Lessons from Entrepreneurs: Rethinking Today s Farm Businesses

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1 Lessons from Entrepreneurs: Rethinking Today s Farm Businesses

2 Anna Brakefield, Red Land Cotton, Moulton, Ala. Chris Noble, Noblehurst Farms, Pavilion, N.Y. Jamie Walter, Whiskey Acres, Dekalb, Ill. # Prepare2Thrive

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25 Diversifying into Complementary Businesses Christopher Noble Vice President, Noblehurst Farms

26 Who is Noblehurst Farms? Founded in 1960 with nine shareholders, including seven members of the Kenneth and Ethel Noble family and two key non-family employees Kenneth was the 4 th generation to farm land in the vicinity of Linwood, New York. Kenneth s great-great-grandfather was a Revolutionary war soldier from Connecticut that settled in western New York after the war. The Noble family came to Linwood during the Irish potato famine in the 1840s along with many other immigrants # Prepare2Thrive

27 Noblehurst Farms today Now into its seventh generation of farming, with 31 shareholders including 5 of the original owners Ranges in age from 27 to 89 Two major families, key employees The farm itself is a progressive, modern dairy operation with 1750 milking cows and 1400 youngstock (replacements for the dairy herd). Like many dairy farms in New York and Northeast U.S., Noblehurst grows most of the feed for its cows. Noblehurst currently farms +/- 3,000 acres of corn (for silage and grain), alfalfa, triticale and wheat # Prepare2Thrive

28 From our mission statement Noblehurst Farms shall focus on being a progressive and economically healthy agricultural operation that produces and markets quality products. Other divisions under the Noblehurst Farms umbrella shall strive to provide products and/or services to the community in a reputable and exemplary manner. # Prepare2Thrive

29 Why Diversify? We are committed to the long-term vibrancy of this business (we ve been here almost 200 years!) We are committed to our employees trying to provide compensation packages at or above regional rates We enjoy being creative and innovative. This creates more opportunities for employees and family to work together. We are not unique there are many extremely innovative agricultural businesses that form the backbone of the rural New York economy # Prepare2Thrive

30 Noblehurst affiliated businesses Linwood Turf Equipment Linwood Commodities Baker Brook Dairy Synergy Dairy Synergy Genetics Noblehurst Green Energy Natural Upcycling Craigs Station Creamery Craigs Station Cheese # Prepare2Thrive

31 Linwood Turf Equipment Former John Deere tractor and lawnmower dealership founded by my great-grandfather and owned by Noblehurst Retail sales of zero-turn lawnmowers, snowblowers, and lawn care equipment Service and repair of mowers and small farm equipment Parts and supplies warehouse for local farms and neighbors # Prepare2Thrive

32 Linwood Commodities Commodity buying group owned by nine local dairy farms and agri-businesses including Noblehurst Farms Provides feed ingredients, straw, hay and dairy supplies to customers throughout the Northeastern U.S. Innovative rebate-based equity model based on usage # Prepare2Thrive

33 Baker Brook Dairy Noblehurst and another local farm brought two neighboring dairy farm families together in the mid- 1990s to share resources, talent and capital Currently the farm partnership between the Ziegler and Stevens families and Noblehurst Farms milks approximately 1500 dairy cows in Attica, NY # Prepare2Thrive

34 Synergy Dairy Purchased feed dairy farm primarily owned by six local farm families including Noblehurst Milks 1800 cows and purchases 30,000+ tons of corn silage and alfalfa haylage from local farms Innovative partnership with Trans Ova Genetics from Iowa # Prepare2Thrive

35 Synergy Genetics Offers clients around the world a live calf and/or a purchase recipient program option for their Fresh IVF, ET Fresh, Frozen IVF, or DT Frozen Embryo transfer needs. # Prepare2Thrive

36 Noblehurst Green Energy Owns an anaerobic digester system adjacent to the Noblehurst Farms dairy complex Complete mix system combines cow manure and food waste to create biogas that powers a 450 kw generator Offsets electricity used at the dairy and eliminates smell # Prepare2Thrive

37 Natural Upcycling Food waste recycling business co-founded by Noblehurst Green Energy (digester) Collects pre-consumer food scraps from local grocery stores, schools, and restaurants and disposes into digesters and/or compost facilities Packaged food waste destruction # Prepare2Thrive

38 Natural Upcycling Rapid expansion through organic growth and acquisition Of all our businesses, this one relates most to consumers Sample Customers Growth driven by more affluent customer segment and/or food waste regulation # Prepare2Thrive

39 Craigs Station Creamery Milk processing business located at Noblehurst Owned by eight local dairy farms and Dairy Farmers of America (national dairy farm cooperative) Dairy Farm Cold separated, fresh skim/standardized milk High-Quality Traceable Green/Sustainable Sweet Cream Greek yogurt Cheese Fluid Milk Cream cheese Butter Ice Cream # Prepare2Thrive

40 Craigs Station Cheese $50M Cheddar cheese JV; DFA, Arla Foods, Craigs Station Craigs Station Cheese Craigs Station Creamery # Prepare2Thrive

41 Past Ventures York Landing: Local bakery and grocery store Linwood Harvestore: Feed storage (blue silos) that were popular in the 1970s and 1980s Common Ground Synergy: Operating dairy and row crop farm in Niagara/Orleans counties in partnership with local crop farmer Cornplanter: Farmland company owned in partnership with a local dairy farm. Cornplanter was named after the respected chief of the Seneca Indian people who lived in western New York during the late 1700s/early 1800s. # Prepare2Thrive

42 Takeaways for Diversification Find your passion Focus on the consumer Helps to have a natural market for your product or service (i.e. your farm or community) Apply technology judiciously Tread lightly with investor capital Not every new business will succeed # Prepare2Thrive

43 Great Whiskey Isn t Made. It s Grown.

44 Farmcrafted 2nd Certified Farm Distillery in U.S. Our spirits are all handcrafted from grain we ourselves grow on our 5th generation family farm.

45 The Family Business

46 The Farm & Distillery Walter Farms (Jim & Jamie Walter) 2,000 acre Family Farm Corn, Soybean, Wheat & Rye DeKalb County, IL Whiskey Acres (Jim, Jamie & Nick Nagele) IL Craft Distiller (DSP IL-20017) Bourbon, Rye Whiskey & Vodka Tours, Tastings & Cocktail Patio IL Distribution (soon to expand)

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49 Raising Spirits One Seed at a Time Distillery Production Custom Designed 500 Gallon Batch Capacity Stainless Mash & Fermenters Vendome Copper Pot Still Artisan Focus 12,000+ Cases/Yr.

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52 Marketing & Branding Farming s Brave New World

53 If you build it they will come New Visitor s Center Opening Spring 2018

54 From Seed to Spirit Whiskey Acres Distilling Co Keslinger Rd. DeKalb, IL (844) 4-WHISKEY

55 Anna Brakefield, Red Land Cotton, Moulton, Ala. Chris Noble, Noblehurst Farms, Pavilion, N.Y. Jamie Walter, Whiskey Acres, Dekalb, Ill. # Prepare2Thrive