Poultry business plan pdf south africa

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Chicken Farming Business Plan South Africa – In this article we have put together two simple chicken business plans for both small scale farmers and intensive or larger scale poultry farming. A small scale business plan will guide you how to farm with chickens and a more advanced plan feature points that you can present to the Bank for a loan or
Government Funding Backyard or Small Scale Chicken Farming Business PlanIntensive or larger Chicken Farming Business Plan Housing CostBedding CostFeed and Water CostHealth and Treatment CostMarketing and Marketing CostWagesSales We will look at the basics and profitability of small scale farming.

But let me explain why you need a business plan. A business plan is a written tool about your business that projects 3-5 years ahead and outlines the path your business intends to take to make money and grow revenue.
Think of it as a living project for your business, and not as a one-time document. Break it down into mini-plans – one for sales and marketing, one for pricing, one for operations, and so on. A good business plan guides you through each stage of starting and managing your business. You’ll use your business plan for how to structure, run, and grow your
new business. It’s a way to think through and detail all the key elements of how your business will run. You need to determine how many chickens you can operate with. When building your coop you need to construct the building to easy extent it if needed as your business grow. Housing should be protected from strong winds and must be
waterproofed. Day old chicks are not cold tolerant and you can lose your stock if they are not protected against bad weather. Make sure that your coops are also protected against rodents and do not store feed in your coops. Planning the cost of your housing carefully will save you money as you will not buy unnecessary material and pay extra wages
to redesign your housing if errors were made. Plan your bedding well before the chicks arrive. You can get bedding at your closest sawmill or at pet stores or even make wood shavings yourself. Bedding is a nominal cost and you will need to maintain it as long as you have chickens. Bedding is not expensive and can be resold as manure after your
farming cycle. Bedding can be bought in bulk and stored in a dry place which are rodent free. Watering Systems are expensive and need to be planned carefully. You need to get the right amount of bell drinkers or water holders and raise them as the chickens grow. You will need 3 types of feeds for broilers in the form of starter feed, grower and
finisher.
You will find a breakdown of feeding methods on our website. Planing your feed is crucial and having too many chicks at the startup of your business you don’t want to run out of cash to buy feed for the chickens.
Work out how much starter, grower and finisher you are going to need. You can use this Feeding Calculator for Layer and Broiler Chickens You need to plan for chickens getting sick. Talk to your state vet before starting your business. Virukill is a must for any chicken farmer to disinfect their coops floors and walls. You can also use it to wash their
drinkers and feeders. Marketing is an essential part of your business. Plan ahead on how to market your business. Advertising in news papers or on social media is a good way to create public awareness and almost guaranteed to bring clients to you. There are many free methods of marketing but it is time consuming and not always an effective
strategy to market your business. You have to decide how much help you are going to need and budget for wages. Chickens take time to return your investment and running out of cash means that you are going to run out of workers. Selling your products are not always easy. We have put together a paragraph on how to sell your chickens and eggs.

4 Best Ways to Sell Chickens in South Africa You need to follow these points to create a full and complete business plan to present to your Bank for a loan or to apply for Government Funding. Executive SummaryObjectivesMission StatementKeys to successFinancial SummaryBusiness OverviewCompany OwnershipLocation and facilitiesMarket
AnalysisIndustry AnalysisChallenges facing the poultry industryMarket segmentationTarget market segment strategyMarket trendsStartup SummaryProducts & ServicesProduct descriptionFuture productsService DescriptionFuture servicesCompetitive AnalysisCompetitionCompetitive edgeMarketing Strategy and ImplementationMarketing
strategyPricing and promotion strategyWeb strategySales strategySWOT analysisPEST analysisSocio-culturalTechnologicalTechnologicalPoliticalManagement and Organization StructureManagement teamOrganizational structureFinancial PlanProjected Profit and LossProjected Cash FlowProjected Balance SheetRisk AssesmentFinancial risksHealth
risksTechnological risks YouTube Channel: Farming South AfricaFacebook Page: Farming LifeBack To Home Page: Farming South Africa Keywords for this post:Farming South AfricaFarming Magazine South AfricaOnline Farming Magazine South AfricaAgriculture South AfricaFarming News South AfricaSouth Africa Farming Poultry Farm Business
Plan Over the past 20+ years, we have helped over 1,000 entrepreneurs and business owners create business plans to start and grow their poultry farms. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a poultry farm business plan template step-by-step so
you can create your plan today. Download our Ultimate Business Plan Template here > What Is a Business Plan? A business plan provides a snapshot of your poultry farm as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to
support your plans.
Why You Need a Business Plan If you’re looking to start a poultry farm, or grow your existing poultry farm, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your poultry farm in order to improve your chances of success. Your poultry farming business plan is a living document that should be
updated annually as your company grows and changes. Sources of Funding for Poultry Farms With regards to funding, the main sources of funding for a poultry farm are personal savings, credit cards, USDA Farm Service Agency (FSA) loans, bank loans, and angel investors. With regards to bank loans, banks will want to review your business plan
and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal
savings and USDA FSA loans are the most common funding paths for poultry farm. How to Write a Business Plan for a Chicken Farm If you want to start a poultry farm or expand your current one, you need a business plan. We detail each section of a traditional business plan for a poultry farming business. Executive Summary Your executive summary
provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan. The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of poultry farm you are operating and its status. For example, are you a startup, do you have a poultry
farm business that you would like to grow, or are you operating poultry farm businesses in multiple locations?

Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the poultry farm industry.
Discuss the type of poultry farm you are operating. Detail your direct competitors. Give an overview of your target customers. Provide a snapshot of your marketing plan. Identify the key members of your team. And offer an overview of your financial plan. Company Analysis In your company analysis, you will detail the type of poultry farm you are
operating. For example, you might operate one of the following types of poultry farms: Breeder Farms: this type of poultry farm produces hatching eggs for delivery to the hatchery. After the 21 day incubation period, the hatchery then delivers the baby chicks to the broiler houses. Broiler Farms: this type of farm produces a 2.5 lb. to 8 lb. bird in 4 to
8 weeks which is processed for various types of retail sale to consumers, grocery stores or fast food chains as whole birds, cut-up breast, wings, thigh, drumsticks, deboned breast meat, or further processed pieces. Pullet Farms: this type of poultry farm produces pullets and roosters to be delivered to a breeder hen house at 20-22 weeks old when they
are sexually mature to breed and lay eggs. In addition to explaining the type of poultry farming business you will operate, the Company Analysis section of your business plan needs to provide background on the business.
Include answers to question such as: When and why did you start the business? What milestones have you achieved to date? Milestones could include the number of chickens and/or turkeys produced, number of production contracts, etc. Your legal structure. Are you incorporated as an S-Corp?
An LLC? A sole proprietorship? Explain your legal structure here. Industry Analysis In your industry analysis, you need to provide an overview of the poultry farm industry. While this may seem unnecessary, it serves multiple purposes. First, researching the poultry farm industry educates you. It helps you understand the market in which you are
operating. Secondly, market research can improve your strategy, particularly if your research identifies market trends. The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that. The following questions should be answered in the
industry analysis section of your poultry farming business plan: How big is the poultry farm industry (in dollars)? Is the market declining or increasing? Who are the key competitors in the market? Who are the key suppliers in the market? What trends are affecting the industry? What is the industry’s growth forecast over the next 5 – 10 years? What is
the relevant market size? That is, how big is the potential market for your poultry farm business? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your target market. Customer Analysis The customer analysis section of your poultry farming business plan must detail the
customers you serve and/or expect to serve. The following are examples of customer segments: processors, grocery stores, and restaurants. As you can imagine, the customer segment(s) you choose will have a great impact on the type of poultry farm business you operate. Clearly, processors would respond to different marketing promotions than
restaurants, for example. Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, include a discussion of the ages, genders, locations and income levels of the customers you seek to serve. Because most poultry farm businesses primarily serve customers living in their same
region, such demographic information is easy to find on government websites.
Psychographic profiles explain the wants and needs of your target customers. The more you can understand and define these needs, the better you will do in attracting and retaining your customers. Don’t you wish there was a faster, easier way to finish your business plan? With Growthink’s Ultimate Business Plan Template you can finish your plan in
just 8 hours or less! Click here to finish your poultry farming business plan today. Competitive Analysis Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter. Direct competitors are other poultry farm businesses. Indirect competitors are other options that customers have to
purchase from that aren’t direct competitors. This includes producers of other meat such as beef, pork, or fish, as well as producers of meat alternatives. You need to mention such competition as well. With regards to direct competition, you want to describe the other poultry farms with which you compete. Most likely, your direct competitors will be
poultry farms located very close to your location. For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as: What types
of customers do they serve? What kinds of poultry do they produce (breeders, broilers, pullets)? What is their pricing (premium, low, etc.)? What are they good at? What are their weaknesses? With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what
they like most and least about them. The final part of your competitive analysis section is to document your areas of competitive advantage. For example: Will you use superior production methods? Will you provide services that your competitors don’t offer? Will you provide better customer service? Will you offer better pricing? Think about ways you
will outperform your competition and document them in this section of your plan. Marketing Plan Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a poultry farm business plan, your marketing plan should include the following: Product: In the product section, you should reiterate the type of poultry farm
company that you documented in your Company Analysis. Then, detail the specific products you will be offering. For example, in addition to traditional poultry, will you provide organic or cage-free poultry? Price: Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your
marketing plan, you are presenting the products and services you offer and their prices. Place: Place refers to the location of your poultry farm company. Document your location and mention how the location will impact your success. For example, is your poultry farm located near a processing facility, near a transportation hub, etc. Discuss how your
location might be the ideal location for your customers. Promotions: The final part of your poultry farm marketing plan is the promotions section.
Here you will document how you will drive customers to your location(s).

The following are some promotional methods you might consider: Advertising in trade papers and magazines Reaching out to local agriculture extension offices Flyers Social media marketing Local radio advertising Operations Plan While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet
them. Your operations plan should have two distinct sections as follows. Everyday short-term processes include all of the tasks involved in running your poultry farm, including animal care / feeding, flock supervision, animal transportation, sourcing feed, etc. Long-term goals are the milestones you hope to achieve. These could include the dates when
you expect to sign your 20th production contract, or when you hope to reach $X in revenue. It could also be when you expect to expand your poultry farm to a new location. Management Team To demonstrate your poultry farm’s ability to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those
skills and experiences that prove their ability to grow a company. Ideally you and/or your team members have direct experience in managing poultry farms. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed. If your team is lacking, consider assembling an advisory board. An
advisory board would include 2 to 8 individuals who would act like mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing farms or successfully running small businesses. Financial Plan Your financial plan should include your 5-year
financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet and cash flow statements. Income Statement An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenues and then subtracts your costs to
show whether you turned a profit or not. In developing your income statement, you need to devise assumptions. For example, will you supply 50 restaurants, or produce 2,000 birds for processing each month? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your
business. As much as possible, conduct research to try to root your assumptions in reality.
Balance Sheets Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your poultry farming business, this will not give you immediate profits. Rather it is an asset that will hopefully help you
generate profits for years to come. Likewise, if a bank writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time. Cash Flow Statement Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of
money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt. In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a poultry farm business: Location build-out including design fees, construction, etc.
Cost of equipment and supplies Payroll or salaries paid to staff Business insurance Taxes and permits Legal expenses Appendix Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your farm title or lease, or blueprints of the
production facility. Summary Putting together a business plan for your poultry farm is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the poultry farm industry, your competition, and your customers. You will have developed a marketing plan and will really
understand what it takes to launch and grow a successful poultry farming business. Poultry Farm Business Plan FAQs The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of poultry farm business you are operating and the status; for example, are you a startup, do you have a poultry farm business that you
would like to grow, or are you operating a chain of poultry farm businesses?