Forevermore Fungi Company Mushroom and Hemp Production Business Plan

Financial Controls…………………………………………………………………. Improved Technical Efficiency………………………………………………………7 1. Customer Satisfaction………………………………………………………………. Products………………………………………………………………………………. Market………………………………………………………………………………. Ownership Background. Forevermore Fungi CEO…………………………………………………………. Landowners………………………………………………………………………. Farm Manager………. Farm Hands………………………………………………………………………. Oyster mushrooms (Pleurotus Oestreatus)…………………………………. Regulatory Factors………………………………………………………………. Regulations on Dehydrating or freezing Mushrooms………………………. Management……………………………………………………………………. Future Products…………………………………………………………………. Control Strategies……………………………………………………………. Anticipated Problems………………………………………………………………. Disease Monitoring and Identification…………………………………………. Harvesting, Storage, and Distribution of Mushrooms………………………………37 4. Processing and Transportation Concerns in Mushroom production……………. Product Patents…………………………………………………………………. Source of Funds……………………………………………………………. Capital Repayment Plan……………………………………………………. Risk Management…………………………………………………………………. Mycoremediation…………………………………………………………………. Conclusion………………………………………………. References…………………………………………………………………. Executive Summary Forevermore Fungi is a farming establishment whose primary aim lies in the farming and production of mushrooms. The farm is situated in northern California and subsequently incorporated as an LLC as per the requirements. The farm is on the right path to the realization of a dream elemental farm that is pegged on the enhancement of agriculture as a profitable business.

3 percent; therefore, its industrial potential will be exploited (Burczyk, Grabowska, Kołodziej & Strybe, 2008). Market Currently, there are two significant customers for the farm’s products that include the following; dietary supplement firms and botanical product factories. The companies and processing firms form the base for earnings as per the existing records. Mushrooms have a high market value thus any dealer often benefits a lot. There is an increased bout of perception of health and thus there is an increased demand for products that address the same issue. With the constant desire to succeed and achieve his goals, the farm needs to focus its sight on long-term financing. It is for this reason that the farm requires at least one hundred thousand dollars in American currency to finance the acquisition of long-term assets including farm inputs.

The farm will, therefore, solicit for a hundred thousand dollar loan, serviceable in a decade. Further on, forecasts show that sales will grow by at least twenty thousand in the first two years. Background and objectives Forevermore Fungi was mulled over to the response of the government's intention to allow agriculture as a form of profitable business thus allowing them to continue developing the business. The mushroom industry can be fundamentally separated into three sections; • Homegrown mushrooms • Mushrooms cultivated for medicinal aspects • Collected Mushrooms – not cultivated but natural The farm focuses to grow Organic farm medicinal mushrooms by log cultivation and block method. Mushrooms are delicious and nutritious. When they are log grown and Organic there is no need for panic, because the products are healthy.

This product has a sweet aroma and subtle earthly flavors that enhance all dishes from all cultures. The produce will be focused on “Fork to Farm Restaurants” and the local farmers' markets. Forevermore Fungi will only utilize the variety of seeds approved by the health department in the United States of America. The acceptable cultivars are usually updated every year and the information distributed to all seed sellers (Burczyk, Grabowska, Kołodziej & Strybe, 2008). Each essential agronomic data ad details of the selected variety are exhaustively recorded for future references. It is important to note that industrial hemp varieties that will used in the farm should only have less than 0. 3% tetrahydrocannabinol (Lloveras, Santiveri & Gorchs, 2006). Also, it helps to find new markets for the products.

Promotion of High Medicinal Concentration in All Mushrooms and high fiber content in the Farm This will help the farm grow over years since it majorly deals with mushroom and hemp products; thus, the manager’s experiences will be a way toward the project’s success. Customer Satisfaction The farm seeks to produce items according to the consumers expectations and ensuring their demands are met. Forevermore Fungi is consumer-oriented; therefore, all its products will directly involve the clients, thereby enabling the farm owner and manager to do all it takes to keep the consumers since they are part of the farm’s growth. Company Summary and Management 2. Forevermore Fungi CEO The CEO of Forevermore Fungi will be responsible in making wise decisions that will be used to direct and run the activities in the farm.

Jonathan is expected to oversee the entire operations take place throughout every phase of the project. Landowners Landowners have the responsibility of; owning the land, name on property deed, coming up with ideas and suggestions that can help in crop cultivation, working with the CEO together to help in the realization of the company’s quality and quantity output by focusing on how the land can be used well and utilized properly in order to make Forevermore Fungi sustainable. The Chief Executive Officer is supposed to pay the landowners 30% of the entire gross sale once Forevermore Fungi is sustainable financially; this is as per the contract. The company’s financial sustainability is represented in the future sales, whereby the revenues will be used to pay off all outstanding business debts before deducting the thirty percent as specified by the agreement.

(Year 3) • Investing and cultivating in a product is zero Non-Carbon Footprint. (Year 2) • Ensuring that the company is accredited with the USDA Organic certificate of approval. (Year 2) • Coming up with Farm to fork and Pizza Parlor restaurants and combining them with 10 produce accounts. (Year 2) • Coming up with 10 Food truck accounts. (Year 2) • Providing large scale production of biomass. Product Mushroom, also known as fungi is the product for Cultivation by Forevermore Fungi. It is an edible dish and it also has two thousand three hundred species that historically have been found to contribute to medicine. The mushrooms that have been selected for the farm are Shiitake, Oyster, lion’s mane, Reishi, Maitake, Nameko, White Jelly, and Shaggy Mane. These fungi can are beneficial because they have a good source of vitamin B, C, and D.

They also have a number of minerals such as Potassium, Calcium, Magnesium, iron, and copper. These mushrooms can be gotten from hardwoods and can also be grown on wheat straw which is a readily available product after harvesting is done (Uddin et al. Even though the mushrooms have merits of yielding throughout the year and easy maintenance, they also have some demerits of such as short period of stay as they can only be kept for 5 days by dehydration or freezing. Figure showing oyster mushroom 3. Shitake Mushrooms They grow on hardwoods. They produce fruit in the spring and fall and do not yield the whole year as compared to the Oyster mushroom. The wood is sawed from the end and weighed; this is then dried and re-weighed.

Drying can be done by use of a microwave or an oven. The difference in weight is then divided by the weight and then multiplied by 100 in order to get the percentage of internal moisture. Shitake mushrooms (Lentinula Edodes) The wood should be dry first before crib stacking. The logs and plug should then be inoculated with wax the structure should then be covered for the duration of 6 months after which each log is required to be soaked for 24 hours. One of the biggest benefits of cultivating mushrooms is that there isn’t a single piece of waste that can’t be used to help the revenue flow of the company. One of the main ways the “mushroomers” contribute to Argo renewability is through the mushroom base compost and teas.

Mushrooms are dual purpose as an additional product. These fantastic fungi hold the capacity to positively enhance the propagation of a multitude of products which feed easily into the already current highly demanded agriculture soil amendment industry. The edible and medicinal benefits of these complex creations are only one of the many factors these fungi have favorable effects on. In this case, hemp will be grown for the purpose of fibre production. Therefore, a target crop density of 200-250 per meter squared is recommended, which translates into thirty to forty pounds per acre. Seedling mortality rate and a thousand kernel weight (TKW) are equally significant in exploring the plating seeding rate. It is notable that a 1000 kernel weight differs from one variety to another.

Equally, it is influenced by the environmental conditions. Besides, the sales volume of “specialty mushrooms” increased by four percent, thereby making it 25. 5 million pounds that equaled $96 million in 2016/17. [1,000 dollars] Agaricus Mushrooms: White=$1. 25 per lbs {$863,238} Brown=$1. 57per lbs {$262,600} Specialty Mushrooms: All Cultivars= $3. Additionally, the company’s price per lb. will be significantly higher due to the organic methods of culinary cultivating practices used on the farm. These areas of food-focused consumers will seek restaurants that will market the mushrooms due to the “eat to heal” marketing avenues of approach. The currently established knowledge of these fungi’s will be expressed to the buyer. The local food movement is here to stay and is only enhanced by Forevermore Fungi. Importantly, these prices will flux on current weather and avenue market to sell; Farmer's market, wholesale and CSA delivery options.

Additionally, the canned products will come at a later time once facilities are established and lines of market demand are accurate to meet a higher means of return investment. Variety of cultivars will be paired up with seasonal dishes to meet chefs’ demands. (Block Grown Mushrooms) BGM per lb. = $3-$6 (Log Grown Mushrooms) LGM per lb =$12-$16(Rare Grown Mushrooms w/log) RGM per lb. The purpose of the second phase of the project is the achievement of long-term goals which involves the creation of value-added products and the increase of market presence. Sources, Suppliers, and Specifications After a few years of successful mushroom production, the company can begin experimenting with new inoculation techniques intended to improve the cost-effectiveness of the process.

Pest and Disease Control 4. Preventive Measures against Fungal Contamination For Shiitake mushrooms, placing the logs off the ground off the ground reduces contamination from other species of fungi. Oyster mushrooms, on the other hand, should have their logs placed directly into the ground to help in moisture retention. Apart from controlling of invasive fungi and insects, proper ventilation also improves and maintains the health of the mushrooms (Michael, Bultosa & Pant, 2011). In order to find out what works well depending on the tree canopy utilized. Reducing the weed cover and raising the logs off the ground when the mycelium is growing will help reduce the number of insects and fungi that may be potential contaminants of the logs. Anticipated Problems In mushroom production, a few challenges and problems are usually common and if well mitigated will have minimal impact on the quality and quantity of the products.

One of the most common challenges experienced in mushroom production is the contamination by invasive fungi. During this process insects and slugs are also checked in the mushroom gills where they are brushed off if present. Mushrooms are usually stored in airtight plastic bags or a refrigerator away from moisture. Both Shiitake and Oyster mushrooms can be dried in a dehydrator before storage since drying has proven to be a useful preservation method, particularly for the latter. Shiitake mushrooms can be stored for up to 3 weeks while oyster mushrooms can only last a maximum of 5 days in storage (Wearing, 2010). Equipment and Facilities that are useful during the harvesting and storage process include Basket, knife, brush, brown bags, dehydrator, mini-fridge, plastic ziplock bags, marketing labels, plastic bags (for the dehydrated product).

The labeled mushrooms are kept in a shelf in the storage rooms from where they are then distributed. Nutrition Value of Mushrooms Mushrooms are very nutritious foods. Shiitake mushrooms, for example, are 18% proteins by dry weight. Moreover, this species of mushroom is rich in amino acids, leucine and lysine, and also a significant amount of vitamins and minerals. Compared to other sources of protein like red meat mushrooms increase mental endurance and general body performance without the risk of arthritis or cholesterol. Strategies to Enhance Growth For growth, any individual, group or firm ought to show sensitivity to strategic plans, more so to counter competitors’ ventures most fairly and effectively as discussed below. Daily Operations It is worth noting that the temperature-moisture relationship is critical in the cultivation process; thus, all operations will work earnestly to maintain the required optimal levels.

This will be adequately controlled to mature cultivar fruition at different times of the year, which will match the demand. Further on, the farm will have strategies in place to ensure that all procedures in the farm such as cultivar lying as well as laying the bolts is made in an orderly and tracked manner. With a significant goal of upholding a high level of non–carbon footprint volume, all operations will; therefore, be aimed at the element, most importantly organically. The first advantage lays in organic cultivation of fungi. Over the years, pesticides, herbicides, and other chemicals have exploded into the fungi cultivation venture thus yielding mushrooms with so many effluents. However, in this project, the fungi produced are strictly organically reared thus safe in a lot of ways.

Second, the fungi produced on this farm will be vitamin D enhanced. Vitamin D rich produce is highly sought for its health properties. Finally, there is a security surveillance model through closed Circuit television–CCTV cameras. Management Summary 6. Importance of Fungi Fungi are organisms that play a fundamental role in the biosphere, which includes plants, human beings, and the economy at large. Fungi act as dominant decomposer which is very essential for recycling of nutrients. They grow on dead matter and break the organic matter and while doing this they obtain nutrients and are able to recycle their components back to their environment (Rahman & Choudhury, 2013). This is as a result of countries such as China and India being characterized with populations whose incomes are constantly rising.

This explains the increase in the number of people who have been able to incorporate mushrooms in their diets; hence, the increased demand for mushrooms. Further, there has been an increased awareness on the abundant health benefits associated with mushrooms as well, such as; treating anemia, preventing cancer and diabetes, improving the health of the bones, and boosting the immune system. According to Farrah, Americans consume approximately 900 million pounds of mushrooms a year, unfortunately, 95% of that is just one species, the common button mushroom which has its variations growth stages creating the Crimini and Portobello mushrooms. The current demand for mushroom is not currently met by the level of production (Hiyama, Gisusi & Harada, 2012). Marketing and Advertising Marketing approaches are fundamental in the promotion of farming strategies.

Marketing strategies will be based on a customer approach through revealing the health benefits, which can be drawn from the produce and by sensitizing potential clients of the need to purchase and consume organic products as they would not pose a danger to them in any way. Through the use of social media such as Facebook, Whatsapp, and Instagram the business will appeal to prospective customers most appropriately. With time, the business will develop more complex advertising technique, which will most definitely be founded on reaching a wider pool of target consumers. Product Patents The farm management will lead to the completion of various licensees such as non-disclosure agreements for shareholders across the board, especially for the cultivar maintenance techniques. This will enable one to decide whether to continue with enterprise, expand it or quit.

Capital Repayment Plan Owing to the fact that there will be a definite stance of external financing, there is an elaborate plan in ensuring continuity of smooth operations. One condition is that any forms of repayments will only be remitted through contractual agreements. The contracts will therein contain all details and mirror the contract completion terms of achievement. Risk Management Risk management is a significant gain for any business, firm or venture and through aligning ourselves with this fact will prove most beneficial even in the long run. Fungi can be employed in the decomposing of contaminants from the surroundings; a process referred to as mycoremediation. It has proven to be a promising technique that yields high outcomes globally. Fungi are known to be microorganisms with the ability of decomposing a great range of organic substances such as wood.

The farm targets to use mycoremediation to deal with pollution menace around Texas. Various water bodies in the area have been contaminated by harmful bacteria such as coli and salmonella, which are deposited into rivers from infected human defecation. Used water carrying contaminants can be stopped by mycelium mats, mushroom can be used to consume some heavy metals after which they are harvested and disposed, and a selected class of fungi can be employed in absorbing radioactivity. The Table below Shows the Pollutants the Cultivated Fungi Will Denature Fungi Pollutant Shitake mushroom Herbicides and other wood preservatives Oyster mushroom Trinitrotoluene Oyster and shiitake mushrooms Polychlorinated biphenyl and Hydrocarbons King oyster and oyster mushroom Dioxins 7. Financial Plan 7. Financial Plan It is worth noting that the physical aspects of this project are not so expensive.

However, the primary point comes in the issue of time allocation as there needs to be a lot of commitment. However, the first year will determine the direction that the mushroom venture will take. Owing to the fact that the first year will majorly concentrate on farm inoculation, the farm will seek an establishment with the soil stewards. The latter could look into whether they could as well purchase the pioneer produce. If in the affirmative, the venture could most probably have enough cash to continue its operations successfully. This would also enable the farm to kick off its operations quite successfully without even having to rely on donations for ensuing operations. Production Costs There are few factors that will lead to variation in the production cost for the cultivation of mushroom.

Some of these factors are: • Purchasing of organic of very high quality. • To prevent delay of production to the clients or rather the potential customers, carbon materials should and must be set in advance. • Long storage and long retrieval • Some of the very best months to cut off logs are during the month of August, and October. These months are said to be the months of winter and summer respectively. 00 Angle Speed Grinder’s 5 $500. 00 Cheese Wax 100lbs $100. 00 Organic Straw/alfalfa mix 25 bales $100. 00 Logs 1000 $500. 00 Plugs 1500 $200. Logs set off the production after about half a year. This is measured from the time of inoculation, and it is highly dependent on the prevailing weather conditions. After the period, fruition kicks off and could even extend for a couple of years.

There is the general observation that for an inch in thickness for the log it also means a year to fruition. A log seven inches thick is likely to fruit for an approximate seven years. Conclusion With a growing demand for mushrooms, there is a market gap. The two dominant species are the oyster and shitake mushrooms. Further, the two species are currently only imported. Producing them locally can, therefore, cut on a high level in the purchase cost for consumers as there will be no import levies. It is in this regard that the venture seeks to eat into this gap and entirely to venture into the two species’ production, and in the end not only create a brand for ourselves but also gain some economic advantage.

With many opportunities, it could be the most opportune time that more people ventured into mushroom farming. Today, mushrooms remain among the crops that have high demand worldwide, due to their ubiquity and various applications from medicinal and industrial uses, as well as human consumptions. However, industrial production of mushrooms is difficult to maintain despite the little capital and land required for their cultivation. Therefore, more investments and innovations on the industrial production of mushrooms should be carried out to make the cultivation and production process less cumbersome. References Burczyk, H. Journal of Wood Science, 58(5), 446-452. Doi: 10. 1007/S10086-012-1263-9 Lloveras, J. , Santiveri, F. , & Gorchs, G. X Rahman, T. , & Choudhury, M. Shiitake Mushroom: A Tool Of Medicine. Bangladesh Journal of Medical Biochemistry, 5(1).