BLESSWARD FARMS

Business Plan

FOR

LIVESTOCK FARMING

Prepared by:
Name: Osifejo Babatunde Olasunkanmi
Business Address: 40, Ogundipe Street
City, State: Oshogun Bus Stop, Alapere, Ketu, Lagos
Telephone: 08032518026
Email: [email protected]
 TABLE OF CONTENTS

1.0 EXECUTIVE SUMMARY

1.1 COMPANY BACKGROUND
1.2 Poultry Farm Objectives
1.3 Poultry Farm Vision and Mission
1.4 Value Proposition
1.5 Critical Success Factor
1.6 Company summary
2.0 COMPANY SUMMARY
2.1 Company ownership
2.2 Location and facilities
2.3 Contact Information
3.0 INDUSTRY ANALYSIS
3.1 Poultry industry Competitors
3.2 suppliers Dynamics
3.3 Opportunities
3.4 Cultural and Religious Forces
3.5 Challenges Facing the Poultry Industry
4.0 MARKET ANALYSIS SUMMARY
4.1 Product description
4.2 Market segmentation
4.3 Target market segment strategy
4.4 Market trends
4.5 Competition
4.6 Business competitive edge
4.7 Marketing strategy
4.8 Pricing and Promotion strategy
4.9 Web strategy
4.10 Sales strategy
5.0 PRODUCTION SUMMARY
5.1 Production plan
5.2 Production costs
5.3 Production labour
5.4 Production process
5.5 Production systems
6.0 MANAGEMENT SUMMARY
6.1 Management team
6.2 Personnel 

7.0 ENVIRONMENTAL ANALYSIS

8.0 FINANCIAL PLAN

9.0 RISK ASSESSMENT

10.0 MILESTONE
EXECUTIVE SUMMARY
COMPANY BACKGROUND
Blessward poultry is a farm focused on egg, poultry feed and meat production that provides for a large
market range. It also produces manure as a by-product. It is based in Lagos, western part of Nigeria. The
founder, Mr.Osifejo has noticed the health implication of red meat and therefore tried to create a business to
meet the increased demand for white meat and eggs.

Chickens happen to be a great source of white meat and are also largely known for egg production. Not only
is the founder interested in meeting the demands of the customer, he also plans to create utmost satisfaction
for these customers. The founder also wants to use this business as a means of creating employment within
the community it is based in and to contribute to the economy of the country.  We plan on providing
products with quality and maintain this supply efficiently.

This is a sole proprietorship business that plans on distributing eggs, poultry feed and chicken meet niche of
poultry to eateries, Blessward frozen foods outlets, home delivery food centres, hotels, schools, clubs,
bakery and superstores. We also plan on doing this at very affordable prices. We will also distribute manure
to farmers that are into crop production and poultry feeds of high quality to other poultry farms.

This business plan for poultry farm is meant to articulate the vision and future of our poultry, and to appeal
external stakeholders to get involved in this business and help with its funding as it is a capital intensive
business. We also hope that it will serve as a guideline for the firm’s employees to move towards the goal of
the poultry.

Not only do we offer products, but we offer services as well. We plan on providing home delivery services
to customers who order a certain amount of products. This offer will mostly be used by the section of our
target market that uses eggs in large quantities like schools and bakeries.

1000 chickens would be optimum for the initial operation of the business. Production site is in Agbowa area
of Ikorodu city, A plenty open space, cheap labors, road connection, water availability and immediate
access to markets like Sabo market, Mile 12, Ketu Market and so on. A staff quater with 5 rooms will be
built within the farm land for the storage of pellets, equipments as well as for the employees to guard the
farm.

Investment in this business shall be allocated to the following purposes: buying chickens, building cage
house, stocking the pellets, hiring the experts and other miscellaneous tasks. Fifty percent gross margin is
expected within 6 months of its operations withholding the chances of any accidental or unexpected
incidence and we hope to obtain the breakeven point within 2 years.

We have considered the risks, financial, health and technology wisely

Poultry farm Objectives

Blessward poultry will measure its success by its ability to achieve the following objectives:

- Becoming the “Best and most hygienic poultry producer in the area” complying by the national
standards for food and drugs.
- Turn in profits from the first six months of operations.
- Maintain 50% gross margin ratio.
 - Winning the hearts and tastes of our beloved consumers and establishing a brand image of the
company through heavy marketing campaigns in the first one year.

VISION STATEMENT
The vision statement of Blessward Poultry Farm is to ensure the production of good and nutritious eggs,
create employment opportunities and create wealth for investors

MISSION STATEMENT
The mission of this farming business is to build an efficient mechanized poultry farm that is rewarding and
at the same time provide customers with quality, fresh, and valuable products. Our mission is also to have a
successful poultry farm that is highly developed and maintained.

VALUE PROPOSITION
Quality and service are our number one priority. To provide customers with opportunities to receive a
reasonable value for every kobo spent in buying our product and contribute to the community development
through physical and social programs.

Blessward poultry farm intends to have the largest poultry farm products.  We plan to increase and expand
our production of chicken to challenge the ever growing demand for chicken products. The nutritious and
protein rich products from our farm would always be the first choice of our consumers.

OUR KEYS TO SUCCESS:

Blessward poultry will follow these principles in order to achieve success in its market:
• State of art cage framework accommodating optimum number of chickens with lessened possible hazards.
• Diverse slaughters network, market chain management, optimum inventory level and ‘customer is king’
policy.
• Regular visits by veterinary medical workers and hygienic poultry house environment.

COMPANY SUMMARY
Company Ownership 
Blessward poultry is a one persons poultry business. The company is at start up solely owned by Osifejo
Babatunde (Mr.). It is a sole proprietorship business and the sole owner provides the finances the business
and is also solely liable for any business debts or claims.

Location and facilities

At this point in the business, we don’t have an exact point yet but we have narrowed the farm location down
to Agbowa Ikosi area of Ikorodu and the contact office, 40, Ogundipe Street, Ketu, Lagos. We are trading
from this spot because is it a great place to reach our target market. We think the population base is large
enough for our business and it has a stable economic base that promotes a healthy environment for the
poultry.

Also we think it is a spot that could tap a healthy workforce. We also considered pedestrian traffic and we
think a large percentage of them are potential customers.

We plan on having a good parking space and sufficient security in our working site to create a safe
environment for the customers. We plan on renting the building at first, and then buy it after we gain enough
profit.
Our facilities will include a broiler grow out facility, a layer grow out facility, a turkey grow out unit, a
hatchery unit, Poultry feed point of sale and table eggs production unit. The hatchery unit is where the fertile
eggs will be incubated to produce day old chicks. The incubation will be done manually. The production
cycle will be made up of 50% broilers/turkey and 50% layers.

It will include the setter incubator and the hatchers incubator. The broilers grow out facility will be a deep
litter system and the layer grow out facility will be a battery cage system. Both systems require adequate
housing and feeding and drinking equipments. The eggs produced in the table eggs production unit are
infertile and the amount produced depends on the layer chickens.

Contact Information

We can be contacted through our email address. We also plan to have a website where we can reach our
customers and see their complaints, feedback and recommendations. The website will also be a forum for
customers to familiarize themselves with the poultry.

All these and the phone numbers of the management team will be distributed through the means by which
we market our business as our contact information.

INDUSTRY ANALYSIS
Poultry industry in the last 40 years has shown dramatic changes in both domestics and international
environments. Those environmental forces include are classified into 2 categories: the internal forces and
external forces. Internal and external forces include:

1. Poultry industry competitors: When the company have few competitors, it is more likely to get more
profit. For example in Nigeria, competition is today driven by a cost of manufacturing and the quality of
products sold to the customers.

2. Supplier dynamics: Suppliers of raw materials to the poultry companies are the ones that affect the costs
of poultry products. If there is development of new market and technology, the price of raw materials will
remain low.

3. Opportunities: Like in Nigeria, there are many opportunities in poultry industry. The first opportunity is
that there is small number of large scale poultry farmers, and the other ones are small scale business
farmers. So this will make businessmen to vertically integrate in the poultry business.

4. Cultural and religious forces: As we know, the presence of taboos can be a hindrance in the
development of poultry farming. However in Nigeria, there are very few, maybe none, laws or cultures that
prohibit eating poultry products. This is a good opportunity for businessmen to develop and expand their
poultry farm with in the country without this type of challenge.

Challenges facing the poultry industry

Poultry farming has some challenges that need to be attended to with vigour. Below are some of the
common challenges that are faced by poultry farmers:

Death of chickens: In poultry, one or many chickens usually die because of their fragile nature and the
weather they are living in. Some factors such as heat and overcrowding causing that death are controllable.

Diseases: Pneumonia and other minor diseases are among problems faced by poultry farmers, but this
problem can be solved by seeking a veterinary doctor.
MARKET ANALYSIS SUMMARY
Product description
We offer chicken eggs, chicken meat, turkey meat that will be gotten from layers, broilers and local/foreign
turkey breeds to our target market. We plan to take pride in the uncompromising quality of our products. We
also offer fertilizer in form of poultry manure. This is mostly used in vegetable farming and as an ingredient
for feed in fish farming.

Blessward poultry shall produce high quality, contaminant-free chicken/turkey and the freshest eggs to
satisfy the taste of our beloved costumers. The products shall be distributed into a number of distributors –
supermarkets, public markets, bakeries, eateries, hotels and in the company’s own retail outlets for easy
access for marketing agents and consumers. In brief our products are;

• Main products
a) Eggs

b) Live chickens

c)Frozen Chicken

d) Live turkey

e)Frozen turkey

f)Varieties of Poultry Feed

• By-products
a) Chicken droppings

Future products

We have big plans for the future. We plan on supplying cracked egg shells to some detergent/scouring
powder making companies for use. These special detergents are used in washing basins and pots.

Service Description

We plan on servicing our customers by providing home delivery for customers who are willing to buy at
least a certain amount of our products.

Market segmentation
Although in the Nigerian populace, there are a few taboos, religious or cultural practices that will prevent
the consumption of poultry produce, during the market segmentation, we found out that nearly everybody
eats eggs and meat, so we are targeting the whole market, individuals, homes and firms that use eggs and
chicken in large quantities.

Specifically there is a high demand for live chickens for home consumption or as gifts during festivals like
Christmas, Eid-al-fitr, New Year, Easter and so on.

Target market segment strategy

Individuals are a small sector in the market segmentation. They are a pretty large group but they buy a
relatively small amount of eggs.

The part of the market that we hope to supply large amount of eggs to are the local markets/distributors,
retailers and industries that need eggs. We have made vans available for distribution to those segments and
our outlets/depots.

Another part of our target market that will order our products in medium quantities are the homes that will
require our home delivery as we have a set amount of eggs they need to order for. Homes generally utilize
eggs in the preparation of edibles like chicken burger, chicken pie, salads, Scotch egg, omelets, egg soup
etc.

Market trends

While some countries are reputed to be important exporters of poultry products, Nigeria has a problem of
meeting its local demand of poultry products. This problem started for the poultry market in 1984 when the
federal government banned the importation of maize.

This had great effect on declining poultry production. But the poultry market has seen more favourable
times since the independence in 1960, peaking in 1982 with 40 million commercially reared birds. But it has
been declining since, to an estimated 6 million in 1997.

But then, it boomed again to 20 million in 2003 and has been progressing ever so slowly since has more
people are entering the poultry business.

In the poultry business now, most of the products supply comes from the informal farmers with holdings of
50-700 birds. But then there are the “big guns” especially in the southern part of the country, good examples
being Obasanjo Farms (Nig.) Ltd and UAC foods.

Competition

Competition is not so keen in the markets, however it still exists. The reasons are;

• Poultry products are not branded products; hence what usually matters is effective positioning and timing.
• Poultry market is not crowded; it’s a seller’s market.
• Most poultry produce are sold through informal channels. Competition is usually found within local
products and imported ones.

However, this is an increasing business in terms of number of people who are doing it. This is because
Nigeria still importing chicken product like eggs from other country. Our competitors include those who sell
meat and fish. Although those competitors are available, a large number of Nigerians still lacking essential
food components, which are proteins.

According to data from CBN and FAO, only 2Kg of beef is available to an average Nigerian per year, and
only 4Kg of eggs is available to each Nigerian in a period of one year. There are poultry farmers; however,
many of them are backyard/Subsistence farmers, small scale and their production is too low to satisfy the
demand of customers.

The demand is high for live birds and eggs either for consumption or for gift in the time of Christmas, New
Year, Easter, id-el-fitri etc. restaurants, hotels, and supermarkets in Nigeria. The products of poultry are also
needed in fast food business which engages in the sale of products like chicken, eggs, chicken gizzards, etc..

Business competitive edge

Our strength over its competitors is firstly based on the fact that we are not entering this business with
primary motive of making too much money. We are entering this industry to solve the present problem that
our population is facing. We are here to provide quality and affordable chicken products.

We saw that some of our competitors are seasonal they only produce their chicken at a given period of time.
We won’t work like that. We will always be ready to provide chicken and eggs.

We know the importance of time and know that people have many and varying activities; knowing all that
we will be delivering our products to the customer’s door and we will have an ever fast delivery.

The other factor that will help us to have success over our competitors is to motivate our employees and
helping them to improve their way of living, this will help our employees to be focused on their work and
provide better services to their customers.

We expected our business to grow and start working at national level and this will be achieved through
hardworking of management team and efficiency and effective use of materials and time is the key to be
successful over our competitors.

Marketing strategy

Blessward poultry will strive for the production of products with the highest quality and we plan on
employing the following strategies. Our locations put us in proximity of a major hotel, restaurant, schools,
with campuses and home deliver food centres we will be supplying to. We would also make contracts with
hawkers in markets to sell our live chickens and eggs. We would also make contracts with retail shops for
constant supply of eggs at intervals. We shall also supply to our various sales outlets and depots.

Pricing and Promotion strategy

The price of the chicken would range from N2,000 up to N2,500 depending on the size, quality and the
season. Also, the price for a crate of eggs ranges from N750 to N1000. The price of a wheelbarrow of
manure costs about N200. These prices would also vary depending on the existing market price of poultry
meat and eggs. As we compete with other poultries, we will promote our products through various
advertisements media.

We can also make our business known through recommendations and connections with well-known
businessmen in the locality.

Web strategy

Blessward poultry also has a website where customers can interact with us and get a feel of what the
business is all about. We know a site or two where we can place online advertisements and we would also
make mentions of our poultry in online newspapers.
Sales strategy

• Better farm management practices

• Regular visit by veterinary doctors
• Recycling wastes as fertilizer
• “consumer is king” policy
• Keeping up with new technology for production efficiency

PRODUCTION SUMMARY
Production plan

In our poultry, we are planning to keep mixture of 500 chickens/turkey for meat, and 500 chickens for eggs.
From 500 chickens for eggs, each chicken is expected to lay at least 1 egg per day. For the whole day, 500
eggs will be produced.

For every 3 months, 400 adult chickens and 100 adult turkeys will be sold every 4 months. Our production
target is to reduce cost of production by at least 20% in the next 3 years.

Production costs

Our fixed costs include:

• Insurance payments covering both general liability and product liability,

• Rent for the company retail space
• Area of about one plot will be allocated for the farm;
• A hut will be built for the storage of pellets and other materials;
• Materials for office and store furniture, shelving, a computer, phone system, and tools.
• Long-term assets including the refrigerator unit for the shops, window displays a refrigerated delivery van.
Raw materials to be used include:
• Broilers, foreign breed turkeys
• Layers
• Water and Feed

Production labour

Cost of labour
Labour Salary in Naira
Cleaners 20,000
Poultry feed technicians 20,000
Security guards 6,000
Others 30000
Total salaries 76,000
Others include the veterinary doctors, drivers and technician that will be paid by the hour.

Labour in poultry farms are usually unskilled labourers who take care of the poultry services, guard the
chicken and its products and make deliveries. Their skills differ and they are mostly temporary labour.
The poultry feed technicians prepare balanced fodder mixtures complying with the fodder concentrate.
Labour size in poultry production is usually unstable.

Production process

We are starting with POL (point-of-lay) birds, these are birds in their fourteen to twenty weeks of Age,
(birds often start dropping their first egg from 22weeks to 24weeks of age). Advantage of acquiring Point Of
Lay birds is the reduced risk. Prices of POL at press time ranges from N750 to N950/bird.

In budgeting for feeding, a bag cost about N2, 500 today and could feed 100birds for 3 days or more. A bird
at good lay point generate between N6 to N10/day as gross profit. This means that a flock of 100 laying
birds could generate N800 profit per day, and about N24,000/month hence by implication 500 birds could
generate N120,000/month.

At the end of the 54 to 72weeks of lay, the spent layers would be sold for nearly the equivalent amount with
which the POL is purchased.

With the broilers, we buy day old chicks that will mature into live chickens in 8 weeks after which another
batch of day old chicks will be bought.

Production systems

There are two main production systems in Nigeria. That is battery cage and deep litter systems.

a) Battery cage system

Here hens are kept throughout their productive life time in cages. However, this system requires high capital
investment. Each cage that will cage 50 birds cost N30, 000. Therefore, for 500 birds, it will cost N300, 000.
In a battery cage system, hens do not have contact with droppings which reduces infections. Feeding,
providing water, egg collection, removal of litter and cleaning are easier for the poultry attendants to
perform.

b) Deep litter system

Here hens are confined in a house with floor space of 8 to 10 birds/m2 to ensure free movement. The floor
will be covered with a 5cm to 10cm deep litter of grain husks (maize or rice), straw, wood shavings or a
similarly absorbent (but non-toxic) materials. That’s why there is sawdust in the budget. After old litter has
been removed out of the house, the floor will be cleaned and disinfected.

MANAGEMENT SUMMARY

Management team

The management team include the following Mr. Osifejo Babatunde and Mrs Osifejo Adebimpe and other
employee.

Organizational structure
1. Osifejo Babatunde, Chief Executive Officer: As the top manager, the CEO, he is typically responsible
for the strategic plans and entire operations of the poultry. It is his responsibility to implement decisions and
initiatives and to maintain the smooth operation of the poultry, with the assistance of the management team.

2. Osifejo Adebimpe, Chief Operational Officer: as the COO, she looks after issues relating to marketing,
sales, production and personnel. More hands-on than the CEO, the COO looks after day-to-day activities
while providing feedback to the CEO.

3. Chief Financial Officer: Also reporting directly to the CEO, he/she will be responsible for analyzing and
reviewing financial data, reporting financial performance, preparing budgets and monitoring expenditures
and costs. The CFO routinely checks the corporation’s financial health and integrity.

4. Chief Business Development Officer: As the CBDO, he/she decides on the general direction of a
company, sales and marketing strategies and has a broad and comprehensive knowledge of all matters
related to the business of the organization and the vision required to steer its course into the future. The
CBDO is generally in charge of defining corporate strategies, working plans, and often product ideas.

Personnel 

Apart from the management team, other personnel include

1. Cleaners
2. Security
3. Technician
4. food technician
5. Veterinary doctor
6. Driver

There are 5 cleaners, 2 security, 1 technician, 2 food technicians and a veterinary doctor. There is also a
driver to make the delivery services. Except from the veterinary doctor, the personnel are on a monthly
payroll and are all in a short time contract with the poultry.

ENVIRONMENTAL ANALYSIS
INTERNAL ENVIRONMENTAL ANALYSIS

SWOT ANALYSIS
SWOT stands for strength, weakness, opportunities and threats and we have made an analysis in each case.

Strength

• Produce high quality eggs enriched with protein

• Relatively good infrastructure systems
• Good marketing system
• Eggs and chicken are not seasonal products and can be eaten any time of the year
• In this area, the poultry business hasn’t been over-exploited
• Poultry are environmentally friendly

Weakness
• Capital intensive. Starting a poultry business requires a large capital funding.
• Outbreak of disease can ruin entire business in a go
• The smell can be quite disturbing

Opportunities

• Expansion into large scale production of by products(fertilizer and detergent)

• Export to neighbouring towns
• A large and successful poultry will ensure food security

Threats

• More competition
• Avian diseases
• High feed ingredients prices
• Threat of import of frozen chicken

EXTERNAL ENVIRONMENTAL ANALYSIS

Socio-cultural – Eating habits of our consumers will definitely affect our business. Also, the success of
restaurants and other firms that order our products will indirectly affect our business.

Technological – A good technical infrastructure would lead to better production and hence lower costs.
Technology will also mean more effective business marketing.

Economic – economic trends such as demand and supply will determine the sustenance and profitability of
the business. Also inflation rates will affect the way we pay our employees and the price of the product.

Political – this will include government policies concerning inspection by the ministry of health and
organizations like NAFDAC.

FINANCIAL PLAN
In every project found. We have to pass through the financed process. This has to do with the starting of
business, whether the personal income used or term loans from banks. In our business, the financing
structure and ways of doing it is like the path below.

START-UP SUMMARY

Our business has start up cost and we will need a bank account, we have chosen our bank to be UNITED
BANK FOR AFRICA (UBA) because of its proximity and reliability. This section of the plan shows
projected start up costs prior to our opening.

Start-up expenses for Blessward poultry include initial insurance payments covering both general liability
and product liability, pre-launch marketing to cover flyers, a direct mail campaign, and advertisements in
local papers, the development of a website for customer interaction, and the normal legal expenses for
consultation and permitting. Other current assets include office and store furniture, shelving, a computer,
phone system, and tools. Long-term assets include the computer, printers, delivery van.

Poultry farm start up costs

Items Cost  
Item Cost (=N=)

Business cards 500.00

Printer 10,000.00

Leaflets 500.00

Blank invoices 1,000.00

Internet 10,000.00

Insurance 20,000.00

Farm Land @ Cost 150,000.00

Building/ Broiler
House/Poultry feed 100,000.00

Advertising / marketing 10,000.00

Others 30,000.00

Total 382,000.00
   
Cost of labor  
Labor  Salary in Naira  

Cleaners 20,000.00

Food technicians 20,000.00

Security guards 6,000.00

Other 30,000.00

Total salary 76,000.00

Others include the veterinary
doctors, drivers and
technician that we pay by the
hour. 30,000.00
   
Equipments Cost  
Feeders and drinkers 8,000.00

Crates 10,000.00

Lighting system  15,000.00

Egg tray 3,000.00

Layers Cages 300,000.00

 Others 50,000.00

Total equipment 336,000.00

   
Cost of birds  
Point of lay (Layers)
500@1000 500,000.00

Broilers 400@250 100,000.00

Turkey 100@650 65,000.00

Total 665,000.00
   

Grand Total 1,489,000.00

1) Equity contribution: this cover the land we are using for the poultry, and also the facilities in the
building. The total income will be store rooms, office and constructions as well as the furnishing part.

2) Personal income of 1.5 million Naira, which will be used to start-up the operations, the cages, land and
building and other equipment’s needed for the poultry.

Since for a part up business borrowing money from a bank is not advisable for our financing project.
Financing by loan becomes our secondary motive if we can get enough income for the start up business.
When we borrow and use personal income, it is easier to obtain and quicker than loan. The tax rate is low.

Blessward Farms
Projected Income Statement for 3 years
Income                                               Year 1 Year 2 Year 3

Live chicken Sales (Broiler) 2,850,000.00 3,750,000.00 5,250,000.00

Live Turkey Sales 3,600,000.00 6,750,000.00 9,000,000.00

Eggs sales 4,471,250.00 6,387,500.00 9,125,000.00

Fertilizers 50,000.00 60,000.00 80,000.00

Total income 10,971,250.00 16,947,500.00 23,455,000.00

       
Expenses      

Feed/Medicals/Vaccination of birds 3,723,000.00 5,026,050.00 7,073,700.00

 Day old Broiler purchase 540,000.00 675,000.00 675,000.00

Day old turkey purchase 195,000.00 292,500.00 292,500.00

Egg Laying chicken purchase 500,000.00 700,000.00 700,000.00

Insurance 50,000.00 50,000.00 50,000.00

Internet 120,000.00 120,000.00 120,000.00

Salaries/wages 2,112,000.00 2,112,000.00 2,112,000.00

Advertisement/marketing  20,000.00 20,000.00 20,000.00

Poultry
maintenance/transportation/Logistics cost 50,000.00 60,000.00 60,000.00

Other expenses 100,000.00 120,000.00 120,000.00

Total expenses 7,410,000.00 9,175,550.00 11,223,200.00

Net income before tax 3,561,250.00 7,771,950.00 12,231,800.00

Taxes 356,125.00 777,195.00 1,223,180.00

Consultancy fee 600,000.00 600,000.00 600,000.00

Depreciation  53,400.00 45,750.00 36,414.00

Net income 2,551,725.00 6,349,005.00 10,372,206.00

Tax to be paid is 10% of the net profit. Depreciation on cages and other equipments is 15% of the money we
bought them. Depreciation on building is 3% of the money used to buildRecords management

As to records management, each project will have a record book on which information on the number of
stocked live birds, slaughtered and deaths are recorded. Record keeping will help us to budget accurately
and make informed decisions about the poultry.

The following are examples of records that shall be kept in the farm:

 Brooding record
 Pullet growing record
 Laying flock record
 Mortality record
 Productivity record
 Vaccination record
 Feed record
 Financial record
 Health record
  Inventory record
 Assets register
 Cost of production/Revenue record

The records will contain information such as

• All feeds consumed and purchased

• Number of hens purchased
• Deaths and causes
• Vaccination and other veterinary requisites expenses
• Labor and other variable costs
• Number of eggs collected daily
• Number of eggs sold and used for home consumption
• Number of eggs damaged and
• Water and feed intake daily.

RISK ASSESSMENT

Financial risks

• Changes in our pricing policies or that of our competitors

• Fluctuation in revenue from distributors and retailers
• Timing of costs related to acquisitions or payments

Health risks

Contagious disease and virus outbreak is very deadly; if one of the chickens should catch the disease, all of
them will be affected and if it’s not recognized and treated early it will lead to the death of all the chickens
which is a great loss for the business. And also some of the diseases are also contagious to human not just
between the chickens which will affect the workers and also those that eat it.

Disease prevalence varies from one area to the other. The problems that may trigger disease conditions are
direct sunlight on egg trays or nests, poor ventilated houses and very high temperatures in and outside the
poultry house, which may weaken egg shells resulting in poor egg quality. All these conditions will be
avoided to the best of our abilities.

Another thing we considered during the risk assessment is the mortality of the chickens which is inevitable
since we are dealing with living things. This can be managed with good management and has been
calculated to range between 5-10%.

Technological risks

Technology is good but they also have their disadvantages. There are normally problems involved in using
technology; the use of the machine that collects eggs may fail to work or spoil, making the work slow and
adding more cost to the business by repairing it.

The cost for electricity is also not easy and some electric problems can lead to fire outrage and burn the
building causing the loss of assets and perhaps the entire business.
Contingency plans

As we considered these risks we have also made contingency plans for unprecedented events or
occurrences. As per the health risks, we will have plans with a veterinary doctor that will have regular
checkups with the chickens while giving them the best environmental conditions. Another contingency plan
we will make is insurance that will protect our assets.

One of the risks we have to face mentioned earlier, the occurrence of a fire outrage will be curbed by
placing fire extinguishers at strategic places. And in case of financial crises, we may have to resort to getting
loans.

MILESTONES:
The milestones describe what is hoped to be achieved in the next three years.
The table below describes the milestones.
s/n Activity Funding Time line
1 Feasibility study/business Personal fund May 2018
plan

2 Site acquisition and

Personal fund January 2019
development
Loan January/February 2019
3 Equipments Purchase and
installation
4 Staff recruitment Loan February 2019

5 Purchase of Layers(Point of Loan February 2019

Lay with verifiable medical
record)
6 Purchase of Broilers, Loan February 2019

pullets and Foreign Turkey

with verifiable medical
record

Brooding of Broilers, Pullets February 2019-April 2019

7 and Turkey/Collection of eggs (This continues every three
for sale month maximum)

8 Sale of Eggs Daily sales year round and

Broilers/Turkey every
three months

Selling of old layers, February 2019-December

9 Buying of new Pullets, 2019
Boilers/Turkeys and sales
of eggs and matured birds

10 Selling of old layers,

Buying of new Pullets, January 2020 – Dec 2022
Boilers/Turkeys and sales
of eggs and matured birds