Produce Farm Business Plan


Produce Farm Business Plan


Mixed Greens Salad Gardens, (MGSG), is a brand new company that caters to the unsatiated demand for high quality salad greens. A steady flow of customers is possible due to Eugene’s proximity. MGSG is a startup grower and distributor for exotic salad greens. MGSG is located near Blue River, Oregon. It serves the southern Willamette Valley. MGSG is a product-based firm whose goals are to exceed customer’s expectations, improve production efficiency by 10 percent per year, and, last but not least, develop a sustainable farming business that can sustain itself on cash flow.


Products

MGSG will sell a spring mix of salad field greens. These greens will include red leaf, radicchio mustard greens and chicory. These greens are grown for use in salad mixtures, purchased by the end consumer as well as by restaurants who then serve it to their patrons.

The Market

MGSG will target two distinct markets: individual customers and restaurants. Individual customers will purchase greens directly from MGSG at the Saturday and Tuesday Farmer’s markets. This segment is growing at 12% and has 12,000 potential customers. The second segment is local restaurants. This market, which has only 28 customers, is less popular but more in demand all year.


Competitive Edge

MGSG has two competitive edges that will help them maintain strong growth rates, increasing their market penetration. The first edge is quality. MGSG is proud of the high quality of their exotic salad greens. Greens that are not up to MGSG’s standards of quality will be rejected as they are not good enough and given to a not for profit food bank. MGSG’s second competitive edge is their flexibility. The entire farm has been set up to allow them to change crops or scale existing crops to meet demand. This is rare as most farms are unable change crops mid-year.

Management

Heidi Ponic is the MGSG’s leader. Heidi started her career in gardening while she worked at a greenhouse. Heidi began her career after college at a large grass seed firm. Heidi’s experience at the Willamette Seed Company was what made her determined to work in agriculture. Soon after her experience at Willamette Seed Company was over, she decided that Oregon State University’s Master Degree in Horticulture Program would be the best choice for her. Heidi received her Masters from Oregon State University, which gave her the skills and detail she needed to build her farm business.

1.1 Objectives

The following are the goals for the first 3 years of operation:

  1. To create a product-based company whose goal is to exceed customers’ expectations.
  2. Mixed Greens lettuce products must be used at least 20% in Eugene’s top restaurants as per local newspaper restaurant reviews.

  3. To increase efficiency by 10% per annum.
  4. To create a sustainable farm that is able to survive off its own cash flow.

1.2 Mission

Mixed Greens Salad Gardens’ mission is to supply the highest quality salad greens. Our mission is to retain and attract customers. Everything else will follow this principle. Our services will surpass the expectations of customers.


Agriculture Fruit Farm Business Plan


Agriculture Fruit Farm Business Plan


Problem & Solution

Problem worth solving

People want vegetables and foods with high nutritional values and great taste. Our national diet can be described as a shame. The problem of obesity is huge.

Our Solution

We use the best agricultural technology available to produce tasty and nutritious vegetables. We start with an existing farm that has custom-innovated equipment. We add horticultural technologies to produce strawberries. This will allow double the utilization of the climate controlled overhead.

Target Market

Competition

Current Alternatives

Alabama is one the top farming regions in the eastern United States. This creates a highly competitive environment for many industry participants. Because almost all produce is commodities and large-scale buyers are more organized than farmers, overall margins are low and competition for wholesaler contracts is fierce. Competitive threats come from three main segments:

  • Imported vegetables of lower quality
  • Mississippi pounds raised vegetables
  • Alabama vegetable producers.

Three farms are directly competing in the individual buyer market segment: the Anniston farm and Organics-To-You vegetable farm. Each of these competitors has produce stands as well as selling to local farmers’ markets. Organics-To-You Farm is the only one that focuses on a niche, while the rest rely heavily on federal subsidies.

Our Advantages

Farmers Group is committed to maximizing the use of current and future agricultural technology in the production and sale of vegetables. A profitable vegetable farm will be acquired by the company. The equipment was custom-designed and manufactured to give it a competitive advantage in the market. Additional use and utilization of horticultural technologies in the production strawberry will enable double the utilization of the climate controlled portion of the overhead. Farmers Group will consolidate the goodwill that has already been established by allowing the possibility of not adding another high production facility to the current supply-demand situation.

The company’s initial goals for the first one year are:

  • Prepare for the future.
  • Green Acres vegetable production system should be relocated and expanded in order to make it functional.
  • Incorporate greens culture in the system.
  • The composting system must be in full production by the beginning of the second year.

The company plans to replace the least profitable products with practical, cost-efficient products in the long-term.


Farm Machinery Manufacturer Business Plan


Farm Machinery Manufacturer Business Plan


Kouros Brothers Ltd. is an importer and reseller of agriculture machinery and implements. We sell A-Z series heavy machinery and systems that are suitable for potato, vegetable, cereal, and sand cleaning. We have also patented and piloted four innovative machinery and systems the last 6 years for Vegetable and Cereal productions. It is also the exclusive dealer and agent for 10 major European agriculture producers. It has been able to establish communication links and export its machinery to the Middle East and Syria over the past three years.

Kouros Brothers Ltd. boasts an experienced management team that is well-versed in the industry and has extensive research experience. Mr. Kouros and Panikos Stella make up the Kouros Brothers Ltd. team. Both owners have compiled a large list of potential customers, vendors, as well as contacts for equipment consignment.


New Opportunity

Last week, it was announced by Ministry of Agriculture, Natural Resources and Environment (MANRE) that EU has made available funding of 256 Million Euro from 65% to 80 % of all units and producers intending to use technological advances to improve the quality of customers’ (Agriculture Producers&#8217); products and to allow them to export their goods to European markets.

We have a good reputation locally, but sales are slow because local farmers cannot buy new equipment every year. This large amount of funding will allow farmers to buy newer and better equipment as a result of Cyprus’s accession to the EU. But local farmers will only consider purchasing equipment they are confident in. The best way to convince them is to show them equipment.

Kouros Brothers Ltd. has good earnings and assets, but we do not have enough cash on hand to buy the wide range of demonstration equipment we need to meet the sales potential created by the upcoming Government funds to our customers. The company will employ local workers and provide training on products and services to help promote sales. The company’s loyal customers are a key factor in expanding its business area through word-of mouth.

Already, we have identified potential customers and communities who are open to trying its new product line. The equipments of the pilot will be used to exhibit at the October International show for Livestock and Agriculture, in Nicosia. And also, the company plans to participate in the Thesalloniki state Agricultural fair that will take place on the 28th January next. The company acts as sole agent and sales representative to Cyprus, Greece, Syria and other countries for various Wheat planting systems.

Funding in excess of PS50,000 is needed by the company to expand the business. To expand the business, additional equipment will be purchased to enable the company’s products and services to be promoted and displayed. The expansion plan also includes the hiring of additional personnel. This loan will be paid back in 6 years, with principal payments of PS5,833/year, at 8.5% interest. This loan is in addition to the existing 10,000 loan that will be repaid within the same timeframe at approximately PS1,666/year.

With this new demonstration equipment and customers well-funded, our projected revenues in Year 1 are expected reach PS274,200. Year 5 will see PS400,000.

1.1 Objectives

Director of Kouros Brothers Ltd. believes that there is a market opportunity in agriculture machinery. This is because existing suppliers of agricultural machinery and implements are not sufficiently diversified to cater to the increasing specialized needs of the potato sector.

The company’s coverage area is constantly increasing, as customers are becoming aware of the company’s presence. European community offers real business opportunities for such expansion. At present, there is 256million Euro available for EU agriculture support and funding. The Cyprus Government has been left with the funds to help local farmers and growers improve their production.

1.

2 Mission

Kouros Brothers Ltd. mission is to become THE exclusive full-service equipment manufacturer and authorized importer, sales, and service company in agriculture machinery and implements in Cyprus and to expand its business to Middle East, with the ability to satisfy all needs of Livestock farmers and Agriculture producers.

Thus, the company&#8217s strategy is a to create a restricted geographical niche for its products where there will not be potential competitors. Kouros Brothers Ltd. will offer high-quality machinery and equipment for crop mechanization in potato, vegetable and wheat crops at a cost that is comparable to premium-quality machinery manufacturers on the local market.

1.3 Keys to Success

Kouros Brothers Ltd.’s keys to success include:

  1. A high level of quality in its product line.
  2. A-Z Equipment Mechanization Series for Vegetables and Cereals, Potatoes, and Livestock.
  3. Maintaining and expanding its referral networks to increase sales.
  4. Significant investments in research and development of machinery with the aim to focus on precisely controlled equipment (Coriander seed, carrot machines etc. ).
  5. Improvement of efficiency in operations and reduction of crop producer operating costs.
  6. Connect with the Consulting offices for Agriculture and Scientific Support to its Customers.
  7. The machinery and systems of Kouros Brothers Ltd. will help Cypriot farmers, as well as Agriculture producers, to export to Europe and comply with all European directives.

Peach and Apricot Farm Business Plan


Peach and Apricot Farm Business Plan


Introduction

The Wilson Family Peach Farm is a start-up venture for Dr. Jared Wilson and his wife, Susan. Starting in the spring, the Wilsons will be taking their retirement from their traditional professions. The farm is intended to provide the Wilsons with an opportunity for post-retirement work and income, plus an opportunity for both of them to continue their individual research programs on agriculture and nutrition. Approximately 80 acres of prime stone fruit growing land is to be acquired, using owner’s equity and a federal farm assistance loan. Dr. Wilson, Mrs. Wilson, and a Limited Liability Company will own the farm.

The Farm and its Products

The farm boasts prime fruit-growing land located about 3.5 miles north of Gainesville, Georgia. This area is ideal for peaches and stone fruits. It receives plenty of sunlight and has excellent drainage. The soil pH is optimum.

Wilson Family Peach Farm will grow seven varieties of peaches in its first three years. These include the Redhaven (Ishtara), Tenn Natural and Lovell (Bayley, Montclar and Starks Redleaf) and the well-known Elberta. Once profitability is achieved, the farm will start to grow rare varieties.

This crop’s attractiveness is due to the fact that high-quality, fresh peaches and nectarines are low in calories and sweet tasting. One medium peach provides only 37 calories. These fruits are rich sources of Vitamin C. While yellow-fleshed varieties can be a good source, they are also high in Vitamin A.

The Market

The United States accounts for approximately 25% of the global supply of fresh peaches.

Peaches are America’s third most-popular fruit. They account for over 70% of all stone fruit produced by the U.S. South Carolina (and Georgia) follow California’s 72 per cent share. The two states average about 6 and 4% of the U.S. peach total over the last three years. Last year the Georgia peach crop totaled 115 million pounds and brought in $41.7 million. Georgia produces over 40 varieties of commercial peaches, in addition to Elberta. Recent events have revealed that the international peach market is growing, especially in Asia.

Wilson Family Peach Farm intends to sell its crop three times to main buyers. Wilson Family Peach Farm will focus on selling its majority of fruit to local produce stand owners who can charge more because the fruit is higher quality. This will ensure that the farm has a high profit margin. The remainder of the fruit will then be sold to local distributors and fruit packing companies, who then sell the fruit to grocery shops. Any fruit that doesn’t meet the quality standards of either the buyers or the distributors will be sold to canneries.

Financial Considerations

A farm assistance loan will be used to finance the farm along with significant owner equity. This will allow the farm to generate sufficient cash flow until it is able to start earning revenue. In year one, sales are expected to be enough to be profitable and to continue growing through year three.

1.1 Objectives

The objectives over the next three years for the Wilson Family Peach Farm are:

  • Profitability in the first year
  • You can also expand by purchasing 50 acres of additional land in the next year.
  • You can capitalize on the niche market of specialty and hybrid stone fruits.
  • To realize economies of scale, increase yield per annum

1.2 Mission

Wilson Family Peach Farm’s Mission Statement is to provide a retirement profession and supplemental income for Jared Wilson. The farm will also serve as a base of research for Dr. Wilson in the fields of nutrition and agriculture.

1.3 Keys to Success

The United States is a mature agricultural industry that experiences very little growth. This makes it very competitive. Wilsons will be focusing on the small market for hybrid and rare peaches and nectarines. They will also focus on quality to keep their supplier contracts with chain distributors and local produce vendors. To this end the Wilsons have identified the following key elements to success.

  • Utilize early harvest varieties of peaches, nectarines to become ‘#8220’ first to market
  • Focus on marketing of hybrids to local distributors.
  • Advocacy to reduce costs and analyze them aggressively
  • To improve quality, you should concentrate on the post-harvest care of your produce.

  • Market to high-end producers who can command higher prices.
  • You can capitalize on Dr. Jared Wilson’s close contact with the University of Georgia Agriculture Department faculty to implement new scientific methods for growing stone fruit.
  • Hydroponics Farm Business Plan


    Hydroponics Farm Business Plan



    Introduction

    FynbosFarm is a project that will focus on a successful businessman as well as the training and development of semi-skilled personnel in the instant turf and hydroponics markets. The goal of the project is to produce high-quality, high-turnover production from a small area while also providing leadership and work experience for local women.

    The company’s combination of cutting-edge, high-quality, efficient food technology, and production is what makes it unique. It is committed towards improving taste and nutritional value of vegetables. The company will provide training, experience, and research in hydroponics. It is supported by Mike Shelly, a well-respected grower. This project will be KZN-based. The vegetables will be supplied to national and international markets. Instant turf will also be available for the local market.


    Products

    The 4 main crops to be grown will be instant turf, long life tomatoes, cucumbers, and coloured peppers.

    • Tomatoes: 4ha in plastic will yield 2100 000 kgs annually
    • Cucumbers – 1ha under plastic, which will produce 205000 kgs per annum
    • Peppers: 1ha under plastic which will produce 250 000 kgs per year
    • Turf: 30ha of open.


    Financial considerations

    The company is seeking short-term, as well long-term funding in order to purchase a new farm. This will also help with development costs. This money will be used to cover startup expenses and losses in the first year. In year 2, the company should be able to turn a profit. The project is expected to begin production within 8 months from start of the first tunnel being erected.

    1.1 Objectives

    This project has the goal to establish an intensive farming operation that can produce high-quality products for the domestic and international markets all year.

    1.2 Mission

    FynbosFarm is a KZN-based company with a two-fold mission:

    • To produce delicious, nutritious and high-quality vegetables that can be used in local and international markets.
    • Local women who work on the farms will have opportunities to lead and be part of a highly productive team.

    The farm will organize the women into work groups. In addition to regular wages, each group will receive incentives on production and performances.

    1.3 Keys to Success

    • Utilizing greenhouses for efficient production.
    • There are no existing projects in the KZN region of this size.
    • Experience in the vegetable industry goes back to 1996.


    Feed and Farm Supply Business Plan


    Feed and Farm Supply Business Plan


    This plan, which is based upon 16 years of experience and is very focused, promises to lead to prosperity for both its owners and employees. The projections are based on conservative sales figures. Actual sales may be higher. These projections are accurate and will serve as the budget for your business. Latheethen Feeds, Inc. is expected to make a profit immediately and increase its sales each year.

    Latheethen Feeds, Inc., is a well-established custom food store. The company manufactures custom livestock feeds and bird feed, as well other animal products. Latheethen Feeds, Inc. just expanded its production facility (custom-mill) and is now well-positioned in order to market its workroom product beyond its current client base. The company strives to provide the best customer service and meet the agreed delivery dates. It also keeps the prices in line with current market trends. This business plan focuses on identifying future clients, explaining our marketing strategy, improving internal procedures, and obtaining the financing required to expand.

    Latheethen Feeds, Inc. is located in Pleasantville, Michigan. The company is a privately owned corporation and has been operating for nearly 16 years. The former owners, who live right next to the store, plan to move to Northern Michigan when this transaction is complete. However, since the current owners and new owners are in fact family, the current owners will be around if needed and to visit on a bi-weekly basis.

    The six counties surrounding Latheethen Feeds contain an estimated 14,695 livestock farms, and 20,434 hunters. However, the entire state is an open market once delivery to customers is an option. Latheethen&#8217’s would then have the opportunity to compete with 53,315 farmers for this business. USDA records indicate that the same farms spend nearly a quarter of an billion dollars each year on Michigan’s feed. The company has a less than 1% share in the nearby market. On an annual basis, the company has established $140,000 of the state total. They achieved this without the need for advertising and outside sales. The new owners are focused on growing the business to gain a greater share, $260,000 annually, of the state total.

    The marketing research and tailored marketing strategy described in this business plan will result in after-tax profits of $22,806 in Year 1 and increasing to nearly $30,000 in after-tax profits within three years, despite significant new advertising and renovation expenses.

    Latheethen needs funding to fund two phases of expansion in order to achieve its goals. A $15,000 short-term loan is needed, which must be repaid in two years. This loan will enable us to purchase a delivery truck, a key element of our new sales and marketing strategy. To build the best equine board stable in the region, we will require a $135,000 long-term loan. This loan is due to us in the first year of Year 2. The addition of “Mid-Town Meadows” will not only be another source of revenue, but also another source of feed sales. Mid-Town Meadows is a luxurious, comfortable equine resort that will make our customers feel like they are in their own private world. The theme and decor will have log exterior walls and a formal private clubhouse that overlooks the enclosed arena. You will find the feed store at the main entrance. It is next to a waterfall and company signs.

    1.1 Objectives

    The success of Latheethen Feeds is measured by five main objectives:

    1. With consistent customer service, maintain 100% of your customer base.
    2. Our customer base will be expanded through referrals and aggressive direct sales.
    3. Our product line will be expanded gradually, according to customer requests.
    4. To meet the increasing demand for our custom feed mill, we have expanded.
    5. Expand the types of services offered to our customers, as their desires are identified.

    1.2 Mission

    Latheethen Feeds was established in 1998 by a family.

    We offer the finest premium products and service on the market to our customers. Latheethen’s provides all our customers with the personalized attention they deserve. Our committment to customer service and satisfaction assures us that our customers are 100% satisfied with our products and services.

    1.3 Keys to Success

    The primary keys to the success of Latheethen Feeds are as follows:

    1. Product freshness and quality.
    2. You can choose from many prices.
    3. Constant research of industry to keep knowledgeable of market needs.
    4. Management: products delivered on-time, professional customer service, and managing budgets.
    5. Continuous evaluation of strengths & weaknesses, with adjustments where necessary.

    Agriculture Farm Business Plan


    Agriculture Farm Business Plan


    Opportunity

    Problem

    The health and nutritional industry is growing quickly. Customers want natural and plant-based alternatives to pharmaceuticals. They have come to see the body as a temple. They don’t want to pollute with chemicals. This industry requires botanical plants that can be processed and given to nurseries by “do-it yourselfers”.

    Solution

    Botanical Bounty is striving to be a major producer of botanical plant for the natural supplements industry and nurseries.

    Market

    Botanical Bounty works with three distinct clients: supplement companies; processors of botanicals to supplement companies; and nurseries that resell these plants.

    The plants are then sold to the customers who purchased them for their products.

    Natural supplements are a very exciting market. Surveys have shown that over 158million Americans use dietary supplements, which is more than 55%. An estimated 115.3 Million Americans purchase vitamins and minerals to supplement their diets. 55.8 Million buy them for family members, including their children. A majority of Americans use herbs, according to consumer surveys. This is especially remarkable considering that the herbal products industry has been around for less than a quarter century.

    Competiton

    Competition takes two forms, farms similar in size and production capacity to Botanical Bounty and megafarms. From 5 to 30 acres, the farms of similar size range in their size. You can grow as few as one herb or as many as 50. The choice in plants that are grown depends on the preference of the owner as well the ability of the local climate to support them.

    Why Us?

    Botanical Bounty strives to be the best provider of botanical perennials in the health/vitamins sector. By providing quality plants at fair rates and exceeding customers’ expectations, Botanical Bounty will accomplish this.

    Expectations

    Forecast

    We will need to invest $35,000 in new equipment to finance our growth. We are seeking a $100,000 10-year mortgage to help us achieve this goal. The sales forecasts predict that $190,000.00 will be generated in year 2 and more than 400,000 in year 4.

    Financial Highlights by Year

    Financing Needed

    We need to have a $100,000 10 year loan. Our $35,000 cash reserves from current operations will be used.