TOILET ROLLS PRODUCTION IN NIGERIA THE BUSINESS PLAN

The nations annual toilet roll requirement as been estimated at 105 million units out of which local production can only meet about 800 million units. The short fall in supply translate to a market gap estimated at about three hundred and seventy five million (N 375,000,000) annually in revenue and an investment opportunity for savvy investors to exploit.

Drinking Straw Production

The lucrativeness of this business is that above measurement as it’s a product that has only one time application/usage- that is drinking straw is a product that is used once, no one uses a particular straw twice neither do two individuals share a straw thus it’s a USE AND DEMAND PRODUCT (UDP) making demand high. Okay! I believe you’ve got it for am not here to neither lecture nor disturb you with this bulky details rather am here rather for you to understand and profit from this business so please read on………………………

LIQUID SOAP PRODUCTION

Learn how to make money producing liquid soap, the market for liquid soap is growing and is still growing and location is not a detriment to its highly demand as there are individuals, households, churches, schools, laundry, hospitals around to patronize your products. So in the end you will learn all you need and will be able to produce good quality liquid soaps. \

Make Money From Custard Production Business

CUSTARD PRODUCTION FOR MONEY A business that will always spin money into the bags of the producer/ manufacturer is the food production business as man can never skip through a 24hours interval without food. One of such production business that is sure to ensure financial availability to the producer is the custard production business.

How to Create an App and Start Earning Money in 7 days

Yes it’s a new year, new privilege, privilege to start up a business, privilege to maintain the already started business and also a privilege to still expand your business borders. As a new year, you might as well consider the best business opportunity for the year 2013- “success” they say is doing the right thing, at the right time, at the right place with the right people.

Showing posts with label BUSINESS PLAN. Show all posts
Showing posts with label BUSINESS PLAN. Show all posts

Sunday, 18 January 2015

How To Run A Mini Cement Depot And Earn Hugely

www.abodebusinessonline.com
 One of the best and easiest business in Nigeria is cement supply and building material business, with no qualification needed anyone could start/venture into this business and assured of making huge profits. for long have been the question and the search for clues and information on how to start  cement business in Nigeria without finding any substantial details due to one reason or another.
 In simplification, i will in this article therefore provide you with all the information in details based on research, how to start up and earn from cement  cement business anywhere in Nigeria without wasting any of your time.

let us first consider, before going into the details this business entails, the potential and advantages and likewisely the profit margin in this business.

A bag of Dangote cement from the factory goes for N1,000 with the minimum buy of one trailer load (600 50kg bags) quantity that cost N600,000 only. If you supply the six hundred bags at the retail price of N1600, you will be making profit of 600 x 600 = N360,000 from the single one trailer trip. When you subtract the cost of transportation, your take home becomes N300,000 per trip

If you decide to sell wholesale at the cost of N1,350 to retailers, your profit would be N350 x 600bags = N210,000 from a single trip. When you subtract the cost of transportation, you will be left with N150,000 per trip.

Now tell me - N150,000 to N300,000 gain per trip from investment of N600,000 without complex logistic and workforce, is it a good or bad deal? Write your answer as comment below and let's know how you feel about this. But in my own opinion, I believe it's a very good business.

If you supply 10 Trailers within any period of time, you are going to be smiling home with N1.5m to N3million depending on the method of supply.


HOW THEN WILL ONE MAKE MONEY
Like I said before, it's one sure business that everything in it almost seem guaranteed and I can assure you that people who are already doing it are making good money.

continues after the cut...........................


please drop a comment or your questions below. 

Monday, 5 January 2015

Start With Little And Earn Real Big Producing Radiator Colorant.



 since the invention of the motor automobile the world in general experienced a drastic change both in the positive and negative direction- in the positive direction is the like of employment, easy transportation and mobility but still this automobiles still possess so much difficulties in its maintenance thus creating a lucrative opportunities for you and i.
i know what you might be thinking but hey far from that as its not the case here, every body must not be a mechanic or of in a profession inclined to automobile. am talking about making huge profit producing Radiator coolant. yes you heard me- radiator coolant, having an automobile or haven seen and know how it works you would solemnly affirm thus that the radiator plays a vital role in an automobile engine, and as it works is neglect able also does it posses unlimited threat if not properly maintained and of such threat is over heating which directly leads to the knock of engines. in prevention therefore coolant are introduced into radiators.radiators coolant acts as- Anti-freeze, coolant etc.

read also : Toilet Roll Production
               : sanitizer production business
               :chocolate production business

               : serviette production business

Help me calculate the actual number of automobiles( of any kind) in your neighborhood, village, city and state( if you actually can count them) not to mention the country. then this show how profitable and lucrative it is to venture into this business of radiator coolant is  for investors willing to start producing and selling of this product even as a student, employer, employee or as a joob seeker alike. learn how to produce radiator coolant (even if just in your free time) and make huge profit.
all chemicals and process of production, where to source for the, how to package them and how to sell them and more shall be provided for you from abode business but on your call. remember minutes passed which you cant get back, don't let those minutes that passed be in vain. make the best of it for if your ready we will provide all the required information on the said business in an ebook format. to get this ebook please call 08168710034 or email @ [email protected]


with that aside please accept my thanks, and please don't just go like trhat do leave a comment as they are highly welcomed.

Saturday, 17 May 2014

Small Business Owners: Low Cost Marketing Strategies to Increase Profits

Have you ever wondered if you could think of a marketing idea that can propel your business to sky. Like, Wendy's commercial in the 1980's 'Where's the beef', Coke ad about it being the 'The Real Thing' and Nike selling tennis shoes by spreading the word of 'Just Do It'. How ingenuous of those companies.
When people think of marketing they tend to think of advertising which can be expensive, ineffective image-based advertising. There are many ways to position yourself as an expert and build a personal connection to attract new clients, customers and patients.
Effective marketing is not cheap; however, there are strategies you can implement for little or no cost. Low cost strategy is a pricing strategy in which a company offers a relatively low price to stimulate demand and gain market share (increase the number of customers), it is usually employed where the product has few or no competitive advantage. This leaves many small business owners wondering how can I compete, with razor thin margins.
Ideally, a small business owner should spend around 35 - 50% of their time marketing their product. Below is a list of 10 low cost strategies that can help you improve your profits.
1- Join your areas Chamber of Commerce and participate in community service events. Get involved in your community by volunteering, donating to and/or sponsor local events. It gives you the opportunity to network with other business owners and maybe cross promote with other local. These monthly meetings let you know what going on economically in your area.
2- Social Media: the ability to provide information about your products all over the web.
  • Share what you do and what merchants you love. Completed a new project, offering a new product, and have a customer testimonial.
  • Write about it on twitter, website, Facebook, LinkedIn or on a industry blog. Photos and videos helps others to understand who you are, what you do and how it can help them solve a problem.
3- Tell your story in 90 seconds.
  • a. Develop an elevator pitch story to inform others about your business. Your story should contain the following elements.
  1. Who you are
  2. What you do
  3. Why your different from your competitors
  4. Why should they care about your products or service (what's in it for them)
  • Does your message create an emotional response from your target audience demographics. Hint, use plain English in creating your message
Example: We help to make your life easier by (explain your product or service).
Note: People are unlikely to want to use your product unless they understand what it does and how it helps them. Using simple language is the best way to get them there.
  • Selecting a business name that sells for your business doesn't cost a penny. Your name should tell prospective customers exactly what you do and why they should do business with you.
Remember, the product that you are offering serves a need or satisfies a want. Use customer testimonials to persuade your customers to purchase from you. Ask for them from satisfied customers and use them, make sure they are genuine and go into a little detail with real names.
4- Develop a simple marketing plan for your business
  • There are (4) secrets to marketing commitment, investment, communicate, consistency. It's difficult to maintain all (4) four without some basic plan.
  • It could consist of ordering business cards, attending networking opportunities, book speaking engagements and submit press releases about your product offerings.
  • Create an email signature, with web links to your business website and twitter link. Also, include your company name, most current achievement, telephone number and email address and tag line if your company has one.
5- Put together a list of previous customers and send them new information and promotional offers to reactivate some of them.
  • Reward loyal customers with discounts. It will keep them coming back and help generate referrals. Good referrals from satisfied customers is often more effective than expensive advertising.
  • Use social media, to offer SMS marketing (texting) to provide existing customers with new information about 'must have' discounted or liquidating items.
Improve Customer Service
Customer Service is a form of advertising. You're advertising that you care, that gets noticed
Use your vehicle
Vehicle Graphics are seen by thousands of people each day. Turn your vehicle into a mobile billboard.
6- Offer free public seminars or workshops to general public to come and find out how you can solve a problem for them and show them how approachable and helpful you are.
  • Expensive and exposure does not necessarily translate to increased sales
Rule of Thumb:
Your target customers need to hear your marketing messages at least 7 times to influence buying decisions. Example, you can craft your message a public service radio announcement to get it played for free on the radio stations and small internet radio stations
Get a Piggy Back
Hitching a ride on the marketing of another company can save your small business time and money.
Example: Locating near a Wal-Mart to be near price conscious consumers on a low budget
Low attendance at seminars, charge $5 bucks
Always charge a fee for all you marketing events. Fee-paid seminars and workshops almost always generate more participants than free events. The fee implies (2) things (1) there's something of value and the get more than what they will pay for, (2) it shows customer commitment to show up
7- Stimulate Customer Senses
  • The more comfortable we keep our customers, the longer they'll stay, the more memorable experience they'll have and the more they'll spend or pass on positive word-of-mouth.
Example:
Do you think the smell of fresh baking bread flowing throughout the grocery store or music is playing by choice? (duh)
Retail businesses have been going out of their way for years to stimulate shoppers and keep them browsing scented bathroom spray works better than disinfectant.
Did you know that Disney, which is known for its films, animation and theme parks, is very well known for its cleanliness, order and friendliness from employees.
8- Make Yourself Newsworthy
  • Get a mention of your company in the right media
  1. For doing a good deed in the community or a humorous tie-in with a sports event
  2. Develop a relationship with your industry trade publications (magazines) they are always looking for 'free relevant content', write and article for them. It can help you to appear as an 'expert' to others in your industry.
9- Form a joint venture
  • Forging an alliance with a group of small companies or big company, give you 'biggest bang for the buck'. Lowering your costs to enter new markets and create new distribution opportunities.
  • Make offers to other businesses that serve people in your target markets to pay them for referrals or sharing their list with you
  • Support Fundraisers
  1. Donating your products or services to select charitable events is a great way to get your name out into the community. Be sure your target market will be attending and that your brand will be well represented.
10- Under Your Nose
  • Are your vendors doing business with you? No, call them and everyone you do business with. If your product is not a current match to there needs, he or she probably knows someone who should be doing business with you. At minimum, ask to display your business cards and flyers at their office. Oops, I forgot, take a moment and make sure people in your immediate personal circle understand what you are selling.
Get out and walk
1. Look for underutilized store front windows in high foot traffic areas. Approach the owner and offer to pay a small fee to advertise your business in their window or reverse it, and do the some for a fellow business owner.
2. Scan your friends social media sites Facebook, Pinterest, etc. Ask them to send out a advertisement on the friends page about your business. Ask a friend if you can place an ad on his business website.
Marketing can be really creative and fun to implement to get the message out about how great your product is and how it will help other people lives to be better.
It can take a lifetime to build a business reputation, but 20 seconds to tear it down with the wrong message in your marketing campaign or an employee doing that reflects badly on your business. You, small business owner are the 'gatekeeper' of the image of the company you are trying to build. Monitor all communications that is released to the press about your business, you and someone else review all media coverage and commercials about your business image, to make sure it is consistent with what your business is all about. Most importantly, be honest in all communications, dishonesty can boomerang on you in a nightmarish way.
Finally, marketing is about making the customer aware of your product and building a trusting relationship with the customer, and hopefully grow with the customer needs, as they expand.
Easy profits in your pocket!
Vinson Primas is a certified business and life coach at http://www.nomopofolks.com/small-business. He writes small business blogs to help small business owners make money

Saturday, 29 June 2013

B Plan. An Example of Business Plan



B Plan. An Example of Business Plan

A business plan, formal statement of a set of business goals, the reasons they are believed attainable, and the plan for reaching those goals. It may also contain background information about the organization or team attempting to reach those goals.



Business plans may also target changes in perception and branding by the customer, client, taxpayer, or larger community. When the existing business is to assume a major change or when planning a new venture, a 3 to 5 year business plan is required, since investors will look for their annual return in that time frame.(From Wikipedia).
  In previous post on business plan we discussed the steps on writing a business plan. Here in this article i will be revealing the total breakdown with examples of a business plan model you can use to write a perfect business plan.

                how to create a professional blog
                formula to success in business
                 why this is the ideal time to start a business
  1. Cover page- this entails principles of the business, name and address
  2. Table of contents- topic covered in your plan.
  3. Executive summary - this is the listing all goals, highlights. Include background about your company, market opportunity, capital requirements, a mission statement an overview of management, competitors, your business competitor’s advantages and summary of your financial projectors over the next three years. (3-4 pages).
  4. Company overview- information about your business, why and when it was formed, its mission’s business models, strategies and existing strategic relationships. Intellectual property you own, costs associated with location, the legal structure of your company, managements, personal and how you address accounting, legal insurance and security matters.
  5. Business offering- why you’re in business and why you’re selling if its products. State if you’re the manufacturing distributor or retailer, tell about your manufacturing process, availability of raw materials how you handle inventory and fulfillment. If service. Describe those services; make sure to address any new product line or service you expect to enter into in the future. Marketing plan and analysis- spell out your market strategies addressing details of your market analysis, sales customer’s services advertising and public resources.
Using the above method you can write a compelling business plan for your business, for further inquires or questions or in need for
Abode Business to help you write a b plan email us @ [email protected].
please drop your comments and questions below via comment box.



Friday, 28 June 2013

Strategic Planning And Management.



strategic planning and management.



Systematic process of envisioning a desired future, and translating this vision into broadly defined goals or objectives and a sequence of steps to achieve them. In contrast to long-term planning (which begins with the current status and lays down a path to meet estimated future needs), strategic planning begins with the desired-end and works backward to the current status. At every stage of long-range planning the planner asks, "What must be done here to reach the next (higher) stage?" At every stage of strategic-planning the planner asks, "What must be done at the previous (lower) stage to reach here?" Also, in contrast to tactical planning (which focuses at achieving narrowly defined interim objectives with predetermined means)
Strategic planning is an organization's process of defining its strategy, or direction, and making decisions on allocating its resources to pursue this strategy. In order to determine the direction of the organization, it is necessary to understand its current position and the possible avenues through which it can pursue a particular course of action. Generally, strategic planning deals with at least one of three key questions:
  1. "What do we do?"
  2. "For whom do we do it?"
  3. "How do we excel?"
In many organizations, this is viewed as a process for determining where an organization is going over the next year or—more typically—3 to 5 years (long term), although some extend their vision to 20 years

MANAGEMENTS
Strategic management is the comprehensive collection of ongoing activities and processes that organizations use to systematically coordinate and align resources and actions with mission, vision and strategy throughout an organization. Strategic management activities transform the static plan into a system that provides strategic performance feedback to decision making and enables the plan to evolve and grow as requirements and other circumstances change.

STEPS TO STRATEGIES PLANNING AND MANAGEMENT -->
  1. analysis or assessment, where an understanding of the current internal and external environments is developed,
  2.   strategy formulation, where high level strategy is developed and a basic organization level strategic plan is documented 
  3.  strategy execution, where the high level plan is translated into more operational planning and action items, and 
  4.  evaluation or sustainment / management phase, where ongoing refinement and evaluation of performance, culture, communications, data reporting, and other strategic management issues occurs.
 BENEFITS OF GOOD STRATEGIC PLANNING AND MANAGEMENTS
  1. Better Decisions - Information communicated through vision and strategy allows people to make the best decisions
  2. Increased Energy – Resulting from rallying behind a cause, and elimination of conflict and confusion of priorities.
  3. Increased Capacity – People are focused on what is important and less concerned about what isn’t.
  4. Improved Customer Satisfaction – A true test of value and leads to higher retention and growth.
  5. Competitive Advantage – Doing what you do better than others.
  6. Better Solutions – Uncovering the enormous intellectual and creative capacity of an organization that collectively works toward solutions rather than a relying on select few.
  7. Market Recognition – Over time you can “own” a position and space in the marketplace.
read also:  affiliate marketing
                 business to business









Thursday, 6 June 2013

IF YOU CAN THINK ENOUGH the winning wisdom


IF YOU CAN THINK ENOUGH the winning wisdom

If you can think enough what you have is enough. No matter how terrible your situation is, come and let’s reason together www.abodebusinessonline.com.
What does reasoning guarantee? It guarantees a rising friend, reasoning makes rich. Out of the mind are the issues of life, imagine that!
 
Your contact with him is contact with the depth of the riches of wisdom and knowledge. You need to sit down and consciously rub minds with him. He is the authentic source of mental powers. There is a vital secret for impact which once contacted will set an individual up for a life of perpetual impact, that vital secret is vision.

To be ahead is to see ahead, you cannot go faster than you can see. The brighter you see the faster you go. Only men with vision become distinguished in life. Make a choice. To discover where you belong is an act of will, you choose what to do. Many people have left their future blank, they are not expecting anything so they get there to find nothing.

 The mental picture you paint concerning your future will set the pace for what you experience, so, what do you see in your future?
 The easiest way to paralyze a vision is to be dreamless because a dream is what drives a vision; it is what gives motion to vision. Friend, we live in a dreamer’s world. If you do not have a dream, you are doomed. A dream establishes your expected end. Every turn around begins with a dream. Once you have a dream, it marks a turning point in life for you. There is no mountain anywhere; everyman’s ignorance is his mountain until you see it he cannot give it to you. 

It’s your mental picture that determines your actual future. When you are wise and divinely directed, a sense of purpose comes upon which induces inner strength and makes you unstoppable in your journey to the top. Every star in life is as a result of insights inside of a man. Supernatural intelligence therefore calls for extreme attention. Every tower builder is a tower thinker. Your imagination sets the pace for your

Wednesday, 5 June 2013

DREAMERS ARE HERO


this is a blog post for my sister blog extreme ideas, i posted the article today but due to its importance though as considered by me i decided to share it here also with you. please read through and tell me what you think via the comment box.

DREAMERS ARE HERO

The most dangerous man upon the face of the earth is the one who has discovered his dreams, his achievement cannot be limited. The day a man discover his dreams is the day he begins his journey into great life.
Until you discover your dream, you remain another man’s puppet. You cannot make anything happen, you cannot cause an effect and you cannot be successful.  If you have found your dream, don’t let anybody steal your dream. Don’t let them do it. Great Spirit is always faced with violent opposition from mediocre minds. You must fight for your dreams.
 Every great invention, every great achievement, was the result of big dreams, and some people probably laughed at that dreams, but the person did it anyway.
Every dreamer had a lots of people who laughed at them, trying to discourage them. They laughed at Thomas Edison and called him crazy when he talked about his dream of creating a bulb of light that was not a candle. They laughed at Alexander Graham Bell and called him crazy when he talked about a machine that could talk through to other people in other places. The laughed at Christopher Columbus and called him crazy when he said the world was not flat but was round. And he was willing to fall off the edge to prove it. They laughed at the Wright Brothers and called them crazy when they said they would create a flying machine.
The laughed at Martin Luther King Jr. and called him crazy when he talked about having civil rights demonstrations that were nonviolent. If the things you wish to do is right and you believe in it, go ahead and do it! Put your dreams across, and never mind what they say.
 The greatest achievements were once considered impossible. Everyone who has done incredible   things always went after the impossible.
Helen Killer became deaf, dumb, and blind shortly after birth despite her greatest misfortune, she has written her name indelibly in the pages of history of great. Her entire life has served as evidence that no one is ever defeated until defeats has been accepted as a reality. Dreamers are Heroes their names will last long as time endures because they dreamed and translated their dreams into reality.
The grave yards are full of great men and women who never become great because they did not give their dreams a chance. Each of us comes into the world pregnant with unlimited possibilities. Please reason with me deep within you lies a seed of impact waiting to be exposed. If you die now which inevitable, the only testimony would be “rest in peace” and I wonder – how can you rest in peace if you die with all your unexposed talent inside you.
Dream high, there is no limitation to what you can achieve. Dream deep, your best still lies underground waiting to be revealed. Dream big, nothing is too big to be true.
Over to you add your thoughts below, tell us what we missed and what you think about the post.

YOU CAN START WHERE YOU ARE, RIGHT NOW!


YOU CAN START WHERE YOU ARE, RIGHT NOW!

Are you still stumbling toward an uncertain future?

It’s possible to believe all human minds has ever accomplished is but for the first time the dreams before the awakening. Most people spend more time planning their vacation than they spend more time planning their own lives. By failing to plan you are planning to fail. Because if people don’t plan their own lives events and circumstance will overtake them and orchestrate their live in many number of unimportant directions.

 Now is the time for you to take command and plan where you want your life to go. Grab hold of the power that lies within you. Once you choose to unleash this mighty force within you,  you’ll become a vital powerhouse in creating physical, mental, spiritual, emotional, and financial abundance beyond your wildest  fantasies. The men who build the future are those who know that greater things are yet to come and they themselves will bring them about. Their minds are illumined by blazing sun of hope.

They never stop to doubt. They haven’t the time. Go from looking at what you can see to believing what you can have. It is difficult to say what’s impossible, for the dream of yesterday is the hope of today and the reality of tomorrow. Study while others are sleeping, work while others are loafing: prepare while others are playing and dream while others are wishing.

 BE BOLD AND COURAGEOUS.

Friday, 26 April 2013

BUSINESS PLAN. BEST to write an effective business plan.


BUSINESS PLAN. BEST  to write an effective business plan.

A business plan is essential to have in place before you seek to start up any business, no matter what else you've done by way of preparation. In today's world, businesses is more complex and more variable than it was 100 years ago. There are changing markets, high costs, low profit margins, different ways to raise profits, and niche markets.
The type of business plan you make is up to you, but the following step-by-step process of making a proper business plan will help you in the long run.
Edit Steps
  1. 1
Find some paper, a pencil, or a computer with Microsoft Word, One-Note or a similar text program. This will enable you to write or type down everything that comes to your mind, including the goals and aspirations you have for starting up a livestock operation.
  1. 2     ANIMAL FARMING FOR INSTANCE
Start brainstorming. You don't have to make a fancy, scholarly-essay out of it, nor does proper grammar, spelling or writing skills matter here. Making bullet points of what you want to do, how you want to do it, and what you're willing to do to get there is the best way to start.
    • You should be mainly brainstorming about your goals and objectives. It's much more effective to run any business when you have a goal in mind to reach rather than having vague ideas of "wanting to do something with animals". That's simply not enough, and is certainly not going to get you anywhere fast!
    • As you consider your goals, remember that strategy is not the same as marketing. The strategy for your business is how you plan to deliver value to your customers (your "value proposition"), how you intend to you convince potential customers to obtain that value from you by communicating your distinctiveness as a producer (or, what makes you different from other farms or ranches), and why you can deliver that value better than other producers (your performance anatomy). Your marketing plan should explain how you intend to communicate your strategy to your existing and potential customers.
  1. 3
Do a SWOT analysis. SWOT is a popular acronym used in businesses and economics that stands for Strengths, Weaknesses, Opportunities, and Threats. Strengths and Weaknesses are the internal or controllable characteristics of a business. Opportunities and Threats are external characteristics that are out of your, your business or an industry's control. To do a SWOT analysis, make a table with four columns, with the titles being: Strengths, Weaknesses, Opportunities and Threats. Place these titles at the head of each column. Or, if you think it's going to be too tedious and inconvenient to use a table, then you can also use a separate page for every factor.
    • Such an analysis is very simple and flexible to use, since you can use it to analyze your personal self, your business, or the industry you are wishing to start a career in.
    • These four planning strategy factors should describe everything about you, from showing what you can and can't do, what you may need assistance with from more professional and knowledgeable people, what you're willing to learn, what troubles and issues you may face in your farming venture, and what chances may enable you to both succeed and become profitable.
      • Remember that there are two forces that will affect you and you will need to analyze:
        • Internal forces that you have control over such as what breeds you choose, whether you want to run an intensive or extensive operation, how you feed your animals, etc.
        • External forces that you have no control over such as the weather, the topography and soil-type of the land you are farming/ranching on, local, national and international industry issues, market prices, product demand and consumer preferences.
    • Do an internal SWOT analysis of you and your operation. Ask yourself what your good at and what needs improvement, what you can do to improve and what things may make you reconsider doing any sort of farming. This will also include the consideration of getting help from people who are more experienced than you in certain areas of your plan and your pool of knowledge. Help can range from advice from a veterinarian, an accountant that has experience in doing financial assessments of farming operations, a farm building inspector, a breeder that has been in the business you are interested in for over 20 years, etc.
      • Also analyze your farm, the land your farm sits on and your family. Ask similar questions as mentioned above, only with your family you will need to ask about times you should have to spend with them, what will happen if you put your farming operation before your family, what you can do to encourage and teach your kids to be involved in your operation, etc.
    • Do an external SWOT analysis of the type of livestock industry you plan on getting into, whether it's bovine (beef or dairy), equine, porcine, poultry, caprine/ovine, or even exotics (such as bison, elk or emu). It is highly recommended to do your research in order to complete a thorough SWOT analysis of the type of industry you are interested in. Look at everything from national industry news from well-known and local agricultural newspapers and magazines, to visiting trusted websites. For example, if you are wanting to get into the Canadian cattle business, have a look at the Canadian Cattlemen's Association webpage at CCA.org. You will find plenty of information on national industry news and concerns. Western Producer (for the provinces of Alberta, British Columbia, Saskatchewan and Manitoba) is also a great newspaper to look through for various industry news and updates.
      • The more research about what you're getting into that you do at this stage, the more aware you will be of what to expect when surprises do come. When you finally get started on your business plan, you'll be far more aware of the pitfalls, challenges, needs and requirements it takes to be involved and compete in the kind of livestock/farming operation you want to have.
  1. 4
In a separate table, write four columns starting with "Where am I at now," "Where do I want to be," "How do I get there" and "How do I know I have arrived". Again, brainstorm your way through this. If you only come up with one or two points, that's fine, but to break down these four questions further to help you answer them, here are some points to consider when answering these questions:
    • Where am I at now? Include a SWOT analysis (see earlier step), for these areas: customers, operations, human resources, and finance. If you don't have a business, a SWOT analysis as mentioned in the previous step is totally fine.
    • Where do I want to be? This is the question where you establish all your goals and objectives that you wish to achieve within the next 3 to 5 years. Include everything such as financing, marketing, herd health, breeding, birthing, weaning, culling, selling, pasture management, feed management, costs analysis, etc.
      • This question is also good to address your personal, family and business goals. When doing family goals, have each of your family member write out goals for themselves, not discussing anything when writing them out, but discussing them after they have been written out.
        • Personal goals include things like working fewer hours, furthering your education in areas like different commodity markets or accounting and production programs, etc.
        • Business goals are focused mainly on the farm unit as a business entity; examples include maximum debt load to carry, possibly owning or controlling x number acres, etc.
    • How do I get there? This is the most important part of your business plan, because this is the area where you put on paper how you want to get the things you want for a better you, family and business. Brainstorming is great tool to use in this section, as you can always have a Plan B, C, D, etc., in addition to your Plan A.
    • How do I know I have arrived? If you visualize your business plan as a journey, it is not difficult to understand that you will need to measure your progress along the way and determine if you are moving towards your goals, spinning your wheels or rolling backwards. This is done by defining, collecting and reviewing metrics, measurements and Key Performance Indicators on a regular basis in order to validate your plan and decisions, direct your future activities, justify any modifications to the plan and intervene when things are not happening according to the plan. All your goals should be measurable. Metrics and measurements will give you the answer to this important question.
  1. 5
On a different file (if you're typing on a computer) or a different piece of paper/page, start writing out your Business Plan. Create the Business Plan by making three main plans: Strategic Plan, Operating Plan, and a Succession Plan:
    • Strategic Plan. This is where you tie in all your brainstorming thoughts, ideas, objectives and goals together from steps 2 to 4. Basically, the kind of business plan you would see other firms develop is the following:
      • Vision Statement: A statement of what you or your farm will look like in the next 5 to 10 years.
      • Mission: This determines or defines the purpose the organization attempts to perform in society. This statement should concisely explain what the company does, for whom and why.
      • Values: These are general standards or guidelines that are important to your farm and farm family.
      • Situational Analysis: This is the process of identifying and understanding how your business is positioned within the environment you operate, both internal and external. Step 3 is what this part of the strategic plan is all about.
      • Goals: What are the major achievements you would like to accomplish in the next 3 to 5 years?
      • Objectives: How do you plan on achieving your goals?
      • Critical Success Factors: Areas of performance critical to long-term successes of an organization, and its development, growth and achievement. For each CSF you should define one or more Key Performance Indicators (KPIs), which are metrics you will use to determine if you are achieving your CSFs. CSFs are expressed as general statements of goals ("Maintain customer satisfaction.") while KPIs are more specific ("Decrease in number of product packaging complaints.")
      • Plan of Action: Strategies and actions that are implemented to meet the targeted objectives.
        • In a nutshell, you don't have to go through the headache of answering all of the questions posted above. Instead, use the three simple questions above in Step 4 as a means to answer all 8 of these standard business-plan questions.
    • Operating Plan. This is the plan where you outline the day-to-day activities of the business including what gets done, how it's done, who does it and when it's done. This plan is generally shorter term and usually revolves around a production cycle. There are four sub-plans that are important to this plan: Production plan, Marketing plan, Financial plan, and Human Resources plan:
      • Production Plan: What will be grown or processed to be sold? For livestock producers this includes two main components: Animals, and Cropping systems. With the animals, this is where you lay out things like breeding, culling, weaning, care of newborn animals, herd health, etc. The second includes number of acres and type of commodity to be grown to support the herd (hay, silage, green feed, pasture, grain, etc.). Identify all types of enterprises on your farm.
        • Production resources are also important to mention: Land base, Equipment base, and Buildings and Structures.
      • Marketing Plan: Where and how will you sell your commodities? Remember, selling is just getting rid of what you have. When you market, you have to plan to sell commodities at a good price.
      • Financial Plan: This includes budget analysis, revenues and expenses, debt, unpaid labour, opportunity costs, benchmark analysis of yourself from other operations, statements of cash flow, depreciation of machinery, animals, buildings, etc., wages, family living costs, etc.
      • Human Resources plan: Most farms rely on one worker (i.e., the owner) to run the operation. But, nonetheless, human resource plans should highlight hiring issues facing the business and how to address them. It should further describe the kind of people that are required to operate the business (general responsibilities, title, skills, availability and any training programs needed.)
      • Quality plan: Quality control is the ability to define what you will produce and the desired quality you must achieve in your products, establish the processes required to do so, continually check your product against quality parameters, recognize when you have not delivered the desired quality and have the means to improve your process activities to correct the issue and return your product to the desired quality. There are many quality frameworks and methodologies, but one of the simplest is Dr. W. Edward Deming's Continuous Quality Improvement cycle. It has four steps, which are repeated continuously to gradually improve quality and process maturity over time.
        • Plan: Establish the objectives for whatever it is you intend to do, the processes necessary achieve those objectives and the metrics and measurements required to control the processes and prove that the objectives are being achieved.
        • Do: Execute the plan and collect metrics and measurements along the way as defined in the previous phase.
        • Check: Review the results, metrics and measurements and determine if any improvements can and should be made to the plan.
        • Act: Implement the improvements so the next time the process is executed the results will be better.
    • Succession Planning. This can be the hardest part of a business plan, as one has to plan what should happen if the main operator is injured or worse, dies. Succession planning includes developing a continuity plan for your business and determining the process of transitioning a business to new owners. This transition may be an outside sale (equipment and land auction sale), or an inheritance sale (passing the business down to the next generation).
  1. 6
Identify the type of farm ownership. There are seven main types of ownership: Proprietorship, General Partnership, Limited Partnership, Co-ownership, Joint Venture, Corporation, or Trust. These are outlined briefly next:
    • Proprietorship: This is the simplest form of business organization. It primarily involves one person running the whole she-bang. Debts and negligent acts committed by employees are the responsibility of the proprietor. But, all the legal complications and expenses and negotiations for agreements are not required, nor is a business name required.
    • General Partnership: This means two or three people running an operation. With more than one person running a farm, this means that the business must have a registered name, and each partner is responsible for all debts, obligations and liabilities of the operation. This partnership automatically dissolves with a death, bankruptcy, or insolvency.
    • Limited Partnership: This is basically one person is responsible for everything in the firm, whereas the other is only there to supply capital, nothing more or less. A limited partner has no active part in the goings-on of an operation, but he may inspect the books of the firm and advise management.
    • Co-ownership: This is where two or more persons own property jointly.
    • Joint Venture: This is commonly used in farming, where there is a joint partnership between parties, and is created in order to conduct a specific or limited commercial venture without creating a partnership. This is commonly a temporary arrangement between two parties.
    • Corporations: These are legal entities where shareholders own the corporation through the ownership of shares. It is a separate legal entity, distinct from its shareholders. The individual shareholder's liability is limited to that person's investments in the corporation, unless the shareholder has personally guaranteed the obligations of the corporation. A corporation can provide very flexible framework in terms of succession to the next generation. The owner may also give employees shares in the growth and profit of the operation without giving up management rights of a partner.
    • Trust: This is a relationship where legal ownership of the property is separated from beneficial ownership of the property.
  1. 7
Tie it all together. Don't be afraid to make changes to your plan. A business plan is not some rigid rule-setting standard that must be set in stone. Rather, it is a paper that can be changed as the business grows and as new ideas and new issues arise. Usually a business plan should be reviewed at least once a month to once a year to look at what was written and what changes should be made.
  • A business plan is good to have when signing on for a loan at the bank. They will be more interested in the financial portion of your business plan, because they need to see how it will affect them in terms of what they can get out of it in terms of money.
  • Ask for help when writing a business plan. Get a professional business analyst or someone similar with lots of experience analyzing and writing up such plans so they can help you if and when you are stuck on a particular section.
  • Put everything in writing. Nothing's worse than not writing something down and suddenly forgetting it. Also, have a separate file folder for thus business plan so you know where it is and where you can access it in the future. If you have it on the computer, save it on a hard drive or a data stick so if your computer crashes on you and you can't get your work back up, you have it saved on a separate disk.
  • No business plan is set in stone. You must remember to have it on hand so you can dig it out and change any part of your plan if something unseen has come up.
    • Every good business has to change and reanalyze their business plan every year or even twice a year. For new business owners and those starting up, they will often have to look at their business plan much more frequently than one that is already well established.
Warnings
  • Don't go in over your head and attempt to write out a business plan in one sitting. It may take a week or more before you get it all done, so take your time. Indeed, many established businesses started by spending six months or more preparing business plans; rushing will simply harm your business in the long run.
  • Don't think that you won't have to look at your business plan ever again for the rest of the time you are running your operation. You should always try to analyze what yourself and your business at least once a year to know where you are struggling and where you are doing great.
Things You'll Need
  • Computer text program or paper/notepad and pens
  • Printer if you want hard copies of computer documents
  • Research tools such as the internet, local library, libraries of agricultural bodies, etc.
  • Phone numbers of people in the industry that you're interested in so that you can ask any important questions
  • Books or websites on making business plans (but don't over-complicate things)
  • Books on information about certain livestock interested in raising
  • Newspapers and magazines of industry news and events in your area or the area you are interested in pursuing your farming career

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