Do You Need a Business Plan for Your Poultry Business?

Introduction

Let me be frank here, you don’t need a business plan to succeed as a poultry farmer but do you know what a business plan can do for you? It can prevent you from making costly mistakes – mistakes which the majority of people cannot recover from. So ignore the planning stage at your peril, maybe you are one of those guys who can recover from tremendous setbacks.

What is a business plan?

A business is a written or unwritten document which describes the operational and financial objectives of a company and how the company seeks to achieve them. As a new poultry farmer, it is very crucial to prepare a business plan because, the business involves several complex financial obligations like feeding, veterinary visits, labour and possibly fuel. Preparing a business plan will ensure that you are properly equipped with a good estimate of how much you are supposed to spend and how much revenue you are to expect.  In case you want to know how much money you need to start a poultry farm, follow this link tinyurl.com/y89x74p8.

Benefits of a business plan                                

1. Helps in evaluating feasibility: Is your idea feasible? Perhaps, you want to rear 1000 turkeys. Do you fully understand the space required to rear them, their feed or labour costs? Again, do you fully understand how fast your return on investment will be? Perhaps, you heard poultry farming is very profitable so you might be thinking of all the revenue you are going to make forgetting the costs involved. The business plan will help you understand whether to stick with your original vision, revise it, or abandon it altogether.
2. Business planning helps you track the progress of your business: Many people assume that business plans are just a one-time affair – prepare it, use it to apply for a loan, get the money, and dump it. Actually, business planning goes way beyond that;  let’s say in your business plan, you were supposed to collect 25 crates of eggs per day after week 5 but you end up collecting only 15 crates, this signifies that there may be a problem which may either be an infection or bad weather conditions. Failure to make proper financial and operational projections means you are not going to identify mediocre results when they happen.  
3. Business planning helps you secure funding: Of course, this is the all-time favourite. No one is going to fund your business if they believe you don’t have enough knowledge to execute it– they’ll probably think you just there to waste their time and money. But if you explain to them the costs involved in running the business, the type of equipment you require and the potential revenues, I’m pretty sure you have a high chance of securing the funding you need. The business plan contains all the necessary details for your investor or bank to gain the needed insights about your business.

Conclusion

Having a business plan doesn’t necessarily guarantee you success in poultry farming but it is surely going to unlock many opportunities which will increase your odds of making it big in the industry. If you need a professional business plan but don’t know how to get started, please visit www.pkombookkeeping.com/contact/.