United States, Al... Preferred Partner "EXECUTIVE SUMMARY The following business plan involves the purchase of facilities owned by Dragnet Fisheries in Bristol Bay and Cook Inlet. A complete Business plan can be acquired by calling (206) 870-3077. Bristol Bay includes a processing plant and a fuel tank farm in Dillingham, and a fish buying station in King Salmon. The Cook Inlet facilities include a processing plant in Kenai and a buying station in Kasilof. All sites include the business and equipment. All are turn key operations. The main focus of this business plan is the Bristol Bay operation; the Cook Inlet facilities will be sold off for development. The Bristol Bay operation processes Togiak herring and wild Alaska salmon. The Dillingham plant is a seasonal operation, running from April through the end of July. This facility has been in operation since 1986 when it opened its doors with a staff of twenty workers. Twelve years later, while growing at a steady pace, this plant now employs two hundred employees on a seasonal basis. In 1996 the plant experienced restrictions in the amount of product it could produce due to the fact that is had reached maximum capacity levels. Insufficient freezer space and fish handling equipment were limiting the amount of product that could be processed. At this point in order to increase the amount of product through the plant, expansion of the existing facility would be required. After the 1996 season, Chris Fischer, the manager of the plant who is also the promoter of this purchase, presented a plan to the Dragnet owners that would reinvest a portion of the record net earnings back into the facility and go forward with the much needed expansion. Ownership declined the plan and Chris Fischer left Dragnet Fisheries to pursue other business ventures. In January of 1999 Chris Fischer learned that Dragnet Fisheries, under a court order, was up for sale. Upon contacting and gaining interest from key management personnel who were responsible for the record earnings of 1996 which achieved net earnings three times greater than any other year in plant history, Chris decided to pursue the purchase of Dragnet Fisheries and put together a plan for expansion. The expansion would more than triple the current capacity of the plant while being able to maintain the current amount of employees. The expansion will allow Triton Fisheries to overcome the impact of fixed cost by spreading those costs over a larger amount of product. The purchase price of Dragnet Fisheries is $3,351,000 which includes the Dillingham processing plant, MV Dragnet 1, King Salmon support station, Dillingham Tank Farm, Kenai processing plant and Kasilof Buying station. The cost to expand the Dillingham plant is $5,133,218. An additional $900,000 would be required for operating expenses the first season. The increased expansion is projected to yield net profits of...
Real Estate Broker
Chief Financial Officer