# EDGAR Filing Document

**Accession Number:** 0001961731
**File Stem:** 0001746059-23-000062
**Filing Date:** 2023-3
**Character Count:** 93299
**Document Hash:** 91ece55f37065c78c5b8698c8bbe5e68
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001746059-23-000062.hdr.sgml**: 20230309

**ACCESSION NUMBER**: 0001746059-23-000062

**CONFORMED SUBMISSION TYPE**: C/A

**PUBLIC DOCUMENT COUNT**: 4

**FILED AS OF DATE**: 20230309

**DATE AS OF CHANGE**: 20230309

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Beanchain Coffee LLC
- **CENTRAL INDEX KEY:** 0001961731
- **IRS NUMBER:** 873447086
- **STATE OF INCORPORATION:** AZ

**FILING VALUES:**
- **FORM TYPE:** C/A
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 020-31607
- **FILM NUMBER:** 23719941

**BUSINESS ADDRESS:**
- **STREET 1:** 855 W SOUTHERN AVE
- **CITY:** MESA
- **STATE:** AZ
- **ZIP:** 85210
- **BUSINESS PHONE:** (480) 201-6965

**MAIL ADDRESS:**
- **STREET 1:** 855 W SOUTHERN AVE
- **CITY:** MESA
- **STATE:** AZ
- **ZIP:** 85210

### Attached PDF Documents

**Attachment 1:** `beanchain_offmoca.pdf`

![img-0.jpeg](img-0.jpeg)

## OFFERING MEMORANDUM

facilitated by

![img-1.jpeg](img-1.jpeg)

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# Beanchain Coffee LLC

## FORM C

### OFFERING MEMORANDUM

#### Purpose of This Form

A company that wants to raise money using Regulation Crowdfunding must give certain information to prospective investors, so investors will have a basis for making an informed decision. The Securities and Exchange Commission, or SEC, has issued regulations at 17 CFR §227.201 listing the information companies must provide. This form - Form C - is the form used to provide that information.

Each heading below corresponds to a section of the SEC's regulations under 17 CFR §227.201.

#### (A) The Company

| Name of Company | Beanchain Coffee LLC |
| --- | --- |
| State of Organization | AZ |
| Date of Formation | 10/22/2021 |
| Entity Type | Limited Liability Company |
| Street Address | 855 W Southern Ave, Mesa AZ, 85210 |
| Website Address | bchain.coffee |

#### (B) Directors and Officers of the Company

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| Key Person | David Baxter |
| --- | --- |
| Position with the Company | Title Founder First Year 2021 |
| Other business experience (last three years) | Senior Software Engineer ( Carvana, 2019 - 2021 ) - David was responsible for the development and maintenance of many applications within Carvana's customer and employee facing software. In addition he had trained many new developers. Barista (Various coffee shops, 2011 - 2015) - Before David was a developer he had worked as a Barista at Dutch Brothers and Xtreme Bean. David was responsible for every aspect of shop operations from opening to closing and has trained many baristas that would go on to be managers of their own stores. He still retains many of these connections and is leveraging them to build the Beanchain. |

# (C) Each Person Who Owns 20% or More of the Voting Power

| Name of Holder | % of Voting Power (Prior to Offering) |
| --- | --- |
| David Baxter | 100% |

# (D) The Company's Business and Business Plan

The Team

David Luke Baxter, Co-Founder

David is driven by a deep seeded mission to end poverty and help others to live decent lives. Because of his own experiences with poverty and those of his closest family and friends he has decided to put his entire life's savings of 200k into starting this coffee shop. He is our first investor and is entirely committed to creating a fair, kind, and thriving coffee shop where he and others can serve the people of Mesa for years to come while making a fair living wage!

David Baxter has 10+ years experience working in the service industry and 5 of those were serving coffee! He's worked at coffee shops that are fast paced drive throughs and coffee shops that focus

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more on the sit down and dine in crowd. Though he started in the service industry his career has taken him lots of places.

For the last 5 years he's worked as a Front End and Full Stack engineer at companies like Allstate, Carvana, and ADP. Over the course of his career in tech he's trained many other engineers and worked in teams large and small. The skills gained in the areas of leadership and communication will help him tremendously as he trains our future baristas!

Shannon Kathleen Baxter, Co-Founder

Shannon's affinity for helping others started at a young age and her passion has taken her down many different roads during her life. Starting with her pre med degree and working in various hospitals around the valley, and ending up with an equine science degree where her time was spent at a local equine rescue. She has always had her heart and mind set on helping those in need and her career choices reflected that.

While receiving her degrees Shannon was a waitress and barista at a well known breakfast restaurant, Snooze an A.M. Eatery, for over 5 years. It was there that she discovered her love for early mornings, the smell of coffee, and chatting with people about their day.

With her past in mind it comes as no surprise that she is the co-founder of a worker directed coffee shop. Her past experiences have not only given her a gritty real world view of what it means to need help but it has shown her the amount of work that needs to be done. She is very excited to continue her journey in helping others at Beanchain. She believes a better world starts with us!

The Space

- Shared work space
- 3 offices
- Conference room
- Coffee shop
- Large kitchen to support local bakers

The Beachchain

The Beachchain will be a shared workspace, coffee shop, bakery, and roaster! We want to be a pillar of our community and will be reaching out to local clubs, businesses, and schools to make sure that this coffee shop becomes a nexus of conversation and connection for everyone.

This coffee shop is a labor of love for my wife and I. We've both experienced poverty, and lost a great deal to it, so we want to make sure that no one else has to go through that. Our hope is that by building a responsible worker directed coffee shop we can inspire others to do the same with other businesses. We'll be working to teach others how to start worker directed organizations like co-ops, discos, daos, and unions. This is what we want to give back to the world and our community.

Guest Bakers

We will be reaching out to all local aspiring bakers and offering them the opportunity to bake out of our shop! This will help those that want to get their business started by allowing them to use us as a jumping off point but will also help to make our store feel like home for a large chunk of our community. We're all stronger when we help each other and we hope that by empowering our

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local bakers we can show that!

#### Coffee Shop

We are a large coffee shop in the heart of Mesa that is the perfect place to relax and get some work done. The atmosphere is cozy and welcoming, with soft lighting, comfortable seating, and a warm vibe. The coffee is always freshly brewed and the selection of teas and pastries is delicious. The staff is friendly and helpful, and they are happy to refill your drink or give you a recommendation. The music is always low and the ambiance is peaceful, making it easy to focus on your work. There is also free Wi-Fi and plenty of outlets, so you can easily stay connected and powered up. Overall, it's a wonderful spot to spend an afternoon studying or working in a relaxed and comfortable environment.

#### Shared Workplace

Shared workspaces can help communities in a number of ways. They provide a place for people to work, collaborate, and connect with others, which can foster a sense of community and belonging. Shared workspaces can also stimulate local economic development, as they provide opportunities for entrepreneurs and small businesses to grow and succeed. In addition, shared workspaces can help to reduce the environmental impact of commuting, as they allow people to work closer to home and reduce the need for long distance travel. Overall, shared workspaces can be a valuable resource for communities, promoting social, economic, and environmental sustainability.

#### Worker Directed

We'll be allowing our workers to propose changes, vote, enjoy a living wage, and receive profit sharing with the goal of making our shop one of the very first worker directed coffee shops in Arizona. We want to show people that it's possible to run a profitable business while still respecting and including the people that are creating the value in that organization, the workers.

This is a deeply held believe for my wife and I. We will be working tirelessly to help as many people build a middle class life for themselves through the Beanchain as possible.

For more information, please refer to the Page View included with this filing.

#### (E) Number of Employees

The Company currently has 1 employees. The Company may hire or discharge employees in the future to meet its objectives.

#### (F) Risks of Investing

A crowdfunding investment involves risk. **YOU SHOULD NOT INVEST ANY FUNDS IN THIS OFFERING UNLESS YOU CAN AFFORD TO LOSE YOUR ENTIRE INVESTMENT.** In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. Please review the Educational Materials for risks that are common to many of the companies on the MainVest platform.

THESE SECURITIES ARE OFFERED UNDER AN EXEMPTION FROM REGISTRATION UNDER FEDERAL LAW. THE U.S. SECURITIES AND EXCHANGE COMMISSION (THE 'SEC') HAS NOT MADE AN INDEPENDENT DETERMINATION THAT THESE SECURITIES ARE EXEMPT FROM REGISTRATION. THE SEC HAS NOT PASSED UPON THE MERITS OF THE SECURITIES OR THE TERMS OF THE OFFERING, AND HAS NOT PASSED UPON THE ACCURACY OR COMPLETENESS OF

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# THE OFFERING DOCUMENTS OR LITERATURE.

THESE SECURITIES HAVE NOT BEEN RECOMMENDED OR APPROVED BY ANY FEDERAL OR STATE SECURITIES COMMISSION OR REGULATORY AUTHORITY. FURTHERMORE, THESE AUTHORITIES HAVE NOT PASSED UPON THE ACCURACY OR ADEQUACY OF THIS DOCUMENT.

Please refer to Appendix A for additional risks to consider when investing in this offering.

# **(G) Target Offering Amount and Offering Deadline**

| Target Offering Amount | $35,000 |
| --- | --- |
| Offering Deadline | April 21, 2023 |

If the sum of the investment commitments does not equal or exceed the Target Offering Amount as of the Offering Deadline, no securities will be sold in the offering, investment commitments will be canceled, and all committed funds will be returned. The Company may extend the Offering Deadline and shall treat such an extension as a material change to the original offer and provide Investors with notice and opportunity to reconfirm their investment in accordance with Section (K) of this Memorandum.

# **(H) Commitments that Exceed the Target Offering Amount**

| Will the Company accept commitments that exceed the Target Offering Amount? | Yes |
| --- | --- |
| What is the maximum you will accept in this Offering? | $124,000 |
| If Yes, how will the Company deal with the oversubscriptions? | We will accept subscriptions on a first-come, first-served basis. |

# **(I) How the Company Intends to Use the Money Raised in the Offering**

The Company is reasonably sure it will use the money raised in the offering as follows:

| Use | Amount (Minimum) | Amount (Maximum) |
| --- | --- | --- |
| Construction of Coffee Shop / Bakery / Shared Workplace | $25,000 | $80,000 |
| Operating Expenses | $7,637 | $35,630 |
| Mainvest Compensation | $2,362.5 | $8,370 |
| TOTAL | $34,999.5 | $124,000 |

The amounts listed estimates and are not intended to be exact description of the Company's expenditures. Exact allocation and use of funds may vary based upon legitimate business expenditures and economic factors.

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## (J) The Investment Process

### To Invest

- Review this Form C and the Campaign Page
- If you decide to invest, enter an amount and press the Invest button
- Follow the instructions

### TO CANCEL YOUR INVESTMENT

Send an email to info@mainvest.com no later than 48 hours before the Offering Deadline or go to the dashboard for your user account to cancel manually. In your email, include your name and the name of the Company.

### Other Information on the Investment Process

- Investors may cancel an investment commitment until 48 hours prior to the Offering Deadline.
- MainVest will notify investors when and if the Target Offering Amount has been raised.
- If the Company reaches the Target Offering Amount before the Offering Deadline, it may close the offering early if it provides notice about the new Offering Deadline at least five business days before such new Offering Deadline, absent a material change that would require an extension of the offering and reconfirmation of the investment commitment.
- If an investor does not cancel an investment commitment before the 48-hour period before the Offering Deadline, the funds will be released to the Company upon closing of the offering and the investor will receive securities in exchange for his or her investment.

For additional information about the investment and cancellation process, see the Educational Materials.

## (K) Material Changes

In the event the issuer undergoes a material change, the Investor will be notified of such change. The investor will have five (5) business days from the receipt of such notice to reconfirm their investment. IF AN INVESTOR DOES NOT RECONFIRM HIS OR HER INVESTMENT COMMITMENT WITHIN FIVE (5) DAYS OF THE NOTICE OF MATERIAL CHANGE BEING SENT, THE INVESTOR'S INVESTMENT COMMITMENT WILL BE CANCELLED, THE COMMITTED FUNDS WILL BE RETURNED, AND THE INVESTOR WILL NOT BE ISSUED ANY OF THE SECURITIES REFERENCED IN THIS OFFERING.

### Explanation

A “material change” means a change that an average, careful investor would want to know about before making an investment decision. If a material change occurs after you make an investment commitment but before the Offering closes, then the Company will notify you and ask whether you want to invest anyway. If you do not affirmatively choose to invest, then your commitment will be cancelled, your funds will be returned to you, and you will not receive any securities.

## (L) Price of the Securities

The Company is offering “securities” in the form of revenue sharing notes, which we refer to as “Notes.” The Notes are being offered at their face amount. For example, you will pay $1,000 for a Note with a face amount of $1,000.

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## (M) Terms of the Securities

### Overview

The Company is offering “securities” in the form of revenue sharing notes, which we refer to as the “Notes.” The Terms of the Notes are set forth in the Revenue Share Agreement accompanying this Form C in Appendix A. Copies of the Note and Revenue Sharing Agreement are attached to this Form C.

### Summary of Terms

| Revenue Percentage 1 | 2.0 - 7.1% 2 |
| --- | --- |
| Payment Deadline | 2028-12-31 |
| Maximum Payment Multiple 3 - Early Investors - All Other Investors | 1.5 x 1.4 x |
| Sharing Start Date | The first day after disbursement that the company has revenues greater than one ($1) dollar |
| First Payment Date | The last day of the calendar quarter ending not less than 90 days after the Sharing Start Date |
| Seniority | Subordinated |
| Securitization | Unsecured |
| Accrual Rate | 3.79% |

$^{1}$ as defined in the note agreement included in Appendix A

$^{2}$ The rate of revenue sharing is calculated on a linear scale with a minimum rate of 2.0% and a maximum rate of 7.1% and is rounded to the nearest 1/10th percent. The final rate is based on the amount raised and is calculated after the offering has successfully closed. As the amount raised in the offering increases, the rate of revenue sharing increases. For example, a hypothetical offering could result in the following revenue sharing percentages, depending on the amount raised:

| Amount Raised | Revenue Sharing Percentage |
| --- | --- |
| $35,000 | 2.0% |
| $57,250 | 3.3% |
| $79,500 | 4.5% |
| $101,750 | 5.8% |
| $124,000 | 7.1% |

$^{3}$ To reward early participation, the investors who contribute the first $20,000.0 raised in the offering will receive a 1.5x cap. Investors who contribute after $20,000.0 has been raised in the offering will receive a 1.4x cap.

### Your Right to Payments under the Note

Your right to payments under the Note is set forth in the Note, together with a separate document

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called the Revenue Sharing Agreement. Copies of the Note and Revenue Sharing Agreement are attached to this Form C. Additionally, general terms are outlined below and in the Company's offering page.

# Obligation to Contribute Capital

Once you pay for your Note, you will have no obligation to contribute more money to the Company, and you will not be personally obligated for any debts of the Company. However, under some circumstances you could be required by law to return some or all of a distribution you receive from the Company.

# No Right to Transfer

You should plan to hold the Notes until maturity. The Notes will be illiquid (meaning you might not be able to sell them) for at least four reasons:

- The Revenue Sharing Agreement prohibits the sale or other transfer of Notes without the Company's consent.
- If you want to sell your Note the Company will have the first right of refusal to buy it, which could make it harder to find a buyer.
- Even if a sale were permitted, there is no ready market for Notes, as there would be for a publicly-traded stock.
- By law, for a period of one year you won't be allowed to transfer the Investor Shares except (i) to the Company itself, (ii) to an "accredited" investor, (iii) to a family or trust, or (iii) in a public offering of the Company's shares.

# Security

The Notes are not secured by any assets of the Company or any assets of persons associated with the Company.

# Modification of Terms of Notes

The terms of the Notes and the Revenue Sharing Agreement may be modified or amended with the consent of Investors holding 50% of the Notes, measured by the total amount outstanding under each Note.

# Other Classes of Securities

| Name of Security | Limited Liability Company Interests |
| --- | --- |
| Number of Shares Outstanding | N/A |
| Describe Voting Rights of These Securities, Including Any Limitations on Voting Rights | N/A |
| How these securities differ from the revenue sharing notes being offered to investors | Limited Liability Company Interests are an equity interest, whereas Revenue Sharing Notes are a debt obligation of the Company. |

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## Dilution of Rights

The Company has the right to create additional classes of securities, both equity securities and debt securities (e.g., other classes of promissory notes). Some of these additional classes of securities could have rights that are superior to those of the Notes. For example, the Company could issue promissory notes that are secured by specific property of the Company.

## The People Who Control the Company

Each of these people owns 20% or more of the total voting power of the Company:

| Name of Holder | % of Voting Power (Prior to Offering) |
| --- | --- |
| David Baxter | 100% |

## How the Exercise of Voting Rights Could Affect You

You will receive payments with respect to your Note only if the Company makes enough money to pay you, or, if the Company does not make enough money to pay you, if there is enough value in the collateral the Company pledged as security for the Notes.

The people with voting rights control the Company and make all the decisions about running its business. If they make good business decisions, it is more likely you will be paid. If they make poor business decisions, it is less likely you will be paid. For example, if they hire too many people and/or try to expand too quickly, the business could be harmed. The people with voting rights could also decide to file for bankruptcy protection, making it more difficult for you to be paid.

## How the Notes are Being Valued

The Notes are being valued at their face value. We don't anticipate that we'll ever need to place a value on the Notes in the future.

## (N) The Funding Portal

The Company is offering its securities through MainVest, Inc., which is a 'Funding Portal' licensed by the Securities and Exchange Commission and FINRA. MainVest Inc.'s Central Index Key (CIK) number is 0001746059, their SEC File number is 007-00162, and their Central Registration Depository (CRD) number is 298384.

## (O) Compensation of the Funding Portal

Upon successful funding of the Offering, the Funding Portal will receive as the 'Revenue Securement Fee'; 4.5% of the amount of the Offering raised by In-Network Users of the Platform plus 9.0% of the amount of the Offering raised by all other investors. 'In-Network Users' means a user of Mainvest.com who who have utilized the Company's specified in-network link on the Site.

## (P) Indebtedness of the Company

The Company has no indebtedness outside of the debt the Company is expecting to raise through regulation crowdfunding on MainVest.

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(Q) Other Offerings of Securities within the Last Three Years

The Company has not made any offerings with other third-party regulation crowdfunding companies in the past three years.

(R) Transactions Between the Company and “Insiders”

The Company has not entered into any business transactions, including stock Purchases, salaries, property rentals, consulting arrangements, guaranties, or other agreements with any individual identified in Section 227.201 (r)(1)-(4) of Regulation Crowdfunding during the 12 months preceding this Offering.

(S) The Company’s Financial Condition

Historical milestones

Beachain Coffee has been operating since 10/22/2021 and has since achieved the following milestones:

- Developed a comprehensive business plan
- Built a Coffee Cart
- Obtained all licenses / permits needed to operate coffee cart
- Signed a lease with a great rent rate!
- Made our first dollar!
- Started developing our customer base by running the cart in the plaza our shop will be located in until construction is finished

Heart, Commitment, and Liquidity

The founder of the Beachain started by investing nearly all of his own savings into the shop. It has many of the assets needed to run the shop already purchased and a good reserve of cash built up. We believe in our mission to our core and we’re willing to put our money where our mouth is.

Beachain Coffee has a strong liquidity position due to its high cash reserves as compared to debt and other liabilities. Beachain Coffee expects its liquidity position to decline upon raising capital on Mainwest and deploying the capital to grow the business.

No other outstanding debt or equity

The capital raised through Mainwest will make up the entirety of the Beachain Coffee’s fundraising. However, beachain may require additional funds from alternate sources at a later date.

(T) The Company’s Financial Statements

Please see Appendix B for historical financial statements.

Pro Forma Income Statement

In order to illustrate its future earning potential, the Company has provided a summary of its - year financial forecast. The forecast has been developed by the Company using reasonable best

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efforts based on their understanding of the industry and market they wish to enter. Please refer to Section (F) of this Offering Memorandum for a list of the risks associated with an investment in the Company and utilizing any pro forma provided by the Company for making investment decisions.

|  | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
| --- | --- | --- | --- | --- | --- |
| Gross Sales | $235,000 | $421,000 | $460,000 | $488,000 | $523,000 |
| Cost of Goods Sold | $64,000 | $101,000 | $112,000 | $120,000 | $130,000 |
| Gross Profit | $171,000 | $320,000 | $348,000 | $368,000 | $393,000 |
| EXPENSES |  |  |  |  |  |
| Rent | $55,000 | $82,000 | $82,000 | $82,000 | $82,000 |
| Utilities | $7,000 | $13,000 | $14,000 | $15,000 | $17,000 |
| Staff Labor Costs | $75,000 | $136,000 | $136,000 | $136,000 | $136,000 |
| Insurance | $6,800 | $10,000 | $10,000 | $10,000 | $10,000 |
| Repairs & Maintenance | $5,000 | $5,125 | $5,253 | $5,384 | $5,518 |
| Legal & Professional Fees | $1,000 | $1,025 | $1,050 | $1,076 | $1,102 |
| Operating Profit | $21,200 | $72,850 | $99,697 | $118,540 | $141,380 |

#### (U) Disqualification Events

Neither The Company nor any individual identified by Section 227.503(a) of Regulation Crowdfunding is the subject of a disqualifying event as defined by Section 227.503 of Regulation Crowdfunding.

#### Explanation

A company is not allowed to raise money using Regulation Crowdfunding if certain designated people associated with the Company (including its directors or executive officers) committed certain prohibited acts (mainly concerned with violations of the securities laws) on or after May 16, 2016. (You can read more about these rules in the Educational Materials.) This item requires a company to disclose whether any of those designated people committed any of those prohibited acts before May 16, 2016.

#### (V) Updates on the Progress of the Offering

To track the investment commitments we've received in this Offering, click to see the Progress Bar.

#### (W) Annual Reports for the Company

The Company will file a report with the Securities and Exchange Commission annually and post the report on our website no later than 120 days after the end of each fiscal year. It's possible that at some point, the Company will not be required to file any more annual reports. We will notify

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you if that happens.

# **(X) Our Compliance with Reporting Obligations**

The Company has never raised money using Regulation Crowdfunding before, and therefore has never been required to file any reports.

# **(Y) Other Information Prospective Investors Should Know About**

The Issuer may offer “Perks” as a means of showing appreciation to investors for supporting small community businesses. The offering of “Perks” by issuers is done purely on a voluntary basis and have no influence upon the terms of the Offering. As such, Investor “Perks” are not contractual conditions governed by “the Note” and are not enforceable under “the Note”.

# **Additional Information Included in the Form C**

|  | Most recent fiscal year-end (tax returns) | Prior fiscal year-end (tax returns) |
| --- | --- | --- |
| Total Assets | $0 | $0 |
| Cash & Cash Equivalents | $0 | $0 |
| Accounts Receivable | $0 | $0 |
| Short-term Debt | $0 | $0 |
| Long-term Debt | $0 | $0 |
| Revenues/Sales | $0 | $0 |
| Cost of Goods Sold | $0 | $0 |
| Taxes Paid | $0 | $0 |
| Net Income | $0 | $0 |

Jurisdictions in which the Company intends to offer the securities:

AL, AK, AZ, AR, CA, CO, CT, DE, DC, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WA, WV, WI, WY, B5, GU, PR, VI, 1V

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**Attachment 2:** `beanchain_busplanca.pdf`

![img-0.jpeg](img-0.jpeg)

CONFIDENTIAL

# Beanchain Coffee

*Good coffee and good ideas*

## Business plan

Prepared March 2023

### Contact Information

David Luke Baxter

david.baxter@bchain.coffee

4802016965

bchain.coffee

1110 W Southern Ave Ste 8

Mesa, Arizona 85210, United States

Beanchain

# Table of Contents

Executive Summary...1
    Opportunity...1
    Expectations...2
Opportunity...4
    Problem & Solution...4
    Target Market...5
    Competition...6
Execution...7
    Marketing & Sales...7
    Operations...10
    Milestones & Metrics...11
Company...12
    Overview...12
    Team...12
Financial Plan...14
    Forecast...14

i

CONFIDENTIAL - DO NOT DISSEMINATE. This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

Beanchain

Financing...16
Statements...17
Appendix...23

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CONFIDENTIAL - DO NOT DISSEMINATE. This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

Beanchain---

# Executive Summary

## Opportunity

### Problem

People in downtown Mesa love coffee! They are also looking for a great place to sit down and talk to friends, study, come up with great ideas, and keep up with the latest technologies. A coffee shop that has a great atmosphere for thought and social interaction would be a fantastic addition to the local commercial environment. Unfortunately there is no one in the area that is appealing to the tech and student leaning crowd that lives here.

### Solution

Our coffee shop will offer great coffee and food at reasonable prices while making sure to host an atmosphere that provokes thought and good communication. We will incorporate a shared work space into our coffee shop to best serve students, professionals, and casual coffee drinkers alike.

### Market

The shop is located in a densely populated area that is near the college and next to a popular shopping area. Its also very close to the freeway, making it easy to get to. With roughly 119,970 coffee drinkers and 52,386 students at ASU there is a very large potential customer base to tap into. With people now beginning to return to restaurants and coffee shops we are positioned nicely to take a lot of that customer base. Given that so many establishments have had to close their doors during covid this could be a great time to capitalize on the space left there as well.

### Competition

Our competition in the area is slim. There is a Dutch Bros nearby that has no seating available and no wifi therefore we are a better option for the college

---

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**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain---

student or professional looking for a table and internet connection to use for studies. They don't host events or include any local communities in any way. It is simply a drive through. For anyone looking for a good bite to eat and a place to sit there is no competition.

Another local competitor would be Starbucks. The closest Starbucks is blocks away though and has many of the same shortcomings as dutch bros. With more products and better quality we can provide a fantastic alternative to the Starbucks in the area.

## Why Us?

Our goal is to provide an amazing place to sit and work on whatever it is you're current pursuit is. Whether that's going to school at the local university, working from home, or just spending time talking to your friends and playing a board game. With the large interior space and moderate outdoor seating there is an incredible capacity. The build is serviced by top tier commercial internet lines and has ample parking so it is quite accessible. With great coffee and fantastic food and drink options people will return to the counter many times to restock on coffee and snacks while they work.

There is a tremendous community to tap into here and nothing like us in the area. With a heavy focus on building community and working with local niche groups and college clubs we'll build a loyal customer base incredibly fast. These customers will make the Beanchain a regular part of their day. It will be a very warm and convenient shop that gives them exactly what they need. Community and Coffee.

## Expectations

### Forecast

We are projecting sales of $612,000 in our first year of operation, $1,143,000 for our second year, and $1,565,000 our third year. Our net profit will remain in the red until our second year as we pay-off equipment and startup costs, we will become profitable in FY2023. This is assuming we can serve 100-150 patrons a day with a reasonable and realistic growth goal of 25% per fiscal quarter for our first four

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Beanchain

quarters. Our average ticket is competitive with the area, at 8.80 per ticket, which is in-line with market research sourced from several area coffee shops.

We have an aggressive debt payment plan with a loan completion date of FY2026. Our biggest costs will be specialty equipment that will be one-time expenses and require quarterly maintenance to ensure continuing operation.

### Financial Highlights by Year

![img-1.jpeg](img-1.jpeg)

### Financing Needed

Currently, our financial needs are estimated at $50,000. We are seeking a small-business loan of $50,000, estimated at 2.25% interest over a 5-year term.

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Beanchain---

# Opportunity

## Problem & Solution

### Problem Worth Solving

The area in Mesa that we're looking at has a Banner Medical Center, Community College, couple of trade schools, two high density apartment complexes, massive housing community, and 100's of small businesses within a 2 mile area but one thing it does not have is a good coffee shop to sit down at for a drink and some good food.

Since the failed Fiesta Mall is scheduled to be rebuilt into a new Medical and Education complex there will be even more students and professionals in coming to the area on a daily basis. These are all people that will be working long hours and studying on a daily basis. Not having a coffee shop in the area that has an atmosphere geared towards these peoples needs is a huge missed opportunity.

We live in a time when many companies and independent workers are switching to a more work from how or out of office approach to work. Many more people are looking for a 3rd place to be. Not just work or home but a comforting environment that can be a safe place to work, study, and commune with each other.

### Our solution

We plan on providing amazing **coffee** and **food** for our customers with ample space, good lighting, and a relaxing vibe that makes them feel rejuvenated.

By **offering office space and a conference room** in the coffee shop we can help to address the growing need for a place to work and study in a world that is moving away from crowded offices.

All the medical professionals from the neighboring complexes will be welcome to come spend their lunches with us. Enjoying our fresh baked foods and refueling with a cup of coffee before heading back to their shift.

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The students from any of the 2 nearby colleges and many nearby technical schools(one even in the same complex) can get food and drink between classes and catch their breath before the next course starts.

## Target Market

Our strongest market will be students who are attending MCC and Arizona State University just next door. They fit the demographic for coffee drinkers and for people who are getting involved in blockchain technologies.

With around 175,000 students enrolled concurrently and 50,000 of those specifically attending the Tempe campus of ASU there is a healthy population of students to pull from. A study at the university of Kentucky suggests that 78% of college students drink coffee nearly every day.

There is a huge medical complex next door as well that has hundreds of professionals working at it and generates and immense amount of traffic. These are all individuals that are going to be taking lunch breaks, working long shifts, and drink disproportionately more coffee than other groups do. Not to mention all the patients that are in and out of the place.

Traffic breaks down as follows

North: 30,485 VPD

South: 36,916 VPD

East: 23,114 VPD

West: 25,8707 VPD

Other great markets for our coffee shop are coffee drinkers in the area. About 62% of Americans drink coffee every day and there are 187,454 people in Tempe(2019). That gives us about 116,221 coffee drinkers that could become loyal costumers.

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There are two huge construction projects that will bring new customers as well with the new apartments coming in right next door and the renovation of the Fiesta mall starting soon as well. The mall will be turned into another medical center bringing thousands more potential customers on a monthly basis!

## Competition

### Current alternatives

BeanChain's direct competitors will be other coffee shops in the area. These include a DutchBros and Starbucks location. These competitor locations offer rapid drive-thru service but limited seating that is outdoor only.

### Our advantages

Our advantages lie in having ample indoor seating with plenty of parking. The indoor space will be warm and inviting with plenty of opportunities for studying quietly or sharing ideas on whiteboards posted on the walls. This indoor space also affords higher quality customer interactions, stronger customer relations and increased opportunity for customers to purchase grab-and-go items or bakery items.

There are no other coffee shops in a large area around our shop besides low quality drive through centric shops like Dutch Bros and Starbucks. We are providing a better sit down experience with food and atmosphere.

There are no shared work spaces around our location. Since we're next to multiple new apartment buildings, a large housing community, college, medical complex, and in a growing downtown there will be a surplus of professionals looking for a good place to sit down and work. We've seen shared work spaces doing very well in recent years and one in a coffee shop can provide another level of comfort that others may not be able to.

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# Execution

## Marketing & Sales

### Marketing Plan

Our goal at Beanchain is to provide a coffee shop where people have room to spread out, share ideas on community whiteboards, study, and enjoy on-premises roasted coffee and in-house baked-from-scratch goods.

We plan to **increase brand awareness** by encouraging a steady increase in number through our first years of operation. To do accomplish this we have founded relationships with the schools nearby, collegiate student clubs as well as nearby businesses.

To **increase revenue**, we have employed knowledgeable and caring employees that can please even the most discerning customers and help them purchase everything they require and more!

Our profit will be boosted by leveraging an in-house coffee roaster and from-scratch baked goods alongside experienced staff with an incentive to reduce waste.

Our **key metrics** are average ticket price, sales per hour per employee and number of sales per day.

**Engagement will be driven** by a rewards program, a website, and an order tracking system that remembers customers' favorite orders and offers our products online for pickup and delivery.

Our target customer is young professionals, students, and members of the community. 77% of adults drink coffee daily and those are the ones we're looking to provide an excellent product and space for.

With buyers becoming more educated about what goes into specialty coffee beverages and how they're made, we will stand out above the solely volume-focused product of our competitors. We also plan to tap the whole bean roasted coffee consumers with in-house roasting. Alongside our specialty coffees and lattes, we will have an extensive selection for the students and business workers looking for a cheap kick in the form of drip coffee and grab-and-go products.

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## Beanchain---

Our position in the market is defined by several methods: furniture arrangements and offerings, music selection, aesthetics, community collaboration and communication, and a good, honest product. We will provide more than enough spacing by spreading out tables, offering comfortable seating and plenty of outlets. This will help us define our relaxed setting, encouraging customers to sit down, get comfortable and stay awhile. Music selection will help reinforce these aspects. Our aesthetic looks to bring a clean façade wrapped in earthy tones with plenty of plants to enhance calm, focus, and productivity. Community whiteboards will be available to assist those studying and for those who need a canvas to paint their ideas.

The marketing strategy we are using is multi-faceted and by combining several different vectors we dramatically increase our chance of success and diminish risk. Word of mouth is the most important marketing avenue for coffee shops and we plan to create great customer service experiences to bring them back again and again. Everyone wants to be the friend who's found a great coffee spot and we're going to fulfill that wish for them. Average products don't inspire many people to talk and we're aiming to generate a powerful positive buzz right out of the gate. We plan to actively seek out customer feedback and recommendations to adapt to anything thrown our way. Making the customer happy is our number one focus and we will do whatever is necessary to achieve that.

Curb appeal will also play a large role in drawing customers. With plenty of roasted coffee and bakery smells wafting from the shop, we will have a large open door with the signage and postings easily found.

Social media will be outsourced to a professional service under the oversight of our graphic designer. We want to make ensure our posts are diverse, interactive, and most importantly; human. We seek to engage on a personal level. We are already active on our social media posting pictures of some products we will be offering. Just as consistency is the most important characteristic of quality coffee experiences, we will provide a consistent flow of content on our social media to maintain engagement. We also plan to host workshops, small events, meetings, and other community-building activities.

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## Sales Plan

Our storefront as the cornerstone of our business will be a warm and welcoming space. Utilizing knowledgeable and experienced baristas we will guide inexperienced customers to a drink they will love and please discerning customers requesting specialty products. Our storefront as the cornerstone of our business will be a warm and welcoming space. Utilizing knowledgeable and experienced baristas we will guide even inexperienced customers to a drink they will love. We want this to be a community for everyone, so we plan to accommodate and please even the most discerning and picky individuals with something they will come back time and time again for. We will focus on creating a kind of environment that people want to relax, study, and learn in. The kind of place where the baristas know and remember your name. We are also planning to make sure we have coffee, food, and bakery items for all dietary needs.

To facilitate easy and smooth payment, we will use a simple tablet-based POS system, taking all forms of card payments alongside ApplePay, Google Pay, and other mobile services.

Beanchain coffee will open from 6 am to 12 pm seven days a week. We expect the hours from 6 am to 10 am and 12 pm to 2 pm to be our busiest. We expect to have a max operating capacity of 80-100 drinks per hour which should be sufficient for peak times.

We plan to offer a wide variety of coffee-based beverages and other energy drink products. Our food offerings include fresh baked goods, hot sandwiches made to order, bagels with a choice of spread, and grab-and-go products. We are expecting our daily sales to reach over $3,500 per day by the end of 2022.

The shared work space aspect of the shop will take the form of renting out dedicated offices for around $1,000, which is standard for shared work spaces in the area, and allowing the conference room to be booked by the hour for about $100. We'll be offering a full service experience for both the conference room and the offices so our patrons can focus on what matters to them. If fully booked this could bring in excess of $10,000 extra per month. If only the offices are rented out each month that would bring in $3,000 extra.

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Beanchain---

# Operations

## Locations & Facilities

We are located in a large well-lit building with high visibility and next to a lighted intersection on the corner of Alma School Rd and Southern Ave. We have lots of space for indoor dining and hosting, allowing prolonged customer exposure. We are directly across the street from Fiesta Mall and Target as well as being very close to the US-60 and Mesa Community College. Traffic on the streets directly adjacent to us exceeds 116,000 vehicles per day, there is also healthy foot traffic. There is also a very large apartment complex nearing completion, allowing close-proximity access to potentially thousands of more customer within 100 meters.

## Technology

For the coffee side of things the only technology facing aspect would be a tablet-style Point-of-Sale system to receive and manage orders, take payment and manage the customer rewards program.

## Equipment & Tools

The estimate for equipment is just south of $51,000. This includes all of the specialized hardware required eg: Espresso machines, coffee brewing and grinding machines, oven, refrigeration and freezers. This is all estimates based on brand-new cost while much of this can be found at second-hand prices of 15-30% less than what is listed here.

This equipment list is comprehensive and will more-than-prepare the coffee shop to handle all of the business we could encounter. With modular solutions, scaling up is a breeze.

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## Milestones & Metrics

### Milestones Table

| Milestone | Due Date | Who's Responsible | Details |
| --- | --- | --- | --- |
| Connect with ASU to find partnerships | Completed | David Baxter | Form a relationship with ASU |
| Finalize Lease Agreement | Completed |  |  |
| Build Coffee Cart | Completed |  | Build a fully functional Coffee Cart |
| Submit plans to the City | Completed |  |  |
| Submit Plans to Mesa | Completed | David Baxter | Submitted our plans to the City of Mesa so that we can start construction |
| Hire and Train initial staff | Completed |  |  |
| Launch BeanChain Coffee shop | April 20, 2023 |  |  |
| Coffee truck | October 25, 2023 |  |  |
| Open a second location | September 20, 2024 |  |  |

### Key metrics

Our key performance metrics include: Occupancy for Offices and Conference room, Average ticket price, sales per-hour per-barista, product costs, payroll, maintenance and repairs, net profit margins and hourly-daily-weekly sales performance goals. We plan to have refrigeration and storage ample enough to allow us to purchase in bulk, saving costs and preventing spoilage. We plan to hire experienced baristas, driving labor costs up, but we will offset that with premium product offerings as well as exceptional service quality and speed.

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Beanchain---

# Company

## Overview

Beanchain Coffee will be a LLC registered as a limited liability company. Our sole founder is David Baxter. We do plan on including investors with generous packages to ensure they get a return on their investment.

## Team

### Management team

Our first founder is **David Baxter**. He's a **senior front end engineer** that previously worked at Carvana, Allstate, and ADP. Before he was an engineer though he **worked at a variety of coffee shops** including the Xtreme bean in Tempe and a few different Dutch Bro's coffee shops. He quit his job in September to pursue the dream of opening a local coffee. With a focus on organizing and community building he's brought together a lot of good people that share his vision.

**Shannon Baxter** is heading the social media, marketing, and all design aspects of the company! With **degrees in UX/ UI Design**, Equine Event Management, and Pre- Medicine give her a well rounded understanding of how people think and feel about design and social media interaction

### Advisors

**Denise** is a wonderful business woman in Phoenix that has taken me under her wing to help guide me through starting my first business. She has **owned and run many successful businesses** over the years, been active in the real estate market, and all while raising her children. Her experience has helped us keep our feet on the ground and led us in some very helpful directions as we've set out to create this company.

We have a large network of baristas that are eager to work with us and provide their experience as we build this coffee shop. **Gathering a wealth of experienced**

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**coffee shop workers and managers** from many different shops that are invested in seeing this shop succeed is one of our top priorities and we have build a **community** around that idea by using Discord and other tools.

The **ASU blockchain club** has been incredibly helpful. They were eager to talk when we reached out and helped introduce us to a number of strong leaders in the blockchain space that may prove to be invaluable to the future success of this project.

We've built a large discord community that is composed of business leaders, developers, enthusiasts, and investors. Leaning on this group of people that believe in the mission we've set for ourselves has empowered us. We are fully transparent with this group that is now 70+ strong and they give fantastic advice and feedback that helps us tremendously when making hard decisions. They keep us grounded and echo the passion that we feel for this business.

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# Financial Plan

## Forecast

### Key assumptions

I based many of the values in our financial forecast on the experiences of other coffee shops in the area. I interviewed employees at the Xtreme Bean in Tempe to figure out what a similar coffee shop in size and atmosphere can do. They are a moderately successful coffee shop with an almost identical square footage to what we're looking for and an established brand. They lack the population density that our location has though so our numbers could be considerably higher.

We assume that with the new apartments being constructed next door we will see a huge increase in our customer base very soon after opening. The area is also seeing a large influx of professionals moving in from other states to follow the larger tech companies that are flocking to Mesa.

### Revenue by Month

![img-0.jpeg](img-0.jpeg)

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### Expenses by Month

![img-1.jpeg](img-1.jpeg)

### Net Profit (or Loss) by Year

![img-2.jpeg](img-2.jpeg)

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Beanchain---

## Financing

### Use of funds

We are planning to use our initial funds to cover operating expenses for the first 20 months of operation, purchase equipment, renovate our space, and bolster starting inventory.

### Sources of Funds

We are seeking $300,000 in startup funds. Our founders are contributing $200,000 of that required amount. The remainder we plan to obtain in a business loan and/or SBA loan.

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## Statements

### Projected Profit and Loss

|  | 2023 | 2024 | 2025 | 2026 | 2027 |
| --- | --- | --- | --- | --- | --- |
| Revenue | $235,645 | $421,600 | $460,925 | $488,450 | $523,125 |
| Direct Costs | $64,308 | $101,510 | $112,670 | $120,085 | $130,525 |
| Gross Margin | $171,337 | $320,090 | $348,255 | $368,365 | $392,600 |
| Gross Margin % | 73% | 76% | 76% | 75% | 75% |
| Operating Expenses |  |  |  |  |  |
| Salaries & Wages | $63,000 | $113,400 | $113,400 | $113,400 | $113,400 |
| Employee Related Expenses | $12,600 | $22,680 | $22,680 | $22,680 | $22,680 |
| Marketing | $7,200 | $7,200 | $7,200 | $7,200 | $7,200 |
| Maintenance | $3,840 | $3,840 | $3,840 | $3,840 | $3,840 |
| Purchasing Equipment | $15,000 |  |  |  |  |
| Lease | $55,000 | $82,500 | $82,500 | $82,500 | $82,500 |
| Insurance | $6,800 | $10,200 | $10,200 | $10,200 | $10,200 |
| Utilities | $7,422 | $13,702 | $14,980 | $15,875 | $17,002 |
| Total Operating Expenses | $170,862 | $253,522 | $254,800 | $255,695 | $256,822 |
| Operating Income | $475 | $66,568 | $93,455 | $112,670 | $135,778 |
| Interest Incurred |  |  |  |  |  |
| Depreciation and Amortization | $14,000 | $14,000 | $14,000 | $14,000 | $14,000 |
| Gain or Loss from Sale of Assets |  |  |  |  |  |

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## Beanchain

| Income Taxes | $0 | $1,628 | $3,313 | $4,115 | $5,078 |
| --- | --- | --- | --- | --- | --- |
| Total Expenses | $249,170 | $370,660 | $384,783 | $393,895 | $406,425 |
| Net Profit | ($13,525) | $50,940 | $76,142 | $94,555 | $116,700 |
| Net Profit / Sales | (6%) | 12% | 17% | 19% | 22% |

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## Projected Balance Sheet

|  | Starting Balances | 2023 | 2024 | 2025 | 2026 | 2027 |
| --- | --- | --- | --- | --- | --- | --- |
| Cash | $80,000 | $93,573 | $157,513 | $250,149 | $360,032 | $492,461 |
| Accounts Receivable |  | $0 | $0 | $0 | $0 | $0 |
| Inventory | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
| Other Current Assets |  |  |  |  |  |  |
| Total Current Assets | $81,000 | $94,573 | $158,513 | $251,149 | $361,032 | $493,461 |
| Long-Term Assets | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 |
| Accumulated Depreciation | $0 | ($14,000) | ($28,000) | ($42,000) | ($56,000) | ($70,000) |
| Total Long-Term Assets | $70,000 | $56,000 | $42,000 | $28,000 | $14,000 | $0 |
| Total Assets | $151,000 | $150,573 | $200,513 | $279,149 | $375,032 | $493,461 |
| Accounts Payable |  | $6,240 | $4,562 | $4,812 | $4,980 | $5,246 |
| Income Taxes Payable |  | $0 | $1,628 | $3,313 | $4,115 | $5,078 |
| Sales Taxes Payable |  | $6,858 | $5,908 | $6,467 | $6,825 | $7,324 |
| Short-Term Debt |  |  |  |  |  |  |
| Prepaid Revenue |  |  |  |  |  |  |
| Total Current Liabilities |  | $13,098 | $12,098 | $14,592 | $15,920 | $17,648 |
| Long-Term Debt |  |  |  |  |  |  |
| Long-Term Liabilities |  |  |  |  |  |  |

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## Beanchain

| Total Liabilities |  | $13,098 | $12,098 | $14,592 | $15,920 | $17,648 |
| --- | --- | --- | --- | --- | --- | --- |
| Paid-In Capital | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 |
| Retained Earnings | ($49,000) | ($49,000) | ($62,525) | ($11,585) | $64,557 | $159,112 |
| Earnings |  | ($13,525) | $50,940 | $76,142 | $94,555 | $116,700 |
| Total Owner's Equity | $151,000 | $137,475 | $188,415 | $264,557 | $359,112 | $475,813 |
| Total Liabilities & Equity | $151,000 | $150,573 | $200,513 | $279,149 | $375,032 | $493,461 |

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## Projected Cash Flow Statement

|  | 2023 | 2024 | 2025 | 2026 | 2027 |
| --- | --- | --- | --- | --- | --- |
| Net Cash Flow from Operations |  |  |  |  |  |
| Net Profit | ($13,525) | $50,940 | $76,142 | $94,555 | $116,700 |
| Depreciation & Amortization | $14,000 | $14,000 | $14,000 | $14,000 | $14,000 |
| Change in Accounts Receivable | $0 | $0 | $0 | $0 | $0 |
| Change in Inventory | $0 | $0 | $0 | $0 | $0 |
| Change in Accounts Payable | $6,240 | ($1,678) | $250 | $168 | $266 |
| Change in Income Tax Payable | $0 | $1,628 | $1,685 | $802 | $963 |
| Change in Sales Tax Payable | $6,858 | ($950) | $559 | $358 | $499 |
| Change in Prepaid Revenue |  |  |  |  |  |
| Net Cash Flow from Operations | $13,573 | $63,940 | $92,636 | $109,883 | $132,428 |
| Investing & Financing |  |  |  |  |  |
| Assets Purchased or Sold |  |  |  |  |  |
| Net Cash from Investing |  |  |  |  |  |
| Investments Received |  |  |  |  |  |
| Dividends & Distributions |  |  |  |  |  |

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## Beanchain

Change in  
Short-Term  
Debt

Change in Long-Term Debt

### Net Cash from Financing

| Cash at Beginning of Period | $80,000 | $93,573 | $157,513 | $250,149 | $360,032 |
| --- | --- | --- | --- | --- | --- |
| Net Change in Cash | $13,573 | $63,940 | $92,636 | $109,883 | $132,428 |
| Cash at End of Period | $93,573 | $157,513 | $250,149 | $360,032 | $492,461 |

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Beanchain

# Appendix

## Profit and Loss Statement (With monthly detail)

| 2023 | Jan '23 | Feb '23 | Mar '23 | Apr '23 | May '23 | June '23 | July '23 | Aug '23 | Sept '23 | Oct '23 | Nov '23 | Dec '23 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
| Espresso Drinks | $0 | $0 | $1,100 | $1,430 | $2,035 | $2,420 | $2,585 | $2,970 | $3,465 | $4,015 | $4,950 | $6,167 |
| Unit Sales | 0 | 0 | 200 | 260 | 370 | 440 | 470 | 540 | 630 | 730 | 900 | 1,121.26 |
| Unit Prices | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 |
| Cold Brew | $25 | $40 | $100 | $150 | $400 | $700 | $1,155 | $1,572 | $2,138 | $2,750 | $3,500 | $4,100 |
| Unit Sales | 5 | 8 | 20 | 30 | 80 | 140 | 231.07 | 314.44 | 427.54 | 550 | 700 | 820 |
| Unit Prices | $5 | $5 | $5 | $5 | $5 | $5 | $5 | $5 | $5 | $5 | $5 | $5 |
| RedBull Drinks |  |  | $393 | $532 | $724 | $986 | $1,342 | $1,828 | $2,488 | $3,382 | $4,601 | $6,260 |
| Unit Sales |  |  | $2.59 | 71.16 | 96.94 | 132 | 179.44 | 244.41 | 332.58 | 452.2 | 615.15 | 836.87 |
| Unit Prices | $7.47 | $7.47 | $7.47 | $7.47 | $7.47 | $7.47 | $7.48 | $7.48 | $7.48 | $7.48 | $7.48 | $7.48 |
| Teas |  |  | $388 | $529 | $720 | $979 | $1,333 | $1,688 | $2,063 | $2,625 | $3,300 | $4,013 |
| Unit Sales |  |  | 103.5 | 141 | 192 | 261 | 355.5 | 450 | 550 | 700 | 880 | 1,070 |
| Unit Prices | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 | $3.75 |
| Drip coffee |  |  | $252 | $346 | $475 | $650 | $891 | $1,222 | $1,674 | $2,295 | $3,143 | $4,307 |
| Unit Sales |  |  | 84 | 115.2 | 158.4 | 216.6 | 297 | 407.4 | 558 | 765 | 1,047.6 | 1,435.8 |
| Unit Prices | $3 | $3 | $3 | $3 | $3 | $3 | $3 | $3 | $3 | $3 | $3 | $3 |
| Bagels / spread | $0 | $0 | $0 | $0 | $80 | $240 | $520 | $760 | $1,080 | $1,551 | $2,040 | $2,600 |
| Unit Sales | 0 | 0 | 0 | 0 | 20 | 60 | 130 | 190 | 270 | 387.72 | 510 | 650 |
| Unit Prices | $4 | $4 | $4 | $4 | $4 | $4 | $4 | $4 | $4 | $4 | $4 | $4 |
| Coffee Cart | $3,600 | $3,600 | $3,780 | $3,780 | $3,780 | $3,900 | $3,900 | $3,900 | $3,900 | $3,900 | $3,900 | $3,960 |

23

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## Beanchain

| Unit Sales | 600 | 600 | 630 | 630 | 630 | 650 | 650 | 650 | 650 | 650 | 650 | 660 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Unit Prices | $6 | $6 | $6 | $6 | $6 | $6 | $6 | $6 | $6 | $6 | $6 | $6 |
| Grab & Go items |  |  | $112 | $140 | $175 | $220 | $274 | $342 | $428 | $536 | $670 | $837 |
| Unit Sales |  |  | 24.8 | 31.2 | 38.8 | 48.8 | 60.8 | 76 | 95.2 | 119.2 | 148.8 | 186 |
| Unit Prices | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 |
| Bakery items | $0 | $0 | $0 | $140 | $280 | $560 | $840 | $1,400 | $2,271 | $3,040 | $4,077 | $5,460 |
| Unit Sales | 0 | 0 | 0 | 20 | 40 | 80 | 120 | 200 | 324.48 | 434.3 | 582.4 | 780.01 |
| Unit Prices | $7 | $7 | $7 | $7 | $7 | $7 | $7 | $7 | $7 | $7 | $7 | $7 |
| Hot sandwiches |  |  | $0 | $219 | $300 | $402 | $543 | $735 | $990 | $1,338 | $1,809 | $2,442 |
| Unit Sales |  |  | 0 | 27.38 | 37.5 | 50.25 | 67.88 | 91.88 | 123.75 | 167.25 | 226.13 | 305.25 |
| Unit Prices | $8 | $8 | $8 | $8 | $8 | $8 | $8 | $8 | $8 | $8 | $8 | $8 |
| Coffee Beans |  |  | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Unit Sales |  |  | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Unit Prices | $15 | $15 | $15 | $15 | $15 | $15 | $15 | $15 | $15 | $15 | $15 | $15 |
| Conference Room |  |  | $0 | $0 | $500 | $800 | $1,200 | $1,500 | $2,000 | $2,600 | $2,700 | $2,800 |
| Billable Hours |  |  | 0 | 0 | 5 | 8 | 12 | 15 | 20 | 26 | 27 | 28 |
| Hourly Rate | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 |
| Offices |  |  | $0 | $0 | $1,000 | $1,000 | $1,000 | $1,000 | $2,000 | $2,000 | $2,000 | $2,000 |
| Unit Sales |  |  | 0 | 0 | 1 | 1 | 1 | 1 | 2 | 2 | 2 | 2 |
| Unit Prices | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
| Shared Work Space |  |  |  | $1,000 | $1,200 | $1,400 | $1,600 | $2,200 | $2,800 | $3,200 | $3,600 | $4,000 |
| Unit Sales |  |  |  | 5 | 6 | 7 | 8 | 11 | 14 | 16 | 18 | 20 |
| Unit Prices | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 |
| Total Revenue | $3,625 | $3,640 | $6,125 | $8,265 | $11,669 | $14,256 | $17,183 | $21,117 | $27,297 | $33,233 | $40,290 | $48,946 |

Direct Costs

24

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

| Espresso | $0 | $0 | $385 | $501 | $712 | $847 | $905 | $1,040 | $1,213 | $1,405 | $1,733 | $2,158 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Cold Brew | $9 | $14 | $35 | $53 | $140 | $245 | $404 | $550 | $748 | $963 | $1,225 | $1,435 |
| RedBull Drinks |  |  | $334 | $452 | $616 | $838 | $1,141 | $1,554 | $2,115 | $2,875 | $3,911 | $5,321 |
| Drip Coffee |  |  | $50 | $69 | $95 | $130 | $178 | $244 | $335 | $459 | $629 | $861 |
| Coffee Cart | $720 | $720 | $756 | $756 | $756 | $780 | $780 | $780 | $780 | $780 | $780 | $792 |
| Grab & Go Items |  |  | $56 | $70 | $87 | $110 | $137 | $171 | $214 | $268 | $335 | $419 |
| Bagels / Spread | $0 | $0 | $0 | $0 | $20 | $60 | $130 | $190 | $270 | $388 | $510 | $650 |
| Hot Sandwiches |  |  | $0 | $77 | $105 | $141 | $190 | $257 | $347 | $468 | $633 | $855 |
| Teas |  |  | $78 | $106 | $144 | $196 | $267 | $338 | $413 | $525 | $660 | $803 |
| Bakery Items | $0 | $0 | $0 | $28 | $56 | $112 | $168 | $280 | $454 | $608 | $815 | $1,092 |
| Coffee Beans |  |  | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Conference Room |  |  | $0 | $0 | $25 | $40 | $60 | $75 | $100 | $130 | $135 | $140 |
| Shared workspace |  |  | $0 | $0 | $100 | $100 | $100 | $100 | $200 | $200 | $200 | $200 |
| Total Direct Costs | $729 | $734 | $1,694 | $2,111 | $2,856 | $3,598 | $4,460 | $5,579 | $7,188 | $9,069 | $11,566 | $14,725 |
| Gross Margin | $2,896 | $2,906 | $4,431 | $6,155 | $8,813 | $10,658 | $12,724 | $15,538 | $20,109 | $24,164 | $28,724 | $34,220 |
| Gross Margin % | 80% | 80% | 72% | 74% | 76% | 75% | 74% | 74% | 74% | 73% | 71% | 70% |
| Operating Expenses |  |  |  |  |  |  |  |  |  |  |  |  |
| Salaries and Wages |  |  |  |  |  |  |  |  |  |  |  |  |
| Employees (5.8) |  |  | $3,150 | $3,150 | $3,150 | $3,150 | $3,150 | $3,150 | $3,150 | $3,150 | $3,150 | $3,150 |
| Employees (0.88) |  |  |  |  |  |  |  | $6,300 | $6,300 | $6,300 | $6,300 | $6,300 |
| Total Salaries & Wages |  |  | $3,150 | $3,150 | $3,150 | $3,150 | $3,150 | $9,450 | $9,450 | $9,450 | $9,450 | $9,450 |
| Employee Related Expenses |  |  | $630 | $630 | $630 | $630 | $630 | $1,890 | $1,890 | $1,890 | $1,890 | $1,890 |

25

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

| Marketing | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Maintenance | $320 | $320 | $320 | $320 | $320 | $320 | $320 | $320 | $320 | $320 | $320 | $320 | $320 |
| Purchasing Equipment |  |  | $15,000 |  |  |  |  |  |  |  |  |  |  |
| Lease |  |  |  |  | $6,875 | $6,875 | $6,875 | $6,875 | $6,875 | $6,875 | $6,875 | $6,875 | $6,875 |
| Insurance |  |  |  |  | $850 | $850 | $850 | $850 | $850 | $850 | $850 | $850 | $850 |
| Utilities |  |  | $199 | $269 | $379 | $463 | $558 | $686 | $887 | $1,080 | $1,309 | $1,591 |  |
| Total Operating Expenses | $920 | $920 | $19,899 | $4,969 | $12,804 | $12,888 | $12,983 | $20,671 | $20,872 | $21,065 | $21,294 | $21,576 |  |
| Operating Income | $1,976 | $1,986 | ($15,468) | $1,186 | ($3,991) | ($2,230) | ($260) | ($5,133) | ($763) | $3,099 | $7,430 | $12,645 |  |
| Interest Incurred |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Depreciation and Amortization | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 |
| Gain or Loss from Sale of Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Income Taxes | $34 | $34 | ($68) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Expenses | $2,849 | $2,855 | $22,691 | $8,246 | $16,827 | $17,653 | $18,610 | $27,417 | $29,227 | $31,301 | $34,027 | $37,468 |  |
| Net Profit | $776 | $785 | ($16,567) | $20 | ($5,158) | ($3,397) | ($1,426) | ($6,300) | ($1,930) | $1,932 | $6,263 | $11,478 |  |
| Net Profit / Sales | 21% | 22% | (270%) | 0% | (44%) | (24%) | (8%) | (30%) | (7%) | 6% | 16% | 23% |  |

26

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

|  | 2023 | 2024 | 2025 | 2026 | 2027 |
| --- | --- | --- | --- | --- | --- |
| Revenue |  |  |  |  |  |
| Espresso Drinks | $31,137 | $35,750 | $38,500 | $44,000 | $49,500 |
| Unit Sales | 5,661.26 | 6,500 | 7,000 | 8,000 | 9,000 |
| Unit Prices | $5.50 | $5.50 | $5.50 | $5.50 | $5.50 |
| Cold Brew | $16,630 | $40,000 | $50,000 | $55,000 | $60,000 |
| Unit Sales | 3,326.05 | 8,000 | 10,000 | 11,000 | 12,000 |
| Unit Prices | $5 | $5 | $5 | $5 | $5 |
| RedBull Drinks | $22,536 | $21,450 | $22,100 | $23,400 | $24,700 |
| Unit Sales | 3,013.34 | 3,300 | 3,400 | 3,600 | 3,800 |
| Unit Prices | $7.48 | $6.50 | $6.50 | $6.50 | $6.50 |
| Teas | $17,636 | $20,400 | $20,825 | $21,250 | $22,525 |
| Unit Sales | 4,703 | 4,800 | 4,900 | 5,000 | 5,300 |
| Unit Prices | $3.75 | $4.25 | $4.25 | $4.25 | $4.25 |
| Drip coffee | $15,255 | $50,400 | $50,400 | $50,400 | $50,400 |
| Unit Sales | 5,085 | 16,800 | 16,800 | 16,800 | 16,800 |
| Unit Prices | $3 | $3 | $3 | $3 | $3 |
| Bagels / spread | $8,871 | $42,500 | $42,500 | $42,500 | $42,500 |
| Unit Sales | 2,217.72 | 10,000 | 10,000 | 10,000 | 10,000 |
| Unit Prices | $4 | $4.25 | $4.25 | $4.25 | $4.25 |
| Coffee Cart | $45,900 | $48,000 | $54,000 | $54,000 | $54,000 |
| Unit Sales | 7,650 | 8,000 | 9,000 | 9,000 | 9,000 |
| Unit Prices | $6 | $6 | $6 | $6 | $6 |
| Grab & Go Items | $3,733 | $9,000 | $9,000 | $9,000 | $9,000 |
| Unit Sales | 829.6 | 2,000 | 2,000 | 2,000 | 2,000 |
| Unit Prices | $4.50 | $4.50 | $4.50 | $4.50 | $4.50 |

27

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

| Bakery Items | $18,068 | $24,500 | $26,600 | $27,300 | $28,000 |
| --- | --- | --- | --- | --- | --- |
| Unit Sales | 2,581.19 | 3,500 | 3,800 | 3,900 | 4,000 |
| Unit Prices | $7 | $7 | $7 | $7 | $7 |
| Hot sandwiches | $8,778 | $16,000 | $18,400 | $20,000 | $22,400 |
| Unit Sales | 1,097.27 | 2,000 | 2,300 | 2,500 | 2,800 |
| Unit Prices | $8 | $8 | $8 | $8 | $8 |
| Coffee Beans | $0 | $6,000 | $12,000 | $15,000 | $22,500 |
| Unit Sales | 0 | 400 | 800 | 1,000 | 1,500 |
| Unit Prices | $0 | $15 | $15 | $15 | $15 |
| Conference Room | $14,100 | $33,600 | $33,600 | $33,600 | $33,600 |
| Billable Hours | 141 | 336 | 336 | 336 | 336 |
| Hourly Rate | $100 | $100 | $100 | $100 | $100 |
| Offices | $12,000 | $24,000 | $27,000 | $29,000 | $32,000 |
| Unit Sales | 12 | 24 | 27 | 29 | 32 |
| Unit Prices | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
| Shared Work Space | $21,000 | $50,000 | $56,000 | $64,000 | $72,000 |
| Unit Sales | 105 | 250 | 280 | 320 | 360 |
| Unit Prices | $200 | $200 | $200 | $200 | $200 |
| Total Revenue | $235,645 | $421,600 | $460,925 | $488,450 | $523,125 |
| Direct Costs |  |  |  |  |  |
| Espresso | $10,898 | $12,513 | $13,475 | $15,400 | $17,325 |
| Cold Brew | $5,821 | $14,000 | $17,500 | $19,250 | $21,000 |
| RedBull Drinks | $19,156 | $18,233 | $18,785 | $19,890 | $20,995 |
| Drip Coffee | $3,051 | $10,080 | $10,080 | $10,080 | $10,080 |
| Coffee Cart | $9,180 | $9,600 | $10,800 | $10,800 | $10,800 |

28

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

| Grab & Go Items | $1,867 | $4,500 | $4,500 | $4,500 | $4,500 |
| --- | --- | --- | --- | --- | --- |
| Bagels / Spread | $2,218 | $10,625 | $10,625 | $10,625 | $10,625 |
| Hot Sandwiches | $3,072 | $5,600 | $6,440 | $7,000 | $7,840 |
| Teas | $3,527 | $4,080 | $4,165 | $4,250 | $4,505 |
| Bakery Items | $3,614 | $4,900 | $5,320 | $5,460 | $5,600 |
| Coffee Beans | $0 | $3,300 | $6,600 | $8,250 | $12,375 |
| Conference Room | $705 | $1,680 | $1,680 | $1,680 | $1,680 |
| Shared workspace | $1,200 | $2,400 | $2,700 | $2,900 | $3,200 |
| Total Direct Costs | $64,308 | $101,510 | $112,670 | $120,085 | $130,525 |
| Gross Margin | $171,337 | $320,090 | $348,255 | $368,365 | $392,600 |
| Gross Margin % | 73% | 76% | 76% | 75% | 75% |
| Operating Expenses |  |  |  |  |  |
| Salaries and Wages |  |  |  |  |  |
| Employees (5.8) | $31,500 | $37,800 | $37,800 | $37,800 | $37,800 |
| Employees (0.88) | $31,500 | $75,600 | $75,600 | $75,600 | $75,600 |
| Total Salaries & Wages | $63,000 | $113,400 | $113,400 | $113,400 | $113,400 |
| Employee Related Expenses | $12,600 | $22,680 | $22,680 | $22,680 | $22,680 |
| Marketing | $7,200 | $7,200 | $7,200 | $7,200 | $7,200 |
| Maintenance | $3,840 | $3,840 | $3,840 | $3,840 | $3,840 |
| Purchasing Equipment | $15,000 |  |  |  |  |
| Lease | $55,000 | $82,500 | $82,500 | $82,500 | $82,500 |
| Insurance | $6,800 | $10,200 | $10,200 | $10,200 | $10,200 |
| Utilities | $7,422 | $13,702 | $14,980 | $15,875 | $17,002 |
| Total Operating Expenses | $170,862 | $253,522 | $254,800 | $255,695 | $256,822 |

29

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## Beanchain

| Operating Income | $475 | $66,568 | $93,455 | $112,670 | $135,778 |
| --- | --- | --- | --- | --- | --- |
| Interest incurred |  |  |  |  |  |
| Depreciation and Amortization | $14,000 | $14,000 | $14,000 | $14,000 | $14,000 |
| Gain or Loss from Sale of Assets |  |  |  |  |  |
| Income Taxes | $0 | $1,628 | $3,313 | $4,115 | $5,078 |
| Total Expenses | $249,170 | $370,660 | $384,783 | $393,895 | $406,425 |
| Net Profit | ($13,525) | $50,940 | $76,142 | $94,555 | $116,700 |
| Net Profit / Sales | (6%) | 12% | 17% | 19% | 22% |

30

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

Beanchain

## Balance Sheet (With Monthly Detail)

|  | Starting Balances | Jan '23 | Feb '23 | Mar '23 | Apr '23 | May '23 | June '23 | July '23 | Aug '23 | Sept '23 | Oct '23 | Nov '23 | Dec '23 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Cash | $80,000 | $82,591 | $84,783 | $73,697 | $70,968 | $69,775 | $68,549 | $67,577 | $63,938 | $65,156 | $66,960 | $77,327 | $93,573 |
| Accounts Receivable |  | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Inventory | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
| Other Current Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Total Current Assets | $81,000 | $83,591 | $85,783 | $74,697 | $71,968 | $70,775 | $69,549 | $68,577 | $64,938 | $66,156 | $67,960 | $78,327 | $94,573 |
| Long-Term Assets | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 |
| Accumulated Depreciation | $0 | ($1,167) | ($2,333) | ($3,500) | ($4,667) | ($5,833) | ($7,000) | ($8,167) | ($9,333) | ($10,500) | ($11,667) | ($12,833) | ($14,000) |
| Total Long-Term Assets | $70,000 | $68,833 | $67,667 | $66,500 | $65,333 | $64,167 | $63,000 | $61,833 | $60,667 | $59,500 | $58,333 | $57,167 | $56,000 |
| Total Assets | $151,000 | $152,425 | $153,449 | $141,197 | $137,301 | $134,942 | $132,549 | $130,411 | $125,605 | $125,656 | $126,294 | $135,494 | $150,573 |
| Accounts Payable |  | $412 | $414 | $4,453 | $825 | $2,970 | $3,177 | $3,416 | $3,728 | $4,180 | $4,699 | $5,380 | $6,240 |
| Income Taxes Payable |  | $34 | $68 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Sales Taxes Payable |  | $203 | $407 | $750 | $463 | $1,116 | $1,914 | $963 | $2,145 | $3,674 | $1,861 | $4,117 | $6,858 |
| Short-Term Debt |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Prepaid Revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Total Current Liabilities |  | $649 | $889 | $5,203 | $1,288 | $4,086 | $5,091 | $4,379 | $5,873 | $7,854 | $6,560 | $9,497 | $13,098 |
| Long-Term Debt |  |  |  |  |  |  |  |  |  |  |  |  |  |

31

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## Beanchain

### Long-Term Liabilities

| Total Liabilities |  | $649 | $889 | $5,203 | $1,288 | $4,086 | $5,091 | $4,379 | $5,873 | $7,854 | $6,560 | $9,497 | $13,098 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Paid in Capital | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 |
| Retained Earnings | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) | ($49,000) |
| Earnings |  | $776 | $1,561 | ($15,006) | ($14,986) | ($20,145) | ($23,542) | ($24,968) | ($31,268) | ($33,198) | ($31,266) | ($25,003) | ($13,525) |
| Total Owner's Equity | $151,000 | $151,776 | $152,561 | $135,994 | $136,014 | $130,855 | $127,458 | $126,032 | $119,732 | $117,802 | $119,734 | $125,997 | $137,475 |
| Total Liabilities & Equity | $151,000 | $152,425 | $153,449 | $141,197 | $137,301 | $134,942 | $132,549 | $130,411 | $125,605 | $125,656 | $126,294 | $135,494 | $150,573 |

32

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## Beanchain

|  | Starting Balances | 2023 | 2024 | 2025 | 2026 | 2027 |
| --- | --- | --- | --- | --- | --- | --- |
| Cash | $80,000 | $93,573 | $157,513 | $250,149 | $360,032 | $492,461 |
| Accounts Receivable |  | $0 | $0 | $0 | $0 | $0 |
| Inventory | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
| Other Current Assets |  |  |  |  |  |  |
| Total Current Assets | $81,000 | $94,573 | $158,513 | $251,149 | $361,032 | $493,461 |
| Long-Term Assets | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 | $70,000 |
| Accumulated Depreciation | $0 | ($14,000) | ($28,000) | ($42,000) | ($56,000) | ($70,000) |
| Total Long-Term Assets | $70,000 | $56,000 | $42,000 | $28,000 | $14,000 | $0 |
| Total Assets | $151,000 | $150,573 | $200,513 | $279,149 | $375,032 | $493,461 |
| Accounts Payable |  | $6,240 | $4,562 | $4,812 | $4,980 | $5,246 |
| Income Taxes Payable |  | $0 | $1,628 | $3,313 | $4,115 | $5,078 |
| Sales Taxes Payable |  | $6,858 | $5,908 | $6,467 | $6,825 | $7,324 |
| Short-Term Debt |  |  |  |  |  |  |
| Prepaid Revenue |  |  |  |  |  |  |
| Total Current Liabilities |  | $13,098 | $12,098 | $14,592 | $15,920 | $17,648 |
| Long-Term Debt |  |  |  |  |  |  |
| Long-Term Liabilities |  |  |  |  |  |  |
| Total Liabilities |  | $13,098 | $12,098 | $14,592 | $15,920 | $17,648 |
| Paid-In Capital | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 | $200,000 |
| Retained Earnings | ($49,000) | ($49,000) | ($62,525) | ($11,585) | $64,557 | $159,112 |
| Earnings |  | ($13,525) | $50,940 | $76,142 | $94,555 | $116,700 |
| Total Owner's Equity | $151,000 | $137,475 | $188,415 | $264,557 | $359,112 | $475,813 |

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**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

| Total Liabilities & Equity | $151,000 | $150,573 | $200,513 | $279,149 | $375,032 | $493,461 |
| --- | --- | --- | --- | --- | --- | --- |

34

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

Beanchain

## Cash Flow Statement (With Monthly Detail)

| 2023 | Jan '23 | Feb '23 | Mar '23 | Apr '23 | May '23 | June '23 | July '23 | Aug '23 | Sept '23 | Oct '23 | Nov '23 | Dec '23 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Net Cash Flow from Operations |  |  |  |  |  |  |  |  |  |  |  |  |
| Net Profit | $776 | $785 | ($16,567) | $20 | ($5,158) | ($3,397) | ($1,426) | ($6,300) | ($1,930) | $1,932 | $6,263 | $11,478 |
| Depreciation & Amortization | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 | $1,167 |
| Change in Accounts Receivable | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Change in Inventory | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Change in Accounts Payable | $412 | $1 | $4,040 | ($3,628) | $2,145 | $207 | $239 | $312 | $452 | $519 | $681 | $860 |
| Change in Income Tax Payable | $34 | $34 | ($68) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Change in Sales Tax Payable | $203 | $204 | $343 | ($287) | $653 | $798 | ($951) | $1,182 | $1,529 | ($1,813) | $2,256 | $2,741 |
| Change in Prepaid Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
| Net Cash Flow from Operations | $2,591 | $2,191 | ($11,086) | ($2,729) | ($1,193) | ($1,226) | ($972) | ($3,639) | $1,218 | $1,804 | $10,367 | $16,246 |
| Investing & Financing |  |  |  |  |  |  |  |  |  |  |  |  |
| Assets Purchased or Sold |  |  |  |  |  |  |  |  |  |  |  |  |
| Net Cash from Investing |  |  |  |  |  |  |  |  |  |  |  |  |

35

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

Investments
Received

Dividends &
Distributions

Change in
Short-Term
Debt

Change in
Long-Term
Debt

### Net Cash from Financing

| Cash at Beginning of Period | $80,000 | $82,591 | $84,783 | $73,697 | $70,968 | $69,775 | $68,549 | $67,577 | $63,938 | $65,156 | $66,960 | $77,327 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Net Change in Cash | $2,591 | $2,191 | ($11,086) | ($2,729) | ($1,193) | ($1,226) | ($972) | ($3,639) | $1,218 | $1,804 | $10,367 | $16,246 |
| Cash at End of Period | $82,591 | $84,783 | $73,697 | $70,968 | $69,775 | $68,549 | $67,577 | $63,938 | $65,156 | $66,960 | $77,327 | $93,573 |

36

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

## Beanchain

|  | 2023 | 2024 | 2025 | 2026 | 2027 |
| --- | --- | --- | --- | --- | --- |
| Net Cash Flow from Operations |  |  |  |  |  |
| Net Profit | ($13,525) | $50,940 | $76,142 | $94,555 | $116,700 |
| Depreciation & Amortization | $14,000 | $14,000 | $14,000 | $14,000 | $14,000 |
| Change in Accounts Receivable | $0 | $0 | $0 | $0 | $0 |
| Change in Inventory | $0 | $0 | $0 | $0 | $0 |
| Change in Accounts Payable | $6,240 | ($1,678) | $250 | $168 | $266 |
| Change in Income Tax Payable | $0 | $1,628 | $1,685 | $802 | $963 |
| Change in Sales Tax Payable | $6,858 | ($950) | $559 | $358 | $499 |
| Change in Prepaid Revenue |  |  |  |  |  |
| Net Cash Flow from Operations | $13,573 | $63,940 | $92,636 | $109,883 | $132,428 |
| Investing & Financing |  |  |  |  |  |
| Assets Purchased or Sold |  |  |  |  |  |
| Net Cash from Investing |  |  |  |  |  |
| Investments Received |  |  |  |  |  |
| Dividends & Distributions |  |  |  |  |  |
| Change in Short-Term Debt |  |  |  |  |  |
| Change in Long-Term Debt |  |  |  |  |  |
| Net Cash from Financing |  |  |  |  |  |
| Cash at Beginning of Period | $80,000 | $93,573 | $157,513 | $250,149 | $360,032 |
| Net Change in Cash | $13,573 | $63,940 | $92,636 | $109,883 | $132,428 |
| Cash at End of Period | $93,573 | $157,513 | $250,149 | $360,032 | $492,461 |

37

**CONFIDENTIAL - DO NOT DISSEMINATE.** This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

**Attachment 3:** `beanchain_pitchca.pdf`

Beanchain Coffee

# A coffee shop with strong community and good coffee in addition to a shared workspace with a conference room and offices.

![img-0.jpeg](img-0.jpeg)

Our Opportunity

## Problems worth solving

1. Getting coffee and tea to the people
2. Finding a good place to work and study
3. Making Great food
4. Be a peaceful environment to relax in

![img-1.jpeg](img-1.jpeg)

Target market

- Hungry people 58% ($538.1M)
- Coffee drinkers 36% ($667.3M)
- Remote workers 5% ($250M)

Market size: $1.5B

## Our solution

We aim to provide a great sit down coffee shop experience for an area that completely lacks one. Our offices and conference room will provide an affordable shared work experience for anyone that needs a place to work or gather.

| Competitors | How our solution is better |
| --- | --- |
| Dutch Bros | More space, wifi, plugs, environment |
| Starbucks | Better community, atmosphere, seating |

Page 1 of 4

Funding needed

$50K

Building out and operating expenses to ensure
that we can become profitable.

Sales and Marketing

Sales channels

1. Word of mouth
2. Online marketing
3. Coffee cart at events
4. Host events for niche communities
5. Relationships with Businesses

Marketing activities

1. Reaching out to local businesses
2. Social Presence
3. Online Advertisement
4. Colaboration with local bakers
5. Using coffee cart at events

Financial Projections

Revenue

![img-2.jpeg](img-2.jpeg)

Expenses & Costs

![img-3.jpeg](img-3.jpeg)

Profit

![img-4.jpeg](img-4.jpeg)

Page 2 of 4

## Milestones

Apr 20, 2023
**Launch BeanChain Coffee shop**

Oct 25, 2023
**Coffee truck**

Sep 20, 2024
**Open a second location**

## Team and Key Roles

![img-5.jpeg](img-5.jpeg)

**David Baxter**
**Owner/Founder**

Has worked for years as a barista before becoming a software engineer.

![img-6.jpeg](img-6.jpeg)

**Shannon Baxter**
**Designer and Manager**

A student of Design and long time waitress / Barista

Page 3 of 4

Partners and Resources

## PROVISION

### Provision Coffee

A coffee supplier and great teacher! They've helped us hone our skills and are a great ally!

### ASU Blockchain Club

A group of passionate students that would love a great place to study and work!

![img-7.jpeg](img-7.jpeg)

### Arizona Science Center

An educational facility that opens the world of science to families in Arizona.

Page 4 of 4

### UNITED STATES SECURITIES AND EXCHANGE COMMISSION
**Washington, D.C. 20549**

## FORM C

### UNDER THE SECURITIES ACT OF 1933

### Issuer Information

**Is this an amendment?** Yes

**Nature of Amendment:** Issuer is amending their pro-forma projections. Issuer is also supplying updated supplementary materials. Lastly, Issuer is extending the deadline to make an investment.

**Name of Issuer:** Beanchain Coffee LLC

**Legal Status:** Limited Liability Company

**Jurisdiction of Incorporation/Organization:** AZ

**Date of Organization:** 10-22-2021

**Physical Address:** 855 W SOUTHERN AVE, MESA, AZ, 85210

**Issuer Website:** bchain.coffee

**Is there a Co-Issuer?:** No

**Intermediary Name:** MainVest, Inc.

**Intermediary CIK:** 0001746059

**Intermediary File Number:** 007-00162

### Offering Information

**Compensation to Intermediary:** MainVest will be paid Four and one half (4.5) Percent of the amount of the Offering raised by "In-Network Users" of the Platform plus Nine (9) Percent of the amount of the Offering raised by all other investors.

**Financial Interest in Issuer:** MainVest, Inc. owns no interest in the Company, directly or indirectly, and will not acquire an interest as part of the Offering, nor is there any arrangement for MainVest, Inc. to acquire an interest.

**Type of Security Offered:** Debt

**Price per Security:** $1.00

**Method for Determining Price:** The Notes are being valued at their face value. We don't anticipate that we'll ever need to place a value on the Notes in the future.

**Target Offering Amount:** $35,000.00

**Oversubscription Accepted:** Yes

**Oversubscription Allocation Type:** First-come, first-served basis

**Maximum Offering Amount:** $124,000.00

**Deadline to Reach Target Amount:** 04-21-2023

### Annual Report Disclosure Requirements

**Current Number of Employees:** 2.00

**Total Assets (Most Recent Fiscal Year):** $0.00

**Total Assets (Prior Fiscal Year):** $0.00

**Cash & Cash Equivalents (Most Recent Fiscal Year):** $0.00

**Cash & Cash Equivalents (Prior Fiscal Year):** $0.00

**Accounts Receivable (Most Recent Fiscal Year):** $0.00

**Accounts Receivable (Prior Fiscal Year):** $0.00

**Short-Term Debt (Most Recent Fiscal Year):** $0.00

**Short-Term Debt (Prior Fiscal Year):** $0.00

**Long-Term Debt (Most Recent Fiscal Year):** $0.00

**Long-Term Debt (Prior Fiscal Year):** $0.00

**Revenues/Sales (Most Recent Fiscal Year):** $0.00

**Revenues/Sales (Prior Fiscal Year):** $0.00

**Cost of Goods Sold (Most Recent Fiscal Year):** $0.00

**Cost of Goods Sold (Prior Fiscal Year):** $0.00

**Taxes Paid (Most Recent Fiscal Year):** $0.00

**Taxes Paid (Prior Fiscal Year):** $0.00

**Net Income (Most Recent Fiscal Year):** $0.00

**Net Income (Prior Fiscal Year):** $0.00

**Jurisdictions Offered:**

ALABAMA, ALASKA, ARIZONA, ARKANSAS, CALIFORNIA, COLORADO, CONNECTICUT, DELAWARE, DISTRICT OF COLUMBIA, FLORIDA, GEORGIA, HAWAII, IDAHO, ILLINOIS, INDIANA, IOWA, KANSAS, KENTUCKY, LOUISIANA, MAINE, MARYLAND, MASSACHUSETTS, MICHIGAN, MINNESOTA, MISSISSIPPI, MISSOURI, MONTANA, NEBRASKA, NEVADA, NEW HAMPSHIRE, NEW JERSEY, NEW MEXICO, NEW YORK, NORTH CAROLINA, NORTH DAKOTA, OHIO, OKLAHOMA, OREGON, PENNSYLVANIA, PR, RHODE ISLAND, SOUTH CAROLINA, SOUTH DAKOTA, TENNESSEE, TEXAS, UTAH, VERMONT, VIRGINIA, WASHINGTON, WEST VIRGINIA, WISCONSIN, WYOMING

### Signatures

**Issuer:** Beanchain Coffee LLC

**Signature:** David Baxter

**Title:** Owner and Founder

---

**Signature:** David Baxter

**Title:** Owner and Founder

**Date:** 03-09-2023