Are you about starting a chicken processing plant? If YES, here is a complete sample chicken processing plant business plan template and feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a chicken processing plant. We also took it further by analyzing and drafting a sample chicken processing business marketing plan template backed up by actionable guerrilla marketing ideas for chicken processing plants. So let’s proceed to the business planning section.
Loads of people all around the world eat chicken on daily basis hence the need to have a chicken processing plant to be able to meet the needs of chicken consumers. As an aspiring entrepreneur, if you have the required start-up capital and perhaps the required experience, then you should consider starting your own chicken processing plant company.
It is important to point out that a chicken processing plant business is one the businesses that can’t go out of fashion simply because people eat chicken in different forms on daily basis.
Depending on the scale you want to start, the startup capital for this type of business can be considered to range from moderate to high. As a matter of fact, it is advisable to run poultry alongside your chicken processing plant if indeed you want to maximize profit in this business.
If you are sure that this type of business is what you truly want to do after you must have conducted your market research and feasibility study, then the next step to follow is to write a good business plan. Below is a sample chicken processing plant business plan template that will help you;
A Sample Chicken Processing Plant Business Plan Template
1. Industry Overview
Chicken processing plant business falls under Meat, Beef and Poultry Processing, and players in this industry basically slaughter chickens or animals, process the meat and package the meat into products and by-products. The industry is also known to be involved in purifying and refining animal fat, bones and meat scraps.
Products are sold to other food manufacturers, renderers, grocery and meat wholesalers and retail traders. It is important to state that businesses that primarily cut and pack meats from purchased carcasses are also part of this industry.
Even though meat consumption based on per capita income is expected to remain stagnant in the next half a decade, economic woes before this period aggravated consumption drops.
Because of recovering consumer sentiment, population growth and strong export demand, meat-processing revenue is projected to increase in future. In spite of the stability of consumer demand for meat-based products, unpredictable weather conditions and disease outbreaks can cause instability in the revenue generated by industry players.
The Meat, Beef and Poultry Processing Industry is indeed a very large industry and is pretty much thriving in all parts of the world especially in developed countries such as united states of America, Canada, United Kingdom, Germany, Australia, Italy et al.
Statistics has it that in the United States of America alone, there are about 5,664 licensed and registered Meat, Beef and Poultry Processing companies directly responsible for employing about 480,178 employees. The industry rakes in a whooping sum of $225billion annually with an annual growth rate projected at 1.4 percent.
It is important to state that the establishments with lion share of the available market in this industry are Cargill Inc., JBS SA, Inc., Tyson Foods and Smithfield Foods.
Several researches conducted linked red meat consumption with increased risk of several diseases. Hence, the need for nutritional awareness among consumers. As a result of this, consumers have started choosing white meat (chicken meat) instead of beef and pork.
Nonetheless, the prices of these products have risen faster than those of poultry products, leading this segment’s share of revenue to also increase.
Lastly, if you are looking towards leveraging on the food processing industry to generate huge income, then one of your best bet is to start a chicken processing Plant Company.
One thing is certain about starting your chicken meat processing plant business, if you are able to conduct your market research and feasibility studies, you are more likely not going to struggle to sell your products because there are consumers out there who are ready to buy from you.
2. Executive Summary
Sammy McKenzie Chicken Processing Company is a world-class and licensed chicken processing company that will be based in the outskirt of Santa Fe, New Mexico – United States. We have done our detailed market research and feasibility studies and we were able to secure a hundred hectares of land to start our chicken processing plant.
Our chicken processing plant is going to be a standard commercial company hence will be involved in raising chicken in our poultry, processing and marketing chicken meat to the United States’ market and other countries of the world.
We are in the chicken meat processing business because we want to leverage on the vast opportunities available in the food processing industry, to contribute our quota in growing the U.S. economy, in national food production, and also to export processed chicken meat from the United States to other countries and over and above to make profit.
Sammy McKenzie® Chicken Processing Company is well positioned to become one of the leading chicken meat processing Plant Companies in the United States of America, which is why we have been able to source for the best hands and machines to run the company.
We have put processes and strategies in place that will help us employ best practices when it comes to chicken meat processing as required by the regulating bodies in the United States of America.
At Sammy McKenzie Chicken Processing Company, our customer’s best interest will always come first, and everything we do will be guided by our values and professional ethics. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.
We will cultivate a working environment that provides human, sustainable approach to earning a living, for our partners, employees and clients.
Sammy McKenzie Chicken Processing Company is a private registered chicken meat processing company that is owned by Mr. Sammy McKenzie and his immediate family members. The company will be fully and single handedly financed by the owner – Mr. Sammy McKenzie and his immediate family members at least for a period of time.
Before starting Sammy McKenzie® Chicken Processing Company, Mr. Sammy McKenzie worked with some of the leading meat processing companies in the United States of America. He has well over 15 years of experience in the industry and also a Degree in Food Technology.
3. Our Products and Services
Sammy McKenzie Chicken Processing Company is a standard chicken meat processing company that is committed to producing well processed and packaged chicken meat for both the United States market and the global market. We are in the chicken meat processing business to make profit and we are going to do all we can to achieve our business goals, aim and objectives.
We will be involved in;
- Raising chickens, processing and marketing chicken meat on a commercial level; we will export well processed and well packaged chicken meat throughout the United States and to other countries of the world.
4. Our Mission and Vision Statement
- Our Vision is to become one of the leading chicken meat processing company-brands not just in the United States of America but also on the global stage.
- Sammy McKenzie Chicken Processing Company is a world class and registered chicken meat processing company that is committed to raising chickens in our poultry and processing chicken meat for both the United States’ market and the global market. We want our well processed and well packaged chicken meat to flood the nooks and crannies of the United States and other countries of the world.
Our Business Structure
Sammy McKenzie® Chicken Processing Company is a privately owned and managed chicken meat processing business that intends starting small in Santa Fe – New Mexico, but hope to grow big in order to compete favorably with leading chicken meat processing companies in the industry both in the United States and on a global stage.
We are aware of the importance of building a solid business structure that can support the picture of the kind of world class business we want to own. This is the reason why we are committed to only hire the best hands within our area of operations.
At Sammy McKenzie Chicken Processing Company, we will ensure that we hire people that are qualified, hardworking, and creative, result driven, customer centric and are ready to work to help us build a prosperous business that will benefit all the stakeholders (the owners, workforce, and customers).
As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions;
- Chief Operating Officer
- Chicken Processing Plant Manager
- Human Resources and Admin Manager
- Accountant/Cashier
- Sales and Marketing Executive
- Plant Workers/Field Workers (Contract Staff)
- Front Desk Officer
5. Job Roles and Responsibilities
Chief Executive Officer – CEO:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
- Creating, communicating, and implementing the organization’s vision, mission and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals.
- Responsible for providing direction for the business.
- Responsible for signing checks and documents on behalf of the company.
- Evaluates the success of the organization.
Chicken Processing Plant Manager
- Responsible for overseeing the smooth running of the chicken processing plant.
- Part of the team that determines the quantity of products that are to be produced.
- Map out strategies that will lead to efficiency amongst workers in the plant.
- Responsible for training, evaluation and assessment of plant workers.
- Ensures steady flow of both live chicken to the plant and easy flow of finished products (well processed and well packaged chicken meat) through wholesale distributors to the market.
- Ensures operation of equipment by insisting on maintenance requirements; calling for repairs.
- Ensures that the plant meets the expected safety and health standards at all times.
- Ensure compliance in the plant.
- Providing advice on the management of plant activities across all section.
- Responsible for carrying out risk assessment in the plant.
- Using IT systems and software to keep track of people and progress of the growth of chickens in the poultry.
- Responsible for overseeing the accounting, costing and sale of processed chicken meat.
- Represent the organization’s interest at various stakeholders meetings.
- Ensures that organization’s goals and desired result are achieved, the most efficient resources (manpower, equipment, tools and chemicals et al) are utilized and different interests involved are satisfied.
Human Resources and Admin Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization.
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations’ activities.
- Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
- Defining job positions for recruitment and managing interviewing process.
- Carrying out staff induction for new team members.
- Responsible for training, evaluation and assessment of employees.
- Responsible for arranging travel, meetings and appointments
- Oversees the smooth running of the daily office activities.
Accountant / Cashier:
- Responsible for preparing financial reports, budgets, and financial statements for the organization.
- Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for one or more properties.
- Responsible for developing and managing financial systems and policies.
- Responsible for administering payrolls.
- Ensuring compliance with taxation legislation.
- Handles all financial transactions for the company.
- Serves as internal auditor for the company.
Sales and Marketing Manager
- Manage external research and coordinate all the internal sources of information to retain the organization’s best customers and attract new ones.
- Model demographic information and analyze the volumes of transactional data generated by the customer.
- Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
- Writing winning proposal documents, negotiate fees and rates in line with organization’s policy.
- Responsible for handling business research, market surveys and feasibility studies for clients.
- Responsible for supervising and advocating for the customer’s needs, and communicate with clients.
- Develop, execute and evaluate new plans for increasing sales.
- Create new markets cum businesses for the organization.
- Empower and motivates the sales team to meet and surpass agreed targets.
Field Workers/Contract Staff
- Responsible for operating chicken meat processing machines and equipment.
- Responsible for feeding chickens and other birds as instructed by the supervisor.
- Responsible for cleaning poultry and the entire environment.
- Change the water for the birds as instructed by the supervisor on a regular basis.
- Handles poultry farm implements and machines (hatchery) as instructed by the section manager/supervisor.
- Assist in handling the chicken and other birds et al.
- Carries out task in line with the stated job description.
- Assist in transporting work tools and equipment from the poultry farm and back to the designated store room.
- Assist in packaging and loading processed chicken meat into distribution trucks.
- Handles any other duties as assigned by the line manager.
Front Desk/Customer’s Service Officer
- Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level.
- Thorough interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services.
- Manages administrative duties assigned by the manager in an effective and timely manner.
- Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients.
- Receives parcels/documents for the company.
- Distribute mails in the organization.
- Handles any other duties as assigned by the line manager.
6. SWOT Analysis
Sammy McKenzie Chicken Processing Company does not intend to launch out with trial and error hence the need to conduct a proper SWOT analysis. We know that if we get it right from the onset, we would have succeeded in creating the foundation that will help us build a standard chicken meat processing company that will favorably compete with leading meat processing companies like Cargill Inc., JBS SA, Inc., Tyson Foods and Smithfield Foods in the United States of America and in the rest of the world.
We engaged the services of a core professional in the area of business consulting and structuring to assist our organization in building a well structured chicken meat processing company that can favorably compete in the highly competitive chicken meat processing industry in the United States and the world at large.
Part of what the team of business consultants do is to work with the management of our organization in conducting a SWOT analysis for Sammy McKenzie® Chicken Processing Company. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Sammy McKenzie® Chicken Processing Company;
- Strength:
Our strength as a chicken meat processing company is the fact that we have healthy relationships with loads of major players (processed chicken merchants) in the industry; both suppliers of poultry feeds and medications and buyers of processed chicken meat within and outside of the United States of America.
We have some of the latest meat processing equipment, commercial poultry farming hatchery, tools and equipment that will help us raise and produce chickens and also process chicken meat. Aside from our relationship (network) and equipment, we can confidently boast that we have some the most experienced hands in Santa Fe – New Mexico in our payroll.
- Weakness:
Our weakness could be that we are a new chicken meat processing company in the United States, and perhaps it might take us sometime to attract big time customers in the industry. We are aware of this and from our projection will overcome this weakness with time and turn it to a major advantage for the business.
- Opportunities:
The opportunities that are available to us as a standard chicken meat processing company with a standard poultry cannot be quantified, we know that there are loads of households, and businesses such as hotels and fast food restaurants that can’t do without a daily supply of processed chicken meat. We are well positioned to take advantage of this opportunity.
- Threat:
Some of the threats and challenges that we are likely to face when we start our own chicken processing company are global economic downturn that can impact negatively on household spending, bad weather cum natural disasters (draughts, epidemics), unfavorable government policies and the arrival of a competitor (a chicken meat processing plant) within same location. There is hardly anything you can do as regards this threats and challenges other than to be optimistic that things will continue to work for your good.
7. MARKET ANALYSIS
- Market Trends
The chicken meat processing business has greatly benefited from campaigns advertising the health benefits of chickens and eggs as a good source of protein. No doubt, the increased demand of chicken and eggs from households and food related businesses and of course the growing popularity of specially processed chicken meat have rapidly improved revenue growth for the industry. In the face of this growth, profit margin has suffered from rising feed costs and also regulations regarding animal welfare.
As a matter of fact, investors/entrepreneurs who own big poultry find it easier to open a standard chicken processing plant within their farms. With this, it is easier for them to maximize profit and of course stamp their feet in the industry.
8. Our Target Market
Naturally, the target market are those who are the end consumers of processed chicken meat and also those who benefit from the business value chain of the meat, beef and poultry processing industry is all encompassing; it is far–reaching.
Loads of households consume processed chicken meat. So also, almost all hotels and fast restaurants sell chicken meat. In essence a chicken processing company should be able to sell his or her processed chicken to as many people as possible.
In view of that, we have positioned our business to attract consumers of processed chicken not just in the United States of America alone but also other parts of the world. We have conducted our market research and survey and we will ensure that we meet and surpass the expectations we set for the business.
Below is a list of the people and business that we will market our chickens and eggs to;
- Groceries stores
- Households
- Individuals
- Hotels
- Restaurants
- Fast food eateries
- Processed chicken meat merchants
Our competitive advantage
A close study of the meat, beef and poultry processing industry reveals that the market has become much more intensely competitive over the last decade. As a matter of fact, you have to be highly creative, customer centric and proactive if you must survive in this industry. We are aware of the stiffer competition and we are well prepared to compete favorably with other chicken meat processing companies in Santa Fe – New Mexico and throughout the United States and Canada.
Sammy McKenzie® Chicken Processing Company is launching a standard chicken meat processing plant with a standard poultry farm that will indeed become the preferred choice of residence of Santa Fe – New Mexico and every city where our products will be retailed.
Part of what is going to count as competitive advantage for Sammy McKenzie® Chicken Processing Company is the vast experience of our management team. We have people on board who are highly experienced and understand how to grow business from the scratch to becoming a national phenomenon.
So also, we have healthy relationships with loads of major players (processed chicken merchants) in the industry; both suppliers of poultry feeds and medications and buyers of processed chicken meat within and outside of the United States of America.
We have some of the latest meat processing equipment, commercial poultry farming hatchery, tools and equipment that will help us raise and produce chickens and also process chicken meat. Aside from our relationship (network) and equipment, we can confidently boast that we have some the most experienced hands in Santa Fe – New Mexico in our payroll.
Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups chicken meat processing companies) in the industry, meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives. We will also give good working conditions and commissions to freelance sales agents that we will recruit from time to time.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Sammy McKenzie® Chicken Processing Company is in the business for the purpose of maximizing profit hence we have decided to explore all the available opportunities within the meat, beef and poultry processing industry to achieve our corporate goals and objectives.
Below are the sources we intend exploring to generate income for the meat, beef and poultry processing industry;
- Sale of well processed and well packaged chicken meat
10. Sales Forecast
One thing is certain when it comes to chicken meat processing and packaging business, if your products are well packaged and branded and if your processing plant is centrally positioned and easily accessible, you will always attract customers cum sales and that will sure translate to increase in revenue generation for the business.
We are well positioned to take on the available market in Santa Fe – New Mexico and every city where our processed chicken meat will be sold and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six month of operations and grow the business and our clientele base.
We have been able to critically examine the meat, beef and poultry processing industry and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to startups in Santa Fe – New Mexico.
Below is the sales projection for Sammy McKenzie® Chicken Processing Company, it is based on the location of our business and other factors as it relates to small scale and medium scale chicken meat processing and packaging company start–ups in the United States;
- First Fiscal Year-: $250,000
- Second Fiscal Year-: $550,000
- Third Fiscal Year-: $950,000
N.B: This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same products and customer care services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
We are quite aware that the reason why some chicken processing companies hardly make good profit is their inability to sell off their products as at when due. Our sales and marketing team will be recruited based on their vast experience in the meat, beef and poultry processing industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall business goal of Sammy McKenzie® Chicken Processing Company.
Over and above, we have perfected our sales and
- Introduce our business by sending introductory letters alongside our brochure to stake holders in the meat, beef and poultry processing industry, households, hotels and restaurants et al.
- Advertise our business in processed chicken meat in food related magazines and websites.
- List our chicken processing business on yellow pages ads (local directory).
- Attend related food and meat processing expos, seminars, and business fairs et al.
- Open our chicken meat processing company with a party so as to capture the attention of residents who are our first targets.
- Engage in road show in targeted communities from time to time to sell our products.
- Leverage on the internet to promote our business.
- Engage in direct marketing.
- Encourage the use of Word of mouth marketing (referrals).
- Join local chambers of commerce and industry with the aim of networking and marketing our products.
11. Publicity and Advertising Strategy
Any business that wants to grow beyond the corner of the street or the city they are operating from must be ready and willing to utilize every available means (both conventional and non–conventional means) to advertise and promote the business. We intend growing our business which is why we have perfected plans to build our brand via every available means.
We know that it is important to create strategies that will help us boost our brand awareness and to create a corporate identity for our chicken processing plant business. Below are the platforms we will leverage on to boost our chicken processing company – brand and to promote and advertise our business;
- Place adverts on community based newspapers, radio stations and TV stations.
- Encourage the use of word of mouth publicity from our loyal customers.
- Leverage on the internet and social media platforms like; YouTube, Instagram, Facebook, Twitter, LinkedIn, Snapchat, Badoo, Google+ and other platforms to promote our business.
- Ensure that our we position our banners and billboards in strategic positions all around Santa Fe – New Mexico.
- Distribute our fliers and handbills in target areas in and around our neighborhood.
- Contact hotels, restaurants, households, landlord associations and groceries stores by calling them up and informing them of Sammy McKenzie® Chicken Processing Company and the product we sell.
- Advertise our business in our official website and employ strategies that will help us pull traffic to the site.
- Brand all our official cars and trucks and ensure that all our staff members and management staff wears our branded shirt or cap at regular intervals.
12. Our Pricing Strategy
When it comes to pricing for products such as processed and packaged chicken meat, there are two sides to the coin. We are aware of the pricing trend in the meat, beef and poultry processing industry which is why we have decided to produce various sizes of well processed and well packaged chicken meat.
In view of that, our prices will conform to what is obtainable in the meat, beef and poultry processing industry but will ensure that within the first 6 to 12 months our products are sold a little bit below the average prices of various meat, beef and poultry processing companies in the United States of America.
We have put in place business strategies that will help us run on low profits for a period of 6 months; it is a way of encouraging people to buy into our processed chicken meat brands.
- Payment Options
The payment policy adopted by Sammy McKenzie® Chicken Processing Company is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Sammy McKenzie® Chicken Processing Company will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards/Point of Sale Machines (POS Machines)
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our clients make payment for the purchase of our well processed and well packaged chicken meat without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for our products.
13. Startup Expenditure (Budget)
When it comes to calculating the cost of starting a chicken meat processing plant business, there are some key factors that should serve as a guide. The source of the chickens (especially if the chicken processing plant is not going to own a poultry farm) and the size of the business determines the total cost of setting up the business.
Besides, in setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting/leasing a big facility, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.
This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business.
The tools and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked. As for the detailed cost analysis for starting a chicken processing plant business; it might differ in other countries due to the value of their money.
Below are some of the basic areas we will spend our start–up capital in setting up our chicken processing plant and poultry farm;
- The operational cost for the first 3 months (salaries of employees, payments of bills et al) – $60,000
- Other start-up expenses including stationery ($500) and phone and utility (gas, sewer, water and electric) deposits ($6,500).
- The cost for construction of a standard chicken meat processing plant and poultry farm facility with the right fencing – $300,000.
- The cost for leasing a large farm land – $200,000
- The cost for insurance (general liability, theft, workers’ compensation and property casualty) coverage at a total premium – $30,400.
- The cost for hiring a business consultant (including writing business plan) – $2,500.
- Marketing promotion expenses for the grand opening of the chicken meat processing plant in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
- Legal expenses for obtaining licenses and permits (Health department license and business license) and permits (Fire department permit, Air and water pollution control permit, and Sign permit et al) as well as accounting services (CRM software, Payroll software, P.O.S machines and other software) – $15,300.
- The total fee for registering the business in the United States of America – $750.
- The amount required for the purchase of the first set of chicken – $60,000
- The cost for acquiring the required working tools and equipment/machines – $200,000
- The cost for store equipment (cash register, security, ventilation, signage) – $13,750
- The cost of purchase and installation of CCTVs – $5,000
- The cost for building and hosting a website – $600
- The cost for opening party – $8,000
- Miscellaneous – $5,000
Going by the report from detailed research and feasibility studies conducted, we will need an estimate of nine hundred and fifty thousand dollars ($950,000) to start a standard chicken processing plant business with a poultry farm in the United States of America. Please note that this amount includes the salary of staff members for the first three months of operation.
Generating Funds/Startup Capital for Sammy McKenzie® Chicken Processing Company
No matter how fantastic your business idea might be, if you don’t have the required money to finance the business, it may not become a reality. Finance is a very important factor when it comes to starting a business such as chicken processing plant. No doubt raising start-up capital for a business might not come cheap, but it is a task that an entrepreneur must go through.
Sammy McKenzie® Chicken Processing Company is a family business that is solely owned and financed by Sammy McKenzie and his immediate family members. We do not intend to welcome any external business partner, which is why we have decided to restrict the sourcing of the start–up capital to 3 major sources.
These are the areas we intend generating our start-up capital;
- Generate part of the start-up capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from my Bank
N.B: We have been able to generate about $250,000 (Personal savings $200,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $700,000 from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
14. Sustainability and Expansion Strategy
The future of a business lies in the numbers of loyal customers that they have, the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.
One of our major goals of starting Sammy McKenzie® Chicken Processing Company is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to retail our well processed and well packaged chicken meat a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.
Sammy McKenzie® Chicken Processing Company will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re–training of our workforce is at the top burner.
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of six years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
Check List / Milestone
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Leasing of land and building of standard chicken meat processing plant and poultry (cages): In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Marketing / Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the needed chicken meat processing machines/equipment, furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and around the community: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party/launching party planning: In Progress
- Establishing business relationship with vendors – key players in the industry: In Progress