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Re: Penny Machine post# 12729

Monday, 11/24/2014 2:51:00 PM

Monday, November 24, 2014 2:51:00 PM

Post# of 19450
NHMD$$$$$$

http://investorshub.advfn.com/Nates-Food-Co-NHMD-15865/

Background:
Nate’s Pancakes is a food manufacturing and product development company with corporate offices in Huntington Beach, CA. The product development and food science facilities are based in Fairfield CA and our production facilities are based in Southern California. Nate’s Pancakes is owned and operated by Nate’s Food Co., which is a public company.

Nate's Food Co. was created by Nate Steck. Over the past 20 years, Nate Steck has started 5 different food companies that have generated approximately $200 Million in revenue and in which 3 of the companies were bought by other food companies.

Currently, Nate developed Nate's Pancakes which is being sold by Nate's Food Co. Nate also created Batter Blaster which was sold in over 13,000 stores and grossed over $40 Million in sales. The market size for pancakes and waffles (which includes frozen waffles/pancakes and dry mixes) is approximately $1.1 Billion. Batter Blaster sold $40 Million or approximately 3.7% of the total market size.

Nate previously created product lines that focused on a single market. However, with Nate's Food the goal is to expand the Company's product line to include up to 10 products in the next year (2015) and to continually expand the product line.

More information on Nate’s Food Co. can be found at www.natesfoodco.com

Mangaement:

Nate Steck:
Chairman and Chief Executive Officer
Entrepreneur and trained French Chef and with over 20 years experience in Product Development and Food Production. Developed over 30 successful products from concept to shelf with National distribution for consumer brands and private labels, cumulative sales of 175M. Co-founder of Batter Blaster, Elena’s Food Specialties and Founder of Elite foods.
Launched in 2007, Batter Blaster was the only organic refrigerated pancake and waffle batter in a pressurized can. Reached national distribution and retails sales of 30M. Batter Blaster won Grocery Manufactures Association Award for Innovation and Creativity. Batter Blaster garnered media attention from The Today Show, Regis and Kelly, Sunday Morning, The Food Network’s Unwrapped, as well as 7000 blog mentions. Oversaw all product development and plant management. Created a “new food category” using traditional products in a modern delivery system.

Marc Kassoff:
Vice-President, CFO, Director
Mr. Kassoff is currently the President and CEO Meyer, Christian and Associates, Inc. a healthcare subrogation firm. This has been my position for the last 17 years. Mr. Kassoff is also on the Board of the Effect and Encompass which serves the South Orange County community as a Drug and Alcohol Recovery Program.

Tim Denton:
Secretary/Director
Timothy Denton has practiced law in California since 1981, and during that time he has represented and assisted dozens of start-up companies and other businesses, handling both matters involving transactional business as well as civil litigation. For the past 12 years he has been the Supervising Attorney at The Firm of Meyer Christian & Associates, primarily representing hospitals and medical provider groups, working with his clients to ensure regulatory compliance with state and federal laws and agencies. He has continued to work with business development issues for a number of start-up businesses throughout this period, including assisting in the development of Nate's Foods, Inc.

Jeremy Kaplan:
Vice-President of Marketing and Branding
Mr. Kaplan is a marketing executive and designer with over 17 years experience in retail marketing, branding and design. He has overseen marketing and creative projects that led to the rollout of new product and services for Bloomingdale’s, Ralph Lauren, Donna Karen, Acura, Samsung, Sun Microsystems and NapaStyle. Jeremy has managed marketing campaigns in support of store openings for Bloomingdale’s, and has held roles designing fixtures and furniture for Lexus, Philz Coffee, and Sessions snowboarding and outerwear.

Batter Blaster

In the picture above: Sean O'Connor
Batter Blaster made $15 million in revenues: http://money.cnn.com/2009/12/23/smallbusiness/batter_blaster.fsb/index.htm
Batter Blaster on Regis & Kelly: http://investorshub.advfn.com/boards/read_msg.aspx?message_id=102028111
Batter Blaster on Food Network: http://investorshub.advfn.com/boards/read_msg.aspx?message_id=101969096









**Flagship Product: Nate's Pancakes - GLUTEN FREE**
AVAILABLE FOR PURCHASE on November, 17, 2014 at 8:00am (pacific) and 11:00am (eastern) at http://www.natespancakes.com/


November 17, 2014 - Nate’s Food Co. (OTC: NHMD) announced today that its product Nate’s Pancakes sold out within 20 minutes. The Company has sold approximately 10,000 cans of Nate’s Pancakes.


PRE-ORDER NATE'S PANCAKES

We are currently sold out of our Limited Production Run of Nate's Pancakes, however due to the overwhelming demand, we are producing a second Limited Production Run.

If you would like to place an order for the second Limited Production Run, please fill out the form below. Please note USPS Express mail rates will apply.

We will contact you as soon as your product is available for purchase.

Thanks You

Nate's Pancakes - http://www.natespancakes.com/pre-order/





Nate’s Pancakes are a ready-to-use, pre-mixed pancake and waffle batter delivered in a pressurized can. The pre-made batter makes light and airy pancakes or waffles that are fun for the entire family to make together, and are a great way to start your day. With no preparation and no clean-up, we’ve made making breakfast easier for your busy mornings.




THE LAUNCH PARTY FOR NATE’S PANCAKES WAS HELD ON NOVEMBER 15, 2014. THE PRODUCT LAUNCH PARTY TOOK PLACE IN THE HOSPITALITY SUITE AT THE ARIA HOTEL IN LAS VEGAS, NEVADA. THOSE THAT ATTENDED WERE ABLE TO TASTE WAFFLES AND PANCAKES AND INTERACT WITH NATE. http://www.natesfoodco.com/launch-party/

Event Pictures:




Blueberry Lemon - Banana Cream - Strawberry Jam - Snickerdoodle



Nate explaining the manufacturing details of the spray can pancakes aka Nate's Pancakes!




FLAVORS!!!



NATE!!!





Event Video: https://www.youtube.com/watch?v=GK4nryXrpp8&feature=youtu.be

**Upcoming:**

Flavor Extension. By increasing the product line of Nate's Pancakes to include flavor extensions, the Company would expect to triple its total distributions points and thereby increasing sales by 200%-300%.

One-Minute Omelet. The Company has begun developing the One-Minute Omelet. The United States produces nearly 100 Billion eggs per year with sales in excess of $8.5 Billion per year. If the Company is able to have the same revenue penetration as Batter Blaster it would generate in excess of $300 Million in revenue.

Guacamole. The Company has begun developing a guacamole product line. The market for avocados and guacamole is approximately $3.5 Billion and in the United States nearly 1.3 Billion avocados are consumed on Super Bowl weekend alone. If the Company is able to have the same revenue penetration as Batter Blaster it would generate in excess of $129 Million in revenue.






Other Pictures:










Questions with Answers from Company. All of these questions can be found in the 8k links at the bottom of the page:

November 18, 2014:
Q1. Can you provide additional information on the China deal such as pricing and time-frame?
A1. The Company does not disclose the cost it sells product. As each transaction with a customer may have a different price and would weaken the bargaining power the Company. The time-frame is the same as the roll-out in the United States. The Company will initially roll-out in the United States and then expand globally. The focus is on the United States but China provides the Company a huge upside due to the expanding population, the increase in demand for westernized foods and that no major US Company in the space.

Q.2. What is the status of the on-line distributor agreement?
A.2. The terms of the agreement should be finalized by the end of the month. The Company is meeting with its master food broker next week and will get an update on what stores the food broker is looking at and the status of the discussions. Once the Company finalizes the agreements with the food brokers we will finalize the agreement with the on-line distributor.

Q.3. What is the cost to produce a can?
A.3. The Company does not disclose the cost to produce each can. The Company developed a unique can and value system for its products. The can and value are not being used by any other Company. As such, the Company had to build new machinery to manufacturer the cans and values. The Company is currently looking to keep this intellectual property in house.
Q.4. Does the Company produce its own product or does it use a 3 rd party factory?
A.4. Currently the Company uses a 3 rd party factory (the same factory as batter blaster). However, the Company has begun to build its own factory capable of producing 50 Million cans a year.

Q.5. Can the Company negotiate with grocery stores directly?
A.5. No. Grocery stores (especially the larger ones) only accept product from their approved distributors. The stores will inspect the factory to verify that the factory meets all food safety requirements.

Q.6. Does the company ship product directly to each store?
A.6. The Company does not ship directly to each store. The product is picked up from the factory and sent a central distribution center and then sent to the distributor’s distribution centers. This one reason the Company uses a distributor so that the Company does not have to freight product to each store.

Q.7. How many cans will the initial grocery stores order?
A.7. This is part of the current discussions with the customers. For example, the initial order for a membership club store with a roll-out of 40 stores would be approximately 56 pallets. Each pallet has 40 cases with 24 cans per case for a total number of cans of 53,760.

Q.8. Have you finalized the terms for the financing?
A.8. The financing is for purchase order financing. The Company has sufficient cash to fulfil all of its current purchase orders. The purchase order financing is similar to a line of credit that uses the purchase order as collateral. Once the Company has a purchase order that it needs to use the line of credit to fulfil the terms are finalized based on that individual purchase order (since it is the collateral). For example, if the Company receives a 100,000 can a week order it would need to produce 600,000 cans prior to receiving payment on the initial order. This is where the purchase order financing provides the capital needed to produce those cans until payment is received.



November 12, 2014:
Q1. Can I invest directly into the Company?
A1. The Company currently has sufficient cash to operate under its business plan. With the purchase order financing the Company will be able to expand and pay for its national roll-out without the need of additional capital.

Q2. I am a current shareholder of NHMD and am curious about the launch party in Las Vegas on November 15th. Who all aside from Nate Steck will be attending the party? Will there be members from WB Partners? Will there be any potential vendors/customers such as grocery stores or online food delivery sites? Will there be any of the guacamole that Nate has been developing available?
A2. Both members of the Board of Directors, Nate Steck and Marc Kassoff, will be attending. Initially, WB Partners was not expected to attend as they were planning on being in New York City. One of the initial companies they took public has moved up and is now listed on the New York Stock Exchange. But, we are glad they will be attending the event.

There will not be any vendors or customers as this event is just for any shareholders who wanted to attend and taste waffles and pancakes with Nate. It was also intended to provide a casual forum where shareholders could interact with Nate and get a first-hand experience of the products. Sadly, the guacamole is still in its development phase and won’t be available for tasting.

Q3. How soon can we expect an update in regard to the contract NHMD was finalizing in regard to the 100,000 can order that was to be sold online?
A3. The company is waiting to see what the response on the 17 th of November before finalizing with an the online retailer as we may consider keeping that in house.

Q4. Is it possible for the company to issue any sort of guidance in regard to what it feels the value of the company currently is and what it will be in a year? Does the company believe it is currently undervalued given its products and connections?
A4. The Company cannot provide any information regarding this. Only a license broker, investment advisor or analyst would be able to provide this information.


November 6, 2014:
Q1. I thought the company was foregoing online sales through the company website?
A1. The Company is selling a limited production run of its products before it becomes available in the stores. The Company made the decision to sell this limited production run so those individuals who wanted to try the product prior to our grocery store roll-out would have that opportunity. Additionally, the Company will sell a limited production of each new product as they become available prior to those products being sold in stores. For example, the Company is working towards launching a new flavor of its pancake and waffle mix in January 2015.


October 31, 2014:
Q1. Are any deals with grocery stores dependent on the development of new products?
A1. Any deals with grocery stores are not dependent on new products or flavors. However, the ability to discuss and show added products makes Nate’s Pancakes more attractive.

Currently, the Company has to finalize the pricing terms with the food brokers before any deals with grocery stores can be finalized. The Company also modified the product to meet the food safety requirements of retailers and to increase the shelf life of the product. The new formula provides a longer shelf life but results in a thicker batter. As a result, Nate over the past week had to developed a new can and delivery system. Nate approved this custom can on October 30, 2014 and the Company began to run product through its new production line.

The next steps in finalizing the grocery store deals are: (1) sending new samples to the food brokers; (2) finalize pricing with suppliers for the new cans and formula, and (3) finalize the pricing with food brokers. Once, those steps are completed the final negotiations with grocery stores regarding delivery dates can be finalized.

During this time the Company has begun producing product to supply our current agreement and storing product to fulfill the new contracts we anticipate.

Q2: Is the shelf stable a condition on any deals with grocery stores?
A2: Having a shelf stable products has no impact at this time with any deals with grocery stores. The refrigerated product is what was sold through Batter Blaster and will be the product sold. The longer shelf life allows the product to be shipped and stored at a much lower cost.


October 29, 2014:
Q1. When is your 10Q due to be filed with the SEC?
A1. The 10-Q for the Three Months Ending August 31, 2014 is due 45 days after the Company’s Form 10 went effective. The Company’s Form 10 went effective on September 27, 2014. As such the Company’s 10-Q is due November 11, 2014. The Company has already sent the 10-Q to its auditors and expects it to be filed in November.

Q2. Where are the productions facility located?
A2. Our corporate offices are in Huntington Beach, CA. Our product development and food science facilities are based in Fairfield CA and our production facilities are currently based in the Los Angeles Area.

Q3. Why are you expanding with the One Minute Omelet?
A3. Products take a long time to develop. The Company was able to jump start the pancake and waffle batter because of Nate’s history with Batter Blaster. But even with that history it has taken months to get Nate’s Pancakes to a point where Nate is happy with the product. There are a number of moving parts that are involved with making the product for sale other than just the product inside the can. For example, to increase the shelf life of Nate’s Pancakes the product has to be more viscous than Batter Blaster which required an entirely new delivery system to be developed and custom valves for the cans to be made.

The Company is currently in the process of finalizing details with food brokers for placing Nate’s Pancakes. By beginning the process of developing additional products now, the Company is getting a jump-start on expanding its product line and thereby increasing the attractiveness of the Company to grocery stores since we will be able to delivery more than just one product. Additionally, adding the additional products reduces the overall capital costs for the company since the Company is able to take advantage of the resources it has by having the food science facility work on the new products while corporate is finalizing the details with the food brokers.

Our goal would be to have the new products available in 2015.

Q4. If you haven’t signed any contracts for Nate’s Pancakes why expand?
A4. The Company is finalizing the terms and product with food brokers. The food brokers have been involved with products Nate has developed for over 10 years. Additionally, the grocery stores that we are planning on being sold in are the same 13,000 stores that Batter Blaster was sold in. As such, unlike other companies the question is only when will the terms be finalized not if they will be. Since the Company is comfortable with the food brokers, it was decided to get a jump-start on additional products.

Q5. Did you have any revenue last quarter?
A5. No the Company did not have any revenue last quarter. The Company had approximately $70,000 in expenses related to food development.


Older Q&A (not in 8k): http://www.natesfoodco.com/faq-1/


NHMD Share Structure
(as of October 31, 2014)

Authorized: 300,000,000

Common Shares Outstanding: 67,200,000

Trading Float: 38,403,000


News: http://www.otcmarkets.com/stock/NHMD/news
November 24, 2014 - Nate's Food Co. Announces Export to Canada and 25 Additional Countries

November 21, 2014 - Nate's Food Co. Announces Orders Have Begun Being Shipped and Update on Grocery Placement

November 18, 2014 - Nate's Food Co. Announces Export of 3 Million Cans To China

November 17, 2014 - Nate's Food Co. Announces Product Sells Out Within 20 minutes

November 17, 2014 - Nate's Food Co. Product Launch Details

November 14, 2014 - Nate's Food Co. Update on Shareholder Event for November 15, 2014

November 11, 2014 - Nate's Food Co. provided a corporate update on its product development and the related markets for these products. The Company will be providing this information to grocery stores and other interested parties.

November 10, 2014 -Nate's Food Co. Announces Non-Dilutive Financing up to $3,000,000 and Development of 10 Products in 2015

November 5, 2014 - Nate's Food Co. Announces Initial Delivery Date of 1st Quarter 2015

November 4, 2014 - Nate's Food Co. Announces Product Launch On November 15, 2014

October 31, 2014 - Nate's Food Co. Announces it has Begun Production on its New Production Line

October 29, 2014– Nate’s Food Co. Announces it has Begun Developing of the One Minute Omelet and Enters Into $8.5 Billion Egg Industry

October 28, 2014 - Nate's Food Co. Announces Its Officers and Directors to Purchase $240,000 of Stock In Open Market Transactions

October 27, 2014 - Nate's Food Co. Announces It Has Begun Expanding Capacity to 24 Million Cans Per Year Providing Revenue Potential of $75 Million Annually

October 23, 2014 - Nate's Food Co. Announces It Is Finalizing Agreements with 3 Food Brokers For Nate's Pancakes

8K:
November 18, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10313101
November 12, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10295157
November 6, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10286144
October 31, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10273830
October 29, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10267492
October 21, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10255560

10Q:
November 10, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10292812

Form 4: INSIDER BUYING!
November 19, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10315570
November 19, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10315556
November 13, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10300531
November 10, 2014 - http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10292603

Form 10: (amended)
October 10, 2014 http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10236944

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