2014 annual report, roanoke natural foods co-op
DESCRIPTION
The accomplishment of the co-op's ENDS is the sole measure of the cooperative's success. Take a look at Roanoke Natural Foods Co-op 2014 Annual ReportTRANSCRIPT
ANNUALREPORT
2014
From our General Manager
From our Board President
Bruce Phlegar
Our co-op is 40 years old this year, a milestone that you our owners made possible. I wonder if in 1975 our founders imagined their idealistic experiment would grow into the vibrant community-based business that we all participate in and benefit from today. They must have envisioned the hard work and dedication of thousands of owners, employees and board members over the course of decades could generate the positive community changes we have created. Because of their vision and the hard work of many we are able to be here today reporting all of the wonderful accomplishments of 2014. The co-op’s ability to support the community is in direct relationship to the support we receive from our owners. By participating in its activities owners of our co-op can make their community a better place for everyone. Growing sales is the economic engine that makes possible all of the activi-ties of this and all co-ops.
Your co-op needs your support:
» Shop… shop… and then shop some more! Your dollars are well spent and will grow your community in many positive ways
» Attend the annual owner meeting, board meetings and special events
» Participate in our annual customer survey. Let us know what we are doing well and where we can make your shopping experience even better
» Save some cash and help your co-op by purchasing your groceries on our monthly Owners 10% Off Days, the second Saturday of each month.
» Encourage your friends and co-workers to become owners
I am proud of the collective accomplishments we have made over the past 40 years and I look forward to our co-op serving our community for the next 40 years. Together we can.
Gayle Cooley
A seismic shift is taking place in the natural and organic food industry with regard to the level of competition in the marketplace. Not only are natural food chains and conven-tional big-box grocery stores robustly participating in this segment of the industry. Innovative new stores are increas-ingly entering the marketplace and offering an appealing package of product, atmosphere and low prices. In recent years, CDS Consulting Co-op, with sponsorship from National Co-op Grocers (also a co-op), has organized regional workshops to discuss important issues facing cooperative grocers. For 2015, these workshops focus on surviving and thriving in this competitive marketplace. In late March, representatives from both management and board traveled to Asheville to participate in our region’s workshop. One recurring theme was the importance of
differentiating our co-ops by promoting and educating the public about our commitment to local community, along with social and environmental values. In this Annual Report, we have highlighted some of the important ways we have accomplished these goals in 2014. Thank you to our owners and community for your support of Roanoke Natural Foods Co-op. With your continued sup-port, we expect our co-op to not only survive but to thrive far into the future.
Global Ends
Sub-Ends
Roanoke Natural Food Co-op exists to create a vibrant, local and sustainable cooperative community wwhere decisions are grounded in the balance of economic, social and environmental responsibilities.
ECONOMY
HEALTH
COMMUNITY
ENVIRONMENT
EDUCATION
AGRICULTURE
Roanoke Natural Foods Co-op consistently offers food products that are fresh, local, organic, sustainably-raised, non-GMO, humanely-raised, and cruelty-free.
A.
B.
Owners benefit from the well-being and profitability of Roanoke Natural Foods Co-op. A.
B. Local producers, businesses and the community at large benefit from the presence and investment of Roanoke Natural Foods Co-op.
Sustainable environmental practices are linked to Roanoke Natural Foods Co-op's goods and services.
A.
B. The natural environment is protected by use of green technologies and energy alternatives.
Farmland conservation and sustainable farming methods are supported.
Community members have a welcoming and vital marketplace.
Larger cooperative family bonds are strengthened
A.
E.
B.
C.
D.
Owners have a sense of pride of ownership and belonging.
Roanoke Natural Foods Co-op serves as a catalyst for community involvement in positive social changeLocal and global communities are strengthened by a preference for fair trade products and services.
Nutrition and health
The cooperative community is informed about:
A.
B.
C.
D.
The Cooperative Business Model and cooperative principles
Roanoke Natural Food Co-op's mission and ends
Sustainable living
The community has access to a selection of high quality, organic, and healthful foods and products which are reasonably priced.
The accomplishment of our ends is the sole measure of our cooperative's success. This 2014 Annual Report shows in quantitative and qualitative measures how we, through our actions and activities, have impacted our local community and the world in positive ways.
2014 ANNUAL REPORT
The community at large benefits from the presence and investment of Roanoke Natural Foods Co-op.
This number includes our cost of goods, payroll, charitable contributions, and local government taxes.
The number reported is before the CPA audit and patronge refund.
Owners benefit from the well-being and profitability of Roanoke Natural Foods Co-op.
ECONOMY
LOCAL ECONOMY SALES TO OWNERS
TOTAL 2014 DIRECT LOCAL ECONOMIC IMPACT
SALES 2014
OWNER EQUITY
PROFITS 2014
$1,955,553 $5,969,835
$318,631$92,573
INCREASE OVER 2013
13.6%
Owners benefit from the well-being and profitability of Roanoke Natural Foods Co-op. A.B. Local producers, businesses and the community at large benefit from the presence & investment
of Roanoke Natural Foods Co-op.
Based on our Annual Shoppers Survey of 509 shoppers conducted in August 2014.
HEALTH
SATISFIED WITH QUALITY &FRESHNESS OF PRODUCTS
98%
SATISFIED WITH PRODUCT SELECTION & VARIETY
95.3%
OUR OWNERS SAY
The community has access to a selection of high quality, organic, and healthful foods and products which are reasonably priced.
RO
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SALES TO OWNERS 2014
$2,992,783 OF OVERALLSALES
50%
OWNER ONLY DISCOUNTS, SPECIALS & SALES
2009 2010 2011 2012 2013 2014
$65,413
$19,166
$33,199$44,691 $45,082
$5,015
This number includes yearly dues, equity investment and joint liability fund for National Co-op Grocers as well as yearly dues for The National Cooperative Business Association.
TOTAL SALES TO OWNERS IN 2014
$2,992,783
COMMUNITY
Community members have a welcoming and vital marketplace.
Larger cooperative family bonds are strengthened.
We serve as a catalyst for community involvement in positive social change and social justice.
Local and global communities are strengthened by a preference for fair trade products and services.
Owners have a sense of pride of ownership and belonging.
SATISFIED WITH KNOWLEDGEABLE STAFF
NUMBER OF FAIR TRADE PRODUCTS OFFERED
PERCENTAGE OF SALES TO OWNERS
NUMBER OF NEW OWNERS
TOTAL OWNERSINVESTMENT IN OTHER COOPERATIVES
TOTAL RAISED IN 2014 THROUGH GIVE UP!(12 ORGANIZATIONS BENEFITED)
SATISFIED WITH ATMOSPHERE & AMBIANCE OF STORE
FRIENDLY & COURTEOUS STAFF
97.9% 267
50.13%
362
3,919$54,198
$20,692
96%
95.6%
FAIR TRADE OUR OWNERS SAY
SUPPORTING CO-OPERATIVES
GIVE UP! PROGRAM
OWNERSHIP
OF PRODUCTS4.1%
70%
20
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ACTIVE OWNERS
2,748
Supporting the important work of: Food for Thought, Apple Ridge Farm, Heritage Point Farm, Lick Run Farm, Read-ing Seeds, Historic Roanoke City Market, Appalachian Trail Conservancy, Roanoke Valley Greenway Commission, Radio Free Roanoke, Roanoke Valley SPCA, Habitat for Humanity, & Children's Trust.
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We contribute 5¢ to a local organization everytime our shoppers use a reusable shopping bag.
We organized and partnered with other organiza-tions in 2014 as environmental stewards. The co-op held two cleanup efforts at Wasena Park, organized a team for Clean Valley Council's annual Fall Wa-terways Cleanup, and hosted a drop off site for Fall ECO Day, which is our partnership with Goodwill Industires of Roanoke Valley that collects e-waste.
We strive to reduce our energy usage year after year at our retail locations, offices & farm.
We partner with Goodwill Industries of Roanoke Val-ley to host an annual electronics recycling day.
We recycle and compost as much as we can at our retail locations, offices & farm.
We use compostable containers, recyclable plas-ticware, BPA-free paper for receipts. We also encour-age our shoppers to recycle at our retail locations.
FALL ECO DAY E-WASTE COLLECTIONPOUNDS COLLECTED IN 2014
RECYCLED MATERIAL DIVERTED FROM LANDFILL (IN CUBIC YARDS)
BAGS DIVERTED FROM LANDFILL IN 2014
ANNUAL POWER USAGE(KWH CONSUMED IN 2014)
ANNUAL WATER USAGE(GALLONS OF WATER CONSUMED IN 2014)
ANNUAL NATURAL GAS USAGE(THERMS OF NATURAL GAS CONSUMED IN 2014)
ANNUAL PROPANE USAGE(GALLONS OF PROPANE CONSUMED IN 2014)
COMPOSTABLE MATERIAL DIVERTED FROM LANDFILL (IN POUNDS)
4,700
832
108,400
476,318
1,172,749
5,824
349.20
15,600
ENVIRONMENTAL OUTREACH CONSUMPTION
RECYCLING EFFORTS
SUSTAINABLE PRACTICES
POUNDS COLLECTEDSINCE 2010
95,700
COMPARED TO 2013-4.5%
COMPARED TO 2013-8.8%
COMPARED TO 2013-46.39%
ENVIRONMENT
E-WASTE COLLECTIONRAISING THE ANTE
Sustainable environmental practices are linked to Roanoke Natural Foods Co-op's goods and services.A.
B. The natural environment is protected by use of green technologies and energy alternatives.
The solar modules at Heritage Point produce energy year round to offset some of our power usage. The modules and installation were donated by Direct Connect Solar & Electric.
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EDUCATION
CO-OP SPONSORED CLASSES IN 2014
ATTENDEES
HOUSEHOLDS MAILED TOPER ISSUE
PER ISSUE DISTRIBUTION AROUND THE CITY AT 50+ LOCATIONS
46
337
10,000
3,000
CO-OP CLASSESTHE CO-OPTIMIST
We publish a biannual newsletter, The Co-optimist, as a part of our educational outreach.
We own 17.5 acres of farmland within the City of Roanoke and lease another 7.4 acres, which is Heritage Point Urban Farm. We use exclusively sustainable farming methods.
We offer year-round classes in our Community Room at the Grandin Co-op.
AGRICULTURE
HERITAGE POINT URBAN FARM
PRODUCT SELECTION
Nutrition and health
The cooperative community is informed about:
A.
B.
C.
D.The Cooperative Business Model & cooperative principles
The co-op's mission and ends
Sustainable living
Roanoke Natural Foods Co-op consistently offers food products that are fresh, local, organic, sustainably-raised, non-GMO, humanely-raised, and cruelty-free.
A.
B. Farmland conservation and sustainable farming methods are supported.
2014 TOTAL PRODUCTION
$26,215 2013 PRODUCTION$16,487
437LOCAL
6.6%
1906
CERTIFIEDORGANIC
28.8%
786
CERTIFIED CRUELTY-FREE& HUMANELY RAISED
11.9%
TOTAL NUMBER OF PRODUCTS
6619
CERTIFIEDNON-GMO
693
10.5%
Neighborhood Food Since 1975 | w w w.roanokenatural foods.coop
Net SalesCost of Goods
Wages, Benefits and TaxesGeneral Administrative & Occupancy
2012
5,561,0413,372,879
2,188,162
Grandin
788,093
895,685388,283
904,194(42,206)(73,895)
1,283,968
382,579244,857
137,722
Downtown
(43,651)
96,34162,090
(20,709)0
(22,942)
158,431
26,2157,051
19,164
Heritage Point
(112,095)
83,51036,051
(100,397)2,808
(14,506)
119,561
Consolidated
5,969,8353,624,787
2,345,048
104,341(11,768)
1,402,163680,603
262,282(39,398)
(118,543)
2,082,766
Gross Profit Margin
Total Operating Expenses
Net Income Federal & State Income Taxes
Net Operating IncomeOther IncomeInterest, Depreciation & Amortization
2014 Income Statement
2014 Balance Sheet
Total Assets
Total Liabilities
Total EquityTotal Liabilities and Equity
Total Current Assets
CashReceivablesInventoryOther Current Assets
Property and EquipmentOther Assets
Accounts PayableAccrued ExpensesOther Current LiabilitiesLong Term Liabilities
Owner EquityRetained Earnings
599,176
1,529,153
569,352
959,8011,529,153
247,9860
330,36720,823
889,21640,761
248,79631,77867,017
221,761
318,630641,171
00
0
Admin
(528,006)
326,627194,179
(520,806)0
(7,200)
520,806
Net Income before CPA Audit & Patronge Refund 92,573