Chicken Republic – Poultry Farm
(BusinessPlan with Feasibility Study)
A Group Assignment
Prepared on 1st February, 2019
ByAccounting Students
Universityof Bamenda
GROUPMEMBERS
| No | Name | Matricule Number |
| 1. | Asemot Assoumou Clarence | UBa16M158 |
| 2 | Anye Rogernough Fru | UBa16M471 |
| 3 | Ndi Emmanuella Ngani | UBa18M0483 |
| 4 | Niba Kelisia Bihnwei | UBa16M102 |
| 5 | Ndongo Colette Chantal | UBa16M236 |
| 6 | Wirndzem Medrade Wiybam | UBa16M040 |
CONTENTS
Introduction…………………………………………………………….…..………3
ExecutiveSummary…………………………………………………..……………3
General
Financialsummary
GeneralBusiness objective…………………………………………………….……4
Guidingprinciples and Values………………………………………..……………5
Criticalsuccess factor……………………………………………………………….6
SWOTanalysis……………………………………………………………………..7
TheProduct and competition ……………………………………….………………9
Descriptionof the Farm
Theproduct
Competitors
TheManagement………….……………………………………………………….10
Trainingand development
Evaluationand control
Targetmarket………………………………………………………………………11
Marketoverview
Marketneeds
Strategyand implementation…………………………………………………….…12
Marketingplan
FinancialPlan……………………………………………..………………………14
Salesforecast
Personnelplan
Budget
Cashflow assumption
Loansand investment.
Projectappraisal and financial statement …………………………………………17
Methodology
Majorassumption
Conclusion……………………………………………..………………………….19
Profitand loss statement
Balancesheet
INTRODUCTION
Abusiness plan clearly sets out the objectives of a business (theself-sufficient school). It states exactly how the business intends to operateand how it will become profitable.
Agood business plan will keep anyone focused on his objectives. It will help himplan for the future, because he will have already planned his activities. Itwill lay down a budget and predict future cash-flow so that the business personwill stay on-track in his or her drive towards the goal of a self-sufficient school.It will also help someone identify areas that he might have overlooked or areasthat require more thought and planning.
EXECUTIVE SUMMARY
General
TheCameroonian economy is highly dependent on the import of goods and services tomeet the domestic demands in the country. A large component of the importsconsists of a variety of food products, ranging from agricultural products,canned goods and poultry. As a result, the government has been on a constantlookout for ways to negate this dependency and become self-sufficient. Poultryfarming was introduced to serve this purpose in Cameroon.
Ourproposed business model in this document has many similarities to variouspoultry firms in different parts of the world. The plan emphasizes on theimportance of the eggs produced at the poultry farm be of best quality and thatit should clearly differentiate itself with its larger size and weight.
Themajor market that has been identified for the purpose of this study is thedomestic market in Bamenda in particular and Cameroon in general. The reasonbeing that a product of this nature should normally command a good price to generatea reasonable return on the investment. The importance of a sound management andobeying fundamental business principles is also emphasized. This our businessplan identifies the high investment cost and the high cost of chicken feed asthe biggest obstacle for the success of this proposed poultry farm.
FINANCIAL SUMMARY
Financial Highlights
Theproposed investment in this plan is financially feasible. The Net Present Valueis negative at BDT 228,280.92 over a period of 3 years and has a payback period4+ years. The Internal Rate ofReturn (IRR) of the project is -3%. The followingare some financial highlights for the projected 3 year term.
General Business Objective
Someimportant objectives of the proposed business should be to:
1.Introduce the product to a targeted market where the eggs will fetch thehighest average price.
2.Develop a sustainable business, able to survive off its own cash flow
3.Increase income and job opportunities for Cameroonians and bringdiversification to land-based economic activities.
4.Give confidence to the Cameroonians to invest and engage in similar commercialventures.
5.Seek and secure the required funds to finance the proposed plans.
7.Become a reliable and stable and supplier of eggs in Cameroon.
8.Ensure that the potential customers are informed of the product’s uniqueattributes.
9.Develop the range of markets, and opportunities for consumption of the locallyproduced eggs and encourage participation, understanding and engagement.
10.Generate a reasonably good return on investment to the investors within areasonable amount of time through sustainable and eco-friendly investmentpractice
Guiding Principles and Values
Anybusiness that wants to be successful must follow certain principles and upholdcertain values. The management of our proposed business venture believe in thefollowing:
Responsibilityis to be given to the customers. Hence, the foremost importance should be givento ensure that high quality products are delivered to the customers. Themanagement should value the customers as well as its employees and distributorsand every possible effort should be made to sustain the lowest possible costsin order to pass the benefits of increased margins to the owners of thebusiness, its employees and the community in which it operates.
Themanagement should always inspire and respect the employees by recognizing theirmerit. It should always be the management’s belief that the employees should beadequately compensated.
Leadershipshould be a key guiding principle of the business. It should engage itself byinvolving, leading by example, trust and confidence of the industry, positivepromotion of talent and market innovation. Using all the distinctiveness anddiversity of skills of the employees, the management should ensure that thebusiness is always open to and actively seeking out new perspectives andchallenges, capitalizing on new opportunities and promoting the access and affordabilitybenefits of the product and experiences offered.
Lastbut not least, Openness should be a key ingredient of all guiding principles.Straightforward communication, listening, clear dialogue and reflections on theindustry and the business’ priorities in relation to it should certainly be acore principle in all its engagements.
Critical Success Factors
•Securing of start-up capital.
•Suitable size space and good location for the production facility.
•Management commitment to excellence and customer’s satisfaction.
•Emphasis on production of high quality eggs.
•Consistency in the product, in terms of quality, taste and size
•Proper management, administration, marketing and good financial management.
•Existence of suitable infrastructure to support the business in Bamenda.
•Conduct an effective marketing and promotions strategy.
•Products to be delivered to the distributors in unspoiled condition withoutdamage to the eggs.
•That wholesale prices remain constant for a reasonable period of time in orderto gain the confidence of distributors.
•Utilization of appropriate and efficient equipment to meet the set objectives.
•Keeping the eggs fresh through proper storage and handling.
•Trained manager and employees working on the production lines.
•Effectivecoordination, communication and relationship management with sponsors/lending/aidagencies and other stake holders.
•Accessibility and responsiveness to the needs of the customers.
SWOT Analysis
Strengths
•Competitive price
•Transport costs are lower as opposed to transport costs of imported poultryproducts
•Being a labor-intensive activity, it can provide employment opportunities forwomen and youth in the Bamenda, which will attract support from stakeholderslike government and others
•Close coordination ensure that the needs of the local community are consideredwhen the infrastructure is developed and the operations are carried out.
Weaknesses
•High cost of imported chicken feed in the absence of locally produced feed.
•Properly establishing and operating poultry units require high startup costs,especially for setting up of the layer house and the rearing house.
•Intensive training will be required to generate awareness and stress theimportance ofappropriate operational techniques and procedures.
•Limited information available on trade and marketing on the locally producedpoultry products
•Lack of infrastructure due to limited rearing and laying units
Opportunities
•Thereis a high demand for eggs by Beckers, companies and families in Cameroon.
•Expanding egg production units could lead to economics of scale
•Fresher and more convenient than importing
•Labouravailability due to high unemployment levels among women and youth in Bamenda.
•Easier for community owned and managed businesses to attract funding andtechnical assistance from aid agencies.
Threats
•Disease outbreaks like “chicken flow” may threaten the quality and supply ofstock and finished goods
•Inflationary factors which may drive up the investment and operational costs(especially the cost of feed) may not make the farm financially sustainable.
•Inability to achieve economies of scale may limit the ability to improveefficiency
•Competition from other poultry production units in the long run could be apossibility
•Inefficient management practices could turn what would be a lucrative,sustainable economic activity into an inefficient project causing economic andfinancial losses
THE PRODUCTS AND THE COMPETITIONS
Description of the Farm
Thisis a partnership business where the main activity of the firm is to providequality product through the Bamenda city and other parts of Cameroon. We willbuy and rear a good breathe of chicken in a well build poultry farm. The chickenand eggs will be distributed to restaurants, super shops, hotels, communitycenters, bakeries and catering houses in and out of Bamenda city. Prolong thesufficient supply to the customer is one of our most important purpose. We wantto supply and extend beyond Bamenda with affordable prices.
- Name:Chicken Republic Poultry Farm
- Addressof the firm: Factory: Ndamunkong, Second Tap.
Office: Opposite Hope BaptistChurch-Ndamunkong
Owners’ equity of the project: It ismainly a partnership business.
Detailsof Entrepreneur:
| NO. | Name | Management |
| 1 | Asemot Assoumou Clarence | Managing Director |
| 2 | Anye Rogernough Fru | Manager [Operation] |
| 3 | Ndi Emmanuella Ngani | Manager [Marketing] |
| 4 | Niba Kelisia Bihnwei | Manager [Sales] |
| 5 | Ndongo Colette Chantal | Manager [HR] |
| 6 | Wirndzem Medrade Wiybam | Manager [Finance] |
The Product
Theeggs produced at the Chicken Republic Poultry Farm should be of top quality andshall differentiate itself with its larger size and weight. The eggs producedin the farm will be of 60g per egg compared to common imported white eggs of45g per egg. The eggs will be produced in an environmentally friendly manner.
Theprice of the eggs will be competitive considering the high quality andfreshness of the eggs in comparison to the price of imported eggs of the samequality. The proposed Chicken Republic Poultry Farm will have the capacity toproduce 250 eggs per day, and the eggs shall be sold to the market at 80 peregg in the first year of operations. To ensure a non-stop stable supply of eggsto its customers, one rearing house and another layer houses (26′ x 36′ each)shall serve to maintain a continuous supply.
Competitors
Oncethe product is introduced, small businesses which are more organized in thiskind ofproduction and distribution may see the opportunity and seize itbefore the product is firmly established in the targeted markets. Other formsof competition will emerge from importers ofsimilar size and similarquality eggs. However, the key target market for the locally produced eggswould normally be high quality local produce. Hence, competition will belimited and prospects for locally produced eggs are expected to remain good.
THE MANAGEMENT
Training and Development
Themanagement should always inspire and respect the employees by recognizing theirmerit.
Itshould always be the management’s belief that employees should be adequatelytrained and compensated. Personnel training and remuneration should beregularly reviewed to keep up with market developments and to keep staffmotivated. Competition in the long run can affect staff turnover and hencesufficient emphasis on staff training is critical to maintain stability in theoperations.
Evaluation and Control
Themanagement should evaluate the effectiveness of this plan and the feasibilitystudy in meeting its goals. Regular quarterly meetings should at least be heldto assess and evaluate the results of each quarter. The plans should then bereviewed if needed and new goals should be re-assessed and developed for theperiods ahead.
Properinternal controls should be utilized to achieve its goals and objectives. Itshould be the means by which the resources should be directed, monitored, andmeasured and should play an important role in preventing and detecting fraudand protecting the business’s resources, both physical.
TARGET MARKET
Market analysis
TheCity of Bamenda is the most populated city in the northwest region of Cameroon.Also, Douala and Yaounde cities are over populated cities in the country. Thus,there is no equilibrium between demand and supply and more or less suppliersfail to satisfy the customers. Most of all, in food business eggs and chickenare daily product and so there is a great prospect succeeding in the businessbecause stable demand is guaranteed. Each and every one needs chickens andeggs. Eggs are the ingredients of cake, bread, omelet etc. So restaurant,bakery, hotel, community centers need eggs and chickens every day. As the differentcustomers have high demand of chickens and eggs, we have a high prospectofsuccess.
Market Needs
Thetarget market prefers finest quality eggs whose origins are familiar to them. Quality,fresh produce coming from known environments have an edge over similar productsimported from unfamiliar producers.
Theconcept of ‘ethical purchasing’ and ‘positive buying’ would be an importantdriving force in making purchasing decisions at high end resorts. The factsthat the eggs purchased contribute to job creation in the community andempowerment of workers or contribute to the betterment of other disadvantagedpeople are very important factors taken into consideration in the target market.
STRATEGY AND IMPLEMENTATIONMARKETING PLAN
Positioning
Theeggs farmed at the Chicken Republic Poultry Farm should be emphasized as beingof first-class quality and distinguish themselves with its larger size andweight of 60g per egg compared to common imported white eggs of 45g per egg.The fact that the eggs are produced in an environmentally friendly manner mustalso be highlighted.
Pricing
Pricingfor the eggs should ideally be market driven based on the weight of the egg andthe targeted market segment. Its pricing structure should be based upon thetargeted clients and a survey of egg suppliers and their prices in and out ofBamenda. For the purposes of this study, we have assumed the tourist market asthe key market and estimated a selling price of 80CFA per egg in the initialyear of production. The price of the eggs are highly competitive consideringthe high quality and freshness of the eggs when compared to the price ofimported eggs of the same quality. For the purposes of this study, it must benoted that the cost of feed has been assumed to be at 50% lower than the actualcost of feed, if imported. It would not be possible to maintain a selling priceof 80 per egg unless cost of feed is minimized by 50% or a subsidy or a grantis given to the Chicken Republic Poultry Farm.
Promotion
Brochuresand documentaries should be prepared capturing the farming process and benefitsof the farm to the local community. Such material should be carefully packagedand distributed to in the Bamenda city and other targeted places. Invitations should be sent to the resortmanagers and other key staff to visit the farm and experience the role the farmplays in the community.
Thiscould be used as a good opportunity to negotiate contracts and impress them toassociate with the farm in providing technical and financial support.
Distribution
Itis unlikely that a farm of the proposed size in this plan would require severaldistribution channels to sell its produce. Networking with one or two resortswill be sufficient to ensure that the entire production will be purchased bythem.
FINANCIAL PLAN
SalesForecast
| 1st Year | 2nd Year | 3rd Year | |
| Unit Sale Eggs Chicken Meat | 19200 0 | 288000 1200 | 288000 1300 |
| Price per unit Egg Chicken meat | 7.00CFA 0.00 | 7.50 120.00 | 8.00 130.00 |
| Sales Eggs Chicken meat | 1314000 0.00 | 2,160,000 144000 | 2304000 169000 |
| TOTAL SALES | 1314000 | 2304000 | 3473000 |
| Direct Cost per Unit Eggs Chicken meat | 3.40 0.00 | 3.42 0.00 | 3.46 0.00 |
| Direct cost Eggs Chicken meat | 652800 00 | 984960 00 | 996480 00 |
| Total Direct Cost Gross Margin Gross Margin % | 652800 691200 52% | 984960 1319040 61% | 996480 1476520 64% |
About the Sales Forecast
Dueto the nature of this business, egg production can only commence from 3.5months onwards. Egg production will continue for 12 months and then a new cyclewill commence thereafter. It is assuming that the proposed investment willinclude 2 farms of 300 Birds each, with planned production cycles startingimmediately one after the other to ensure a stable supply of eggs to themarket.
Itis estimated that each cycle of 300 Birds will produce 250 eggs per day. Incomeis also expected from sale of chicken for chicken meat at the end of eachcycle.
PERSONNEL PLAN
Personnel Table
| Year 1 | Year 2 | Year 3 | |
| Manager Administrator Contract labor[3] | 1,20,000FRS 96,000FRS 1,20,000FRS | 1,32,000 1,00,000 1,26,000 | 1,44,000 1,04,000 1,30,000 |
| 3,36,000 FRS | 3,58,000 | 3,78,000 |
About the Personnel Plan
Itis assumed that a total of 5 employees will be sufficient to operate a poultryfarm of 1000
- 01 Manager who shall be responsible forthe daily management of the farm site.
- 01 Administrator to assist the Managerin the management and financial Areas.
- 03 Contracted labor to undertake thedaily farm work including cleaning, Feeding and other minor works.
BUDGET
Budget Table
| Year 1 | Year 2 | Year 3 | |
| Expenses(CFA) Salary Employ related Marketing and promotion Rent Utilities Office suppliers Packaging Vaccination | 336000 11000 55000 60000 20000 18000 20000 24000 | 358000 12000 55000 60000 20000 20000 22000 25000 | 378000 13000 56000 60000 20000 22000 25000 25000 |
| Total | 544. 000 | 572. 000 | 599. 000 |
| Major purchase Poultry shed Component & equipment’s | 900.000 | 000 | 000 |
| TOTAL | 900.000 | 000 | 000 |
LOANS AND INVESTMENTS
Loansand Investments Table
| 1st year | 2nd year | 3rd year | |
| Equity investment | 12,00,000 CFA | 00CFA | 00CFA |
| 12,00,000 CFA | 00CFA | 00CFA |
Sources of Funds
Forthe purposes of this study, it is assumed that the initial investment will befunded either by 100% equity or by a mix of grant aid and equity. It would notbe feasible to set-up the business through debt, as it would erode the limitedexcess cash flow generated from sales in the form of interest.
Alternativeinterested parties could seek soft loans through various government managedloan schemes to minimize the burden on its cash flow.
Use of Funds
Funds invested in the proposed businesswill be utilized as follows:
- Equipmentfor 04 Layer House of 1000 Birds: 400,000 CFA
- Freight& Handling Costs of Imports: 50,000.00 CFA
- PhysicalStructure for 04 Poultry Sheds (Material Cost and Labor): 280,000 CFA
- 02Sets Automatic DE beaker: 80,000 CFA.
- OtherAccessories: 50,000.00 CFA
- WaterStorage Tanks: 40,000CFA
PROJECT APPRAISAL AND FINANCIALSTATEMENTS
Methodology
Inorder to assess the financial feasibility of the project, two basic methodswere used for project evaluation, namely the Payback Period method and the NetPresent Value (NPV) method. The payback period method evaluates the project,based on the period of recovery of the initial investment. For this purpose,the future cash flows generated by the project are compared with the initialcash outlay in order to determine the period required to recover the investment.The Net Present Value method attempts to evaluate the project by taking into accountthe time value of future cash flows. For this purpose, the estimated futurecash flows are discounted by the cost of capital in order to arrive at cashflows at present value. The net cash flows at present value are then comparedwith the initial investment in determining the feasibility of the project. Asan initial step in evaluating the feasibility, we have projected the futurecash flows of the proposed project. In order to forecast the future, severalassumptions were made with regard to both the supply and demand side, operatingrevenues and related costs. These assumptions are detailed in the relevant sectionsof the feasibility study.
Major Assumptions
Allspecific assumptions are shown the detailed Financial Statements and in theaccompanying Business Plan. The following are some selected assumptions fromthe table:
• All financial figures are presented inFrancs CFA.
• The financial projections are for aperiod of 3 years.
• Capital: 100% Equity/Grant
• No inventory or finished goods will bekept in store. Eggs shall be dispatched to customers on a daily basis.
Production
It is assumed that the facility willhave a production capacity of producing 800 eggs per day from 3.5 monthsonwards.
SellingPrice
• It is assumed that 100% of the saleswill be generated from the market/segment• Price of each egg bottle with full packaginghas been estimated at 7.00 CFA in year 1
DirectCosts & Overheads
All assumptions made for direct expensesand overheads are shown in the financials and are self-explanatory.
Dividends
Forthe purposes of this feasibility, no assumptions have been made for payment ofdividends. Availability of healthy cash reserves from year 2 onwards indicatesavailability of sufficient funds for business continuity
CONCLUSION
Theanalysis of the project shows that the investment is not highly profitablewithin the first 3years but financially sustainable with positive cash flowsthroughout. Net cash flow is positive throughout the first three years. Theprojections show a healthy cash flow from the 2nd year onwards. Dividends canbe paid each year from the 2nd year onwards.
Thebaseline discount rate used in the projections was at 11.75%, which is theassumed and expected cost of capital for a business of this nature.
TheNet Present Value (NPV) of the project for a 3-year period at a 11.75%discounting factor resulted in a negative value of 4, 56,562 CFA and a paybackperiod of 4 years. Internal Rate ofReturn (IRR) is a not favorable at-3%.
Althoughthere is sufficient cash flow to sustain the business over a 3 year period,based on the above results and subject to the assumptions made, the proposedpoultry farm business appear to be financially feasible over a period of 1year.
Finally,a stable supply of the various kinds of feed required is essential for thesuccess of such a project. Even more important would be the cost of such feed.This study shows that the cost ofimported feed is too expensive to makethe project feasible.
Therefore,it is essential that a low cost alternative for securing feed supplies isguaranteed. The need to explore low cost feed options for such projects willremain an important issue for consideration.
PROFITAND LOSS STATEMENT
| Year 1 | Year 2 | Year 3 | |
| Revenue Direct cost Gross margin Gross margin% Expenses(CFA) Salary Employ related Marketing and promotion Rent Utilities Office suppliers Packaging Vaccination Total expenses Operating income Interest Incurred Depreciation and Amortization Income Taxes Net Profit Net Profit / loss | 1344000 652800 691200 52% 336000 11000 55000 60000 20000 18000 20000 24000 544000 147200 00 300000 00 (152.800) (11%) | 2304000 984960 1319040 61% 358000 12000 55000 60000 20000 20000 22000 25000 572000 747040 00 300000 00 447040 20% | 2473000 996480 1476520 64% 378000 13000 56000 60000 20000 22000 25000 25000 599000 877520 00 300000 00 577520 24% |
BALANCESHEET
| As of period’s end | Year 1 | Year 2 | Year 3 |
| Cash Accounts Receivable Inventory Total Current Assets Long-Term Assets Accumulated Depreciation Total Long- Term Assets Total Assets Accounts Payable Sales Taxes Payable Short-Term Deb Total Current Liabilities Long-Term Debt Total Liabilities Paid-In Capital Retained Earnings Earnings Total Owner’s Equity Total Liabilities & Equity | 300000 00 00 300000 900000 (300000) 600000 900000 00 00 00 00 00 00 1200000 00 (152800) 1047200 1047200 | 673444 00 00 673444 900000 (600000) 300000 973444 00 00 00 00 00 00 12,00,000 (152800) 447040 1494240 1494240 | 1214587 00 00 1214587 900000 (900000) 00.00 1214587 00 00 00 00 00 00 12,00,000 294240 577520 2071760 2071760 |
FAQs
How do I write a business plan for chicken farming? ›
- Select The Type of Poultry Bird. The first step of starting a poultry business is the selection of bird type. ...
- Select The Cage Type of Your Poultry. ...
- Sort out The Area of Interest. ...
- Specify Poultry Location. ...
- Investment Capital.
This means if you are planning to start a small scale poultry farm, you will need around INR 50,000 to INR 1,50,000. While to start a medium scale poultry business, you may need around INR 1.5 lakh to INR 3.5 lakhs. And for a large scale poultry farm, you will need to invest around INR 7 Lakhs to INR 10 lakhs.
What are the documents needed for starting a poultry farm? ›- Identification card (PAN, Aadhaar)
- Certificate of incorporation.
- Business License.
- Business Plan.
- Insurance Policy.
- Poultry Farm Business Permit.
- Tax ID.
- Animal Care Standards.
- Executive Summary. Objectives. ...
- Business Overview. Company Ownership. ...
- Market Analysis. Industry Analysis. ...
- Startup Summary. Startup costs.
- Products & Services. Product Description. ...
- Competitive Analysis. Competition. ...
- Marketing Strategy and Implementation. ...
- Management and Organization Structure.
On average, it costs between R20,000 to R50,000 to start a chicken farm poultry business in South Africa. This depends on the size of the farm, what type of housing you will be using, where the farm is located, and the breeds you will be farming. Growing a day-old chick typically costs around R40 to the point of sale.
How much space does 1000 chickens need? ›| Age | Floor space/ bird | Feeder space/ bird |
|---|---|---|
| Up to 18 days | 450 cm2 (0.5 sq.ft.) | 3 cm |
| From 19 days to 42 days | 1000 cm2 (1.1 sq.ft.) | 6-7 cm |
1. Broiler Farming: Commercial broiler poultry farming is a very popular and profitable business.
Do you need a Licence to sell poultry? ›If you are supplying shops and restaurants, you must be registered with the APHA regardless of the number of hens you keep. You must also be approved as a packing centre by the APHA so that you can stamp your eggs with the appropriate grade (Class A).
How do I register my poultry business? ›Visit the DAFF website at daff.gov.za or register with PDMA at poultrydiseases.co.za, or phone 012 529 8298.
Which company is best for contract poultry farming? ›In India Daulat Farms Group is the largest Kadaknath Day Old Chicks & Chickens, Country Day Old Chicks & Chickens, Brown layer Chicks and Eggs producing company with state-of-the-art chicken processing unit and poultry feed plant. Daulat Farms Group export their quality products to 50 countries.
How many months do layers lay eggs? ›
EGG PRODUCTION CYCLE. Birds usually start to lay at around five months (20-21 weeks) of age and continue to lay for 12 months (52 weeks) on average, laying fewer eggs as they near the moulting period.
What is the best location of a poultry business? ›Poultry house should be located away from residential and industrial area. It should have proper road facilities. It should have the basic amenities like water and electricity. Availability of farm labourers at relatively cheaper wages.
What are the requirement to start a poultry? ›To start poultry, you need a farm site. The size of the poultry farmland should be determined by the number of birds you want to rear. If you have enough land at your backyard and can't afford to acquire a new site, its always better to start small.
What part of my business plan should I write first? ›Write an executive summary
This is the first page of your business plan. Think of it as your elevator pitch. It should include a mission statement, a brief description of the products or services offered, and a broad summary of your financial growth plans.
Include your mission statement, your product or service, and basic information about your company's leadership team, employees, and location. You should also include financial information and high-level growth plans if you plan to ask for financing.
How do you write a business plan in 7 Simple Steps? ›- Step 1: Executive summary. ...
- Step 2: Business description. ...
- Step 3: Market analysis. ...
- Step 4: Company organization. ...
- Step 5: Products or services provided. ...
- Step 6: Financial outlook. ...
- Step 7: Summary.
The breeds of chickens are generally classified as American, Mediterranean, English, and Asiatic. While there are hundreds of breeds in existence, commercial facilities rely on only a select few that meet the rigorous demands of industrial production.
How many bags of feed do I need for 100 broiler? ›On average, 100 broiler chicken would consume 17 bags of 25 kg broiler feed in 6 weeks and 22 bags of 25kg broiler feed within 7 weeks. The average total rearing period for a commercial broiler chicken worldwide is between 6-7 weeks.
Is small poultry profitable? ›Poultry farming business is highly profitable if it is properly run under the acceptable methods. Each type of livestock farming, poultry included, follows specific operational principles if they must run profitably, but when such principles are ignored by the farm authority, it causes in serious losses.
How much land do 20 chickens need? ›Some people recommend 60 to 80 square feet for ten mature chickens, which would be equal to an 8x10-square-foot chicken coop. If the weather is very cold or if your chickens won't have access to roam outside for another reason, then the coop space needs to be larger than the examples above.
How much should I feed my 1000 broiler? ›
| S.no | Capital Cost | Rs (in Lakhs) |
|---|---|---|
| Total | 2.55 | |
| Operational Costs | ||
| 1. | Cost of 1000 DOC @ Rs 25* per chick | 0.25 |
| 2. | Feed for 1000 birds @ 2.5 kg per bird = 2500 kgs @ Rs 15* per kg | 0.375 |
To quickly address the stocking density at your farm, one-layer bird requires two square feet of space for growing, development and production. In other words, for 500 birds, you need 1,000 square feet of space.
How is profit calculated in poultry? ›Total chicken sold @ 6 batches/ year: 12,000. Total sale value/ income from the chicken @ Rs 90/kg: Rs 21, 60,000.00. The total profit on the investment is around: Rs 4, 44,000.00 (annually). The sale of other by-products of the farms like manure and gunny bags can bring in an extra income of around Rs 20,000.
What is the best chicken to sell? ›The Barred Plymouth Rock:
This breed should definitely be number 1 in all “chickens for sale” ads/websites as it is just a wonderful dual purpose breed. These are sweet birds with a docile temperament.
- While constructing the farm's shelter should be in an east-west facing to avoid excess sunlight.
- Adequate space required to avoid overcrowding should make sure 2sq.ft of space must be maintained for each bird.
If you keep 50 birds or more, you must complete the Compulsory Poultry Registration Form - Keeper of 50 or More Birds (IRA81).
How much does a poultry farmer make? ›The current wages of a farm labour for poultry farming in Nigeria is between N20, 000 to N30, 000 a month.
How do farmers get funding? ›- Farm purchases.
- Capital financing for machinery and farm equipment (e.g. tractors, implements…)
- Production Loans.
- Farm Improvements
- Infrastructure development (both primary and agro-processing)
Can a chicken lay two eggs a day? Yes! A chicken can lay two eggs a day, however it is uncommon.
At what age do layers stop laying eggs? ›As hens age they will naturally start laying fewer eggs with many hens slowing down production around 6 or 7 years of age and retirement shortly after. Many laying hens can live several years into retirement with average life expectancy between 8 and 10 years.
Which animal is best for a poultry business? ›
poultry farming, raising of birds domestically or commercially, primarily for meat and eggs but also for feathers. Chickens, turkeys, ducks, and geese are of primary importance, while guinea fowl and squabs (young pigeons) are chiefly of local interest.
What are 5 poultry products? ›Chickens, ducks, guinea fowl, geese and turkeys can be found in all types of poultry systems, both large and small. But pheasants, quail and ostriches are almost exclusively found in large-scale systems.
How much do you need to start a small poultry farm? ›You can start a small-scale poultry business in Nigeria with less than N100,000. Medium to large scale farms require a lot more money, but it is advisable to start small even if you have more than enough funds to spare.
How much land is required for poultry farming? ›For this type, you need around 8,000 sq ft of area. Completely wild poultry farm – In this type, birds are raised in a natural environment with many trees. For a completely wild system, you need around 44,000 sq ft area, where a bird will have about two sq ft of coop space and 15-20 sq ft of free-range space.
How do I start a chicken business from home? ›Starting out
There are two options for entering the poultry business: One is to hatch and sell day-old chicks to the big producers, a second is to buy day-old chicks yourself and grow them, selling their eggs or the chickens themselves as fully-grown chickens.
The number of chickens you need depends on the purpose and size of your farm. Generally, 200-500 chickens is average for starting a new farm.
How do I write a business plan for a beginner? ›- Write an executive summary.
- Describe your company.
- State your business goals.
- Describe your products and services.
- Do your market research.
- Outline your marketing and sales plan.
- Perform a business financial analysis.
- Make financial projections.
In the long run, Layers farming on a large scale will be more profitable and bring in more revenue than broiler farming as after laying of eggs, the birds can be sold out as meat even though at lesser price than that of broilers.
How much space do you need for 1000 chickens? ›| Age | Floor space/ bird | Feeder space/ bird |
|---|---|---|
| Up to 18 days | 450 cm2 (0.5 sq.ft.) | 3 cm |
| From 19 days to 42 days | 1000 cm2 (1.1 sq.ft.) | 6-7 cm |
Chickens are extremely flock-oriented, so a good starter flock size is no fewer than three chickens. You should collect about a dozen eggs from three laying hens. A flock of five or six hens is a good choice for slightly larger families.
What are the rules for poultry farming? ›
What are the licenses required for starting poultry farm in India. No objection certificate from the local government in the area which you are planning to setup a poultry farm. NOC from pollution board f the area. Electrical permission whether to have a transformer based on the size of farm you are planning to setup.