christopher smith

woodridge, IL (USA)
Role(s):
Founder/Owner/Principal

simply produce

Find More Startups Startup
Location: woodridge
Industry: Food Service/Restaurant
Year Founded: 2010
Number Employees: 1-10 people
Business Stage: Growth (profitable)
Entity Type: Sole Proprietorship
Description: my name is christopher smith. i am in search of attaining partial seed funding for a produce store located in woodridge, illinois, a suburb of chicago. the location of the store that i am looking to rent is located in the shopping center of 83rd street and janes avenue. the footprint is 1400 sq feet. it is 70 feet long and 20 feet wide. the parking lot holds 120 cars. the rent prior to negotiating is 1900 per month. the traffic count is 1700 cars per day using both venues. this corner is accessible from all directions. the 2007 census demographics are below. Woodridge illinois is located in Du Page County, west of chicago approx. 23 miles. Woodridge, Illinois Median Household Income U.S. $60,374 DuPage County $89,402 Woodridge $68,014 Income estimates based on 2007 U.S. Census data i have an account set up with The Auster Company located at 2404 S. Wolcott, Units 32-33, Chicago, IL 60608. i have been working with farmers directly to purchase produce, (fruits and vegetables) during season, but as a main warehousing and source, The Auster Company is my primary. we have been selling out of the back of trucks and side road carts for a season and it is time to expand into a store. the store location shares the same venue with jewel and meijer's. the store is located south one mile of jewel, and one mile north of meijer on janes avenue. the plan is simple. deliver a better product at a better price. volume and velocity. i pay cash for all my produce, no credit to auster. they have offered me credit lines. my contact at Auster is Mike. i am working with Raymond Teska at "EveryDay Fresh Produce" to increase my lines and increase my market share, to include ethnic produce for the reason that the 430 unit apartment complex adjacent to the shopping center, (walking distance), is 55% hispanic, 26% Indian, the rest are section 8 white and african american. My labor force will be comprised of mainly "blue hairs"... that want to get out of the house, work for cash and checks, as to not interfer with their social security etc., teenage males that will help stock part time and deliver "flyers". i have contacted the community center to inquire about school programs. i will be there everyday. i will order, pick-up and pay the produce daily myself, as i have been. as for waste, less than 2%. here's how. we put the produce that will be perishing in 3 days on the "shooter" tables, (reduced price), when it gets to 2 day before over ripe, we call it in to the church and they pick it up and write a receipt and we write it off. attached are files that show current market prices that i purchase at, (nov 3rd, 4th and 5th, 2010), which change everyday, along with last and this weeks "enemy" pricing. we buy an apple for X and we sell it for X++ to include direct and indirect costs, but still remain lower than competition due to the fact that my operating costs are far less than the competitions. we must have equal to or greater than quality along with pricing, which we have already. people are NOT willing to pay HIGHER prices for better produce, but if you give them "BETTER" produce at a lower rate than what they receive from other local stores, you win. this is a price market. we already have a customer following, and they say they hate to see us pack up for the season. the loan amount i am looking to obtain is at a minimum $23,400 and a ceiling of $29,317. the monies will be used to purchase coolers outright, rather than pay a lease rate of 19%, tile the floor and install a mop basin, as per Du Page Health codes, (email from Carrie copied and attached below), generate flyers, create hand built dry produce racks and or purchase metal racks, secure a discount to reduce rent, payroll funding for 6 weeks, and increase my produce purchase and receive a 4% discount. yes, i will have "skin" in the game... i have a payoff amount of 36,050 on a 29,317 loan in a time frame of 36 months, which gives a profit of 6,733 or a 14% return on your money per year. the amount includes a 1500 dollar closing fee and documents. i should state that i would prefer to have this set up as a line of credit, either as a revolver or a non, in lieu of a fixed loan, but at this time, beggars can't be choosers. term loan is fine. i have attached xcel sheets which show the store layout, the financial and cost comparisons to include each product, what i purchase the produce for, and where the competitor's current prices are. i would also like to state that i have filed a bankruptcy recently. i am not a high risk, i was a real estate developer and i got caught holding a 440mm dollar project. i had attained a 108mm dollar loan from la salle bank, had 33mm dollars in sales in front of me, but the market crashed and they could not get their loans through, and i got caught holding. i have also been divorced. i sold my cars etc, paid off all my trades and no liens were filed. then i turned the project(s) over to the bank(s). i also ended up in the hospital, 2 of them, from pneumonia and had the upper 1/3 of my right lung removed. i spent 4 months down. hence part of the "bad credit". the chrysler financial car loan looks bad due to the fact that i signed for a car for a relative. Ouch. i can secure 10,000 dollars in a cd with you in first position to limit your risk. i will use another 10,000 dollars of my own money to get this moving. i share a checking account with a friend named XXXXXXXXX. we normally never exceed 2000 dollars in it at any time, and the funds from the carts go into a jar or box. when season comes again next year we will be putting the carts on the corners again to increase my market share. my credit scores as of today are 659 - 671 - 685... far cry from where they used to be. i do not have a car payment or house payment. i owe nothing except on a credit card and i willpay that off immediately if needed. i use it at this time because there is zero interest and it keeps records. my previous work history resume is attached also. thank you for your time, christopher m. smith ================================================================= copy of email from du page health. i have been approved to open a store in that location. carrie's email address. (URL removed) Hello Chris, -VCT flooring is acceptable in the store, janitorial closet, and restroom. Matching base coving needs to be provided. The VCT should be reasonably light in color. - The janitorial closet needs to be a minimum of 48 in by 30 in with a 24 in by 24 in floor mounted mop basin (spec sheet attached for reference). The walls need to be FRP (fiberglass reinforced plastic) or light colored tile to 8 ft. A.F.F. (above finished floor). The ceiling needs to be painted gypsum board or vinyl-clad gypsum board ceiling tiles. There should be a light in the closet. A heavy duty mop/broom rack to be provided. -The restroom to have FRP or light colored tile to 4ft. A.F.F. on wet wall. The ceiling to be painted gypsum board or vinyl-clad gypsum board ceiling tiles. Need to have soap and paper towel dispensers and a waste can with lid. There should be no cabinetry in the restroom. -Retail shelving to have no kick plates/removable kick plates. Product to be stored 6 inches off the floor. Pallets may not be used for bulk produce unless a pallet mover is on site. -Refrigerated room to be NSF approved. Walls and ceiling most likely to be from manufacturer. Flooring to be approved material (can discuss). Sufficient lighting needed-will most likely require multiple incandescent fixtures or a 4ft ballast. -Refrigerated produce coolers to be NSF approved. -Plumbing plan will be required if installed coolers require drains. Drains would go to open-site hub drains with indirect connections with 1 inch air gaps. The above requirements are based on a produce store with prepackaged items only. There may not be any cutting or preparation of any kind on site or additional requirements will be needed. To proceed, please formally submit plans with attached Plan Review Application and $200 plan review fee. A written response will be given within 15 business days of a complete plan submittal. Please let me know if you have further questions. Carrie Rannaoja,L.E.H.P. Environmental Health Services DuPage County Health Department 111 N. County Farm Rd. Wheaton, 60187 (Phone # removed)