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Poultry Farming Business Plan Template | Free Business Plan Software

Poultry Farming Business Plan Template

 

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Here's the Business Plan Template's Table of Contents:

1.0 Executive Summary
1.1 Objectives
1.2 Mission
1.3 Keys to Success
2.0 Company Summary
2.1 Company Ownership
2.2 Start-up Summary
Table: Start-up
3.0 Products and Services
4.0 Market Analysis Summary
4.1 Market Segmentation
Table: Market Analysis
4.2 Target Market Segment Strategy
4.3 Service Business Analysis
4.3.1 Competition and Buying Patterns
5.0 Strategy and Implementation Summary
5.1 Competitive Edge
5.2 Marketing Strategy
5.3 Sales Strategy
5.3.1 Sales Forecast
Table: Sales Forecast
5.4 Milestones
Table: Milestones
6.0 Management Summary
6.1 Personnel Plan
Table: Personnel
7.0 Financial Plan
7.0 Financial Plan
7.1 Start-up Funding
Table: Start-up Funding
7.2 Important Assumptions
7.3 Break-even Analysis
Table: Break-even Analysis
7.4 Projected Profit and Loss
Table: Profit and Loss
7.5 Projected Cash Flow
Table: Cash Flow
7.6 Projected Balance Sheet
Table: Balance Sheet
7.7 Business Ratios
7.7 Business Ratios
Table: Ratios

Other Business Plan Outlines and samples that may interest you:

Agriculture Assisted living Auto repair Bakery Bar Beauty salon Bed and breakfast Bookkeeping Boutique Bowling alley Carpet cleaning Car wash Catering Cattle farming Charity Cleaning Coffee shop Computer repair Construction Consulting Convenience-store Cupcake Daycare Dental Dog daycare Ecommerce Electrical Embroidery Engineering Farm Fashion Fast food Film Financial advisor Fitness center Flower-shop Food Food truck Franchise Frozen yogurt Furniture store Gas station Goat farming Grocery store Gym Hairdressing Hair salon Ice cream Insurance agency Interior design Internet Internet cafe IT Jewelry Landscaping Laundromat Laundry Law firm Magazine Manufacturing Microbrewery Motel-hotel Music Nightclub Nonprofit Nursery Online-retail Photography Pizza Plumbing Poultry farming Preschool Printing Private investigator Pub Real-estate Resort Restaurant Retail School Security company Service Software Spa Sports-bar Startup Supermarket Travel agency Trucking Vegetable-farming Website

Poultry Farming Business Plan Market Analysis Summary Sample

Tennessee’s beef cattle industry is an important part of the state's economy. It is even more important to the Tennessee’s beef agricultural economy. There are cattle produced in every county in Tennessee. The beef industry in the state is primarily made up of locally owned family farmers. According to the National Cattlemen's Beef Association, 97 percent of the nation's cattle farms are family owned, and 42 percent have been in the same family for more than 50 years.
The cattle industry converts locally produced resources, forages, into dollars that are “spent at home” and supports the growth of local economies and jobs. Cattle also contribute to the aesthetic environment of the state in that they help to maintain the "green space" that makes Tennessee attractive to both residents and tourists.

Following are some facts about the Tennessee beef industry that will illustrate its importance to Tennessee and why it has grown to its current level:

  • More Tennessean's are involved in beef production than any other agricultural enterprise. There are 79,000 farms in Tennessee and beef cattle are found on 42,000 (53.0 percent) of these.
  • Tennessee is one of the top beef-producing states in the nation. Tennessee ranks 9th in the nation in beef cow numbers and 15th in total cattle. Tennessee exceeds all states east of the Mississippi, except Kentucky, in numbers of cattle. Only Texas, Missouri and Oklahoma have more cow-calf operations than Tennessee. More than 2.13 million cattle in Tennessee are valued at slightly more than $1.62 billion. Fifty-one percent of these cattle, or 1.2 million, are beef cows.
  • Tennessee's beef cow numbers have increased 360 percent since 1955. This increase can be attributed to several factors: the decline in dairy production; reduction in acres devoted to row crop production; increase in pasture acreage; growth of local manufacturing, resulting in off-farm employment opportunities; age of the operator or farm owner; and the number of farms that have been passed on to the succeeding generation. A large number of the state's cattle producers now reside on this acreage and have employment off the farm.
  • Sale of cattle and calves is the number one source of agricultural income in Tennessee. The cattle industry has held this position for a number of years. The cash receipts from the sale of cattle and calves during 2009 totaled $582 million which was 22.5 percent of the state's total agricultural income and 1.2 times greater than the number 2 Agricultural sales. These monies stay in the state's and local economics. National Cattlemen's Beef Association economists report that every dollar made in cattle sales is multiplied or turned four times. This means that the state's cattle industry generates an additional $2.6 billion of business activity for the state's economy. This activity also contributes to the sales tax revenue.

 

  • Beef production in Tennessee is based on producing and marketing feeder cattle. Feeder cattle production starts with cow-calf operations which make up 88 percent of the state's beef operations. The remaining 10 percent are backgrounding or stockering operations. Tennessee annually markets more than 750,000 feeder calves to backgrounding operations and feedlots, primarily in the Midwest and High Plains areas of the country.
  • Beef production provides an opportunity for Tennessee agriculture to secure monetary returns from several thousand acres of land not suitable for intensive agricultural production. Beef cattle are ruminants. They have the ability to consume materials such as grass and hay and convert them into a much more valuable, easier-to-market product. Approximately 85 percent of the total feed used in the production of a slaughter beef animal comes from forage, roughages and other by-products that are not edible by humans or other simple-stomached livestock. About five million acres, or 40 percent, of the state's agricultural land is in forage production. Pasture is grown on areas that would otherwise provide little opportunity for agricultural revenue.

 

  • Beef cattle farms contribute to the state's natural beauty. The pasture that cattle graze results in a great deal of "green space" for both tourists and residents to enjoy. The pastures also aid in reducing soil erosion and benefit and encourage development of wildlife.
  • Beef cattle fit well with, and complement other agricultural enterprises. As a result, the sale of cattle is not the major source of income for a large percentage of Tennessee farms. A recent survey revealed that tobacco, row crops, other livestock enterprises and miscellaneous agricultural enterprises were also sources of financial support for approximately 60 percent of Tennessee cattle producers.

 

  • A large percentage of beef cattle are owned by producers with off-farm employment. Data collected in the 1996 beef survey indicated that 48.7 percent of beef producers are employed off the farm. Beef cattle production requires less labor and smaller investments in equipment and facilities than do other agricultural enterprises. This makes it attractive to land owners who have off-farm employment. Tennessee's average farm size, 144 acres and the 29.3-cow average size herd also facilitate off-farm employment.
  • Fifteen purebred cattle breed associations are leaders in breeding and marketing seed stock. These purebred breeders annually provide the Tennessee beef industry more than 14,000 bulls which annually provide half the genetic makeup of the state's calf crop.

 

  • Thirty-eight weekly livestock auction markets allow producers the opportunity to market cattle year-round. In addition, several local feeder cattle marketing associations and marketing alliances carry out in-barn cooperative feeder calf sales, tele-auctions, video and board sales. Cattle grading and marketing assistance are provided by the Tennessee Department of Agriculture.
  • The beef industry is well served and represented by the Tennessee Cattlemen's Association, Tennessee Beef Cattle Improvement Association, Tennessee Beef Industry Council and the Tennessee Farm Bureau Federation. Feed, health products, equipment, veterinary services and production inputs are accessible in all areas of the state. The Tennessee Department of Agriculture aids in marketing, health, and regulatory programs. Educational and research support are provided by the University of Tennessee Extension, UT AgResearch and College of Veterinary Medicine of the University of Tennessee.

 

  • Beef cattle fits well with the life style. People enjoy working with beef cattle and it fits well with the rural life style people are seeking.
  • The beef industry is the most important agricultural enterprise in the state. More people are involved than in any other agricultural enterprise and it is the greatest source of agricultural income. The Tennessee beef industry will continue to grow. Beef cow numbers will remain at 1.0 to 1.2 million and the backgrounding of feeder calves is expected to increase. The greatest opportunity for increased income to Tennessee agriculture is in beef production. Because of its climate, topography and other changes in agriculture, Tennessee will continue to produce acreage of pasture and forage, contributing to beef cattle continuing as the agricultural enterprise of choice.

 

4.1 Market Segmentation

The cattle market is a commodities based market. Prices are determined on market demand basis.  According to the United States Department of Agriculture Economic Research Service, the retail equivalent value of U.S. beef industry as remained between $70-75 throughout the last five years and beef production has reduced slightly to just over 26 billion pounds annually (2009).
 
The cattle market constantly fluctuates, but is and will continue to be a staple commodity with steady demand. Large cattle farms face the most uncertainties, due to the effect price drops and increase in feeding costs have on their return that is based on a low margin/ high demand basis. 

Table: Market Analysis

 

Market Analysis

 

 

 

 

 

 

 

 

 

2010

2011

2012

2013

2014

 

Potential Customers

Growth

 

 

 

 

 

CAGR

Cattle in Tennessee State

1%

1,000,000

1,010,000

1,020,100

1,030,301

1,040,604

1.00%

Cattle in Alsbrook Farms

10%

500

550

605

666

733

10.04%

Total

1.01%

1,000,500

1,010,550

1,020,705

1,030,967

1,041,337

1.01%

4.2 Target Market Segment Strategy

COMPANY NAME will focus on selling beef calves from the farm and hay production. These are optimal revenue producing streams for the farm and will utilize the family's operating resources. The farm will maximize the use of running the farming operation on land that will be purchased by the far to minimize operating costs and create an asset for the farm.
 
The INSERT NAME come from a family in the cattle business and will only be expanding the volume previous performed by the family. Additionally the farm will have their son, INSERT NAME involved on full-time basis cutting and baling hay, which will be the farms secondary revenue source.

4.3 Industry Analysis

Beef cattle production in Tennessee is based on inventory of beef cows. Tennessee is one of the top producing states in the nation. Tennessee ranks ninth in beef cow numbers and is one of the top four states in cow-calf operations. Of the states of the Mississippi River, only Kentucky has more cattle.   
Beef cattle are produced on 51% of the farms in Tennessee. Of 42,000 plus beef cattle farms most are small operations: 37,000 farms have 1-49 beef cows, 4100 have 50-99, 1375 have 100-500 and 25 have more than 500 beef cows.

4.3.1 Competition and Buying Patterns

COMPANY NAME sells beef calves and hay of high quality to various buyers.  In the last few years no one predicted the severity of the market correction and certainly no one predicted all of the ramifications across world economies and markets.  US consumers do not have as much disposable income to spend on beef steaks.  Consumers saw their 401K plans lose 40% of its value and many saw the value of their homes decrease.  Some suddenly found themselves in the unemployment lines.  Many were forced to cut back on their purchases.  This reduced the demand for beef.  More uncertainty in markets tended to lower prices.  Retailers were and continue be unsure of what consumers will buy, and so they tend to reduce their purchases from wholesalers.  Processors do not want to be stuck with large inventories that they might not be able to sell, so they tend to cut back on large purchases of commodities.  This uncertainty in the marketing channel furthers reduces demand for most commodities.

The reality is that the beef industry has lost a tremendous amount of equity in the last few years.  All of the factors that got us in the present condition are still with us.  We may be reaching a time when many lenders will cease to finance these struggling operations and they will be forced to liquidate.   

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