Plot B Business Plan (abridged) Page 1 of 13

GREENHAM REACH

PLOT B BUSINESS PLAN (Abridged)

Submitted: January 2012 OVERVIEW

The small holding business will principally be the production of quality salad bags, culinary herbs and gourmet salad dressing ingredients. The main activity on the holding in the first two years will be the establishment of a strong salad and culinary herb bag business. From the end of year 2, a strong revenue stream will be added by processing small holding fruits to produce branded organic fruit condiments which will be marketed as gourmet salad dressing ingredients. From year 3, apple and pear juice will be produced on the small holding. In time (years 5 to 10) as the apple orchard becomes more productive, the small holding's apple juice will be used to make organic cider vinegar which will be marketed as a salad dressing ingredient under the small holding’s branded salad condiment range. Other activities in the first five years include keeping bees in order to produce honey which will be a vital ingredient in the fruit condiment business. Later, in years 5 to 10, the small holding's honey, bees wax, herbs and fruit will be used to create a range of natural cosmetic products such as bees’ wax lip balms. In addition, during the first five years the holding will keep a small flock of Maran hens for their distinctive red/brown eggs, to aid pest control during the winter months and to provide manure for the horticultural enterprises. By the end of year 5, our financial forecasts predict a net profit of £11,900. BUSINESS COMPONENTS

SALAD LEAVES AND CULINARY HERBS

Two half acre plots will be dedicated to growing salad leaves and will be inter-planted with various seasonal culinary herbs. At any one time it is likely that just over half an acre will be used to produce salad and herbs with the remaining beds in rotation growing green manure. The salad and herb plants are likely to be: yellow chard, ruby chard, coriander, oregano, lambs lettuce, sorrel, greek cress, rocket, nasturtium, violet, butter head lettuce, oak leaf lettuce, winter purslane, spinach, golden purslane, tatsoi, mizuna, land cress, salad burnet, pak choi, leaf radish, chives, greek basil, parsley and chervil.

AGROFORESTRY - FRUIT, PERENNIALS, HERBS AND EDIBLE FLOWERS

A four acre area will become an area of agroforestry and under-planted orchards. The fruit orchard will be under-planted with soft fruit bushes, shrubs, perennials and herbs to increase biodiversity, support wildlife, and to improve soil fertility by nitrogen fixing and adding organic matter. Some of the tree leaves, perennials and herbs will be harvested and added to the cultivated salad leaves to increase flavour and distinguish the salad bags from competitor products. The top fruit will be used in the fruit condiments and pressed for juice and cider.

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Fruit trees likely to be planted are as follows:

Quince – Ten trees including Krymsk and Serbian Gold

Apple – Twenty-five 2-year-old trees. Fifteen of the 25 will produce apples for our fruit condiments and 10 will produce apples for juicing. Varieties include Johnny Andrews, Golden Pippin, Katy, and Bramely’s Seedling. For cider we are likely to plant Yarlington Mill, Browns Apple and Tommy Knight along with other varieties grown to ensure a yearlong supply of apples (with the exception of June)1

Apricot – Five fan trees of St Julian A and Torinel rootstock with varieties Goldcot and Flavorcot

Sour cherry – 15 trees including Gisela (dwarf)

Plums – 15 trees using Pixy rootstock with varieties Czar, Mirabelle de Nancy, Merryweather Damson, and Langley Bullace

Pears –25 two-year-old trees on quince A and pyro-dwarf rootstock of which 10 will provide fruit for juicing. Varieties: Williams, Merton Pride, Nouveau Poiteau, Conference, Beurre Dumont, and Glou Morceau.

1 Late summer apples (ripening July/August): Devonshire Quarrenden, early-autumn apples (ripening September): Ellisons Orange, late-autumn apples: Pineapple russet of Devon, Mid-winter apples (ripening November): Cornish aromatic, New Year apples (ripening December/January) Rosemary Russet and Spring apples Red belle de Boskoop

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Soft fruits This business plan is based on the planting of 68 soft fruit bushes. These are likely to include: blackcurrant, redcurrant/white currant, raspberries, and blueberries. We also foresee planting lime and beech trees from which young leaves would be harvested for the salad products. Perennials for edible leaves and stems will include: Anise Hyssop, Korean Mint, Alliums Spp. e.g. Wild Garlic and Garlic Chives, Green Celery, Daffodil Garlic, Lady's Smock, Alexanders/Black Lovage, Chickweed, Greenwax Golden Bamboo Shoots, Orpine, Siberian Purslane, Szechuan Pepper Leaves, Chicory, Salad Burnet, Pig Nut, Golden Saxifrage, Siberian Purslane, Mitsuba, Hosta's, Mallows, Sorrels (Wood Sorrel, Redwood Sorrel, Garlic Cress , Plantains, Scorzonera , Ice Plant, Orpine, Lesser Stitchwort, Land Cress, Wavy Bittercress And Hairy Bittercress, and Winter Purslane/Miner's Lettuce, Herbs will include Fennel, Bay, Lemon Balm, Marsh mallow, Ramsons, Red Valerian, Sorrel, Sweet Cicely, Apple mint, Garlic mustard, Golden garlic, Lovage, Oregano ,and Parsley. Finally, edible flowers will include Violet, Mint, Apple Rose, Turkish Rocket, Sea Kale, Marigold, Wood Mallow, Nasturtium, Aquilegia Vulgaris, Day Lilies, Primrose, and Roses.

BEES

In year 1 we will introduce 5 bee hives and 5 bee colonies followed by further hives and bee colonies in year 2. These will all be sited within the agroforestry area to provide shelter and an immediate local food source for the bees.

CHICKENS

We will have around 40 Maran hens primarily for pest control and to provide manure for the horticultural enterprises. They will be housed in two mobile poultry houses each 2.4 metres long by 2.1 metres wide to accommodate 2 x 20 birds to organic standards2 . PRODUCE FORECAST

SALAD AND HERBS BUSINESS

Typical salad bags will contain at least 10 varieties of the cultivated herb and salad leaf. By way of example, a summer salad bag might contain the following: yellow chard, ruby chard, coriander, oregano, sorrel, greek cress, nasturtium, violet, butter head lettuce, and oak leaf lettuce. A winter salad bag might contain the following: winter purslane, lambs lettuce, rocket, spinach, golden purslane, tatsoi, mizuna, land cress, salad burnet, pak choi, leaf radish, lambs lettuce, and mustard. A typical herb bag will contain at least 4 varieties of cultivated herb such as chives, greek basil, greek cress, and chervil. Seasonal, “wild” leaves harvested from perennial plants in the agroforestry area will be used to supplement cultivated salad and herbs. Projected yields: Using the marketable annual yield of Cos lettuce from the

2 6 birds per m2

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Organic Farm Management Handbook (2011/12)3 on one acre of cultivated land 1,340 dozen lettuces will be produced or 670 on half an acre. Lettuces from the range we intend to grow weigh approximately 500g, so 670 dozen lettuces weigh 8,040 x 0.5 = 4,020 kilos. This if far more than we would need to achieve the sales used in the profit forecast and cash-flow projections. Four thousand kilos equates to forty thousand 100g salad bags per year (or 16,000 x 250g salad bags per year). The highest sales figure for salad leaves that we are projecting for the first five years (year 5) is just 1,248 kilos of leaves per year. Projected costs: Direct costs for the salad and herb bag element of our small holding business are made up of: a polytunnel (£1,000), packaging and labels (£25 to £40 per month, years 1 - 5), compost and manure (c. £700 annually), seeds (£700 to £1,500 annually years 1 – 5), fencing (£250), and tools (£1,000). Projected pricing: Salad will be sold wholesale for approximately £12 per kilo of salad leaf in line with current market value4 and will be bagged in 100g, 250g and 500g bags. One hundred gram bags will be sold wholesale to farmers’ market stall holders for £1.20 with a suggested retail price of £1.50, or sold directly to customer for £1.50. Two hundred and fifty gram bags will be sold wholesale for £3.00, to be retailed at £3.50 and 500g bags will be sold wholesale to cafes and restaurants for £6.00. Culinary herb bags will be sold wholesale for £15 per kilo, 50g bags will be sold wholesale for 75p with a suggested retail price of £1.50 and 250g bags will be sold wholesale for £3.75 to cafes and restaurants. Projected gross profit: Our projected gross profit is based on the following assumptions. Detailed sales figures are found in the cash-flow projection (available on request):

− Year 1: An average of 18 100g organic salad bags per week June to January at

£1.20 (£761); an average of four 50g herb bags per week August to January at £0.75 (£79) and three 250g culinary herb bags for café / restaurant per week August to January at £3.75 (£328).

− Year 2: An average of 54 100g organic salad bags per week February to

January at £1.20 (£3,353); an average of 22 50g organic herb bags per week February to January at £0.75 (£843) and 6 250g organic culinary herb bags for café/restaurant per week February to January at £3.75 (£1,146).

− Year 3: An average of 80 x 100g organic salad bags per week February to

January at £1.20 (£5,086); and average of 46 50g organic herb bags per week February to January at £0.75 (£1,802) and 10 250g organic culinary herb bags per week February to January at £3.75 (£1,947).

− Year 4: An average of 120 100g organic salad bags per week February to

January at £1.20 (£7,488); an average of 80 50g organic herb bags per week February to January at £0.75 (£3,120) and 16 250g organic culinary herb bags for cafes/restaurants at £3.75 (£3,120).

− Year 5: An average of 140 100g organic salad bags per week February to

January at £1.20 (£8,736); an average of 100 50g organic herb bags per week February to January at £0.75 (£3,900) and 20 250g organic culinary herb bags per week February to January (£3,900).

3 Figures for Cos lettuce are used as figures for other salad leaves are not available 4 Charles Dowding's “The Economics of Organic Growing by Hand”

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Table 1: Projected income and expenses for salad and herbs

Year 1 Year 2 Year 3 Year 4 Year 5

Salad Bag Sales 761 3,353 5,086 7,488 8,736

Herb Bag Sales 407 1,989 3,749 6,240 7,800

Total income 1,168 5,342 8,835 13,728 16,536

Expenses

Polytunnel and Cover 1,000

Compost and Manure 700 700 700 700 700

Salad Packaging / Labels 205 365 425 485 540

Seeds 700 900 1,100 1,300 1,300

Tools and Services 1,000 0 0 0 0

Total Expenses 3,605 1,965 2,225 2,485 2,540

Gross Profit -2,437 3,377 6,610 11,243 13,996

FRUIT CONDIMENT BUSINESS

From the end of year 2, we will process small holding fruits (both top and soft) to produce branded organic fruit condiments which will be marketed as gourmet salad dressing ingredients ‘soft fruit condiment’. Projected Yields: The projected yields are sourced from ‘Creating a Forest Garden, Working With Nature to Grow Edible Crops’ by Martin Crawford of the Agroforestry Research Institute or from ‘The Organic Growers Handbook (2011/12)’. Table 2: Projected yields showing both the projected fruit yields and the projected volume of condiment produced.

Year 1 Year 2 Year 3 Year 4 Year 5

Quince (10) 30 kg (10 x 3 kg)

Apple (15) 105 kg (15 x 7 kg)

150 kg (15 x 10 kg)

225 kg (15 x 15 kg)

Apricot (5 fans) 5 kg (5 x 1 kg)

Sour cherry (15) 3 kg (15 x 0.2

kg)

15 kg (15 x 1 kg)

30 kg (15 x 2 kg)

Plum (15) 63 kg (15 x 4.2

kg)

97.5 kg (15 x 6.5

kg)

150 kg (15 x 10 kg)

Pear (15) 45 kg (15 x 3 kg)

90 kg (15 x 6 kg)

150 kg (15 x 10kg)

Total fruit from trees & shrubs yr-1 216 kg 353 kg 590 kg

No. jars of top fruit condiment produced yr-1 864 1,412 2,352

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Blackcurrant (10) 20kg (10 x 2kg)

40kg (10 x 4 kg)

40kg (10 x 4 kg)

40kg (10 x 4 kg)

40kg (10 x 4 kg)

Redcurrant (12) 24 kg (12 x 2 kg)

48kg (12 x 4 kg)

48kg (12 x 4 kg)

48kg (12 x 4 kg)

48kg (12 x 4 kg)

Raspberry (16) 32 kg (16 x 2 kg)

64 kg (16 x 4 kg)

64 kg (16 x 4 kg)

64kg (16 x 4 kg)

64kg (16 x 4 kg)

Blueberry (30) 30 kg (30 x 1 KG)

60kg (30 x 2

KG)

60kg (30 x 2

KG)

60kg (30 x 2

KG)

60kg (30 x 2

KG) Total soft fruit yield yr-1

106 kg 212 kg 212 kg 212 kg 212 kg

No. jars of soft fruit condiment produced yr-1

424 808 808 808 809

Total no. jars fruit condiment produced yr-1

424 808 1,672 2,220 3,161

Total no. jars of fruit condiment used in cash-flow forecast

400 (20 jars week-1)

768 (26 jars week-1)

1,440 (30 jars week-1)

1,920 (40 jars week-1)

2,400 (50 jars week-1)

Projected costs: The costs for the soft fruit condiment are based on the following recipe. All prices are taken from an organic wholesalers. In year one, there will be the cost of purchasing the fruit bushes of approximately £300:

Organic corn flour (14g) £0.06 Organic white wine (62ml) £0.50

Honey (125g) Small holding Organic dried mustard (67g) £0.39

Soft fruit (250g) Small holding Glass jars £0.76

Total costs £1.71/jar Retail price £2.75/jar

Gross profit £1.04/jar

Projected pricing and income: Based on market research (below) we anticipate retailing 250g jars of fruit condiment at £2.75. This leaves £1.04 profit per jar of soft fruit condiment. The costs for the top fruit condiments are based on the following recipe. All prices are taken from the local organic wholesalers, except the orange. In year one, there will be the cost of purchasing the trees of approximately £700:

Organic fresh orange (1/4) £0.13 Organic white wine (62ml) £0.50

Honey (125g) Small holding Organic dried mustard (4g) £0.04

Top fruit (250g) Small holding Glass jar 0.76

Total costs £1.42/jar Retail price £2.75/jar

Gross profit £1.33/jar

As set out in Table 2, we projected sales for years 1-5 of each fruit condiment as follows:

Jars produced Year 1 Year 2 Year 3 Year 4 Year 5

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Soft fruit 424 808 808 808 809 Top fruit 864 1,412 2,352 All jars 424 808 1,672 2,220 3,161

With the following projected gross profits:

Year 1 Year 2 Year 3 Year 4 Year 5 Soft fruit £441 £840 £840 £840 £841 Top fruit £1,149 £1,878 £3,128 Total £441 £840 £1,989 £2,718 £3,970 Trees/bushes £1,000 Gross profit -£559 £840 £1,989 £2,718 £3,970

FRUIT JUICE BUSINESS: APPLE

Of the apple trees we will establish in the agroforestry area, ten will be 2-year old trees for the production of apple juice. This business is being established for the longer-term as it would not be profitable until year 7. Projected yields: Conservative projections of expected apple production during establishment are 7 - 15 kg per tree. Yields would be significantly higher in years 6 to 11. During these later years, peak fruit production would average 70 kg per tree per year. Two kilos of organic apples will be used per 75 cl bottle of juice.

Annual fruit production No 75 cl bottles of apple juice

Year 3 70 kg 35

Year 4 100 kg 50

Year 5 150 kg 75

Years 6 - 10 350kg - 700 kg 350

Projected costs: aside from the initial costs from purchasing and establishing the trees and purchasing the apple press, there will be ongoing bottle costs (75p each). Bottling costs will be negligible as we envisage bottling ourselves by heating juice before bottling in a standard kitchen environment. Projected pricing: each 75 cl bottle would be sold at £2.00 per bottle wholesale, to be retailed competitively at £2.70, or direct to the customer for £2.70. Table 3: Projected gross profits - apple juice

Year 1

Year 2

Year 3

Year 4

Year 5

Year 6

Year 7

Income £70 £100 £150 £350 500

Expenses

Trees 100

Bottles 26 38 56 131 188

Fruit pressing equipment* 75

Total Expenses 100 0 101 38 356 131 188

Gross Profit -100 0 -31 63 94 219 313

*cost split with other smallholders and with pear juice below

FRUIT JUICE BUSINESS: PEAR

Of the 30 pear trees established, 10 two-year-old pear trees will be planted out in

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year 1 to provide fruit for juicing and bottling from year 3 onwards. As with the apple juice production, this business is being established for the longer-term as it would not be profitable until year 7. Projected yields: Conservative projections of expected pear production from ten two-year trees during establishment (3 - 10 kg per tree) are detailed in the following table. Yields will be significantly higher between years 6 to 11 during peak fruit production (45 kg per tree). Two kilos of organic pears will be used per 75 cl bottle of juice.

Annual fruit production No 75 cl bottles of pear juice

Year 3 30 kg 15 Year 4 65 kg 32 Year 5 100 kg 50 Years 6 - 10 300kg - 450 kg 225

Projected costs: aside from the initial costs from purchasing and establishing the trees and purchasing the juice press, there will be ongoing bottle costs (75p each). Bottling costs will be negligible as we envisage bottling ourselves by heating juice before bottling in a standard kitchen environment. Projected pricing: each 75 cl bottle would be sold at £2.00 per bottle wholesale, to be retailed competitively at £2.70, or direct to the customer for £2.70. Table 4: Projected gross profits - pear juice

Year 1

Year 2

Year 3

Year 4

Year 5

Year 6

Year 7

Income 30 64 100 300 550

Expenses

Trees 100

Bottles 11 24 38 113 169

Fruit pressing equipment* 75

Total Expenses 100 0 86 24 38 113 169

Gross Profit -100 0 -56 40 63 188 381

*cost split with other smallholders and with apple juice above

HONEY PRODUCTION BUSINESS

Honey production will commence in year 1 with the introduction of five bee hives (and 5 bee colonies), followed by further hives in year 2. All hives will be situated within the 4 acre agroforestry site to provide shelter and an immediate local food source for the bees. From year 4 onwards, all honey produced will be used only in the fruit condiments (above). Up until then the surplus will be sold alongside our other products. As detailed below, beeswax from the hives would be used from year 5 onwards in hand-made cosmetics. As with the juice businesses, honey does not become profitable until later into the establishment of the business, around year 6. This is because of the investment that has to be made in the hives and colonies. Projected yields: Langstroth hives are projected to produce 12kg each of honey per year5.

5 Sourced from bee keeping expert and owner of Quince Farm, South Molton, Devon. Quince farm is the largest commercial honey farm in Devon, with over 1,000 hives.

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Projected costs: Each Langstroth hive is costed at £124, totaling £3,100 for 25 hives6. Nucleus of bees are priced at £210 each7, totaling £5,250 for 25 hives. Other costs include: hive tool, smoker, feeder, veil, gloves which come to £1308; honey extracting equipment, £300; and additional annual costs for the upkeep of hives and combs of around £451 per year. Jars can be bought in for 58p per 350g jar. Projected pricing: Each 350g jar will be sold for £3.75. Table 5: Projected gross profits – honey and beeswax

Year 1

Year 2

Year 3

Year 4

Year 5

Year 6

Year 7

Honey Produced 60 kg 300 kg

300 kg

300 kg

300 kg

300 kg

300 kg

Value* of Honey used in Soft Fruit Condiment (£)

318 606 606 606 606 606 606

Value* of Honey used in Top Fruit Condiment (£)

0 0 648 1,062 1,764 1,764 1,764

Value* Beeswax (£) 14 71 71 71 71 71 71

Honey Sales (£) 70 1,990 910 220 0 0 0

Total Income 402 2,667 2,235 1,959 2,441 2,441 2,441

Expenses

Bee Hive Upkeep 451 451 451 451 451 451 451

Bee Keeping Start Up 2,100 6,680

Jars 12 330 151 36

Total Expenses 2,563 7,461 602 487 451 451 451

Gross Profit -2,156

-4,652

1,698 1,487 1,990 1,990 1,990

* so as to show the gross profits from investing in the beehives, the market value of honey and beeswax is shown in this table. However, so as to not double-count, the figure for gross profit from beehives taken through to Table 8 is gross profit less the market value of the honey and beeswax.

EGGS

We will have around 40 Maran hens primarily for pest control and to provide manure for the horticultural enterprises. They will be housed in two mobile poultry houses each 2.4 metres long by 2.1 metres wide to accommodate 2 x 20 birds to organic standards9 . Projected yields: We assume an average of 22 eggs / day or 154 eggs/ week from 40 laying Maran hens from December through to September. Projected costs: Set-up costs of two hen houses (£1,000) and pullets (£435) and ongoing costs of feed and egg boxes as detailed in Table 6. Project gross income: 154 eggs per week produces 25 half dozen boxes which we intend to sell at £1.60, less 1 box for home consumption, again alongside our other produce. No egg production is assumed for two months of every year. Table 6: Projected gross profits – eggs

Year 1 Year 2 Year 3 Year 4 Year 5

Income 1,165 1,664 1,664 1,664 1,664

6 Source: suppliers in Okehampton, Devon and www.beekeeping.co.uk 7 www.cornwallhoney.com 8 www.beekeeping.co.uk 9 6 birds per m2

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Expenses

Hen house 1,000

Pullets and chicken feed 1,340 905 905 905 905

Boxes 90 125 125 125 125

Total expenses 2,430 1,030 1,030 1,030 1,030

Gross Profit -1,265 634 634 634 634

BEES WAX COSMETICS BUSINESS

In year 5, the cosmetics business will begin with the production and sales of lip balms made from small holding bees wax flavoured with small holding organic mint and calendula. Projected yields: Each hive is projected to produce 113g of bees wax per year. Each 10ml pot of lip balm requires 2.5 grammes of bees wax. We have however assumed that we would take time to develop our market and therefore have planned on the basis that we would produce just 200 pots in the first year of this business gradually building up to 1,125. Projected costs: Added “bought in” ingredients required to convert this amount of bees wax to lip salve are organic sunflower oil (£2.98 per litre10) and organic Vitamin E oil (£7.45 per 30ml11). Lip balm pots can be bought in at £0.60 each. Table 7: Gross profits from lip balm business:

Organic sunflower oil £0.02 per 10ml pot Organic Vitamin E oil £0.01 per 10ml pot

Pot £0.60 Beeswax Small holding

Dried leaves Small holding Total costs £0.63/pot Retail price £3.50/pot Gross profit £2.87/pot

Projected gross profit: Based on the sales growth of 200 pots in Year 5, 600 in Year 6, 800 in Year 7, the gross profits would be £574, £1,722 and £2,296 respectively. From midway through Year 3 onwards the business would permit a monthly withdrawing of £750. From this we will only have taxes and personal / household expenses as we will have no loan or mortgage to service. As detailed in the subsistence income section below, although gross profit only reaches £11,900 in year 5, the site will: provide food, timber for fuel, generate its own electricity and have its own borehole for water.

OTHER BUSINESS COSTS

Costs included in the line item ‘overheads’ above include the following. Please note that, as per the co-operation statement (Appendix 1), we would work with the other smallholders at Greenham Reach both to reduce costs and environmental impact, by for example, selling one another’s produce at Farmers’ Markets to save time and reduce vehicle journeys and sharing the cost of the juice press: annual environmental audit (£100 quarterly); website (£350 annually); perennials (£1,280 over 5 years); accounts (£400 annually); Soil Association certification (£350

10 www.sumanwholesale.com 11 http://www.aromantic.co.uk/vitamins-skin.htm

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annually); landscaping (£500 one-off); vehicle expenses (£515 annually); petrol (£240 annually); labour (varies between zero and £2,080 a year from year 4 onwards); insurance (£230 annually); telephone (£20 a month); communications (£20 a month); stationary (£100 annually); waste management (£200 a year); public relations (£20 a month); and a contingency of £200 a year. Table 8: Profit forecast

Gross profits by revenue stream

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

Salad and Herbs -2,437 3,377 6,610 11,243 13,996 13,996 13,996

Fruit Condiments

-559 840 1,989 2,718 3,970 3,970 3,970

Apple Juice -100 0 -31 63 94 219 313

Pear Juice -100 0 -56 40 63 188 381

Bee Hives -2,488 -5,329 373 -252 -451 -451 -451

Eggs -1,265 634 634 634 634 634 634

Cosmetics 574 1,722 2,296

Total gross profit

-6,949 -478 9,519 14,446 18,879 20,277 21,139

Overheads 3,415 4,695 4,635 6,975 6,975 6,975 6,975

Net profit -10,364

-5,173 4,884 7,471 11,904 13,302 14,164

PRICE AND COMPETITION AND MARKETS There is currently a local grower who provides organic salad bags for sale at Tiverton Pannier market for £1.75 per 100g bag. However, the operation is on a very small scale (10 bags per week) and recent market research at Tiverton market (fruit and vegetable market stall owner) has predicted that retailing 100g salad bags for £1.50 would significantly increase salad bag sales. There was a highly successful salad bag business in operation at Tiverton Pannier market until recently, selling at least 20 bags of organic salad a week. However, he is based in Exeter and found it not to be cost effective to continue supplying the market due to fuel costs, so offering a good opportunity for a competitively priced locally based organic salad bag provider. EXPANDING MARKETS

Once established at Tiverton's pannier market, we aim to market and sell our produce at other local food markets including local farmers’ markets at the following locations: − Cullompton: 2nd Saturday every month

− Crediton: 1st Saturday every month

− Exeter: Every Thursday

− Tiverton: Tuesday, Friday and Saturday of every week

− Taunton: Every Thursday

− Wellington: 1st and 3rd Saturday of the month

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STRUCTURES REQUIRED

− Two mobile poultry house (2.4 m long by 2.1m wide) to accommodate 2 x

twenty birds to organic standards of six birds per square metre.

− One polytunnel, 60 foot by 18 foot. The polytunnel will be fixed with ground pegs knocked into the ground or anchor plates, and so it can be easily moved.

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APPENDIX 1: STATEMENT OF CO-OPERATION A statement of co-operation has been agreed by all three prospective smallholdings and included in each business plan, as follows: “All three prospective smallholdings at the ELC's Greenham Reach site recognise the importance of ecologically-aware agriculture and are committed to the success of the project as a whole. We are also pleased that the ELC have adopted the 'clustering' model of placing independent smallholdings in close proximity, as other related projects have shown this to provide probably the optimum balance between independence and mutual support. There are many significant benefits to having close neighbours with relevant skills who are undertaking similar projects, and this should help us all in establishing our businesses. Having all met together and compared plans, we see little risk of direct competition. Indeed, we are excited about the prospects for cooperation and sharing, with the mutual aim of developing the Greenham Reach name to become synonymous with the highest possible quality of local organic produce.”