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LMN PIGGERY
Together we can
Business Plan
Prepared 10/03/2021

Contact Information
Lunga Malinga
Lunga620@lmnpiggery.com
+268 78412801
www.lmnpiggery.com
Bhunya, Swaziland
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Table of Contents
1. Executive Summary.....................................................................................................3
2. Description of Business Venture.................................................................................5
3. Ownership and Management.......................................................................................6
4. Product to offer............................................................................................................7
5. Market/ Industry analysis and Sales Strategy..............................................................8
5.1. Market/Industry analysis..........................................................................................8
5.2. Sales Strategy...........................................................................................................8
6. Business Model to use.................................................................................................9
7. Capital Requirement and Financial Statement forecast.............................................10
7.1. Capital requirements..............................................................................................10
7.2. Financial Statement forecast..................................................................................11
7.2.1.1. Income statement forecast for the year ended 30/03/2024.............................11
7.2.1.2. Statement of Financial Position forecast as at 30/03/2024.............................11
7.2.1.3. Cash flow statement Forecast for the year ended 30/03/2024........................11
8. Stakeholders analysis and Sustainability...................................................................12
9. Strategy and Risk Management.................................................................................13
10. Milestone metrics ….…………………………………………………………………14
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1. Executive Summary.
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2. Description of Business Venture

Pork is becoming one of the most consumed foods in the world. Despite being forbidden by
some religions, a number of people are shifting from other meat products to consuming pork
due to economic and aesthetic reasons. This stimulate the need for quality breeds in order to
sustain the pork meat industry as reports state that there is shortfall in domestic supply of
pork to market counting to importation of pork to meet demand. Despite pork being an on
demand product in Eswatini, farmers have not yet taken the initiative to fully focus on
production of up-to-standard quality pork as they do not have access to quality breeds of pigs.
Farmers in Eswatini, though some are keen to produce more pigs, due to the fact that it is a
developing industry lack access to commercial quality breed pigs which hinders their success
and level of production. Three undergraduate students pursuing distinct programmes at the
University of Eswatini are grown and natured in a highly agriculturally influenced
background and are inspired towards improving agriculture as a result noticed this gap in the
pig market.
LMN Piggery is a small medium partnership enterprise which is named after the three
students Lunga, Mbongwa and Nyaniso that is meant to fill this gap. The enterprise will be
commenced and operated at Bhunya, Luhleko Inkhundla, at a place which the Luhleko
Inkhundla has designated for agricultural and small business purposes. The trio partners will
have a great advantage in operating the business as this is their residential area and the
permission for operating the enterprise in the place will be granted for free as the Inkhundla
of Luhleko is promoting local entrepreneurship for youth. For commencement of the
enterprise only needs few office equipment including stationary and desk, and construction
materials is pivotal in order to build one multipurpose room for office and storage use, and 6
well ventilated pig houses****.
The company will sell high breed pigs ranging from piglets to fully grown pigs to the farmers
of Eswatini. Breeds that will be available are Chester white, Yorkshire, Spotted, Landrace,
and Hampshire which are breeds extensively used in commercial pig operations, chosen for
their efficiency of gain and meat production qualities. As mentioned earlier, the industry is
still a small and developing industry, only the Mpisi farm which is local Animal breeding
station in Eswatini is providing this service to farmers of Eswatini. Long ago, the station has
been facing pressure from farmers such that it imports breeds from South Africa for local
farmers. This proves that the market is still not taken advantage of since there is always
demand of the pigs, only to find few supplies. The partnership enterprise will be registered
and licensed though the Ministry of commerce, Industry and Trade under the Micro, Small
and Medium Enterprises (MSMEs) sector to ensure access to credit and other government
benefits associated with formal registration
2.1 The vision of the LMN PIGGERY is to become the centre of excellence for the
Eswatini pork production.
2.2 LMN PIGGERY’s mission is to foster the sustainability and prosperity of meat
production through supplying quality breeds for the good of farmers of Eswatini.
2.3 The objectives of the company are:
- To provide pure quality breeds for farmers of Eswatini
- To supply improved quality varieties of piglets through cross-breeding for
farmers at reasonable prices affordable by them.
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3. Ownership and Management

LMN piggery is a partnership company that will be owned and operated by three University
undergraduate students. LMN is an abbreviation of the co-founders of the business namely
Lunga, Mbongwa and Nyaniso which will be expected to be actively involved in the
operation and management of the partnership. Not only that the partners will be actively
involved in the business, they have distinct significant qualities and expertise as Lunga is an
undergraduate in Animal Science, while Mbongwa is in Environmental Science and Nyaniso
is in Accounting and Finance which will be pivotal for the survival and outshining of the
venture. They will constitute the management team of the business as the business will not
have enough funds to hire professional, but rather use the resources they have, the
undergraduate partners, to mitigate high expenditure on professionals. Lunga will be the
director of the company and will be managing the piggery operations of the company, while
Mbongwa will be managing the marketing and sales of the products, and Nyaniso will be the
Accounting and Financial manager. The agreements of the partners are as follows:
 Each partner will contribute capital of E15 000
 The partners will share profits equally.
 All partners will be actively involved in the management, no partner is entitled to any
salary until the business is fully established in the pork industry.
 Ownership can be transferred to another partner or anyone, if a partner dies or
decides to leave.
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4. Product to offer
LMN Piggery will be offering quality pig breeds and quotations for growing pigs to farmers
of Eswatini. Breeds that will be offered are Chester white, Yorkshire, Spotted, Landrace, and
Hampshire which are breeds extensively used in commercial pig operations. The company
will produce both pure breeds and cross breeds of this afore mentioned pig breeds.
In Eswatini, some of these pig breeds which are Spotted, Chester White, and rarely large
black pig are available and farmers raise them. These breeds are of a high standards and
practically have the potential to produce high meat production and quality pork, the main
issue is that they have been bred and raised under poor conditions and no longer thus
degrading their quality and productivity ranging from 50 - 200 kg. LMN Piggery will be
providing pure breeds and hybrids that are of high quality from piglets (4-10 kg) to fully
grown pigs (100-300 kg) in order to meet the commercial purpose of these pigs. Piglets will
be vaccinated before they are sold to ensure that they resist diseases as they will be exposed
to new conditions when they are raised by the farmers. The remaining pigs will be raised and
natured in a way that keeps their quality in order to add their value for the good of farmers.
Apparently, not all the breeds that will be sold by the company are available in Eswatini. The
Hampshire and Yorkshire contend the top two meat production breeds (250-350 kg), they are
not available in Eswatini and most farmers are less reluctant to import them from South
Africa. The main reason they are expensive, despite free import and transportation cost from
government, and their maintenance cost is relatively high as they do not suit most of the
country environmental and climate impact. Seemingly, farmers and breeding stations have
been ignorant on ways to solve this issue, the company will cross breed this top rated breeds
with the Large black through, artificial insemination, which is well known for its hardiness
adaptability. This will improve the average weight of the large black pig from 100-250 kg to
225 – 300 kg, on the other hand making the Hampshire and Yorkshire more adaptive to local
climate, and much cheaper to maintain.
Eswatini is producing most of its food and exports though agriculture, and most of its
programmes are influencing agricultural entrepreneurship in order to increase domestic
production. LMN Piggery will instantly gain recognition as approximately 60-80 homesteads
of the Luhleko Inkhundla raise pigs for subsistence purposes and most of them are waiting
for these quality pig breeds to get an opportunity to jump into the commercial pig farming.
Amongst other things, farmers around the country have less access to pig breeds as the
parastatal breeding stations are not offering enough products thus creating more favourable
position in the market. Lastly, the company will be constantly importing more pig breeds into
the country and offering more piggery services in order to maintain its competitive advantage
in the market.
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5. Market/ Industry analysis and Sales Strategy

5.1. Market/Industry analysis
LMN Piggery target market are farmers of Eswatini, but more specifically those of the
Luhleko that are raising poor quality pigs only suitable for subsistence consumption. The
company intends to venture at Bhunya, Luhleko which is located in the Middle-Highveld of
the country in the Manzini region. Currently, farmers in Luhleko and mostly around the
country obtain quality breeds from few if not one government animal breeding stations which
is being overwhelmed by pressure of demand from farmers. Also, they purchase from farmers
raising pigs of which most of the pigs quality is materially compromised. For analysis of the
market, the Porter’s five forces tool is used;
 What are the barriers to entry?
Capital requirements, scarcity of quality varieties, and lack of knowledge. The partners of
the company have obtained 50% of the required capital and have good access to Mpisi
farm and South African top quality varieties through the help Ministry of Agriculture and
all partners are undergraduate students at UNESWA in necessary programmes for the
business.
 What is the bargaining power of customers?
Customers bargaining power is very low as the market is still developing yet their
demand is very high. The company will be able to charge profitable prices
 What is the bargaining power of suppliers?
Suppliers bargaining power is very high since they are limited in Swaziland and they are
under pressure from demand while the South African ones already have their target
market.
 Are the substitute products available to customers?
Substitute products available to the farmers of Eswatini are the already available poor pig
breeds across the country………Quality breeds and services at affordable prices by them
will be offered to ensure customers are worse off buying the company pigs.
 How fierce is the existing competition between players in the market/industry?
The competition in this industry is very low as there few suppliers of quality pig breeds,
competition is in the upper level (butcheries and other buyers) of this industry.
5.2. Sales Strategy
The quality pig breeds are expected to be a long term project in the company and their sales
volumes are projected to increase vigorously as the farmers around Eswatini get to know
about the quality products of the company. Projected cash inflows from sales will be more
elaborated at the projection of cash flows. The business will gain recognition through
advertisement and intervening in promotion events like the Mavuso Exhibition Trade Fare.
Advertisement will be done mostly on social media platforms and internet as people of our
generation are increasingly using it. These platforms will be facebook, twitter, instargram,
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webpages and internet ads. Other advertising methods will be used which include Swazi TV,
Times of Eswatini, Sunday Observer, and promotion boards*************
6. Business Model to use
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7. Capital Requirement and Financial Statement forecast

7.1. Capital requirements
LMN Piggery requires E 90 000 for starting and operating the entity. The E 25 000 will be
used to fund for the construction and preparation of the place to be fully operational and up-
to-standard for pigs to be taken care of. The remaining amount will be used for the operation
of the piggery which involve registering the partnership, procurement of breeding stock,
food, medicines and other regular needs necessary for the following six months.
Currently, the partners of the piggery are able to raise an amount of E 45 000 with each being
able to contribute a capital requirement of E 15 000 through the use of their personal
allowances saved since first year.
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7.2. Financial Statement forecast

7.2.1.1. Income statement forecast for the year ended 30/03/2024
LMN Piggery Projected Income Statement for the year endend 30/05/2022
June July August September October November December January February March April May Total year 1
R R R R R R R R R R R R R
REVENUE R - R - R - R - R - R 70 000,00 R 43 000,00 R 15 000,00 R 6 000,00 R - R 85 000,00 R 37 000,00 R 256 000,00
Sales R - R - R - R - R - R 70 000,00 R 43 000,00 R 15 000,00 R 6 000,00 R - R 85 000,00 R 37 000,00 R 256 000,00

OTHER INCOME; R 1 500,00 R 5 500,00 R 5 500,00 R 5 500,00 R 5 500,00 R 2 500,00 R 1 800,00 R 5 500,00 R 5 500,00 R 5 500,00 R 2 500,00 R 1 500,00 R 48 300,00
Manure income R 1 500,00 R 1 500,00 R 1 500,00 R 1 500,00 R 1 500,00 R 2 500,00 R 1 800,00 R 1 500,00 R 1 500,00 R 1 500,00 R 2 500,00 R 1 500,00 R 20 300,00
Breeding income R - R 4 000,00 R 4 000,00 R 4 000,00 R 4 000,00 R - R - R 4 000,00 R 4 000,00 R 4 000,00 R - R - R 28 000,00

Total Revenue R 1 500,00 R 5 500,00 R 5 500,00 R 5 500,00 R 5 500,00 R 72 500,00 R 44 800,00 R 20 500,00 R 11 500,00 R 5 500,00 R 87 500,00 R 38 500,00 R 304 300,00

EXPENSES -R 20 612,00 -R 9 032,00 -R 8 082,00 -R 7 982,00 -R 8 982,00 -R 25 212,00 -R 13 082,00 -R 8 382,00 -R 8 382,00 -R 8 382,00 -R 24 712,00 -R 7 482,00 -R 150 324,00
Cleaning Chemicals R 500,00 R 200,00 R 150,00 R 150,00 R 150,00 R 500,00 R 150,00 R 150,00 R 150,00 R 150,00 R 500,00 R 150,00 R 2 900,00
Feed R 4 500,00 R 4 500,00 R 4 500,00 R 4 500,00 R 4 500,00 R 10 000,00 R 6 000,00 R 4 500,00 R 4 500,00 R 4 500,00 R 10 000,00 R 4 500,00 R 66 500,00
Animal drug R 3 000,00 R 1 000,00 R 1 000,00 R 1 000,00 R 1 000,00 R 10 000,00 R 3 000,00 R 1 000,00 R 1 000,00 R 1 000,00 R 10 000,00 R 100,00 R 33 100,00
Water and electricity R 600,00 R 600,00 R 600,00 R 600,00 R 600,00 R 1 400,00 R 1 400,00 R 600,00 R 600,00 R 600,00 R 1 400,00 R 600,00 R 9 600,00
Transport cost R 8 000,00 R 200,00 R 200,00 R 200,00 R 200,00 R 1 000,00 R 1 000,00 R 600,00 R 600,00 R 600,00 R 1 000,00 R 600,00 R 14 200,00
Bank charges R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 112,00 R 1 344,00
Security wages R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 1 400,00 R 16 800,00
Stationery R 500,00 R 20,00 R 20,00 R 20,00 R 20,00 R 300,00 R 20,00 R 20,00 R 20,00 R 20,00 R 300,00 R 20,00 R 1 280,00
consulting cost R 2 000,00 R 1 000,00 R 100,00 R - R 1 000,00 R 500,00 R - R - R - R - R 1 200,00 R - R 5 800,00

NET PROFIT/LOSS -R 19 112,00 -R 3 532,00 -R 2 582,00 -R 2 482,00 -R 3 482,00 R 47 288,00 R 31 718,00 R 12 118,00 R 3 118,00 -R 2 882,00 R 62 788,00 R 31 018,00 R 153 976,00

7.2.1.2. Statement of Financial Position forecast as at 30/03/2024

7.2.1.3. Cash flow statement Forecast for the year ended 30/03/2024
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8. Stakeholders analysis and Sustainability

Eswatini is country which is highly promoting agriculture in order for the country to
produce more domestic products to produce imports. The major/key stakeholders of LMN
Piggery that will have high power accompanied by high level of interest is the Ministry of
commerce, Industry and Trade, Micro, Small and Medium Enterprises (MSMEs) sector,
and the Ministry of Agriculture. Farmers which are the target market for the enterprise are
the stakeholders that will need consistent satisfaction are considered to have more power
yet having a low level of interest. Eswatini Bank which is the financial institution the
company will obtain financial assistance will be having a high level of interest with low
power, amongst is the Ministry of labour and Luhleko Youth Entrepreneurship
Development group. The Luhleko community and Independent services providers
(agricultural consultants, pig vet nary, and more) and Animal breeding stations will be the
stakeholders that have a low interest and low power in the enterprise.
Below is a tabulated stakeholder analysis:
LEVEL OF INTEREST
HIGH INTEREST LOW INTEREST
P  Ministry of commerce,  Farmers
HIGH Industry and Trade  Butcheries
 MSMEs sector
O POWER  Ministry of Agriculture
 Partners
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 Ministry of labour  Community

W LOW  Eswatini Bank  Independent agricultural
 Luhleko Youth services providers
POWER Entrepreneurship (consultants)
E Development group  Animal breeding stations

9. Strategy and Risk Management

LMN Piggery SWOT Analysis

S- STRENGTHS W- WEAKNESSES
1. Capacity to grow and 1. High costs of feed
adapt within the 2. Lack of collaboration
industry with Mpisi farm animal
2. Good government and breeding station
development groups 3. Land tenure system***
support 4. Remote location of
3. Availability of market farms**
4. Availability of labour 5. Constant expenses with
diminishing revenue
O- OPPORTUNITIES SO WO
1. Increased food 1. Building more 1. Pursue raising pigs for
and nutrition structures for sale to butcheries and
security economies of scope wholesalers (O1, O4,
2. Potential use of and scale(S1,S2, W5)
alternative feed O1,O4)
resources 2. Farming maize,
3. Strategic use of wheat, sunflower to
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pig manure make feed (S4,O2,OP)

4. Industry
improvement
and product
value addition
T- THREATS ST WT
1. Changes on 1. 1.
consumer 2.
preferences
2. Increased
competition and
diminishing
profitability
3. Greenhouse
emissions
contributing to
global climate
change
4. Emissions
threaten
Luhleko
residents health
5. Emerging
Muslim society
and Zions
beliefs

10. Milestones Metrics

Balanced Objective Target/ Year 1 Year 2 Year 3
Scorecard Goals
Plan
Customers To increase Increase 120 156 203
(Market and customer target market
Sales Plan) base by 30% each
year

Internal To service 100% 40% 65% 85%

Business delivery thatquality
Process is effective services and
-Operation and efficienton time
Plan delivery of
product to
farmers
Learning & To hire 100% 3 4 5
growth qualified, qualified
-Organization and effective employees
al plan staff with
members university
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degrees
Finance Plan To Profit
maximize Increase by
profit on 60%
yearly basis