SORGHUM FARMING BUSINESS PLAN

I. Executive Summary

Company Description

The company, referred to here as the Company, launches in 2026 as a premier agricultural enterprise in the U.S. Plains focused on the sorghum sector. Operating in the agriculture and commodity crop industry, we produce high-quality sorghum grain for food, feed, and energy markets using sustainable, data-driven farming. Our offerings include traceable, climate-resilient grain sold to industrial buyers and processors, differentiated by precision-technology agronomy, resource-efficient production on up to 2,500 acres, and full-chain traceability. One-line summary: we deliver high-yield, low-input sorghum tailored for modern industrial supply chains.

Main activities include precision planting, variable-rate nutrient and irrigation management, remote-sensing yield optimization, on-farm grain conditioning, and buyer-specific traceability reporting. We target large food manufacturers, livestock feed integrators, and bioenergy producers seeking sustainably sourced, verifiable commodities. Short-term goals (2026–2028) are to establish operations across 1,500–2,500 acres, validate yield uplift versus regional baselines, and secure multi-year offtake contracts. Long-term goals (3–7 years) are to scale acreage, expand buyer relationships nationally, and become a recognized leader in sustainable, transparent sorghum supply. One-line summary: we scale verified, climate-resilient sorghum supply to industrial buyers.

Problem

U.S. Plains agriculture faces a growing supply gap: accelerating climate change and regional water scarcity are reducing reliable production of traditional grains while demand rises for drought-tolerant, non-GMO, and gluten-free commodities. Livestock and poultry operators, food manufacturers, and bioenergy producers are exposed to price and availability shocks because existing grain systems do not provide consistent, climate-resilient supply.

Conventional commodity chains also lack transparent traceability, creating quality, sourcing, and compliance risks for buyers who need verified origin and attributes. A new solution launching in 2026, scaling up to 2,500 acres of precision-grown sorghum, is necessary to close the gap and deliver a traceable, drought-tolerant grain for food, feed, and energy markets. One line: buyers need reliable, traceable sorghum supply that current systems do not provide.

Solution

Global supply chains face climate-driven volatility, a shortage of drought-tolerant non-GMO, gluten-free crops, and rising demand for traceable, low-water feedstocks. We operate a precision sorghum farm in Lubbock, Texas that delivers food-grade, feed-grade, biofuel feedstock, sweet-syrup, and certified seed at scale. Connected IoT machinery and field-level metrics provide the traceability corporate buyers require while minimizing irrigation and inputs, reducing drought exposure for food processors, feed mills, and biofuel plants.

One-liner: high-yield, low-water sorghum grown with precision tech.

Mission Statement

To lead the agricultural industry in sustainable, climate-smart production of resilient, high-quality sorghum by applying innovation, precision technology, and data-driven practices. We commit to a transparent, reliable supply that supports healthier ecosystems and a more stable food system. We balance profitability with environmental stewardship to empower the food, feed, and fuel sectors with essential ingredients for a sustainable future.

Key Success Factors

Critical operational and commercial advantages that will deliver target returns and capital recovery.

• 62.79% Return on Equity achieved via high-efficiency, data-optimized farming operations.
• Yield-loss reduction to 3.0% from 8.5% over ten years, improving realized output and margins.
• 75% owned acreage through strategic land management to build long-term asset value.
• Long-term industrial contracts securing premium pricing (0.73 USD/kg for food-grade sorghum).
• Lean cost structure enabling a 9-month break-even and a 47-month payback on initial capital.

Financial Summary

Initial capital required: $1,990,000. First-year EBITDA $497,000; terminal 2035 EBITDA $12,853,000; minimum cash need $1,667,000 (Sep-26); IRR 4.0%; ROE 62.79%.

Financial requirements: $1.99M capex and working capital peak $1.667M in Sep-2026; anticipated investor return IRR 4.0% and ROE 62.79% over the ten-year forecast.

Outlook: positive EBITDA ramp with diversified revenue across five crop categories and breakeven in Sep-2026.

Funding Requirements

We require USD 3,657,000 to start: USD 1,990,000 for machinery and infrastructure and USD 1,667,000 to meet minimum cash through the first major harvest.