Business Plan of Poultry Farm
Business Plan of Poultry Farm
Business Plan of Poultry Farm
Business concept:
Purpose of the venture: 2015 G.C. To meet the demand ofcustomer and built
strong customer relationship, to create the employmentopportunity for others and
to contribute the economy of the country.
Description of the firm:
This is a partnership business
Purpose of the venture:
•To meet the demand of customer and built strong customer relationship.
•
To create the employment opportunity for others.
•
To contribute the economy of the country.
Objective of the founders:
The major objective of the founders is reducing poverty, malnutrition and
unemployment problem of our country. Besides, we want to provide quality
product to customer and maintain the supply sufficiently.
Description of the firm:
This is a partnership business where the main activity of the firm is
toprovidequality product through the Addis Ababa city. We will collect chicken
and eggs from different producer near to Addis Ababa city especially from
Bishoftu is a town (Debre Zeyit). Chicken and eggs will be distributed to
restaurant, super shop, hotel, community center, and bakery and catering houses
around Addis Ababa city. Prolong the sufficient supply to the customer is one of
our most important purpose. We want to supply extend area of Addis Ababa city
with affordable price.
Name of the ventureAddress Shop no-
17, Road no- 6 old airport road,Addis
AbabaFoundersVision Providing quality product with reasonableprice.
Product or service:
The product is chickens and eggs. The farm will distribute these
products around the Addis Ababa city. Quality assurance is the main
motto of our business. We are not compromise in the question of quality.
To ensure the quality we always take high care of our hens and eggs.
Now days, from chickens and eggs harmful diseases are spread out. But
we are supply our chickens and eggs with ensuring that it is free from all
kind of jorum, which can create harmful diseases. Cost of poultry
business is not so high. One can easily start a business with a minimum
amount of money. But our cost of business is high, because our business
is highly future oriented. The primary cost of our business is given
below:
Particulars Cost (Birr) Total cost (Birr)
Farm 30,000.00
warehouse 50,000
Transportation 2,00,000
chicken 1,00,000
Egg 50,000
Food 50,000
Utility 20,000 5,000,000
We also provide some additional facility to ours customers and consumers that are not
provided by other suppliers:
. we reached our product (chickens and Eggs) to the customers by our own
transportation with a low transportation cost
. If any dreadful products are identified by the costumers we alwayss make it change.
. processed meat are also supply if customer feel need
. we also supply product by credit to a limited amount
Poultry business is full with compititors. But there have a great prospect of succeed,
because most of the suppliers are not adequately supply the product.
➢
We use new processing options which can differentiate our product from
theproducts of others.
➢
We ensure quality product with affordable price.
➢
We always search for new quality factors related to our products
thatcustomers wish to see in the product.
➢
Provide hygienic and nutritious feeding that may help to attain
distinguishable quality factors like color and test of meat.
Pricing:
Pricing is the most important factor for this business to compete with
competitors to sustain in the market. Our pricing method is simple. We only
sale product with a limited profit that means our sales price is our cost plus
limited profit. We also provide price discount on a bulk amount of product.
We also offer different types of price and product discount in different types
of festival.
Promotion:
To know the people about business every company need promotion. Big
companies spend a large proportion of their budget for promotion. We also
have somepromotional strategy- advertising, banner, billboard, leaflet, poster
etc. we will give advertising in different newspaper and magazine in our
country. We give billboard in some important hub of Dhaka city. We will also
provide leaflet, poster, and banner so that people can easily know about our
business.
Distribution channel:
We are not going to use any distribution channel at first. We will use personal
sales representative for selling our product. Our sales representatives will
directly go to our customers and collect the order. As per their order we will
directly supply chickens and eggs to the customers by our own transportation.
Manufacturer Customers
Inventory management:
Our main inventory is chicken and eggs. First of all we will buy chicken and eggs
from different area around Dhaka city especially from Gazipur and put it into our
farm and warehouse. Then we will clean the dust from eggs and test the
chicken’s
health that means we ensure that chickens are not affected by any harmful disease.
Then we supply the chickens and eggs to different restaurant, super shop, hotel,
community center, and bakery house as per their order.
Human resource:
In business human resources is one of the most important factors and have a big
role in a business organization. For collect inventory, maintaining inventory, and
reached the product to the desired customers we will have to need some people.
They will very skillful on their own field. If additional skill and efficiency needed
we will provide them training. We also supervise their work.
Entrepreneurial team: Profile of founders:
Md. Nazmul Hossain
Nazmul Hossain passed his SSC from Monipur high school, Mirpur and also
passedhis HSC from Dhaka Commerce College. He is now studying his BBA at
southeastuniversity (SEU) in 3 rd year last semester.Md. Mofakkharul
IslamMofakkharul Islam passed his SSC from Mirpur bangla high school, Mirpur
and alsopassed his HSC from BCIC College. He is now studying his BBA at
southeastuniversity (SEU) in 3 rd year last semester.Rokeya KhatunRokeya
Khatun passed his SSC from Monipur high school, Mirpur and also passedhis HSC
from Dhaka Commerce College. He is now studying his BBA at
southeastuniversity (SEU) in 3 rd year last semester.Md. Ahsan HabibAhsan
Habib passed his SSC from
Merchants’
pilot high school, (Ullapara) Sirajgonjand also passed his HSC from Ullapara
Science College. He is now studying his BBAat southeast university (SEU) in 3 rd
year last semester.Md. Nazmul HosssainNazmul Hossain passed his SSC from
Potazia high school, Pabna and also passed hisHSC from Ullapara Science
College. He is now studying his BBA at southeastuniversity (SEU) in 3 rd year
last semester.
Key personal:
We will supervise different sectors of this business like- buying inventory
(Chickenand eggs), marketing, and finance etc. We will do this on the basis of our
knowledgeand skill of that sector. As Mofakkharul Islam and Rokeya Khatun have
a goodknowledge on finance, so they will look after on financial factors. Nazmul
Hossainand Ahsan Habib has a good commend on marketing, they will take care of
marketing. And Nazmul Hossain is a specialist on inventory management, so
thathe will care for buying and managing inventory.
Investors:
Investors are we all five members. We will equally contribute in business.
Ourcontributions are showing below:NameInvestmentMd. Nazmul Hosssain TK.
1,00,000Md. Mofakkharul IslamTK. 1,00,000Rokeya KhatunTK. 1,00,000Md.
Ahsan Habib TK. 1,00,000Md. Nazmul HosssainTK. 1,00,000
Management role:
Mofakkharul Islam and Rokeya Khatun will keep the books of all our expenses
andincome. Expense here means how much our cost of buying chickens and eggs,
food,transportation, salary, different types of bill etc. We will keep the book of
allexpenses day by day with exact date. Nazmul Hossain and Ahsan Habib will
look after on all marketing and distribution system. We will know the customers
about our product and additional service we will provide. How we will reach the
product to our customers etc. Nazmul Hossain will give emphasize on buying and
managing chickens and eggs. From where he will buy chickens and eggs, where it
will keep, food and health of chicken will manage by him.
Conclusion
Now poultry business is a very popular business in Bangladesh. Because it is very
easy and very small amount is need to start the business. Although there have
many existing competitors in the market, but there have a high chance to succeed
because existing competitors are fail to fulfill the customers demand. They are also
failing to meet the customers need in the perspective of service. So we think that
choosing this business is our right decision. Chicken and egg marketing: Insights
from traders in Meki, Oromia
Chickens are the most popular poultry species used for meat and egg production in
Ethiopia. Dugda district, a LIVES intervention area in Oromia region, is known
nationwide for its large chicken population (more than 100, 000). When asked why
Dugda is important in poultry production, locals
respond that it’s because the district is large, has favourable climatic
conditions for chicken production, and there are many maize and wheat growers
whose products can serve as chicken feed. Chicken rearing is part of the lifestyle of
the communities of Dugda, for poor and rich alike. Eleven Peasant Associations
(PAs) neighbouring lake Zeway are famous for their high chicken production; the
soil is fertile and there is a lot of fish by-products available which provide
excellent chicken feed. Chickens from the associations (for instance Welda Qelina)
of Dugda are claimed to grow faster, maintain their body condition longer during
transportation, resist diseases and have bigger and more attractive eggs that those
elsewhere. Meki, the district town of Dugda, is a centre for chicken and egg
marketing in the surrounding areas; it gets its products from the
Ela
rural market of Dugda district and
Dugda Qella
of a neighbouring district of SNNPR. Abishu is a 28 year old chicken trader in
Meki town. He started his business about nine years ago after being motivated by
the profit his father gets from selling chickens in Meki markets. The small initial
capital cost needed to start this business, which was only 200 ETB (20 USD) was
an additional motivator. Abishu buys chickens from rural villages at a reasonable
price and sells them at Meki markets. In times of high demand, he gets additional
supplies from the Meki market itself and supply them to his customers. Abishu
also has a permanent market linkage with rural chicken traders who directly sell to
him. In addition, he supplies chickens for wholesalers coming from Addis Ababa,
Mojo, Bishoftu, Akaki and other nearby towns.
Abishu’s marketing strategy include
s: buying chickens from three markets in a week (Thursday and Monday markets at
Meki and Saturday market at Alem Tena town), supplying wholesalers coming
from Addis Ababa, supplying hotels and restaurants, and selling to individuals and
occasional customers. His major customers are wholesalers from Addis Ababa.
Wholesalers generally order the numbers of chickens they require and then buy in
bulk. To meet these demands, he goes to rural markets. In a regular
week, he buys 15- 20 chickens each market day. He says he carries 3000 to 6000
ETB to buy chickens. The amount increases during holiday seasons when
wholesalers from big cities place their orders. During holiday seasons, the numbers
he buys may increase to between 40 and 50 per market day. Since wholesalers buy
in bulk, Abishu calculates the average price of the chickens and then determines
his selling price. During dry seasons, Abishu buys and sells hens for production
and reproduction as this is a god time for hatching eggs and raising day-old chicks
and pullets. Chicken handling and transpiration has undergone its own
transformation since Abishu started his business. He explains that about five years
ago, to transport chickens, 5 to 7 chickens would be tied together, put upside down,
and loaded on the top of a vehicle. Later, people would put 12-15 chickens in a
jute sack with small airholes and then load the sacks on top of a vehicle.
Nowadays, traders use plastic sacks (
Madaberia
). They sew two of these together and put 25 to 30 chickens into each. The plastic
sacks are readily available in the market, are stronger and hold larger number of
chickens than the jute sacks. Dessie is another trader in Meki town. He is an egg
trader who entered into the business 6 years ago after he completed his 10th grade
education. A hotel owner in Meki gave Dessie an opportunity to supply eggs to his
hotel as a business. Immediately, Dessie started his business with a starting capital
of 300 ETB.
Dessie’s main egg suppliers were rural farmers along the roads of
Dugda. He sells his eggs twice a week at the Meki market, on Monday and
Thursday. Sometimes he has bought eggs on credit from farmers, paying them
back after selling the eggs. When Dessie started his business, he purchased 7 eggs
for 2 ETB. Now, depending on market condition, he buys an egg for 2.10 ETB and
sells it for 2.25 ETB. His customers are tea shops, cafeterias and hotels and
individuals during holidays. Currently, he supplies some 70 to 80% of the eggs
needed by hotels in Meki town. On market days he buys 800 to 1,500 eggs. Dessie
explains that traders from other places like Addis Ababa, Bishoftu, Mojo and
Adama used to come to buy eggs from Meki. They come less these days ans prices
are similar across locations. They only come occasionally during holidays. Both
Abishu and Dessie say that their chicken and egg businesses have improved their
livelihoods over the years. They were able to support their families and invest in
their homes. They believe that chicken and egg businesses, if undertaken properly,
are profitable ventures. They both have plans to expand their business and establish
poultry farms, for which they
need additional skills and knowledge and linkages along the value chain (hence
their contacts with the LIVES project). The availability of chicken feed in Dugda
makes chicken production and marketing an ideal venture in the area. The supply
of day-old chicks from Bishoftu and the introduction of exotic types through the
extension service also contribute to the suitability of the area for the sector.
Furthermore, farmers in the area seem to know about chicken production and
marketing. The increased number of entrepreneurs in the sector, as compared to
other areas, is a good indicator. Women are also active participants in chicken and
egg trading in Meki. When Abishu and Dessie started the business, there were no
women involved in chicken and egg marketing. Nowadays, there are even women
wholesalers coming from other places. Today, Abishu and Dessie estimate that 40
to 50% of chicken traders in Meki are women. Though the chicken and egg value
chain in Dugda is well developed, there is still a lot be done, especially with regard
to planning production and marketing at different seasons. The common trend is
for farmers to bring chickens and eggs on market days before holidays when
supply tends to be high and demand is low. In such cases, it is only the wholesalers
that benefit as they have plenty to choose from and they can set the prices. This
results in losses for farmers as well as for local traders like Abishu and Dessie.
The LIVES project can contribute here by developing capacities and knowledge of
farmers and traders on production and marketing strategies as well as by creating
linkages with potential customers and market information sources.
personnel that will monitor the inflow and outflow of people around
your farm; and most importantly, guard against theft. Aside these few
mentioned, you can add more personnel to suit your business needs.
9. Accounting
-: I mentioned in one of my previous articles how a lot of poultry
farmers take the accounting and record keeping aspects of their business
for granted. Poultry farming is just like any other commercial business
out there and for you to track your performance and productivity,
adequate records must
be kept. You don’t need to have an accounting background or spend
hours on
record keeping or accounting for your farm; just purchase a farm
management software, install it on your computer and there you are, you
would be able to know how your business is doing and whether you are
growing or not.
10. Health
-: Just like you need regular health check-up to stay in good shape, the
birds in your farm also need regular check-up. They need proper
vaccines and medications to prevent diseases and promote growth. You
should have a consultant, a veterinary doctor who would be in charge of
giving vaccinations and providing proper health care for the birds.
11. Marketing
-: Another factor to give consideration to is the marketing aspect of your
poultry business. You have to find a way to reach your customers and
this would be done by employing the right marketing techniques.
Therefore, before you start a poultry business, you should really
consider the marketing strategies which you would use to break into the
market.
12. Projected return on investment
The incubation period of the domestic fowl is 21 days. You can start
selling off your birds as early as 8
–
12 weeks but full maturity is reached between 20
–
24 weeks. The payback period of a poultry farming business is between
3
–
5 years.
Five Challenges of Starting a Poultry Farming Business
Poultry farming business is one of the most important and profitable
aspect of livestock farming business especially in Nigeria. But like every
other business, there are risks and challenges involved. Do you intend
venturing into
poultry farming but you would like to know the risks and challenges that
you
will be facing? Then i advice you read on.
Challenges of Starting a Poultry Farming Business
Poultry farming has a longer pay back period
It is Labor intensive
Pests and predators can cause massive loss
Lack of support from the government
Taking a close look at Nigeria today, you will attest to the fact that the
government shows little or no interest in livestock farming; let alone
poultry farming. The government is more interested in the oil sector
thereby not showing concern to poultry farming and this brings
discouragement to the poultry farmers. Even the assumed agricultural
loan the government provided cannot be accessed because of the
stringent conditions attached. The only visible effort of the government
is the recent ban on the importation of live or frozen poultry birds. So if
you are interested in starting a poultry farming business, then you must
be prepared to go it alone without looking to the government for help.
High start-up capital
The very first factor you have to give serious consideration to is capital.
Just like every other business, poultry farming needs sufficient and
proper funding. This is because the amount of capital you have to invest
has a lot to do with the level of success you would achieve in poultry
farming. If you have enough capital, you would be able to put facilities
that would increase your productivity in place. You cannot do well as a
livestock farmer, especially poultry farming when you
don’t have enough fund. You need money to purchase a land
for the farm, to construct and equip the farm, to hire and pay
staff/laborers and also to feed and provide healthcare for your birds.
Without proper funding, you will struggle to keep your business afloat
but with enough capital; business is made easier. So it is advisable that
you do your financial analysis very well and ensure you have access to
cash because nothing kills a business faster than lack of money.
Outbreak of diseases
When the environment is dirty, disease and infection is inevitable. Birds
like chicken are very sensitive to environmental changes. If the poultry
environment is not properly taken care of, the chickens will be exposed
to diseases like bacteria infection. So as a poultry farmer , you must
ensure that the poultry environment is kept clean and disinfected. You
must avoid bringing in contaminated equipment, vehicle,and foot wears.
Also, visitors should not be allowed into the poultry environment and
ensure that you sterilize your hands before touching the birds Non
availability and affordability of vaccines
In the agro-allied industry, especially poultry farming; this particular
challenge affects the small scale poultry farmers more because; unlike
the industrial or commercial poultry farmers who can afford the
vaccines, the small scale
poultry farmers can’t afford the vaccines.
Adulteration and high cost of poultry food
The price of poultry food is quite costly and birds consume a lot. So
most poultry farmers economize or ration the food given to the birds and
this affects the output. Also, adulterated poultry food flooding the
market is another challenge for poultry entrepreneurs. This is because
the adulteration utters the necessary nutrients the birds need in order to
grow well, thus making them unhealthy and reduces their immunity to
diseases. As a final note, i believe you have gotten a clue on the
challenges you should expect as a poultry farmer and the best solutions
to them. So start now by creating a counter-strategy to tackle these
challenges and success will be yours.
How to Be a Poultry Farmer
If you want to be a poultry farmer, you must decide what type. Another
consideration is where you live, as most poultry farms are in the eastern
portion of the U.S. and California. Poultry farmers typically raise a
single type of poultry, such as chickens, turkeys, geese or ducks. More
than half of the poultry farming industry raises chickens for broilers. The
two other main types of poultry farming produce chicken eggs and
turkeys. Some poultry farmers raise chicks into egg-laying hens or
breeders. Once you have determined that type of poultry farmer you
want to be, you need to get a job working on that type of farm. Here's a
description of the job duties of each type of poultry farmer.
Impact Summary
Poultry play a vital role in the livelihood of poor rural households in
developing countries and are particularly important to those (often
landless) people who do not other livestock and to women, who often
own and manage the chickens and control cash from sales. Income from
poultry production is often used to support education of children.
However, low genetic potential and poor levels of husbandry mean that
most indigenous breeds grow slowly and are poor producers of small
eggs. Furthermore, infectious diseases prevent even this limited genetic
potential from being realised, with villagers citing disease as the major
limitation to production. In addition to endemic disease, outbreaks occur
annually and may kill entire flocks. Ethiopian farmers often sell their
flocks in anticipation of, or in the face of, such epidemics, only to later
buy them back at a loss. Hence, poorly defined endemic and epidemic
diseases are major impediments to productivity and impact markedly on
livelihoods. This project will address these issues on several fronts in
order to enable distribution of improved local poultry ecotypes with
enhanced productivity and production traits as well as improved genetic
resistance to important infectious diseases. Newcastle Disease has a
worldwide distribution and is of enormous economic impact; Fowl
Typhoid and Fowl Cholera
remain important diseases of developing poultry systems, whilst
coccidiosis, Marek’s
Disease and IBDV also remain important in developed poultry
industries. Further, many ecto- and haemoparasites exploit their hosts
without provoking overt disease, yet co-infection with these agents may
increase susceptibility to other diseases. Improvements in the control of
these infectious diseases and of productivity of village poultry will
improve the livelihoods of farmers and increase food security in
Ethiopia and throughout Sub-Saharan Africa and Southern Asia. Genetic
resistance to major pathogens may also have direct application to
developed countries; e.g. parasitic and bacterial infections in free-range
and organic poultry production are an increasing challenge and resistant
breeds of poultry may provide the key to disease control. The
availability of genetic information from Ethiopian poultry has
considerable academic impact as a resource for study of animal genetics
and evolutionary biology in particular and will be a resource available to
other scientists through the Domestic Animal Genetic Resources
Information System at ILRI and the Frozen Ark project at University of
Nottingham. To our knowledge this is the first survey simultaneously
assessing the frequency of exposure to many major pathogens and
investigating the cause of major outbreaks. This will enable targeting of
genetic improvement and development of strategies for disease control
that utilise improved birds but also incorporate other control strategies
(including