Cannabis Investor Pitch Deck

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www. cannabusinessplans.comPRESENTER:2017January Purpose: Do good for the People and Planet.Cannabis InvestorPitch Deck

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AgendaProject/VisionMarket OpportunitiesCustomers/Competitors1Sales Strategy3456Ownership/TeamYields/Sales Forecast27Operational PlanInvestments98Financials

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Project/VisionTo build a successful commercial cultivation facility and create a recognizable brand in a rapidly growing industry. CannaFarm is a new company which is intending to penetrate into the cannabis cultivation market, starting with one greenhouse in California. Our goals:Own and operate a marijuana cultivation facility in the state of California. Sell high-grade cannabis wholesale to dispensaries and edible manufacturers.Our vision is to become the stable and profitable marijuana cultivation company and also expand our facilities to 5 greenhouses.Our mission is to establish an innovative marijuana growing brand with affordable prices to the residence of City and other Cities in California.

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Market today The passage of initiatives in California, Nevada, Massachusetts, Maine, Florida, Arkansas, Montana, and North Dakota will add $7.4 billion to the 2020 market forecast bringing the overall market projection for legal adult-use and medical sales in the U.S. to $22.8 billion by 2020. That brings the compound annual growth rate (CAGR) to 28%.According expert projections, it is the best time for Canna Farm to launch business and dip into the fastest growing and budding sector.Source: http://cannabusinessplans.com/cannabis-legal-market-size-projections/

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Market trends By 2020 legal cannabis market would see a whopping $22.8 billion in total annual sales.Recreational cannabis sales will account for more than half (53%) of the overall market by 2020.The biggest driver of growth in coming years is the legalization of marijuana in some forms by more states.

Source: http://cannabusinessplans.com/cannabis-legalizing-status-map/

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Key Customers/CompetitorsNumber of LicensedRetail Marijuana Businessesas of August1, 2016Stores440Cultivations583Product Manufacturers198Testing Facilities15

Number of LicensedMedical Marijuana Businessesas of August1, 2016Centres531Cultivations801Infused Product Manufacturers242Testing Facilities13

CompetitorsDirect competitors for CannaFarm includes marijuana growers and whole sellers in California and also oil and concentrates manufactures.CustomersMain customers are dispensaries and manufacturers of edible products and also whole buyers in the state of California.

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SWOT Analyses

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advertising Strategy

Three most effective strategies for legal marijuana companies are direct marketing at industry conferences and other events, building communities around marijuana-related concerns such as health and wellness and aggregating online cannabis publishers, which dont raise any legal concerns.420 NetworkMarketing themselves as the advertising network for alternative lifestyle brands, 420 Network offers both CPC and fixed price advertising options.

420 ClickWomen GrowCannabrand

Offering targeted Pay Per Click ads that display across their network of cannabis related websites, 420 Click can be a great option for getting service in front of an interested audience, and only be charged when someone clicks an ad. Founded in 2014, Women Grow is now the largest national network of cannabis professionals with Monthly Events for women & men in 45 cities across the US & Canada.Full-service cannabis branding agency, dedicated to the marketing of cannabis products and servicesMantis

Offers a solid and growing network of sites including The Cannabist, Leafly, The Daily Chronic, and more. Mantis reaches 6 million unique visitors each month.

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Website with detail information.SEO optimization. Maintaining a high ranking in the Google and Bing/Yahoo search engines Mass Mailing using MailChimp or other services, noteworthy monthly newsletterAdWords. Testing various keywords to select familiar to topic and at the same time acceptable by Googles algorithm: green, medicine, 502, infused, relaxing, stimulating, enhanced, alternative therapies, alternative medicine, natural, and others. Business events and conferences.Business and industry associations.The total marketing expenses is estimated over $70,000 for the first year

marketing planAdvertising and articles in the thematic Magazines, including Dope, Cannabis Now, 420 Magazine, Marijuana Venture, MG MagazineAlternative Online Advertising Options, including Mantis, 420 Network, 420 Click, Women Grow, Cannabrand

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Ownership/TeamPerforms management and market analysis functions. Researches cannabis industry protocols and business operations options. Manages the team of independent contractors. Oversees the completion of team tasks, evaluates work, and determines progress points. Interfaces with potential business subscribers, patients/customers, and affiliates.X: 50% ownership, Managing DirectorPerforms management and market analysis functions. Researches cannabis industry protocols and business operations options. Manages the team of independent contractors. Oversees the completion of team tasks, evaluates work, and determines progress points. Interfaces with potential business subscribers, patients/customers, and affiliates.Y: 50% ownership, Operational Director The organizational structure is designed to maximize personnel, while maintaining flexibility in size and scope.

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Operational PlanWhile most businesses in any industry try to keep startup costs as low as possible, that isnt necessarily the best way to proceed when opening a grow. Creating a cost-efficient cultivation site often involves investing in technology and processes that may result in a big near-term hit. Optimally, our goal is to be able to produce quality cannabis for $1 a gram.

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REVENUE generation MODELCLIENTSPROSPECTSLOYAL CUSTOMERS

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Yields ForecastAs growing stage will start from January 2018, sales are projected to be started from the 2018 summer and they will significantly increase from the second year. Company intends to mix outdoor cultivation from April to October period and all around year greenhouse cultivation.Growth rate for revenue is about 550% for the second year and about 10% for the third year.

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Revenue ForecastLast week indoor flower spanned from $1,000 to $3,500 per pound; the median price was $2,000. Greenhouse flower spanned from $1,200 to $3,000 per pound; the median price was $1,500. Outdoor flower spanned from $1,000 to $2,000 per pound; the median price was $1,300.Deal sizes for indoor flower ranged from 0.5 to 100 pounds.Deal sizes for greenhouse flower ranged from 1 to 320 pounds.Deal sizes for outdoor flower ranged from 1 to 200 pounds.

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Revenue ForecastYEAR 1YEAR 2YEAR 3Revenue224,0001,456,0001,568,000Direct Costs304,193954,853951,307Gross Profit-80,193501,147616,693-36%34%39%Operating ExpenseLegal Fees & Licensing10,0003,3333,333Building maintenance000Equipment maintenance000Administrative expenses3,6003,6003,600Administrative Salaries000Community Service, Improvements1,0002,4002,400Sales & Marketing12,40074,00079,600Misc.4,5006,0006,000Total Operating Expense31,50089,33394,933Operating Income (EBITDA)-111,693411,813521,760% of revenue-49.9%28.3%33.3%Depreciation and Amortization24,79826,14326,143Earnings Before Interest & Taxes (EBIT)-136,491385,670495,617Income Tax099,672198,247Net Income-136,491285,999297,370

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Projects Cash FlowYear 1Construction & GrowingYearly revenue of about$200,000Year 2Yearly revenue of about $1,000,000 Year 3Yearly revenue of about $1,500,000 The total investment required for the first year that the business starts operating is approximately $330,000: Owners - $150,000 and Loans - $180,000.Initial investments would cover start-up costs and fixed expenses until profit stability is achieved during first year.

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Investments$100,000Greenhouses

$30,000Legal Fees & Licensing

$3,000$30,000$70,000

Administrative ExpensesSalariesSales & Marketing$70,000

Land & Development$330,000Investments needed

Security Equipment$30,000

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THANK YOUinfo@cannabusiness.com

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