Business Plan
OWNER – Joseph Reginald Nicolas Magdaleno
Business Name – “JREG AGRO VENTURES”
Address : 2641 Sitio Manggahan, Brgy. Pulong Buhangin, Sta. Maria Bulacan
City, ST ZIP Code : 3020
Telephone : (02)533-65-54
Mobile: (+63)923-408-06-59
E-Mail : jreggie.mgdln@gmail.com
I. Table of Contents
I. Table of Contents 2 II. Executive Summary 3 III. Business Description 4 IV. Marketing Plan 6 V. Operational Plan 14 VI. Management and Organization 17 VII. Personal Financial Statement 18 VIII. Start-up Expenses and Capitalization 19 IX. Financial Plan
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As our poultry farm grows, we will expand to a much larger shelter to hold 1000 to 2000 chickens and eventually add eggs, ducks and turkeys to the offered product.
Our products are 100% organic which is a healthy choice of poultry product. Other poultry farms add genetic enhancers to the food that are given to the birds to enhance the growth and health to shorten the harvest time. We offer naturally grown poultry which is given 100% organic food and a natural environment for them to forest for their own food.
IV. Marketing Plan
Our target market is NCR, Valenzuela and Bulacan area that consumes poultry products.
Our target market’s population consumes poultry products at least five times a week. This demand for poultry products is very profitable.
The poultry subsector posted a 3.92 percent output increment this quarter. It shared 13.30 percent in total agricultural production. Chicken production grew by 3.77 percent. At current prices, the subsector grossed P39.0 billion, down by 4.35 percent from the 2010 level. This data is from Philippine Department of Agriculture.
[Table 1] PERFORMANCE OF PHILIPPINE AGRICULTURE JANUARY – MARCH 2011.
What exactly does organic means? "Simply stated, organic produce and other ingredients are grown without the use of pesticides, synthetic fertilizers, sewage sludge, genetically modified organisms, or ionizing radiation. Animals that produce meat, poultry, eggs, and dairy products do not take antibiotics or growth hormones." (Forstel) Do we know where exactly the chicken nugget from McDonald’s come from? All they have to do is just throw the whole chicken in a blender, toss it onto an assembly line and let some giant mechanical cutter chop it up into bite-sized nuggets for company. It is also amazing how long it takes a healthy product to gain customers compared to a greasy or boxed product. This most likely has to do with the culture.
“Because there are no hormones or antibiotics in their feed to speed their growth, they get to live a few days longer” (Pollan, 2009, p. 129). Since the chickens can live longer, that means the chickens can become stronger, and tastier because of the nutrients it is getting from its organic diet. In the book, Omnivore's Dilemma, it states, “On the other hand, organic Rosie was a tasty bird, with more flavor than mass-produced birds fed on a diet of antibiotics and animal by-products. Those “unnatural” feeds make chickens with mushier and blender meat” (p. 133). Industrial organic meat tastes better than industrial meat because it isn’t full of hormones and antibiotics that can cause the meat to not taste as good, and the chickens get a little more space to move around when they are grown industrial organic. In conclusion, industrial organic is better for the animals because it lets them live a little bit longer, and it makes them taste
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Many people think industrial organic uses chemicals because of the “industrial” part of the name. But, industrial organic food is more like organic than industrial. It has the plusses from industrial such as the ability to produce on a large scale but it does not use pesticides, much like organic. “Instead of toxic pesticides, crops are sprayed with natural substances like BT, a pesticide made from a common soil bacteria”(Pollan 140). Also, animals such as the chickens on these farms are treated much better than animals on most other farms. “Because there are no hormones or antibiotics in their(chicken) feed to speed growth, they get to live a few days longer”(Pollan 150).This states that the chickens do not grow as fast without hormones or antibiotics, so they are slaughtered a few days later. Another example is chickens on organic farms have more room to roam than other chickens. “They get a few more square inches of living space per bird”(Pollan
Despite this, Chick-fil-A has posted positive increases in revenue all 40 years the company has been in business, many of which have been double-digit increases. These increases may seem extraordinary, but Chick-fil-A has used a strategy that ensures their success. Another factor which has the ability to have a major impact on profitability is the increasing price of chicken. With the increasing popularity of ethanol based fuels – made primarily of corn – it is becoming more costly to feed and raise chickens, whose main source of food is corn. This new demand for corn has increased the price, which is in turn passed onto the next buyer. It is necessary for Chick-fil-A to address this issue and formulate a plan of action to try to combat these rising costs.
The ROE of Boston Chicken from 1993 to 1994 shows the improvements from 1.7% to 6.2%, which is due to the improvements of Net Income. The increase in the number of stores from which Boston Chicken is the factor contributing to the improvements. The revenue shows the leap from $8.282 million in 1992 to $42.53 million in 1993 to $96.15 million in 1994.The new stores leading to an increase in royalty and franchise fees which is the reason of the increased revenue. NOPAT margin and EBITDA margin shows improvement in proportion to Net Income margin that indicates there is no change in interest. Profit margins indicate that the company’s performance has improved markedly in 1994.The stock value for Boston Chicken for 1994 was about $7 and the actual stock price was about $16 at the end of 1994. This indicates that Boston Chicken has been overvalued due to the optimistic view of market because of the present revenue growth rate and the inclusion of royalties and initial
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Production and Productivity Trends Labor productivity. Up until the 1970s, the Philippines’ agricultural performance, in terms of both agricultural Gross Value Added (GVA) and agricultural exports, compared well with its neighbors and other Asian countries (Figure 3a). But by the 1980s and 1990s, the country had lagged behind most of the countries in the region (Figures 3b and 3c). This came as agricultural output growth had slowed down dramatically through the decades (Figure 4). Moreover, the sector’s growth had been rather erratic in the 1990s, especially with the periodic occurrence of the El Niño phenomenon that had appreciable impact on weather patterns and, consequently, agricultural performance. Table 1 shows the average annual growth in GVA of major agricultural commodities since 1960. What is clear from the table is that growth rates of all commodities, except for livestock and poultry, have been slowing down over time. Furthermore, growth rates have been below the population growth rate, implying that production has not been able to keep up with increasing population. Erratic and decelerating growth over the past two decades is a major concern, as agriculture continues to employ a large
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