Poultry Farming Business Plan Feasibility Study

Poultry Farming Business Plan Feasibility Study is all you need to establish your desired Poultry farming business. Investing large capital on a poultry business without a well developed business plans and feasibility study report is a big rick. Business plans and Feasibility study Reports opens you up to the strategy of making maximum ;profit in the business.

As a matter of facts, this Poultry Farm Business Plan Feasibility Study has been written by Onwuama Chibuzor Victor, a HND student. In like manner, this is just a sample write up on Poultry Farm Business Plan Feasibility Study. Similarly, our business plans and feasibility study Report are broken down into two. Peruse our table of contact to see what you get when we write a business plan and a feasibility study for you.

Executive Summary Poultry Farm Business Plan Feasibility Study

Feasibility Study on the establishment of a poultry form is based on the survey made by Onwuama Chibuzor Victor, and the business with by wholly owned by him. The name of the poultry farm will be name VONEX FARMS VENTURE and will concentrate on sales of eggs and table meat bird (boilers).

We will supply birds and eggs to different quick service restaurant in south west Nigeria and our vision is to be one of the known poultry farm product supplier in Nigeria with a mission to raise healthy birds at a very profitable venture.

From the research that was carried out it was discovered that the demand for eggs and bird meat is not fully satisfied around some areas of Lagos, though they are already existing poultry farms operating around borders of Lagos and Ogun state environment, the poultry farm will be sited at Ifo Local government area in Ogun state a neighboring environment to Lagos, there are high demand in some part of lfo, Sango and some part of Lagos. These legal requirements for the establishment of this venture such as local government revenue (tax) per month and security payment (vigilante) per month have been inquired and will be carefully complied with.

The venture will help in providence employment to the locals meeting the demand of eggs and making the price affordable in future, VONEX FARMS VENTURES intends to develop into other livestock farming structures such as turkey, duck, guinea fowl and quail.

POULTRY STRATEGY AND IMPLEMENTATION SUMMARY OBJECTIVE

· To increase number of our client by 20% within 2 years of existence

· To evaluate our strategic marketing by every three months

· To keep and maintain hygienic farms for healthy eggs and birds

POULTRY TACTICS AND STRATEGY IMPACTS

VONEX FARMS products will be priced at affordable rate. When a markup is placed on any of our products, customers will be willing to pay because of the affordable price.

The venture to be established is a poultry farm that will concentrate on the production of eggs and sales of broilers, birds because of the fund required the venture will start as a small scale business having the population of three Local Government Area of Lagos, which are Alimosho, Agege, Ifako – Ijaiye are target market. The farm site will be a permanent land and will need necessary equipment for its operation as it is entirely new firm to start from the scratch.

OPERATIONAL PLAN ON POULTRY

The firm will be a commercial poultry farm; therefore it will require a full time labour and geared towards productivity on a scale for the sales of egg and sales of broiler birds.

For egg production, birds usually starts to lay at 18-22 weeks of age and continue to lay for Twelve months (52weeks) on average laying fewer egg as the new mounting period. The typical production cycle last about 17 months (72 weeks) and involves three district phases as follows:

PHASE 1: Pullets or broilers: This phrase last from 0 – 8 weeks during which small chicks (pullets) are kept separately from broilers.

PHASE 2 (GROWERS): This period concerned is between 8 – 21 weeks of age. Growers are the future laying birds and the way they grow up will largely determine how well they do in the laying house. Therefore management during the growing period is very important.

PHASE 3 (LAYERS): The laying period is taken to have started when the birds reach 5% egg production on a daily basis. The laying period continues until the birds are sold at the end of a laying period of normal length or are force mounted Housing time starts with the beginning of the laying period. The number of birds housed is the number of pullet in the laying house when egg production starts.

MARKET ANALYSIS ON POULTRY

Most meals in Nigeria is not complete without poultry output like egg or meat. Nigeria has over 170 million growing population that demand for meat or egg on a daily basis. With increasing awareness on health implication of red meat, they are ever increasing demand for white meat and livestock are source of white meat.

POULTRY MARKETING STRATEGY

As we mentioned earlier, resident and families of three local government of Lagos being our target market awareness will be made by means of advertisement. The advertisement will be made on flyers, handbills, and one on one marketing will be done to eateries, restaurants and companies that demand for our product. Our major market aggression will be supplied to local markets makers of Cake and Ice Cream, Local restaurants and hotels

MARKETING

Marketing activities include among other grading quality, promotions, packaging and value adding these activities are essentials as they will lead to large volume of sales of product quickly as possible resulting to increase of income

GRADING

Eggs should be graded by size and labeled according to it weight. During selection and grading, care must be applied to ensure that weight is uniformed to avoid rejection from customers

POULTRY BUSINESS EVALUATION OF FARM/FINANCE

This evaluation is based on birds i.e. layers and broilers

Layers are those birds that lay eggs while broilers don’t lay egg. This evaluation will be based on 5% normal loss i.e. at the process of taking care of the day old chicks; it is possible to lose 5% of the birds to sickness. Therefore if we start with 1000 birds, it is possible for us to lose 50 birds at the process of rearing them. While broilers if we start with 400 birds it is possible for us to loss 20 birds to diseases at the process of rearing them.

LAYERS

If layers are been rear, it takes 18 weeks to start laying egg, if we start with 1000 birds and we loss 5% of it so we have 950 surviving layers and with proper management of feeding and other maintenance of the bird it is possible to get 90% egg production that is 855 per day and 5985 pieces of egg every week. If we loss 1% of the egg that is 60 pieces every week so we have 5925 pieces p/weeks. 197 crates of eggs every week and crate of egg is sold accordingly to its size. Small size N500, Medium N600, Big size N700. Assuming we use medium size, that is N600 which result to N118500 sales of egg every week.

After laying eggs for 52 weeks (12months) we dispose the layer and it will be sold at the rate of N700 per layers

Therefore, before changing the stock we might have made N6,162,000 from sales of eggs and N665,000 from the disposal of old layers making a sum total of N6,827,000 for the period of 52 weeks (one year)

BROILERS

Broilers do not lay eggs but grows to table size when they are from 8 weeks old upward. We are project for 400 birds of broilers and if we have 380 surviving birds sold at the rate of N1,500 each, making a total sales of N570,000 for the period of rearing the broilers. Making it total sales of (570,000 x 3) N1,710,000 for period of 12 months

Total Sales expected for 12 months.

Layers N6,162,000

Broilers N1,710,000

N7,872,000

CAPITAL EXPENSES

2 plots of land @ N150,000 N300,000

Block 2000 pcs @ 110 N220,000

Cement 60 bags @ N1800 N108,000

Cement Carriage N3,000

Woods N151,700

Roofing Sheets N126,000

Roofing Slate N25,000

Ceiling Slate N15,000

Reggie’s N7,500

Nails N12,000

Net 15 bundles @ N4000 N60,000

Iron door N43,000

N1,071,200

SANDS

Stone Big 2 tipper @ N25,000 N50,000

Sharp sand (Mayans) N20,000

Soft Sand N22,000

N92,000

TOOLS

Day old feeders 30pcs @ N120 N3,600

Day old Drinker 15pcs @ N200 N3,000

Feeders 60pcs @ N550 N33,000

Drinkers 12pcs @ N2500 N30,000

Shovel & Head pan N2,000

Thermometer (Digital) N8,000

Scale (Digital) N10,000

Geepee Tank 1500litres N23,000

Geepee Tank 500 litres N14,000

Nylon 7 pcs @ N700 N4,900

WORKMANSHIP

Carpenter N65,000

Bricklayer N80,000

Miscellaneous N130,000

N275,000

Business Registration N20,000

PRODUCTION

1000 pullets @ 140 N140,000

400 broilers @ 130 N52,000

N192,000

OPERATIONAL EXPENSES

Feeds, Vaccines & upkeeps N1,330,000

Salaries and stationeries N240,000

N1,570,000

SUMMARY

Capital expenses N1,781,700

Operational expenses N1,570,000

TOTAL EXPENSES N3,351,700

TOTAL SALES FOR PERIOD OF 12 MONTHS

Layers N6,162,000

Broilers N1,710,000

N7,872,000

PROFIT = SALES – EXPENSES

For layers during egg production, the expenses are half of sales of egg will go in for feeds and other operational expenses. i.e. N6,162,000 divide by 2

6162,000

= 3,081,000

For broiler the cost of production till the birds reaches table size before disposition is between N900 to N1000. So therefore let put the bench mark to N1000. If N1140 broiler is sold at the rate of N1500

1,710,000 – N1140,000 = N570,000

The profit of layers for the period of 12 months = N3,081,000

The profit of broilers for the period of 12 months = N570,000

Total profit = N3,081,000 for layer

N571,000 for broiler

N3,651,000

USING PAY BACK PERIOD

This method talks about the number of period that a business investment will pay back amount invested on it. It is usually shows the number of years it would take an investor to recover the initial cost of investment from the expected streams of cash flows. The payback period can be calculated as thus

PBP = Total Investment

Initial Capital

Using Payback Period of loan generating a profit of N3,651,000, 2 years and 8 months

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For your Agribusiness, either production, processing, marketing of any Agro-industry, our feasibility studies or business plan are explicit.

Generally, our feasibility study and business plans are developed so well that it becomes irresistible when you show them to your investors or sponsors. It gives you a clear picture of what you are expected to see when you put the feasibility study or business plans into use. It also shows how much it will cost you to own your desired business, what your money can afford. The kinds of product you will need to minimize input in other to maximize output, and how much returns you will get at the end of each accounting year until your business break-even on its initial investment capital. This will give the intending business person or investor or farmer, a vivid idea on the possible benefit he or she stands to gain, when he or she starts doing the business. With that, the intending business person or investor or farmer will not need a soothsayer to make decision for him or her.

You can use this format in developing your own business Plans and feasibility Study

OUR TABLE OF CONTENT INCLUDE;

SECTION 1(Business plan section)

SECTION I – EXECUTIVE SUMMARY

NAME OF BUSINESS / COMPANY

OFFICE & SITE LOCATION

MOTIVATION

MISSION STATEMENT

SOCIAL/ECONOMIC VALUE

PROJECT STATUS & START UP

WHY PREPARE THIS BUSINESS PLAN?

SECURITIES FOR THE PROPOSED LOAN

REPAYMENT

SECTION II – STUDY AREA

STUDY AREA

COMPANY OVERVIEW

MANAGEMENT TEAM

DEPARTMENTS IN THE COMPANY

EXPERIENCE

MANAGEMENT TEAM GAPS

SECTION III – INDUSTRY ANALYSIS

DEFINING YOUR INDUSTRY

YOUR INDUSTRY SIZE GROWTH RATE AND SALES PROJECTIONS

INDUSTRY STRUCTURE

MARKET OVERVIEW

MARKET SEGMENTATION

RELEVANT MARKET SIZE

KEY SUCCESS FACTORS

LONG TERM PROSPECTIVE

MARKET CHARACTERISTICS

SAMPLING TECHNIQUE

SECTION IV – CUSTOMER ANALYSIS

TARGET CUSTOMERS

CUSTOMER NEEDS

MARKET NEEDS / SOCIAL PROBLEMS AND SOLUTIONS

BUYERS BEHAVIOUR

MARKET SHARE

SALES FORECASTING

SECTION V – COMPETITIVE ANALYSIS

DIRECT COMPETITORS

COMPETITIVE ADVANTAGES

SECTION VI – MARKETING PLAN

PRODUCTS & SERVICES

FINISHED PRODUCTS

PRODUCT QUALITY AND PRODUCTION QUANTITY

PRODUCTION CAPACITY

PRICING

PROMOTIONS PLAN

DISTRIBUTION PLAN

SECTION VII – OPERATIONS PLAN

GENERAL APPROACH TO PRODUCTION

TECHNICAL ANALYSIS / PRODUCTION PROCESS

EQUIPMENT

PACKAGING REQUIREMENTS

SECTION VIII – FINANCIAL PLAN

REVENUE MODEL

FINANCIAL ANALYSIS

FINANCIAL ASSUMPTIONS

FINANCE CHARGES

FINANCIAL PROJECTIONS

FUNDING REQUIREMENTS/USE OF FUNDS

CRITICAL ASSUMPTIONS

SECTION 2(Feasibility study section)

FINANCIAL MODELS

SUMMARY OF PROJECT COST

BUDGET OF FIXED ASSETS / CAPITAL EXPENSES / INVESTMENTS

DEPRECIATION

UTILITIES

OPERATING EXPENSES (OPEX)

TOTAL REQUIRED INVESTMENT OUTLAY (REQUIRED START-UP CAPITAL)

FINANCING PLAN

INSTALLED / AVAILABLE EQUIPMENT

BREAK-EVEN ANALYSIS

LOAN REPAYMENT SCHEDULE AND INTEREST PAID

FORECAST OF PROFIT AND LOSS

CASH FLOW

BALANCE SHEET

GENERAL ASSUMPTIONS (BREAK EVEN ANALYSIS)

BUSINESS RATIOS - PROFITABILITY ANALYSIS

CONCLUSION

SECTION 3 – APPENDIX

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· NOTE; According to our policy, we are not “allowed / permitted” to disclose peoples business or written feasibility study, “to anyone”, irrespective of their personality.

· BUT, WE are permitted to display only executive summary.

· This is just a sample of our executive summary on poultry feasibility study and business plan, carried out in Rivers State.

· 1^st sample;

These Feasibility study on poultry farming business (specializing on layers and boilers production), was conducted using projections, impressive publications, compounding interest/values, tables, graph, bar chart, pie chart, profits analysis and cash flow positions in other to give a clear picture of what is obtainable in that location, using eight plots of land, at Esemdiary village, Off Effurun Sapele Road, Okpe LGA of Delta state, Nigeria as a case study.

Esemdiary village is a community in Okpe Local Government Area of Delta State with coordinates 05°26’N 5°57’E, which also plays the host community to the Warri Airport, which is actually located at Osubi.

Okpe Local Government is a territory that used to be part of the original Okpe Kingdom, its headquarters is at Orerokpe, with a population of 128,398 people whose primary occupations include commercial farming, fishing, hunting, trading and gas exploration.

After carrying out the feasibility study on Esemdiary village, Off Effurun-Sapele Road, Okpe LGA of Delta state, Nigeria, it was discovered that, farming generally will do well both on crop and animal production.

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