Confidential
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Hemp Paper Company

Hemp Paper Company

Tree-free packaging with real revenue, real customers, and clear category expansion.

Investor Presentation | Hemp Paper Company | 2026
02 / 16
Executive Summary

The Opportunity
At a Glance

What We Do

Hemp Paper Company manufactures and sells 100% hemp fiber paper packaging — bags, cartons, and paperboard — that is 2× stronger than tree paper, USDA Certified Biobased at 100%, and fully compostable. First USDA Certified Biobased hemp paper packaging brand in the US.

Traction

$50K+
Revenue
130K+
Units Delivered
90%
Repeat Rate
3 LOIs
Signed Pipeline

The Ask

$500K SAFE at $8M post-money cap
20% discount to Series A

Funds dedicated sales team, die cut machine for cartons, handle attachment for bags, and grant compliance to close $4M+ in non-dilutive capital.

Why Now

Plastic bans accelerating globally. Federal biobased procurement mandates expanding. 2018 Farm Bill unlocked hemp cultivation. Legacy mills are slow to convert. First mover with USDA certification, manufacturing partnerships, and proven sales captures the category.

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The Fiber

Why Hemp Replaces
Trees for Paper

Industrial hemp is an annual crop harvested for fiber and grain. The outer stalk (bast fiber) produces the strongest natural paper fiber available — used to make paper for over 2,000 years, predating wood pulp by millennia.

Planted in spring, harvested in 120 days. Yields 4× more usable fiber per acre than trees over a 20-year cycle. Requires no pesticides, minimal water, and sequesters carbon during growth. Federally legal under the 2018 Farm Bill.

Hemp plant anatomy diagram

Hemp stalk anatomy — bast fiber (outer bark) is processed into paper pulp

120
Days to Harvest
vs 20–80 years for trees
4×
More Fiber Per Acre
over a 20-year cycle
2×
Stronger Paper
13–25mm vs 2–5mm fibers
8×
More Recyclable
vs 3 cycles for tree paper

Hemp vs Wood — Chemical Composition

Hemp Bast
Pine (Softwood)
Oak (Hardwood)
Cellulose
57–85%
40–45%
38–49%
Lignin
2–5%
25–35%
18–25%
Fiber Length
13–25 mm
2–5 mm
0.7–1.5 mm
Pesticides Required
None
Typically Yes
Typically Yes

Sources: USDA Agricultural Research Service, National Hemp Association, Global Hemp Innovation Center. Hemp is carbon-negative during cultivation.

04 / 16
THE PROBLEM

Packaging is ready for hemp.
Legacy mills are not.

Brands need durable, compliant fiber packaging now—but legacy infrastructure and sourcing models are slowing adoption.

Retrofit Barrier

Legacy mills face major conversion capex to run hemp at scale, delaying market transition.

Supply Risk

Long-cycle fiber systems, freight volatility, and tariff exposure create unstable pricing and lead times.

Performance Gap

Packaging teams still trade off sustainability vs. strength in real-world use cases.

Compliance Pressure

Regulatory and procurement standards are tightening; brands need solutions that perform and qualify.

Result: delayed launches, margin drag, and lost shelf opportunities for brands that can't secure reliable high-performance fiber packaging.
05 / 16
THE SOLUTION

Commercial now.
Higher-margin expansion already underway.

Start with proven bag production, then scale into cartons and food packaging with disciplined capacity expansion.

Proven Commercial Base

Hemp paper bags are already in market with repeat-order behavior and operational traction.

Scalable Capacity Model

600K bags/month per machine baseline; add machines in step with contracted demand.

Mix Upgrade Path

Cartons (next), then food packaging and additional SKUs to raise revenue per account.

Margin Expansion Engine

Sponsorship uplift + product mix shift + supply-chain control drive stronger blended margins over time.

Today: validated production and sales motion. Next: expand into higher-value categories with capital-efficient scale.
06 / 16
The Products

ZERO TREE™ Product Line

Paper Bags

Paper Bags

● Live

Handle-less kraft bags. 2× tear resistance vs. traditional kraft. USDA Certified Biobased, 100% content.

Carton Packaging

Carton Packaging

● Live

Premium tuck-end boxes for cosmetics & retail. 2.5× pricing vs bags. 40-45% margins.

Paperboard

Paperboard

● Live

Multi-weight boards for printing & displays. Print-ready surface. Custom sizes available.

Food Packaging

Food Packaging

◎ In Development

Bio-film barrier coating. FDA-compliant. Plastic-free. Pilot program available.

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Traction

Proven Manufacturing.
Real Revenue.

$50K+
Revenue
(Real Transactions)
130,500
Units
Delivered
25-28%
Blended
Gross Margin
70/30
Sponsor-Funded
vs Direct Sales
95%+
On-Time
Delivery
90%
Customer
Repeat Rate
3
Signed LOIs
in Pipeline
4M+
Annual
Capacity

Trusted By

Highgate Park Shore Waikiki Romer Waikiki Zig-Zag Island Brew Fair Wind Cannabase Vermont Alter-Native Charli's on I-5 Mary Jane Junction Saendo's
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Unit Economics
Sponsor-funded hemp bag mockups

SPONSOR MODEL EXAMPLE

Brands pay for the bag. Retailers get it free. HPC earns margin from both.

Manufacturing Discipline
at Scale

Two revenue channels: Direct sales to retailers at wholesale pricing, and sponsor-funded distribution where brands pay for co-branded bags that retailers receive at reduced or zero cost — HPC earns margin on both sides.

Direct Sales (30%)

Production Cost$0.32
Sale Price$0.40
Gross Margin20%
MOQ25,000

Sponsor-Funded (70%)

Sponsor Pays$0.40
Retailer Pays$0-$0.20
Effective Margin25-35%
GTM StrategyBrand Subsidy

Margin Expansion

Bags (Blended)25-28%
Cartons Q2 '2635-40%
Gov Contracts15-18%*
Licensing '28+65%+

* Government contracts: Lower margin but 10M+ unit volume + 90% margin on grant-funded R&D

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Market Opportunity

Total Addressable Market
Category Expansion Path

TAM — Now
$6.8B
SOS Paper Bags
25-30% margins
Source: Freedonia Group, 2024
TAM — 2026
$12B
Mono-cartons
40-45% margins
Source: Smithers Pira, 2024
TAM — 2027
$350B
Food Packaging
35-40% margins
Source: Grand View Research, 2024
TAM — 2028+
$40B
Licensing
65%+ margins
Source: IBISWorld, 2024
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Financial Projections

5-Year Revenue Roadmap

Post-funding projections assume dedicated sales team, die cut machine for cartons, handle attachment for bags, and 3 signed LOIs converting.

Revenue & Profitability

Year 1 (2026)$520K
Year 2 (2027)$1.8M
Year 3 (2028)$3.6M
Year 4 (2029)$5.5M
Year 5 (2030)$9.2M

Key Assumptions

Bags (Y1) 1.2M+ units
1M by Q2 @ $0.42 avg
Cartons (Y1-Q2) 5,000 units
@ $175 avg, 40-45% margin
Licensing (Y3+) 3-5 partners
4-6% royalty
Signed LOIs 3 accounts
Converting to purchase orders
Break-even Month 14
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Business Model

Capital Efficiency
Through Margin Expansion

01
Direct Production
Bags to cartons with proven manufacturing capability
25-45%
02
Sponsor-Funded
Brands subsidize retailer adoption costs
45%+
03
Licensing
IP licensing to regional producers—zero CapEx
65%+
04
Federal Procurement
USDA Certified Biobased — mandatory federal purchasing preference
Gov Scale
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Capital Strategy

The Capital Stack:
Equity + Non-Dilutive Capital

$500K
SAFE Round (NOW)
Funds sales team, equipment (die cut machine + handle attachment), and grant compliance. Scales revenue from $50K to $520K+ in Year 1.
$4M+
3 Grants Pending (6-12 months)
Non-dilutive capital under review. Government and private grants for hemp infrastructure. No dilution to current investors.
30+
Additional Grants Identified
Federal, state, and private infrastructure funding programs where HPC meets eligibility requirements. Multi-year pipeline of non-dilutive capital opportunities.
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Competitive Defense

The Moat
Is Deep

R
Retrofit IP
Works with existing mills—no $100M barrier
E
100+ Years
Collective paper industry expertise
X
Exclusive Distribution
Extendable, legally protected
1
First Mover
First USDA Certified Biobased 100% hemp paper packaging brand in the US
P
Proven Ops
95%+ OTIF, 130K+ units shipped
F
Federal Position
USDA Certified Biobased — federal procurement eligible
A
Published Authority
CEO authored hemp textbook
I
IND HEMP
50K+ tons processed tech

Supply Chain Control — Hawaii Fibers

200
Acres Secured (Oahu)
3
Manufacturing Partners
4
Proprietary Seed Varieties
15-25%
COGS Reduction Target
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The Team

Builders of Industrial Hemp
in America

BD
Ben Draper
CEO
Founded HPC after seeing 4 billion trees cut annually for paper while a 2× stronger fiber sat in fields. Decade in packaging, 3rd startup, published author on hemp paper.
JP
Julia Park
Chief Growth Officer
Co-founder. 8 years scaling, brand partnerships, licensing strategy
KG
Kevin Goserud
CFO
Decade in financial strategy and scaling operations
Advisory Board
Geoff Whaling — Chair, National Hemp Association
Morgan Tweet — CEO, IND HEMP
Dr. Jeffrey Steiner — Director, Global Hemp Innovation Center
Phil Harding — Principal Scientist, Packaging
Alex Denoyer — Ex-Engineer, International Paper
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The Investment

$500K SAFE:
Scale What's Already Working

Terms

StructureSAFE Note
Target$500,000
Minimum$100,000
Valuation Cap$8M Post-Money
Discount20% to Series A

Use of Funds

Sales Team & Outreach30%
Die Cut Machine (Cartons)25%
Handle Attachment (Bags)15%
Grant Close & Compliance20%
Operating Reserve10%

What Capital Unlocks

Dedicated sales team to convert pipeline. Die cut machine opens cartons, hang tags, and custom packaging (35-45% margins). Handle attachment expands bag line for grocery and retail. Grant compliance costs covered to close $4M+ in pending non-dilutive capital.

Exit Path

Strategic acquisition by major packaging company (International Paper, Packaging Corp of America, WestRock) or sustainable packaging platform roll-up. Comparable exits in sustainable packaging sector at 4-8× revenue. Target timeline: 5-7 years.

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Hemp Paper Company

The Only Question
Is Speed

Product proven. Manufacturing operating. Customers reordering. Capital unlocks scale.

✓
130,500 units delivered
✓
90% customer repeat rate
✓
25-28% blended margins
✓
3 signed LOIs in pipeline
✓
70/30 sponsor-funded GTM
✓
$4M+ in grants pending
Schedule a Meeting
Ben Draper, CEO
ben@hemppaperco.com | (747) 258-8200
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