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I recently published an article about how pig farming could literally change your life. People will read articles like this and think pig farming is highly lucrative, and rightly so. However, the mistake most people make is that they tend to want to enjoy the profits alone. They forget that with most things in life, there are always positives and negatives. Obviously, getting huge profits off a pig farm is very positive, but do you know what isn’t so positive? Having to potentially invest hundreds of thousands of Ghana cedis. Where are you even going to get this money?
You don’t necessarily need to take on this burden alone. Assuming you need to invest GH₵ 100,000 to run your pig farm for one year, partnering with two others would mean each partner would need to contribute GH₵ 33,333 if the amount is split equally. Of course, GH₵ 33,333 is still a huge amount for most people in Ghana to raise. However, if you have a job that pays you GH₵ 3,000 and above, you may be able to raise money to start a sizeable pig farm within a relatively short period. For instance, if you earned around GH₵ 3,000 monthly, and saved 33% of your salary, you could raise GH₵ 33,000 in 33 months (almost 3 years).
Finding business partners is not necessarily for raising capital only because different people bring different things to the table in terms of knowledge, skills, experience and contacts. For instance, if people team up to start a pig farm, one of the partners may have had prior experience in sales, hence she can take care of the marketing while another person may have a finance background so he can take care of the farm’s accounts. Now, if you are a sole proprietor, you do all these things yourself or hire people to do it for you.
Now, partnerships are not without their problems. Serious disagreements on the direction of the business and how each partner should be rewarded could occur. This could potentially lead to the collapse of the business. However, drafting a partnership agreement could help quell some of these issues.
If you read this article, there is a high chance that you may be interested in starting a pig farm. Don’t worry, we got you covered. Contact us for a professionally drafted business plan which will show you how much you need to invest and how long it will take for you to recover your investment.
Pkom 