Lucky's Leafs · Five-Year Proforma
Interactive statements · ties to "Lucky's Leafs Cultivation Proforma (Aug 2026).xlsx" · Confidential
Scenario
The deck case: $900/lb blended — priced at the market's own structural floor (indoor marginal cost + $40 excise ⇒ ~$850–950/lb), ~38% of NJ's Sept-'25 print — industry-average yield, the 3.5-acre outdoor field every season — one Tier VI license at the state's 150,000 sq ft maximum.
Assumptions — drag to stress-test
$900
2,000
$200
$40
26%
1.85×
One outdoor cycle ($4.62M) vs $2.495M land
$2.85M
Year-1 net income
$14.23M
5-yr cumulative net income
$14.54M
Year-5 ending cash
None
Additional capital required — self-funding holds
| Line item | Yr 1 | Yr 2 | Yr 3 | Yr 4 | Yr 5 |
|---|---|---|---|---|---|
| Pounds sold | 7,000 | 7,000 | 7,000 | 7,000 | 7,000 |
| Outdoor price ($/lb) | $900 | $900 | $900 | $900 | $900 |
| Revenue | $6,300,000 | $6,300,000 | $6,300,000 | $6,300,000 | $6,300,000 |
| Cash COGS | ($1,400,000) | ($1,400,000) | ($1,400,000) | ($1,400,000) | ($1,400,000) |
| Gross profit | $4,900,000 | $4,900,000 | $4,900,000 | $4,900,000 | $4,900,000 |
| SG&A | ($628,000) | ($628,000) | ($628,000) | ($628,000) | ($628,000) |
| Harmony 2% transfer tax | ($126,000) | ($126,000) | ($126,000) | ($126,000) | ($126,000) |
| NJ SEEF excise ($40/lb) | ($280,000) | ($280,000) | ($280,000) | ($280,000) | ($280,000) |
| EBITDA | $3,866,000 | $3,866,000 | $3,866,000 | $3,866,000 | $3,866,000 |
| Depreciation | ($21,000) | ($21,000) | ($21,000) | ($21,000) | ($21,000) |
| EBIT | $3,845,000 | $3,845,000 | $3,845,000 | $3,845,000 | $3,845,000 |
| Income tax | ($999,700) | ($999,700) | ($999,700) | ($999,700) | ($999,700) |
| NET INCOME | $2,845,300 | $2,845,300 | $2,845,300 | $2,845,300 | $2,845,300 |
| Cumulative net income | $2,845,300 | $5,690,600 | $8,535,900 | $11,381,200 | $14,226,500 |
$ actual · Base ties cell-for-cell to the workbook and the deck's Exhibit 2/2b. SEEF charged on every pound sold; SG&A = $250k + 6% of revenue; Harmony 2% on receipts; depreciation straight-line over 10 years starting the year after placement.
| Line item | Yr 0 | Yr 1 | Yr 2 | Yr 3 | Yr 4 | Yr 5 |
|---|---|---|---|---|---|---|
| Equity raise | $3,100,000 | — | — | — | — | — |
| Land acquisition | ($2,495,000) | — | — | — | — | — |
| Site development (capitalized) | ($210,000) | — | — | — | — | — |
| Formation expense (licensing, acq. costs) | ($185,000) | — | — | — | — | — |
| Net income | — | $2,845,300 | $2,845,300 | $2,845,300 | $2,845,300 | $2,845,300 |
| Add back: depreciation | — | $21,000 | $21,000 | $21,000 | $21,000 | $21,000 |
| ENDING CASH | $210,000 | $3,076,300 | $5,942,600 | $8,808,900 | $11,675,200 | $14,541,500 |
Self-funding holds. Each season is paid for by the harvest before it, with no new capital; cash never goes below $210,000 at year-end. Intra-year seasonality is covered by the ~$500k harvest line (Year-1 Cash tab).
| Year-end | Yr 0 | Yr 1 | Yr 2 | Yr 3 | Yr 4 | Yr 5 |
|---|---|---|---|---|---|---|
| Cash | $210,000 | $3,076,300 | $5,942,600 | $8,808,900 | $11,675,200 | $14,541,500 |
| Land (at cost) | $2,495,000 | $2,495,000 | $2,495,000 | $2,495,000 | $2,495,000 | $2,495,000 |
| Net PP&E | $210,000 | $189,000 | $168,000 | $147,000 | $126,000 | $105,000 |
| TOTAL ASSETS | $2,915,000 | $5,760,300 | $8,605,600 | $11,450,900 | $14,296,200 | $17,141,500 |
| Paid-in capital | $3,100,000 | $3,100,000 | $3,100,000 | $3,100,000 | $3,100,000 | $3,100,000 |
| Retained earnings | ($185,000) | $2,660,300 | $5,505,600 | $8,350,900 | $11,196,200 | $14,041,500 |
| TOTAL EQUITY | $2,915,000 | $5,760,300 | $8,605,600 | $11,450,900 | $14,296,200 | $17,141,500 |
| Check (A − E) | — | — | — | — | — | — |
Land carried at cost. Retained earnings = cumulative net income less $185k Year-0 formation expense. Assets − (paid-in capital + retained earnings) must equal $0 in every year.
— from the raise's use of funds ($140k default). Edit to see the trough move.
| May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Jan | Feb | Mar | Apr | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Grow-cost spend | ($112,000) | ($98,000) | ($98,000) | ($112,000) | ($140,000) | ($350,000) | ($280,000) | ($70,000) | ($42,000) | ($28,000) | ($42,000) | ($28,000) |
| SEEF on sales | — | — | — | — | — | ($14,000) | ($70,000) | ($70,000) | ($56,000) | ($42,000) | ($19,600) | ($8,400) |
| Sales receipts | — | — | — | — | — | $315,000 | $1,575,000 | $1,575,000 | $1,260,000 | $945,000 | $441,000 | $189,000 |
| Cash balance | $28,000 | ($70,000) | ($168,000) | ($280,000) | ($420,000) | ($469,000) | $756,000 | $2,191,000 | $3,353,000 | $4,228,000 | $4,607,400 | $4,760,000 |
Crop-level trough of ($469,000) in Oct → recommended seasonal working-capital line ≈ $500,000 (secured by standing crop + land, repaid from first sales). Season-end crop cash: $4.76M. Before SG&A and income taxes.