Potential Risks, Kona Gold Coffees
A new start-up company is always accompanied by the risk of uncertainty. We
believe that the combined experience of the president, operation chief, , and
other key employees will prove this to be an unnecessary concern.
Since our product is totally new to the market, there is risk of market acceptance.
This is both a product risk and a market risk. In manufacturing, there is always
the risk of losing key supplier. Another risk would be missing our gross profit
margin of 55.7 percent. Since the industry standard is 40 percent, we believe we
have a built-in safety net with this number.