 56,020 80,028 80,028
Fish Feed: 0.03 121 121 121 121 121 121 121 121 121 483 483 483 2,535 5,794 10,139 14,484 14,484
Seeds: 0.01 25 25 25 25 25 25 25 25 25 100 100 100 525 1,200 2,100 3,000 3,000
Plug: 0.03 117 117 117 117 117 117 117 117 117 468 468 468 2,457 5,616 9,828 14,040 14,040
TOTALCOGS 0.32 1,133 1,133 1,133 1,133 1,133 1,133 1,133 1,133 1,133 4,531 4,531 4,531 23,788 54,373 95,153 135,932 135,932
GROSS PROFIT
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
TOTALGROSS PROFIT 7,607 7,607 7,607 7,607 7,607 7,607 7,607 7,607 7,607 30,429 30,429 30,429 159,750 365,142 638,999 912,856 912,856
GROSS PROFIT / REVENUE 87% 87% 87% 87% 87% 87% 87% 87% 87% 87% 87% 87% 87% 87% 87% 87% 87%

4. INCOME STATEMENT
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
SALES
Living Basil 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 11,653 11,653 11,653 61,179 139,838 244,717 349,596 349,596
Living lettuce 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 11,653 11,653 11,653 61,179 139,838 244,717 349,596 349,596
Napa Cabbage 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 2,913 11,653 11,653 11,653 61,179 139,838 244,717 349,596 349,596
TOTALSALES 8,740 8,740 8,740 8,740 8,740 8,740 8,740 8,740 8,740 34,960 34,960 34,960 183,538 419,515 734,152 1,048,788 1,048,788
COST OF GOODS SOLD
Iron: 22 22 22 22 22 22 22 22 22 86 86 86 453 1,036 1,813 2,590 2,590
Potassium Carbonate: 40 40 40 40 40 40 40 40 40 160 160 160 840 1,920 3,360 4,800 4,800
Calcium Carbonate: 40 40 40 40 40 40 40 40 40 160 160 160 840 1,920 3,360 4,800 4,800
Supplement Total: 102 102 102 102 102 102 102 102 102 406 406 406 2,133 4,876 8,533 12,190 12,190
Plastic Bag: 667 667 667 667 667 667 667 667 667 2,668 2,668 2,668 14,005 32,011 56,020 80,028 80,028
Fish Feed: 121 121 121 121 121 121 121 121 121 483 483 483 2,535 5,794 10,139 14,484 14,484
Seeds: 25 25 25 25 25 25 25 25 25 100 100 100 525 1,200 2,100 3,000 3,000
Plug: 117 117 117 117 117 117 117 117 117 468 468 468 2,457 5,616 9,828 14,040 14,040
TOTAL COGS 1,133 1,133 1,133 1,133 1,133 1,133 1,133 1,133 1,133 4,531 4,531 4,531 23,788 54,373 95,153 135,932 135,932
GROSS PROFIT 7,607 7,607 7,607 7,607 7,607 7,607 7,607 7,607 7,607 30,429 30,429 30,429 159,750 365,142 638,999 912,856 912,856
% Margin 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0%
EXPENSES
Payroll
Farm Manager - - - 2,598 2,598 2,598 2,598 2,598 2,598 5,000 5,000 5,000 30,588 60,000 60,000 60,000 60,000
Greenhouse Laborer 1,299 1,299 1,299 1,299 1,299 1,299 1,299 1,299 1,299 5,196 5,196 5,196 27,279 62,352 93,528 155,880 155,880
Benefits 208 208 208 624 624 624 624 624 624 1,631 1,631 1,631 9,259 19,576 24,564 34,541 34,541
Payroll Taxes 182 182 182 546 546 546 546 546 546 1,427 1,427 1,427 8,101 17,129 21,494 30,223 30,223
Total Payroll, Taxes, and Benefits 1,689 1,689 1,689 5,066 5,066 5,066 5,066 5,066 5,066 13,255 13,255 13,255 75,227 159,058 199,586 280,644 280,644
Advertising and Marketing: 190 190 190 190 190 190 190 190 190 761 761 761 3,994 3,994 3,994 7,987 7,987
Fuel: 34 34 34 34 34 34 34 34 34 135 135 135 709 1,621 3,242 6,485 6,485
Electricity Greenhouses: 200 200 200 200 200 200 200 200 200 400 400 400 3,000 4,800 7,200 9,600 9,600
Heating: 400 400 - - - - - - 400 800 800 800 3,600 9,600 14,400 19,200 19,200
Permits and CCOF Certification: 125 125 125 125 125 125 125 125 125 125 125 125 1,500 1,500 1,500 1,500 1,500
Medical Insurance: - - - - - - - - - - - - - 36,000 72,000 72,000
Liability Insurance: 250 250 250 250 250 250 250 250 250 250 250 250 3,000 3,000 6,000 9,000 9,000
Professional Fees: 200 200 200 200 200 200 200 200 200 200 200 200 2,400 2,400 2,400 2,400 2,400
Computer and Internet: 125 125 125 125 125 125 125 125 125 125 125 125 1,500 1,500 1,500 1,500 1,500
Office Supplies: 125 125 125 125 125 125 125 125 125 125 125 125 1,500 1,500 1,500 1,500 1,500
TOTALEXPENSES 3,338 3,338 2,938 6,315 6,315 6,315 6,315 6,315 6,715 16,176 16,176 16,176 96,430 188,973 277,323 411,816 411,816
% Margin 38.2% 38.2% 33.6% 72.3% 72.3% 72.3% 72.3% 72.3% 76.8% 46.3% 46.3% 46.3% 52.5% 45.0% 37.8% 39.3% 39.3%
EBITDA 4,269 4,269 4,669 1,292 1,292 1,292 1,292 1,292 892 14,253 14,253 14,253 63,320 176,170 361,676 501,039 501,039
% Margin 48.9% 48.9% 53.4% 14.8% 14.8% 14.8% 14.8% 14.8% 10.2% 40.8% 40.8% 40.8% 34.5% 42.0% 49.3% 47.8% 47.8%
Interest Expense / Income - - - - - - - - - - - - - - - - -
Depreciation 210 210 210 210 210 951 951 951 951 951 951 951 7,706 20,314 29,214 38,113 38,113
Income Before Taxes 4,060 4,060 4,460 1,083 1,083 341 341 341 (59) 13,302 13,302 13,302 55,614 155,856 332,463 462,926 462,926
Tax 1,421 1,421 1,561 379 379 119 119 119 - 4,656 4,656 4,656 19,465 54,550 116,362 162,024 162,024
NET INCOME 2,639 2,639 2,899 704 704 222 222 222 (59) 8,646 8,646 8,646 36,149 101,306 216,101 300,902 300,902
% Margin 30.2% 30.2% 33.2% 8.1% 8.1% 2.5% 2.5% 2.5% -0.7% 24.7% 24.7% 24.7% 19.7% 24.1% 29.4% 28.7% 28.7%

5. BALANCE SHEET
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
ASSETS
Cash and Equivalents 111,178 114,026 117,135 118,048 118,961 6,136 7,309 8,482 9,374 13,717 6,121 38,082 38,082 50,348 137,584 301,561 580,395
Accounts Receivable 8,597 8,597 8,597 8,597 8,597 8,597 8,597 8,597 8,597 17,193 34,386 34,386 34,386 34,481 60,341 86,202 86,202
Inventory 9,046 9,046 9,046 9,046 9,046 34,046 34,046 34,046 34,046 34,046 34,046 4,457 4,457 4,469 7,821 11,173 11,173
Total Current Assets 128,820 131,669 134,777 135,690 136,604 48,779 49,951 51,124 52,016 64,956 74,553 76,925 76,925 89,298 205,746 398,935 677,770
Property, Plant, and Equipment 25,142 25,142 25,142 25,142 25,142 114,140 114,140 114,140 114,140 114,140 114,140 114,140 114,140 203,138 292,136 381,134 381,134
Accumulated Depreciation (210) (419) (629) (838) (1,048) (1,999) (2,950) (3,901) (4,852) (5,803) (6,755) (7,706) (7,706) (28,020) (57,233) (95,347) (133,460)
Net PP&E 24,933 24,723 24,514 24,304 24,095 112,142 111,190 110,239 109,288 108,337 107,386 106,435 106,435 175,119 234,903 285,787 247,674
TOTALASSETS 153,753 156,392 159,291 159,995 160,698 160,920 161,142 161,363 161,304 173,293 181,939 183,359 183,359 264,417 440,649 684,722 925,444
LIABILITIES AND EQUITY
Liabilities
Current Liabilities
Accounts Payable 1,114 1,114 1,114 1,114 1,114 1,114 1,114 1,114 1,114 4,457 4,457 4,457 4,457 4,469 7,821 11,173 11,173
Total Current Liabilities 1,114 1,114 1,114 1,114 1,114 1,114 1,114 1,114 1,114 4,457 4,457 4,457 4,457 4,469 7,821 11,173 11,173
Long-Term Liabilities
Secured Loan - - - - - - - - - - - - - - - - -
Total Long-Term Liabilities - - - - - - - - - - - - - - - - -
TOTALLIABILITIES 1,114 1,114 1,114 1,114 1,114 1,114 1,114 1,114 1,114 4,457 4,457 4,457 4,457 4,469 7,821 11,173 11,173
EQUITY
Shareholders Equity 152,639 155,278 158,177 158,881 159,584 159,806 160,027 160,249 160,190 168,836 177,482 178,903 178,903 259,948 432,828 673,550 914,271
TOTALEQUITY 152,639 155,278 158,177 158,881 159,584 159,806 160,027 160,249 160,190 168,836 177,482 178,903 178,903 259,948 432,828 673,550 914,271
TOTALLIABILITIES AND EQUITY 153,753 156,392 159,291 159,995 160,698 160,920 161,142 161,363 161,304 173,293 181,939 183,359 183,359 264,417 440,649 684,722 925,444

6. WORKING CAPITAL
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
OPERATINGACTIVITIES
Days Sales Outstanding 30 30 30 30 30 30 30 30 30 15 30 30 30 30 30 30 30
Days Inventory Outstanding 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45
Days Payables Outstanding 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30
STATEMENT OF CASH FLOWS
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017E 2018E 2019E 2020E 2021E
OPERATINGACTIVITIES
Net Income 2,639 2,639 2,899 704 704 222 222 222 (59) 8,646 8,646 8,646 36,128 101,306 216,101 300,902 300,902
Accounts Receivable (8,597) - - - - - - - - (8,597) (17,193) - (34,386) (94) (25,861) (25,861) -
Inventory Asset (9,046) - - - - (25,000) - - - - - 29,589 (4,457) (12) (3,352) (3,352) -
Depreciation 210 210 210 210 210 951 951 951 951 951 951 951 7,706 20,314 29,214 38,113 38,113
Accounts Payable 1,114 - - - - - - - - 3,343 - - 4,457 12 3,352 3,352 -
Total Adjustments to Reconcile Net Income (16,319) 210 210 210 210 (24,049) 951 951 951 (4,303) (16,242) 30,540 (26,681) 20,220 3,353 12,253 38,113
NET CASH FROM OPERATIONS (13,680) 2,848 3,108 913 913 (23,827) 1,173 1,173 892 4,343 (7,596) 39,186 9,448 121,526 219,454 313,155 339,015
INVESTINGACTIVITIES
Capital Expenditures: (25,142) - - - - (88,998) - - - - - - (114,140) (88,998) (88,998) (88,998) -
NET CASH FROM FINANCING (25,142) - - - - (88,998) - - - - - - (114,140) (88,998) (88,998) (88,998) -
FINANCINGACTIVITIES
Secured Loan - - - - - - - - - - - - - - - - -
Shareholder Contribution 145,000 - - - - - - - - - - - 145,000 - - - -
Investor Distribution - 20% Net Income - - - - - - - - - - - (7,226) (7,226) (20,261) (43,220) (60,180) (60,180)
NET CASH FROM FINANCING 145,000 - - - - - - - - - - (7,226) 137,774 (20,261) (43,220) (60,180) (60,180)
NET CASH FLOW 106,178 2,848 3,108 913 913 (112,825) 1,173 1,173 892 4,343 (7,596) 31,961 33,082 12,267 87,236 163,976 278,835
BEGINNINGCASH BALANCE 5,000 111,178 114,026 117,135 118,048 118,961 6,136 7,309 8,482 9,374 13,717 6,121 5,000 38,082 50,348 137,584 301,561
ENDINGCASH BALANCE 111,178 114,026 117,135 118,048 118,961 6,136 7,309 8,482 9,374 13,717 6,121 38,082 38,082 50,348 137,584 301,561 580,395

7. BLUEHOUSE MARKET PROJECTED OPERATING METRICS ($000)
PROJECTED
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC FY1 FY2 FY3 FY4 FY5
Units Sold 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 3,510 14,040 14,040 14,040 73,710 168,480 294,840 421,200 421,200
NAME JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC FY1 FY2 FY3 FY4 FY5
Sales 8.7 8.7 8.7 8.7 8.7 8.7 8.7 8.7 8.7 35.0 35.0 35.0 184 420 734 1,049 1,049
Gross Margin 7.6 7.6 7.6 7.6 7.6 7.6 7.6 7.6 7.6 30.4 30.4 30.4 160 365 639 913 913
Operating Expenses 3.3 3.3 2.9 6.3 6.3 6.3 6.3 6.3 6.7 16.2 16.2 16.2 96 189 277 412 412
EBITDA 4.3 4.3 4.7 1.3 1.3 1.3 1.3 1.3 0.9 14.3 14.3 14.3 63 176 362 501 501
Net Income 2.6 2.6 2.9 0.7 0.7 0.2 0.2 0.2 (0.1) 8.6 8.6 8.6 36 101 216 301 301
Investor's Distribution - - - - - - - - - - - 7.2 7 20 43 60 60
Percentages
Gross Margin/Sales 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0% 87.0%
EBITDA/Revenue 48.9% 48.9% 53.4% 14.8% 14.8% 14.8% 14.8% 14.8% 10.2% 40.8% 40.8% 40.8% 34.5% 42.0% 49.3% 47.8% 47.8%
Net Income/Revenue 30.2% 30.2% 33.2% 8.1% 8.1% 2.5% 2.5% 2.5% -0.7% 24.7% 24.7% 24.7% 19.7% 24.1% 29.4% 28.7% 28.7%
Cash Flow From Operations (13.7) 2.8 3.1 0.9 0.9 (23.8) 1.2 1.2 0.9 4.3 (7.6) 39.2 9.4 121.5 219 313 339
Cash Flow From Investing (25.1) - - - - (89.0) - - - - - - - (89) (89) (89) -
Cash Flow From Financing 145.0 - - - - - - - - - - (7.2) 137.8 (20) (43) (60) (60)
Net Cash Flow 106.2 2.8 3.1 0.9 0.9 (112.8) 1.2 1.2 0.9 4.3 (7.6) 32.0 147.2 12 87 164 279
Cash Balance - Ending 111.2 114.0 117.1 118.0 119.0 6.1 7.3 8.5 9.4 13.7 6.1 38.1 38.1 50 138 302 580

8. MONTHLY BREAKEVEN FY2
$-
$5,000
$10,000
$15,000
$20,000
$25,000
$30,000
$35,000
$40,000
2,000
2,500
3,000
3,500
4,000
4,500
5,000
5,500
6,000
6,500
7,000
7,500
8,000
8,500
9,000
9,500
10,000
10,500
11,000
11,500
12,000
12,500
13,000
13,500
Sales
Fixed Costs
Total Costs
Units Sold
SALES AND EBITDA BY YEAR
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
2017E 2018E 2019E 2020E
TOTAL SALES NET INCOME
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
2017E 2018E 2019E 2020E 2021E
TOTAL SALES EBITDA
NET INCOME AND INVESTOR DISTRIBUTIONS
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
2017E 2018E 2019E 2020E 2021E
NET INCOME INVESTOR DISTRIBUTIONS
PROJECTED OPERATING METRICS ($000)
-
200
400
600
800
1,000
1,200
FY1 FY2 FY3 FY4 FY5
Sales Gross Margin Operating Expenses EBITDA Net Income

9. Program / Task Budget ($) Prior Oct Nov Dec Jan Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Historical Activities:
Feasibility Studies
Strategic Planning
Market Research
Site Selection & Negotiation
Permits & Approval
Land Acquisition
Site Construction
System Cycling:
Owner Investment: 5,000
Equity Investment: 145,000
Lender Commitment: -
Total Commitments: 150,000
Pre-Operating Expenditures:
Cost of Goods Sold 9,046
PP&E for GH 1: 25,142
PP&E Reserve for GH 2: 88,998
Cash Reserve for Operations: 26,814
Total Uses: 150,000
Expenses:
Cost of Goods Sold: 445,178
Operating Expenses: 1,386,358
Expand Retail Selection:
Construct Additional Greenhouse:
Revenues: 3,434,781
Less Expenses: 1,831,537
Less Taxes: 514,424
Net Income: 1,088,820
FY4FY3FY2FY1
Implementation Plan
Pre-Op2016 Prelim. FY5
183,538 419,515 734,152 1,048,788 1,048,788

10. BLUEHOUSE MARKET, INC.
CAPITAL EXPENDITURES GREENHOUSE 1
(USD)
Item Qty Price Ea. Freight Total Price
Electrical Work 1 2,000 - 2,000
Nursery Tables for Propagation 4 250 - 1,000
Growers Supply Series 500 Greenhouse - 41,373 - -
Labor and Grading 1 5,000 - 5,000
46" High Output Energy-Efficient High Bay Fixture 54W T-5 - 8 Lamp8 220 100 1,760
1,000w Grow Lights 13 268 - 3,350
Deep Water Culture System 1 3,692 - 3,692
2,500 gal Water Tank 1 1,500 100 1,500
Plumbing 1 500 500
Rafts 100 15 1,500
Pond Liner 1 1,000 1,000
Trays 45 2 90
Fish 2,000 1 2,500
Filtration Tank 2 500 1,000
Air Blower 1 250 250
Total: 25,142
BLUEHOUSE MARKET, INC.
CAPITAL EXPENDITURES GREENHOUSE 2
(USD)
Item Qty Price Each Freight Total Price
Electrical Work 1 2,000 - 2,000
Nursery Tables for Propagation 7 250 - 1,692
Growers Supply Series 500 Greenhouse 1 41,373 - 41,373
Labor and Grading 1 5,000 - 5,000
46" High Output Energy-Efficient High Bay Fixture 54W T-5 - 8 Lamp23 220 100 5,082
1,000w Grow Lights 38 268 - 10,050
Deep Water Culture System 1 9,231 - 9,231
2,500 gal Water Tank 2 1,500 100 3,000
Plumbing 2 500 1,000
Rafts 300 15 4,500
Pond Liner 2 1,000 2,000
Trays 135 2 270
Filtration Tank 2 500 1,000
Fish 2,000 1 2,500
Air Blower 1 300 300
Total: 88,998
Total Greenhouse A + Greenhouse B: 114,140

11. Start-Up Assets: Loans:
Short-Term Loans - Working Capital
Long-Term Loans - Inventory 28,688
Working Capital - Greenhouse A 9,046 Total Loans - Cash Reserve 7,172
Working Capital - Greenhouse B 26,814 Investments Total Working Capital 35,860
PP&E- Greenhouse A 25,142 Additional Investment 145,000 Capital Expenditures
PP&E - Greenhouse B 88,998 Owner Investment 5,000 Property, Plant, and Equipment 109,140
Total Assets Required 150,000 Total Investments 150,000 Total Capital Expenditures: 109,140
TOTAL REQUIREMENTS 150,000 TOTAL RESOURCES 150,000 TOTAL USES 145,000
0.23 0.59
Royalty, 2.0x MOIC, 20% Equity
Total Resources Available 150,000 Start-Up Assets 150,000 Payback Period 6.1 Years
Internal Rate of Return (IRR) 18.0%
Less: Assets Purchased 150,000 Start-Up Liabilities -
Common Stock, 20% Stake
Start-Up Loss (Gain) - Start-Up Equity 150,000 (Callable by management at initial valuation)
IRR, No Exit, Dividends Only
10-Year Holding Period: 26.9%
30-year Holding Period: 30.1%
USE OF PROCEEDS
ESTIMATED FINANCIAL CONDITION AT START-UP: JANUARY 1, 2017 RETURN ON INVESTMENT
CAPITALIZATION PLAN
REQUIREMENTS RESOURCES

12. Sacramento Region Grocery Store Demand for Living Basil
Customer
Total Store
Outlets*
Avg. Cases
Purchased
Per Store
(All Basil
Products)
All Basil
Purchased
Per Grocery
Chain
Living Basil
Sales
Demand Per
Grocery
Store
Living Basil
Demand Per
Grocery
Chain
Nugget Market 10 11 110 6 60
Whole Foods 4 19 76 6 24
Sac. Nat. Foods Co-op 1 30 30 4 4
Safeway 20 9 180 2 40
Raley's 20 5 100 2 40
Bel-Air 18 4 72 2 36
Total Outlets: 73
Total Cases Per Week: 568 204
Total Cases Per Year: 29,536 10,608
Total Units Per Year (24/Case): 708,864 254,592
*Only includes grocery stores located in the Sacramento Region,
from Woodland to Roseville

13. BLUEHOUSE MARKET, INC.
DISCOUNTED CASH FLOW ANALYSIS
(USD, Fiscal Year ending December 31)
2017E 2018E 2019E 2020E 2021E
Sales 183,538$ 419,515$ 734,152$ 1,048,788$ 1,048,788$
% growth #REF! 129% 75% 43% 0%
COGS 23,788 54,373 95,153 135,932 135,932
Gross Profit 159,750$ 365,142$ 638,999$ 912,856$ 912,856$
% margin 87% 87% 87% 87% 87%
SG&A 96,430 188,973 277,323 411,816 411,816
EBITDA 63,320$ 176,170$ 361,676$ 501,039$ 501,039$
% margin 34% 42% 49% 48% 48%
Depreciation & Amortization 7,706 20,314 29,214 38,113 38,113
EBIT 55,614$ 155,856$ 332,463$ 462,926$ 462,926$
% margin 30% 37% 45% 44% 44%
Less: Taxes (19,465) (54,550) (116,362) (162,024) (162,024)
Plus: Depreciation & Amortization 55,614 155,856 332,463 462,926 462,926
Less: Capital Expenditures (114,140) (88,998) (88,998) (88,998) -
Less: Increase in Net Working Capital (26,681) 20,220 3,353 12,253 38,113
Unlevered Free Cash Flow (49,058)$ 188,384$ 462,919$ 687,083$ 801,941$
WACC 15%
Discount Period 1 2 3 4 5
Discount Factor 0.87 0.76 0.66 0.57 0.50
Present Value of Free Cash Flow (42,659)$ 142,445$ 304,377$ 392,842$ 398,706$
EBITDA Method Perpetuity Method
Cumulative Present Value of FCF 1,195,711$ Unlevered FCF 801,941$
Growth Rate 2%
Terminal Value 6,292,152$
Terminal Year EBITDA 501,039$ Net Present Value 3,128,312$
Exit Multiple 9.0x
Terminal Value 4,509,353$ Enterprise Value 4,324,022$
Discount Factor 0.50
Present Value of Terminal Value 2,241,945$
% of Enterprise Value 65%
Enterprise Value 3,437,656$
Terminal Value

14. BLUEHOUSE MARKET, INC. - Sensitivity - Terminal Growth Rates
Discount Rate
4,324,022.03$ 12.0% 13.0% 14.0% 15.0% 16.0% 17.0% 18.0%
-1.0% 4,792,895$ 4,359,526$ 3,986,609$ 3,662,706$ 3,379,073$ 3,128,914$ 2,906,867$
0.0% 5,119,592$ 4,629,770$ 4,212,711$ 3,853,753$ 3,541,905$ 3,268,768$ 3,027,812$
1.0% 5,505,689$ 4,945,056$ 4,473,597$ 4,072,092$ 3,726,449$ 3,426,105$ 3,162,986$
2.0% 5,969,006$ 5,317,666$ 4,777,965$ 4,324,022$ 3,937,356$ 3,604,420$ 3,315,057$
3.0% 6,535,281$ 5,764,798$ 5,137,672$ 4,617,940$ 4,180,711$ 3,808,208$ 3,487,404$
4.0% 7,243,126$ 6,311,293$ 5,569,321$ 4,965,298$ 4,464,624$ 4,043,349$ 3,684,371$
BLUEHOUSE MARKET, INC. - Sensitivity - Terminal EBITDA Multiples
Discount Rate
3,437,655.68$ 12.0% 13.0% 14.0% 15.0% 16.0% 17.0% 18.0%
6.0 x 3,033,388$ 2,913,270$ 2,799,034$ 2,690,341$ 2,586,872$ 2,488,333$ 2,394,445$
7.0 x 3,317,691$ 3,185,214$ 3,059,258$ 2,939,446$ 2,825,424$ 2,716,862$ 2,613,453$
8.0 x 3,601,994$ 3,457,158$ 3,319,482$ 3,188,551$ 3,063,975$ 2,945,392$ 2,832,462$
9.0 x 3,886,297$ 3,729,102$ 3,579,706$ 3,437,656$ 3,302,526$ 3,173,921$ 3,051,471$
10.0 x 4,170,600$ 4,001,046$ 3,839,930$ 3,686,761$ 3,541,077$ 3,402,451$ 3,270,480$
11.0 x 4,454,903$ 4,272,990$ 4,100,154$ 3,935,866$ 3,779,629$ 3,630,981$ 3,489,489$
Terminal
GrowthRate
Terminal
EBITDA
Multiple

15. BLUEHOUSE MARKET, INC. BLUEHOUSE MARKET, INC. - Range of Valuation Multiples / Premiums BLUEHOUSE MARKET, INC. - Implied Enterprise Value
VALUATION STATISTICS
75th 25th Applicable 25th 75th
Maximum Percentile Median Percentile Minimum Company Minimum Percentile Median Percentile Maximum
Methodology Name Multiple Multiple Multiple Multiple Multiple Figure Multiple Multiple Multiple Multiple Multiple
Public Company Comparables:
LTM EV / Revenue: 3.3x 2.9x 2.1x 1.9x 1.8x N/A - - - - -
2017E EV / Revenue: 3.2x 2.8x 2.0x 1.8x 1.7x 183,538 312,014 330,368 367,076 513,906 587,321
2018E EV / Revenue: 3.1x 2.7x 1.9x 1.7x 1.6x 419,515 671,224 713,176 797,079 1,132,691 1,300,497
LTM EV / EBITDA: 10.9x 8.3x 7.5x 6.9x 4.4x N/A - - - - -
2017E / EBITDA: 10.8x 8.2x 7.4x 6.8x 4.3x 63,320 275,303 429,240 467,118 520,487 684,901
2018E / EBITDA: 10.7x 8.1x 7.3x 6.7x 4.2x 176,170 748,339 1,176,628 1,282,013 1,430,498 1,887,934
LTM P/E: 18.1x 13.7x 10.4x 10.1x 9.4x N/A - - - - -
2017E P/E: 18.0x 13.6x 10.3x 10.0x 9.3x 36,149 336,602 362,199 373,031 490,009 650,979
2018E P/E: 17.9x 13.5x 10.2x 9.9x 9.2x 101,306 933,185 1,004,920 1,035,276 1,363,104 1,814,217
Discounted Cash Flow Analysis:
17.0% - 13.0% Discount Rate, Terminal EBITDA Multiple 5x - 9x: 2,394,445 3,063,975 3,437,656 3,839,930 4,454,903
17.0% - 13.0% Discount Rate, Terminal Growth Rate 0% - 4%: 2,906,867 3,726,449 4,324,022 5,764,798 7,243,126

16. BLUEHOUSE MARKET - ENTERPRISE VALUE
- 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000
17.0% - 13.0% Discount Rate, Terminal Growth Rate 0% - 4%:
17.0% - 13.0% Discount Rate, Terminal EBITDA Multiple 5x - 9x:
2017E P/E:
2016E P/E:
LTM P/E:
2017E / EBITDA:
2016E / EBITDA:
LTM EV / EBITDA:
2017E EV / Revenue:
2016E EV / Revenue:
LTM EV / Revenue:
25th to Median
Median to 75th
Discounted Cash Flow:
Public Company Comparables: