Eggs farming business plan for starting your own business
Are you looking for how to start an egg farm business? An egg farming business is based on raising hens on a farm so to sell eggs for human consumption. The business is profitable because eggs are directly or indirectly part of nearly every meal we eat today.
If you intend to start this business the foremost step is to devise an operational plan. In this egg farming business plan pdf we’re documenting the business plan of an egg farming startup, Eateries. However, if you lack experience in making business plans, it is recommended to hire experts and professionals. Many firms presently also offer services to create a business plan online.
2.1 The Business
Eateries will be located in San Jose, the U.S. The business will be premised on egg farming. However, innovative features are introduced to make it competitive and adaptive to technological developments.
2.2 Management of eggs farming
Before starting an egg farming business, it is vital to prepare a poultry egg farming business plan. It will enable you to systematically deal with every niche of your business. There are many poultry egg farming business types and your business plan will be based on the type of business you are going to operate. In such cases, it is always recommended to hire business plan professional services to develop a business plan for you.
Eateries will be managed by a web of managers and workers. Since the business requires doing a myriad of hectic tasks such as managing the hens, sorting and feeding them, and regulating their egg production, therefore the management is not going to be simple. The detailed qualification and job description of staff that will be hired to manage various operations will be given in the later sections.
2.3 Customers of Eggs farming
The customer base of egg farming enterprise is very wide and is divided into the following groups:
- Hotels & Restaurants
- Food Production & Agricultural Industries
2.4 Business Target
The targets of Eateries include establishing a good reputation among its competitors. Meanwhile, we aim at establishing a high CSAT score. Our financial goals to be met within the first three years are demonstrated in this table.
3.1 Company Owner
Eateries will be owned by Robert Smith. Smith is an MBA from the prestigious Harvard Institute. He hasn’t any experience of working in the field. Just after graduation, he made a small farm egg business plan and carried out his startup successfully.
3.2 Why eggs farming is being started
Smith was always an animal enthusiast. He started poultry farm egg production business to earn profit while doing the work he loves. Besides, Smith believed that the usual farming techniques used on farms are cruel to animals and are only centered on making profits.
Therefore, he decided to open organic egg farming business to set an example of earning profit while continuing it with humane practices.
3.3 How the eggs farming will be started
Step1: Plan & Take Down
The foremost step is to take down an enterprise plan. Since it is a consuming task we’re attaching poultry egg farming business plan pdf for your help. However, you cannot move on with just this chicken egg farming business plan pdf without adjusting it your intended market, financial expenditures, and goals.
Step2: Fund & Recruit
The next step is to direct your funding to acquire the financial and human resources you will be needing.
Step3: Manage the Business
Managing a farming enterprise is tough and just like the case of worm farm business plan, you’ll need hard-working staff to sort and regulate the hens. To get ideas on how to manage your farm efficiently, you may also visit indoor shrimp farm business plan.
Step4: Ensure You Exist on Google
The next step is to ensure that you have a strong web presence. Especially if you want to sell eggs and products both offline and online, it will be imperative to be in the top searches on the web.
The last step is to publicize your merchandise, your services, and the things that can brand you better than your competitors. It will help you get in contact with your intended audience and boost your sales.
|Research and Development||$10,000|
|TOTAL START-UP EXPENSES||$274,300|
|Other Current Assets||$251,000|
|Start-up Expenses to Fund||$274,300|
|Start-up Assets to Fund||$931,800|
|TOTAL FUNDING REQUIRED||$1,206,100|
|Non-cash Assets from Start-up||$1,199,300|
|Cash Requirements from Start-up||$132,300|
|Additional Cash Raised||$50,000|
|Cash Balance on Starting Date||$31,300|
|Liabilities and Capital|
|Accounts Payable (Outstanding Bills)||$63,200|
|Other Current Liabilities (interest-free)||$0|
|Additional Investment Requirement||$0|
|TOTAL PLANNED INVESTMENT||$1,206,100|
|Loss at Start-up (Start-up Expenses)||$125,400|
|TOTAL CAPITAL AND LIABILITIES||$1,412,900|
Services of eggs farming
In your chicken egg farm business plan, you’ll have to construct a list of products you’ll be offering. Usually, the products in small egg farm business plan are eggs and chicken meat. However, in this egg farming business plan pdf you can see that Eateries will be offering turkey meat and poultry litter as well. If you plan to offer more services in this domain you will have to do little adjustments in this business plan for egg laying farm.
Our main products will be eggs, both white and brown. We will sell them in packs.
- Chicken Meat
We’ll also sell chicken meat in large quantities to merchants and hotels.
- Poultry Litter & Organic Fertilizer
Poultry litter comprises feathers, excreta, non-edible organs, and other waste products related to poultry. They all together make a great organic fertilizer so this will also be our major product.
- Turkey Meat
We’ll also be farming turkeys and will sell their meat as well.
Marketing Analysis of eggs farming
Before you start chicken egg farming business you should bring off a market analysis of the market you’re going to serve. It includes studying the market trends, no. of businesses operating, and profit-generating methods adopted by others in the field. After studying that, you have to compile them in your eggs farming business plan for reference. Moreover, in your egg farm business plan you have to do market segmentation i.e. dividing your intended population into distinct groups to develop a targeting and tailored strategy.
5.1 Market Trends
According to IBISWorld, the market size of egg farming business is $10bn as of 2022. More than 32 thousand businesses are successfully operating in the U.S. and due to increasing market demand, there is room for more. Most of the farm corporations sell white and brown table eggs and therefore, adding turkey meat and fertilizers to the services will benefit Eateries a lot.
5.2 Marketing Segmentation
In this egg farm business plan pdf we’re listing groups of customers as recognized by Eateries. If you’re looking for how to start an egg farm business you must search for your own customer groups and include them in your chicken egg farming business plan.
Our major customers will be salespeople and owners of large stores. They are expected to buy all our products in large amounts. Therefore, we’ll be offering several discounts to them to guarantee their long-term retention.
5.2.2 Hotels & Restaurants
Our second group of desired customers will be hotels and restaurants. They will buy eggs and meat from us in large amounts to prepare meals to serve their customers.
The last category of our desired customers includes bakeries. To cook their products such as pizzas, burgers, and even loaves of bread, they will need to procure eggs and chicken and turkey meat. They are also likely to make purchases in large chunks.
5.2.4 Food Production & Agricultural Industries
They are expected to buy poultry litter from us to turn it into useful and expensive organic fertilizer. As soon as we achieve the independent capability to produce organic fertilizer, this customer group will become a major contributor to our profit margins.
|Potential Customers||Growth||Year 1||Year 2||Year 3||Year 4||Year 5||CAGR|
|Hotels & Restaurants||26%||23,100||27,720||33,264||39,917||47,900||10.00%|
|Food & Agri Industries||18%||18,310||21,972||26,366||31,640||37,968||11.00%|
5.3 Business Target
- Maintaining an average rating of 4.8 out of 5 on our online platforms
- Attaining a CSAT score of more than 90% during the first year of our launch
- Boosting our sales by 30% every year
- Acquiring independent capability of producing organic fertilizer by poultry litter
5.4 Product Pricing
Our prices are a little bit higher than those of our competitors. It is because we’re especially aiming to keep the hen healthy and humanely. Moreover, the prices of our turkey meat are also higher as we feed them with costly organic foods rather than instant and artificial feeds.
Marketing Strategy of eggs farming
If you are planning to institute a farm that sells eggs to business, you must also include the strategy to get in contact with the desired enterprises. In this small farm egg business plan we are documenting the sales strategy of Eateries. If you are making an egg farming business plan you may take more promotion ideas from business plan for farmers market or oyster farming business plan.
6.1 Competitive Analysis
- We have acquired a large area in which temperature is controlled to facilitate a favorable environment for farming. This will help us in getting healthier, and more nutritious eggs and meat.
- We do not subject the poultry to inhumane treatment, unlike many others.
6.2 Sales Strategy
- We’ll offer a 40% discount on our eggs for the initial 3 months of our launch.
- We’ll offer a 20% discount on chicken meat and turkey meat for the initial 2 months of our launch.
6.3 Sales Monthly
6.4 Sales Yearly
6.5 Sales Forecast
|Unit Sales||Year 1||Year 2||Year 3|
|Chicken Meat (Packs)||22,500||23,850||25,281|
|Litter & Fertilizer (Packs)||12,500||13,250||14,045|
|Turkey Meat (Packs)||10,500||11,130||11,798|
|TOTAL UNIT SALES||64,000||67,840||71,910|
|Unit Prices||Year 1||Year 2||Year 3|
|Chicken Meat (Packs)||$35.00||$40.60||$47.10|
|Litter & Fertilizer (Packs)||$65.00||$75.40||$87.46|
|Turkey Meat (Packs)||$75.00||$87.00||$100.92|
|Chicken Meat (Packs)||$787,500.00||$968,310.00||$1,190,633.98|
|Litter & Fertilizer (Packs)||$812,500.00||$999,050.00||$1,228,431.88|
|Turkey Meat (Packs)||$787,500.00||$968,310.00||$1,190,633.98|
|Direct Unit Costs||Year 1||Year 2||Year 3|
|Chicken Meat (Packs)||$12.00||$13.20||$13.86|
|Litter & Fertilizer (Packs)||$15.00||$16.50||$17.33|
|Turkey Meat (Packs)||$15.00||$16.50||$17.33|
|Direct Cost of Sales|
|Chicken Meat (Packs)||$270,000.00||$314,820.00||$350,394.66|
|Litter & Fertilizer (Packs)||$187,500.00||$218,625.00||$243,329.63|
|Turkey Meat (Packs)||$157,500.00||$183,645.00||$204,396.89|
|Subtotal Direct Cost of Sales||$892,500.00||$1,040,655.00||$1,158,249.02|
Personnel plan of eggs farming
When you draft an eggs farming business plan, you must include a list of required workers along with their job descriptions. It is essential as managing a farm is a hectic doing. Even garlic farming business plan gives a tough time even though garlic is a static species with no excretion and cleaning requirements.
In this poultry egg farming business plan pdf, we’re listing the personnel plan of Eateries.
7.1 Company Staff
- 2 Managers
- 5 General Workers
- 10 Cleaners
- 1 Accountant
- 2 Record Keepers
- 1 Veterinary Doctor
- 1 Farmer
- 1 Web Developer
- 1 Driver
7.2 Average Salary of Employees
|Year 1||Year 2||Year 3|
Financial Plan of eggs farming
To ensure that your small farm egg business for sale yield the expected profits, it is essential to draw specific and realistic profit expectations meanwhile devising the strategy to materialize them. For that, you need an in-depth and 100pc accurate financial analysis in your business plan for egg laying farm. In this schedule, we are documenting the financial plan of Eateries, however, if you have any added aspects to your enterprise, you may also want to visit state farm agent business plan
8.1 Important Assumptions
|Year 1||Year 2||Year 3|
|Current Interest Rate||8.12%||8.20%||8.26%|
|Long-term Interest Rate||8.40%||8.44%||8.47%|
8.2 Break-even Analysis
|Monthly Units Break-even||5340|
|Monthly Revenue Break-even||$132,500|
|Average Per-Unit Revenue||$231.00|
|Average Per-Unit Variable Cost||$0.62|
|Estimated Monthly Fixed Cost||$163,800|
8.3 Projected Profit and Loss
|Pro Forma Profit And Loss|
|Year 1||Year 2||Year 3|
|Direct Cost of Sales||$892,500||$1,040,655||$1,158,249|
|TOTAL COST OF SALES||$892,500||$1,040,655||$1,158,249|
|Gross Margin %||73.43%||74.80%||77.19%|
|Sales and Marketing and Other Expenses||$145,000||$148,000||$156,000|
|Total Operating Expenses||$625,550||$674,435||$733,984|
|Profit Before Interest and Taxes||$1,840,700||$2,414,829||$3,185,916|
8.3.1 Profit Monthly
8.3.2 Profit Yearly
8.3.3 Gross Margin Monthly
8.3.4 Gross Margin Yearly
8.4 Projected Cash Flow
|Pro Forma Cash Flow|
|Cash Received||Year 1||Year 2||Year 3|
|Cash from Operations|
|Cash from Receivables||$22,000||$23,760||$25,661|
|SUBTOTAL CASH FROM OPERATIONS||$73,000||$79,570||$85,936|
|Additional Cash Received|
|Sales Tax, VAT, HST/GST Received||$0||$0||$0|
|New Current Borrowing||$0||$0||$0|
|New Other Liabilities (interest-free)||$0||$0||$0|
|New Long-term Liabilities||$0||$0||$0|
|Sales of Other Current Assets||$0||$0||$0|
|Sales of Long-term Assets||$0||$0||$0|
|New Investment Received||$0||$0||$0|
|SUBTOTAL CASH RECEIVED||$74,000||$79,000||$85,000|
|Expenditures||Year 1||Year 2||Year 3|
|Expenditures from Operations|
|SUBTOTAL SPENT ON OPERATIONS||$69,000||$70,000||$76,000|
|Additional Cash Spent|
|Sales Tax, VAT, HST/GST Paid Out||$0||$0||$0|
|Principal Repayment of Current Borrowing||$0||$0||$0|
|Other Liabilities Principal Repayment||$0||$0||$0|
|Long-term Liabilities Principal Repayment||$0||$0||$0|
|Purchase Other Current Assets||$0||$0||$0|
|Purchase Long-term Assets||$0||$0||$0|
|SUBTOTAL CASH SPENT||$69,000||$74,520||$80,482|
|Net Cash Flow||$21,000||$23,000||$25,000|
8.5 Projected Balance Sheet
|Pro Forma Balance Sheet|
|Assets||Year 1||Year 2||Year 3|
|Other Current Assets||$1,000||$1,000||$1,000|
|TOTAL CURRENT ASSETS||$282,000||$315,840||$355,004|
|TOTAL LONG-TERM ASSETS||$24,400||$27,328||$30,744|
|Liabilities and Capital||Year 4||Year 5||Year 6|
|Other Current Liabilities||$0||$0||$0|
|SUBTOTAL CURRENT LIABILITIES||$19,000||$21,280||$23,919|
|TOTAL LIABILITIES AND CAPITAL||$300,000||$329,280||$370,440|
8.6 Business Ratios
|Year 1||Year 2||Year 3||INDUSTRY PROFILE|
|Percent of Total Assets|
|Other Current Assets||2.11%||2.34%||2.59%||2.40%|
|Total Current Assets||149.80%||151.00%||152.00%||158.00%|
|Percent of Sales|
|Selling, General & Administrative Expenses||93.56%||96.09%||98.78%||97.80%|
|Profit Before Interest and Taxes||41.50%||42.62%||43.81%||33.90%|
|Total Debt to Total Assets||0.18%||0.18%||0.17%||0.40%|
|Pre-tax Return on Net Worth||74.08%||74.89%||75.00%||75.00%|
|Pre-tax Return on Assets||96.30%||101.12%||106.17%||111.30%|
|Additional Ratios||Year 1||Year 2||Year 3|
|Net Profit Margin||33.56%||34.60%||35.67%||N.A.|
|Return on Equity||55.80%||57.53%||59.31%||N.A.|
|Accounts Receivable Turnover||7.7||7.8||7.8||N.A.|
|Accounts Payable Turnover||15.6||16||16.3||N.A.|
|Total Asset Turnover||2.5||2.5||2.6||N.A.|
|Debt to Net Worth||-0.04||-0.03||-0.04||N.A.|
|Current Liab. to Liab.||1||1||1||N.A.|
|Net Working Capital||$244,000||$257,664||$272,093||N.A.|
|Assets to Sales||0.85||0.87||0.89||N.A.|
|Current Debt/Total Assets||1%||0%||0%||N.A.|
- How do I start an egg business?
You can start it by making a chicken egg farming business plan and then executing it in letter and spirit. If you need to know what an egg farm business plan looks like you can see this egg farm business plan pdf
- Is selling eggs a good business?
Yes. It’s a good startup due to the use of eggs in almost everything edible.
- How much can you make on the egg farm?
You can make as much as $10-30k per month in profit depending on your sales. In this egg farming business plan you can see how much Eateries made in the initial 3 years of their launch.
- What are the 4 types of egg farming?
The 4 types of egg farming are as follows:
- Barn egg production
- Organic egg production
- Free range egg production
- Laying cage egg production
OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.