Open Harvest began as a buying club in 1971. We opened our first storefront in 1975 at 27th and Randolph and relocated to our current location at 1618 South Street in 1990. Open Harvest has grown to become a significant resource to its cooperative membership and to the community of Lincoln. We are looking to continue Open Harvest's success as Lincoln's leader in fresh, local and natural foods.

After an extended search for more space, we are pleased to announce we have signed a lease in March 2009 to expand west in our current location, we will be doubling our retail square footage. We will also be adding a wider selection of current inventory categories, as well as some possible new departments.

In order to make this expansion possible, the Board of Open Harvest has elected to commence a member loan campaign. Money raised will support leasehold improvements, equipment and remodeling expenses. Contact Jim Nelson or Margot Conrad at 402-475-9069 if you have further questions.

Open Harvest is currently free of debt. When the store moved to its current South Street location, the membership at that time did participate in a member loan campaign and all the incurred obligations of that loan campaign have been met.

In order to fully realize the opportunities we see in this relocation and to strengthen the financial future of Open Harvest, we seek financing from our member owners. By financing a portion of the new debt internally with our owners, we will strengthen Open Harvest by reducing our reliance on bank loans, by allowing for a stronger cash flow position in the first critical two years of operation, and by offering our members a meaningful way to participate economically in the cooperative that we own.

We ask members to provide a percentage of the amount that we will need to relocate Open Harvest. The board has set a member loan target of $400,000. We hope to achieve this goal by obtaining member loans in amounts ranging from $1000 on up.

The Board of Open Harvest offers participation in this member loan campaign to all current members of the cooperative.

If you would like more information, please contact Jim Nelson, General Manager or Margot Conrad Assistant General Manager at 475-9069.

Ready to show your support? Please print off the pledge sheet, fill it out and send mail it in to us. Your signature is required. We will be contacting you by the end of January. We deeply appreciate your commitment.

The program sets the terms of the loan (note) for 4,5,6 or 7 years with a fixed rate of interest between 0% and current money market rates. Members will choose their own interest rates within this range. Interest will be simple interest at that fixed rate for the duration of the loan, compounded annually, with principal and accrued interest paid at the loan's maturity date. Member owners will indicate their preference for the length of the term.

In structuring the repayment schedule for the member loans, Open Harvest will attempt to evenly distribute repayment over the four years of the loan program and will negotiate this with each individual member. Open Harvest Member loans will be unsecured and are subordinate to other Open Harvest debt. Open Harvest Member loans (notes) will be offered at face value bearing no relationship to the value of Open Harvest Cooperative or its operating results. The notes will not be transferable. They can not be sold or assigned to another.

Open Harvest wishes to inform the membership that these loans are unsecured and subordinate to commercial lenders (banks) who will be assisting Open Harvest in its relocation initiative. While Open Harvest's current financial position is strong, there are always risks in operating a business that could effect the ability of Open Harvest to repay member loans. The following are illustrative of factors that pose risks:

There are only some of the risks. Open Harvest's latest audited financial report is available to members.