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Feed Mill Business Plan

20,000.00 10,000.00

Feed milling has proven to be a very lucrative business not only in Nigeria but in the world at large. Animal feeds are a major input of both intensive and semi-intensive animal husbandry including aquaculture.

As a business, the demand for feed will always increase vis-à-vis animal protein production hence an opportunity for feed millers to earn steady income and also provide employment opportunities for countless number of men and women.

Major customers for feed mills in Nigeria are mainly medium and small-scale poultry farmers, fish farmers, goat and sheep farmers, etc. Horse owners will also buy our feeds.

Our target market includes Choice Farms, Best Foods Global, Meat World Foods, Chi Farms, Obasanjo Farms followed by other medium and small-scale animal meat producers throughout south-western Nigeria.

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Table of content                                                                               Page

Executive Summary                                                                                   3

Introduction                                                                                              6

Business Description                                                                                 7

Products and services                                                                               10

Market Analysis                                                                                         13

Competitor Analysis                                                                                  14

Sales and Marketing Plan                                                                          16

Operational Plan                                                                                                 20

Management plan                                                                                     22

Financial Plan and Projections                                                                  23

Appendix                                                                                                   25

 

EXECUTIVE SUMMARY

Overview

PATILAD Feed mill is a start-up animal feed mill that is involved in production of chicken feed, fish feed, pig feed, goat and horse feed, etc. targeting consumers in southwest Nigeria and is located in Osun state.

The Company

PATILAD Feed mill is established as a limited liability company owned by Dayo Adetiloye, a veteran in the Agric industry with over 15 years’ experience in the industry.

 Products and Service

PATILAD Feed mill will sell Feed mill products, including chicken feed, fish feed, pig feed, goat and horse feed etc.

We also offer consulting services on the choice of ration that best suit different breeds of animals. Our feeds rations are balanced, highly nutritious and of high quality, animal friendly. We produce, process and package to meet standard organization of Nigeria and international standard.

The Market

Nigeria, the largest nation in African, with an approximate population of 180million people presently consumes about 230 million MT of animal protein annually and more than 60% of this quantity are imported. Local production is just barely around 5o million MT.

According to The Poultry Association of Nigeria (PAN), availability of quality, animal friendly and affordable feed remains the major bottleneck for the industry and about 60-70% of production cost is spent on feed.

Competition

Major competitors for PATILAD feed mill are Top Feed Mill, Land Race Feed Mill and KK Feed mill.

PATILAD feed mill will establish its competitive edge through the expertise of its founders.

Financial Considerations

PATILAD feed mill seeks N10 million in long-term financing to cover start-up costs, equipment, building expenses, and working capital.

Funding for the launch of the business is provided primarily by equity from the partners and investors.

The business will reach positive cash flow in its 10th month of operation, allowing for expedited repayment of its loan obligations, as well as for dividends to be paid to the owners.  Revenue will top N33,355,000 and profit will reach about N7 826 082 in the 1st year of operation.

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