Silvera and Sons
Company Summary
Silvera & Sons buys and prepares raw coffee in parchment (pergamino), or coffee in its post-harvest stage. The finished product, green Arabica coffee beans are packaged in 60kg sacks and sold on the U.S. and Brazilian market. Our customers are primarily American importers and Brazilian wholesalers who provide high-quality beans to the specialty roasting market.
2.1 Company Ownership
Silvera & Sons Ltda. is a private, family owned preparer and exporter of Brazilian-grown, green Arabica coffee beans. It is owned and operated by Marco Silvera Sr. and his sons, Marco Silvera Jr. and Antonio Silvera.
2.2 Company History
Silvera & Sons is in its sixth year of operation. The current plant has been in operation for 15 years and for 12 of those years was managed by Marco Silvera Sr. who was then an employee of the former owner, Cafe Fina. Since the plant was purchased, Silvera & Sons has maintained maximum production and sales. It is currently operating at maximum capacity.
| Past Performance | |||
| 1996 | 1997 | 1998 | |
| Sales | $16,262,532 | $17,304,066 | $18,345,600 |
| Gross Margin | $2,439,380 | $2,630,218 | $2,814,215 |
| Gross Margin % | 15.00% | 15.20% | 15.34% |
| Operating Expenses | $12,196,899 | $12,631,968 | $13,346,424 |
| Inventory Turnover | 12.00 | 12.00 | 12.00 |
| Balance Sheet | |||
| 1996 | 1997 | 1998 | |
| Current Assets | |||
| Cash | $0 | $0 | $994,260 |
| Inventory | $0 | $0 | $355,200 |
| Other Current Assets | $0 | $0 | $243,936 |
| Total Current Assets | $0 | $0 | $1,593,396 |
| Long-term Assets | |||
| Long-term Assets | $0 | $0 | $521,650 |
| Accumulated Depreciation | $0 | $0 | $100,000 |
| Total Long-term Assets | $0 | $0 | $421,650 |
| Total Assets | $0 | $0 | $2,015,046 |
| Current Liabilities | |||
| Accounts Payable | $0 | $0 | $8,435 |
| Current Borrowing | $0 | $0 | $58,000 |
| Other Current Liabilities (interest free) | $0 | $0 | $0 |
| Total Current Liabilities | $0 | $0 | $66,435 |
| Long-term Liabilities | $0 | $0 | $402,000 |
| Total Liabilities | $0 | $0 | $468,435 |
| Paid-in Capital | $0 | $0 | $525,000 |
| Retained Earnings | $0 | $0 | $85,985 |
| Earnings | $0 | $0 | $935,626 |
| Total Capital | $0 | $0 | $1,546,611 |
| Total Capital and Liabilities | $0 | $0 | $2,015,046 |
| Other Inputs | |||
| Payment Days | 0 | 0 | 60 |
2.3 Company Locations and Facilities
The Silvera & Son’s main warehouse and office is located in Ouro Fino. The warehouse has the capacity to prepare approximately 6,000 60kg bags of exportable coffee beans. The proposed new warehouse and preparation facility site is also located in Ouro Fino. The new facility will be 3.500m2 and will have 30 selecting machines with capacity to prepare 40,000 bags for exportation and 80,000 bags for storage. The proposed facility will also handle shipping.
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