Dear Sirs and Madams:

The undersigned hereby makes the following seed money contributions to [insert name of Cooperative here] with the understanding that if equity or certificates of indebtedness are eventually issued by the Cooperative, these contributions will apply toward the purchase of those equities and certificates if I decide to make such purchases.

If, however, equities and/or certificates of indebtedness are not issued, I understand that my contribution hereunder will first be reduced by a prorata share of the expenses that [insert name of Cooperative here] incurs in evaluating the issuance of equities and/or certificates of indebtedness and the balance, if any, returned to me without interest.

1. MEMBER EQUITY

I own _____ acres of wooded land which I would expect to enroll in [insert name of Cooperative here]’s [insert type of certification here, e.g. SmartWood] woodland management program.

SELECT ONE OF THE FOLLOWING OPTIONS:

A. FOR MEMBERS WITH FIFTY OR FEWER WOODED ACRES:

I own fifty or fewer wooded acres. I understand that if I agree to purchase equity in [insert name of Cooperative here], I would be expected to purchase [insert dollar amount here] worth. The contribution I am making today is $___________ (____% of the anticipated purchase).

OR

B. FOR MEMBERS WITH MORE THAN FIFTY ACRES

I own _____ wooded areas. I understand that if I agree to purchase equity in [insert name of Cooperative here], I would be expected to purchase [insert dollar amount here] of equity for each of these wooded acres. The total amount of equity I am purchasing is $_________. (Maximum of [insert dollar amount here].) The contribution I am making today is $________ (____% of the anticipated purchase).

2. PROCESSING BY [INSERT NAME OF COOPERATIVE HERE]

I would agree to pay in advance to [insert name of Cooperative here] the amount of [insert dollar amount here] for each board foot of wood I have processed and marketed by [insert name of Cooperative here]. [Insert name of Cooperative here] would agree to process and market this wood within [insert number of years here] years of my payment. The amount of wood I would expect to have processed and marketed by [insert name of Cooperative here] is ______ board feet. Therefore, I would expect to pay [insert name of Cooperative here] $_________ for equity in [insert name of Cooperative here]. The contribution I am making today is $___________ (____% of the anticipated purchase).

I understand that:

a. [Insert name of Cooperative here] will provide personnel to develop my stewardship/management plan, but I am responsible for the cost of the plan.

b. I am responsible for payment of harvesting the wood from my land to a landing suitable for truck removal. [Insert name of Cooperative here] will assist in making arrangements for harvesting using appropriate logging methods.

c. [Insert name of Cooperative here] is responsible for hauling the wood from the edge of my land, and subsequently sawing, grading, storing, processing, and marketing it.

d. [Insert name of Cooperative here] will deduct its operating costs and _____% of the value added for capital expansion before making payment.

3. MEMBER CERTIFICATE OF INDEBTEDNESS (a loan)

SELECT ONE OF THE FOLLOWING OPTIONS:

A. _____ I would not expect to make a loan to [insert name of Cooperative here].

B. _____ I would expect to provide a [insert number of years here] year loan to [insert name of Cooperative here] of $_____ (a minimum of [insert Cooperative choice of minimum loan amount here]). I understand that I will receive _______% annual interest on this loan and that the loan would be set up under a repayment plan of [insert number of years here] years starting from the time [insert name of Cooperative here] receives the loan funds from me.

I further understand that [insert name of Cooperative here] would reserve the right to pay off the loan plus accrued interest at any time prior to the due date of the loan without prepayment penalties.

The contribution I am making today is $_____________ (____% of the anticipated purchase).

The contributions made by the undersigned in the total amount of $________________ will apply toward the purchase of the equities and certificates if [insert name of Cooperative here] eventually offers them, and if I decide to make such purchases. I understand, however, that if the equities and/or certificates of indebtedness are not issued, my contributions hereunder will first be reduced by a prorata share of the expenses that [insert name of Cooperative here] incurs in evaluating the issuance of equities and/or certificates of indebtedness and the balance, if any, returned to me without interest.

_________________________________ ___________________________________

[insert Cooperative name here] Contributor On behalf of [insert Cooperative name here]

_____________________ _____________________

Date Date

Personal Information of Contributor (please print): _____________________________,

(First/Middle Initial/Last or Business)

___________________________ or __________________________,

(social security #) (Taxpayer ID #)

___________________________, __________________, ________________

(City) (State) (Zip)