Financial Plan
Financial Projections
and Costing
When it comes to
calculating the cost of starting a commercial poultry farm, there are some key
factors that should serve as a guide. The different type of birds to be raised
in a commercial poultry farm determines the total cost of setting up the
business.
Our Startup Budget and
Expenditure
Besides, in setting up
any business, the amount or cost will depend on the approach and scale you want
to undertake. If you intend to go big by renting / leasing a big facility, then
you would need a good amount of capital as you would need to ensure that your
employees are well taken care of, and that your facility is conducive enough
for workers to be creative and productive.
This means that the
start-up can either be low or high depending on your goals, vision and
aspirations for your business. The tools and equipment that will be used are
nearly the same cost everywhere, and any difference in prices would be minimal
and can be overlooked.
As for the detailed
cost analysis for starting a commercial poultry farm and egg production
business; it might differ in other countries due to the value of their money.
Below are some of the basic areas we will spend our start – up capital in
setting up our commercial poultry farm;
·
The Total Fee for
incorporating the Business (commercial farm) in United States of America
– $750.
·
The amount needed to
acquire / lease a farm land – $50,000
·
The amount required
for preparing the farm land (poultry fencing et al) – $30,000
·
Legal expenses for
obtaining licenses and permits as well as the accounting services (software,
P.O.S machines and other software) – $3,300.
·
Marketing promotion
expenses for the grand opening of Bill The Carpenter™ Furniture, Inc. in the
amount of $3,500 and as well as flyer printing (2,000 flyers
at $0.04 per copy) for the total amount of $3,580.
·
The total cost for
hiring Business Consultant – $2,500.
·
The total cost for
payment of insurance policy covers (general liability, workers’ compensation
and property casualty) coverage at a total premium – $9,400
·
The amount required
for the purchase of the first set of chickens – $10,000
·
The cost for acquiring
the required working tools and equipment / machines / hatchery et al– $50,000
·
Operational cost for
the first 3 months (salaries of employees, payments of bills et al) – $60,000
·
The Cost of Launching
an official Website – $600
·
Additional Expenditure
(Business cards, Signage, Adverts and Promotions et al) – $2,000
Going by the report
from detailed research and feasibility studies conducted, we will need an
average of $500,000 to start a standard commercial poultry
farm and egg production business in the United States of America.
Business Plan
Financial Projection
·
Sources
of Income
Noble Ernest Poultry
Farms, LLC is in the poultry farms and egg production line of business for the
purpose of maximizing profits hence we have decided to explore all the
available opportunities within the industry to achieve our corporate goals and
objectives.
Below are the sources
we intend exploring to generate income for Noble Ernest Poultry Farms, LLC;
·
Raising, processing
and marketing chickens on a commercial level; we export chickens, processed
chickens and eggs to other countries of the world.
·
Table eggs produced by
battery chickens (white)
·
Table eggs produced by
battery chickens (brown)
·
Hatching eggs
·
Specialty eggs
·
Table eggs produced by
free-range chickens
Sales Forecast
From the survey
conducted, we were are able to discover that the sales generated by a
commercial poultry farm and egg production business depends on the size of the
poultry farm, the types of birds available in the poultry and of course the
size of their marketing network.
We have perfected or
sales and marketing strategies and we are set to hit the ground running and we are
quite optimistic that we will meet or even surpass our set sales target of
generating enough income / profits from the year of operations and build the
business from survival to sustainability with the shortest period of time.
We have been able to
critically examine the poultry farms and egg production business and we have
analyzed our chances in the industry and we have been able to come up with the
following sales forecast. The sales projection is based on information gathered
on the field and some workable assumptions as well with respect to the nature
of commercial poultry farm and egg production business that we run.
Below are the
projections that we were able to come up with for the first three years of
running Noble Ernest Poultry Farms, LLC;
·
First
Fiscal Year-: $250,000
·
Second
Fiscal Year-: $600,000
·
Third
Fiscal Year-: $900,000
N.B: This projection is done based on what is
obtainable in the industry and with the assumption that there won’t be any
major economic meltdown that can impact negatively on household spending, bad
weather cum natural disasters (draughts, epidemics), and unfavorable government
policies
Great work, thanks for sharing such this information through this post. We are also providing animal feed for poultry farming, hope you would like it.
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