Beruflich Dokumente
Kultur Dokumente
UNIVERSITY
FACULTY OF ENGINEERING
DEPARTMENT OF MECHANICAL AND PRODUCTION
ENTREPRENEURSHIP SKILLS
BUSINESS PLAN PRESENTED BY;
1. AKATWIJUKA OSBERT
15/U/200/EMD/GV
2. RUTAREMWA ALEXANDER 15/U/7243/EMD/PD
3. NSEMERIRWE JOHN
15/U/209/EMD/GV
4. SSEKIWERE GEOFREY
15/U/211/EMD/GV
5. KISEKKA DICKSON
6. KULUBYA MARTIN
15/U/7267/EME/PE
7. MWIRUGAZU JOSEPH
8. GYAGENDA YOWERI
9. WAMALA ANDREW JUNIOR
10.SEKIDE HOOD
TABLE OF CONTENTS
EXECUTIVE SUMMARY................................................................................................. 5
1.1 Business Overview............................................................................................ 5
1.2 Financial Overview............................................................................................ 5
GENERAL COMPANY DESCRIPTION..............................................................................6
Company Ownership............................................................................................... 6
Motto....................................................................................................................... 6
Vision....................................................................................................................... 6
Business Objectives................................................................................................. 6
Mission of the farm.................................................................................................. 6
Address................................................................................................................... 7
Contact Information................................................................................................. 7
PRODUCTS AND SERVICES.......................................................................................... 7
MARKET ANALYSIS...................................................................................................... 8
Background to the market:...................................................................................... 8
MARKET TRENDS..................................................................................................... 9
Competitive Comparison:........................................................................................ 9
MARKET STRATEGIES............................................................................................... 9
Product and pricing strategy.............................................................................. 10
Distribution and promotion strategy..................................................................10
Challenges facing the piggery farm.......................................................................10
MANAGEMENT AND ORGANISATION.........................................................................11
Management team................................................................................................ 11
MANAGEMENT SALARIES....................................................................................... 11
Organizational structure........................................................................................ 11
START UP EXPENSES AND CAPITALISATION FOR TUKWATANISE PIGGERY FARM........13
FINANCIAL PLAN....................................................................................................... 14
Projected Income statement.................................................................................14
CASH ANALYSIS..................................................................................................... 15
OPERATIONAL PLAN.................................................................................................. 16
ANALYSIS OF ENVIRONMENTAL FACTORS..................................................................17
Strength................................................................................................................ 17
Opportunities........................................................................................................ 17
Weakness.............................................................................................................. 17
Threats.................................................................................................................. 17
1.6 Exit Strategy.................................................................................................... 18
APPENDICES............................................................................................................. 19
EXECUTIVE SUMMARY
1.1 Business Overview
Tukwatanise Piggery farm is a new business offering piggery products such as pork, fat oil and
manure among others.
We are to locate the farm in kireka 1.6km off Jinja road. We hope to build up a loyal following
by providing only the freshest products in time using a mobile van.
We will source all our feeds from local providers such as weeds, poultry droppings and maize
seeds among others from local providers.
We will prepare the products on farm, thereby ensuring our customers receive the freshest
products possible.
By focusing on particular local people keeping pigs, we hope to create a good relationship with
these local producers to give our products a unique feel.
We have forecasted to achieve an annual net profit of 43060000 Ugandan shillings by the end
of Year 1. Year 2 is forecast at 43060000Ugandan shillings, and year three at 43060000
Ugandan shillings. All from an initial plan investment of 157,258,700 Ugandan shillings.
Motto
Quality assurance
Vision
Providing quality products at affordable price
Business Objectives
Short Term
Our aim is to try and grow the business by approximately 5% each month, achieving total sales
by the end of the first year of 30million Ugandan shillings.
This equates to selling 100kg of pork, 15 jerry cans of fat per day, for 12 months.
Medium Term
For years 2 and 3, we plan on continuing to grow the business by 5% per month.
Look to start up a pork joint by the end of the second year.
Expand to neighboring parts in the region.
Long Term
Following successful expansion in the local region, we would look to expanding to additional
municipalities and towns.
Address
We intend to locate the farm in kireka a suburb in Kampala city, 1.6km off Jinja
road highway. This location is not close to residential areas in the town. This will also help us
to transport our raw materials and feeds from agro based companies in the area. This is to
prevent residents from complaining of the noise of the animals. This location is good for
expansion because there is vast area of land available. When customers come to our location, it is
convenient for parking. It is competitively located. There are two nearby pig farms in the area.
This is good because they are also my target customers and we can co-operate. The location is
very close to our market and also very close to the raw material sources especially agro based
industries.
Contact Information
Email: Tukwatanisepiggeryfarm@gmail.com
Tel: 0783469909/ 0752454683/0772454683/0700436308
For more information you can reach us at our offices at the above address.
MARKET ANALYSIS
Background to the market:
The market comprises of both low and high income earners. The changing
trends and development in consumer behavior and buying habits, for
instance many reduce the consumption of red meat due to health reasons;
this is the key to the growth rate of market. Therefore it is important to note
that the market size is quite large. Piggery is quite a famous business that
allover Uganda there is market for pork/bacon and fat oil. The business is so
blessed with a vast number of market places, most of the biggest places
include; Serena hotels five start restaurant where I have always watched
corporates rapidly emptying the bacon dish during breakfast, Quong Xing
where shredded dry pork with onions is favorite lunch order, Emin Pasha
Hotel where bacon is a main part of the popular seven deadly sins most
served breakfast dish, Arirrang Korean Restaurant where shizziling pork, a
dish served on its frying pan while still blazing is an interesting dinner order,
Nakulabye and wandegeya towns near Makerere where droves of students
and young corporates alike never stop filling up the pork joints every evening
, Hakuna Matata Hotel where pork is the most loved dish and it is sold as
nyama choma with spicy stew, which makes it ideal mostly for football fans
during weekends while watching their premier league games. All these are
places where we can supply our pigs of different types depending on the
brand required. With research we discovered that the Landrace type has a
very good daily gain and high lean meat content ideal for pork and bacon
and this is the brand served at Emin Pasha Hotel.
Large white brand is very prolific with good mothering ability and it is also
served to daily customers as pork and bacon. Duroc type is very suitable for
anything from light to heavy pork production. Hampshire produces lean meat
in abundance and comparatively produces more meat than all other brands
and therefore it is ideal for nyama choma.
Pork can also be served to local butchers for sell to daily low earning
customers who buy for their families. . Specifically there is a high demand for
pork for home consumption during festivals like Christmas, New Year, and
Easter.
Research has also shown that low earners who enjoy pork are found roaming
around the local bars, gulping down plateful of pork and cutting bottles
Supplying pigs to super markets like Nakumatt, Uchumi, Capital shoppers,
Tuskys, Game, Mega standard is also a target as this can favour and boost
the expansion of our business. Such places have a large number of
customers.
MARKET TRENDS
We h a v e a h i g h p r o s p e c t o f s u c c e s s , a n d t h e r e f o r e w e n e e d t o c o n d u c t
c o n t i n u o u s market research by following;
Competitive Comparison:
The competitors are quite many in the area but most of them are on small
scale. Therefore they are likely to negatively respond to this business
venture.
With regard to our research, we have noticed that many of our competitors
lack proper managerial skills hence end up over capitalizing the business.
There are a number of weaknesses we have realized amongst our
competitors therefore if we can work towards them, we believe we can gain
a competitive advantage over them.
Given the fact that most of the competitors are on small scale, there is
inconsistence in the service and product provision, so we strongly believe
that we can highly compete with them.
MARKET STRATEGIES
Under this Tukwatanise piggery farm shall undergo the following;
Product and pricing strategy
We intend to sell out the piglets to other farmers and grown ones to the
different pork joints plus fat oil produce to various customers.
Provide hygienic and nutritious feeding that may help to attain distinguishable quality factors
like color and test of meat.
Relatively to our customers, we also intend to charge slightly lower prices
and discounts so as to attract customers therefore; price reducing will be
used to establish prices.
Distribution and promotion strategy
Low quality agricultural inputs like fake vaccines and feeds which find their
way to the market. It is a challenge for farmers to determine good quality
inputs from counterfeits.
Difficulty to access credit by farmers due to the lack of local credit unions, as
well as difficulties for creditors to assess credit risks of individual farmers.
Skill
Management and
leadership skill
Veterinary doctor
Technical skill
Financial manager
Transparency and
networking skill
Martial art and technical
skills
security personnel
Background/experience
minimum experience of
three years experience as
managers
Minimum experience of
one years as a senior
veterinary doctor
Must have a CPA
certificate
Minimum experience of
three years in any security
MANAGEMENT SALARIES
TITLE
Managing director
Human resource officer
Veterinary Doctor
Financial manager
MONTHLY
REMUNERATION
650000
500000
350000
450000
Organizational structure
ANNUAL
REMUNERATION
7800000
6000000
4200000
5400000
Board of
Directors
Managing
Director
Veterinary Doctor
Financial Manager
Sales
representative
Human Resource
General workers
The director will be responsible for the coordination of the different departments
and to make major decisions concerning the growth and daily operation of the
company.
He will be the chairman all meetings in the company.
Veterinary Doctor
He will be responsible for the treatment of all the pigs on the farm. He will also
advise on the feeds to be given to the pigs for their healthy living.
Financial Manager
He will be the head of all accounts department. He will be in charge of all cash
inflows and outflows in the company.
He will also be responsible for remuneration of the employees in the company.
Human Resource Manager
He is responsible for the recruitment of workers into the farm.
AMOUNT(SHS)
5000000
40858700
2500000
1500000
accessories
pre-operative expenses
TOTAL CAPITAL EXPENDITURE
Working capital
TOTAL INVESTMENT
1500000
51358700
105900000
157258700
PERIOD
12mont
AMOUNT(SHS)
79440000
Labor expenses
hs
12mont
21960000
hs
12mont
1800000
hs
12mont
600000
Other expenses
hs
16mont
2100000
hs
TOTAL WORKING CAPITAL
105900000
FINANCIAL PLAN
The farm is seeking shs.157258700 in both short-term and long-term loans and from personal
savings of share holders to finance the purchase of the land and other facilities, and cover startup expenses. It is estimated that the company will begin to make a profit in Year 1 of operations.
The company does not expect to have any cash flow problems during the first three years of
operations.
1st year
3rd
20000000
126000000
Manure
5000000
5000000
5000000
Total income
151000000
151000000
151000000
Expenses
20000000
2nd Year
126000000
20000000
126000000
Feeds
79440000
2500000
2500000
79440000
Purchase of 2 months piglets
2500000
Labor expenses
21960000
Drugs and vaccines
79440000
21960000
21960000
1800000
1800000
1800000
2100000
2100000
2100000
Total expenses
107800000
107800000
107800000
43200000
Tax
100000
100000
100000
Depreciation
40000
40000
40000
Net income
43060000
43060000
43060000
Other expenses
43200000
CASH ANALYSIS
Particulars
Costs:
Capital cost
Recurring Costs:
Land and building
Cost of piglets
Cost of feed
Labor
Drugs and vaccines
Other expense
Total
Benefits
Sale of manure
Sale of pork and fat oil
Sale of live pigs
Depreciation
Tax
Total benefit
Year 1
Year 2
Year 3
157258700
45858700
2500000
79440000
21960000
1800000
2100000
153658700
0
2500000
79440000
21960000
1800000
2100000
153658700
0
2500000
79440000
21960000
1800000
2100000
153658700
5000000
126000000
20000000
40000
100000
151140000
5000000
126000000
20000000
40000
100000
151140000
5000000
126000000
20000000
40000
100000
151140000
OPERATIONAL PLAN
An operational plan refers to a specific plan for the use of the organizations
resources in pursuit of the strategic plan. It contains details of specific activities and
events to be undertaken to implement strategies.
Its purpose is to provide organization personnel with clear picture of their tasks and
responsibilities in line with the goals and objectives listed within a strategic plan. It
is a management tool that facilities the condition of the organizations resources
(human, financial, physical) so that goals and objectives in a strategic plan can be
achieved.
Company summary
The idea behind the business is to provide health pigs and deliver nice products to
the public. On addition to pigs and their products, the company plans to market pig
waste as manure in gardens.
The reared breeds shall be Duroc, Hampshire, large black, large white, landrace,
Tamworth
Strategy and implementation summary
The piggery company strategy is to profitably and efficiently utilize present and
future agricultural technology in the piggery industry.
The company by acquiring exiting profitable pork joints with all the necessary
custom-innovated equipment will gain a significant industry advantage.
Addition application and utilization of machinery in the rearing of pigs will ease work
and also reduce expense on labor.
Strength
Opportunities
Weakness
Threats
APPENDICES
Appendix 1
Piggery facility
The farm will construct 2 blocks, the first one will have 10Fatterning pens and
the
Second will have 10 Farrowing pens plus 2 Boar pens. Each pen will measure
4x6
Feet, hence the 1st block will measure 40 x 6 feet and the 2nd will measure
48 x 6 feet.
There will be a store and office measuring 12x6 feet and should be attached
to the
first block. The labor line will be made of four rooms, 2rooms for the
Manager, one room for the
Store keeper and one room for general purpose
The farm will construct a disposable pit measuring 10 x4 x3 feet. To each
piggery
Sty there will a urine collection facility measuring 2 x 2x 2feet and made of
Concrete. The perimeter fence will measure 0.5 acres. The Piggery buildings
are
estimated to cost Shs 40,858,700.
Appendix 2
113810
Block 2
00
129670
Labor line
00
103572
Disposable pit
00
300000
Toilet
147950
Fencing
0
387400
Site preparation
TOTAL
0
500000
408587
00
Appendix 3
Common Breeds of Pigs reared
Breed
features
Berkshire
Tamworth
Appearance
black hairs
Large Black
Landrace
Hampshire
Duroc