This document provides a business plan for a goat farming operation called Sinco Brothers located in Pug-Os, Cabugao, Ilocos Sur. The plan details raising goats for meat production and marketing the chevon locally. It covers objectives to increase goat production and farmer incomes. The operation will utilize 3 hectares of land for grazing, housing, and forage production. Over 3 years of operations, the plan projects annual sales, expenses, and a return on investment of 64.77%. The proponents conclude they will gain more profit by working the business well and potentially expanding in the future.
3. IV. RATIONALE
Raising goat in the Philippines is one of the best businesses for small
and big enterprises. In farmers, raising goat is just to supplement their
household income while big raisers/enterprises could also export chevon
meat. This is a very popular livelihood among rural areas where it provides
meat and extra income for the family. The demand of goat farming offers
great and high income especially here in Ilocos where Ilocanos’ like us
considered to be a chevon lover, where kilawen, kaldereta, and sinkutsar
the most popular cuisine that always served in dining especially in fiesta
and other occasions.
Other advantages of goat farming are they mature earlier, have higher
quality and capable of being multiparous. It can easily integrate with crop
base and have an increasing demand especially in our province.
4. V. INDUSTRY
Operating a goat farming requires a low skill level among farmers. But
such project is a labour intensive procedures which entails the training and
employment of large number of local community members. This project is a very
popular livelihood among us farmers, whereas raisers/enterprises/proponents
will operate, sell/market goat to restaurants and to anyone who wants to buy a
goat.
5. VI. PROJECT DESCRIPTION
The proponents are needed 3 hectares of land. They will do semi-intensive
grazing because this is better than other grazing. Semi-intensive is allowing the
goat to graze at least 8-10 hours of day and confine at night. And in rainy season,
they will do cut-and-carry method to avoid parasitism and death due to
coldness/rain.
3 hectares of land
1 1/3 hectares (will be grazing area
11 paddocks will build at this area
Rapid rotational grazing will use, in which 3 days and a half day
the goats will be transferred to another paddocks and not
allowing the goats to go back at previous paddock until 30 days.
This is to minimize parasitism.
1/3 hectare
- For parturition/kidding stall/pen
1/3 hectare
- For isolation pen – this is where sick animals are cared
2/3 hectare
- For forage plantation
1/3
- Storage house/area.
6. VII. PROJECT OBJECTIVES
TO INCREASE THE PRODUCTION OF GOAT IN OUR LOCALITY
TO HAVE HIGHER AMOUNT OF INCOME
TO HELP NEIGHBOR IN TERMS OF INCOME AND LIVELIHOOD
TRAINING
TO MARKET HIGH QUALITY CHEVON
TO PRODUCE SUFFICIENT QUANTITY OF CHEVON IN OUR
LOCALITY
TO MULTIPLY THE NUMBER OF HIGH QUALITY STOCKS.
7. VIII. MARKETING ASPECT
A. PRODUCT OF SERVICES
The product will be open for anyone who wants to buy. But the primary
buyers of the product are the owner of restaurant/eatery that are serving
chevon.
B. PRICING SCHEME
Price is a better fit with customer’s perspective. Value-based pricing
allows us to be more profitable, meaning we can acquire more resources
and grow the business.
Value-based pricing is setting a price based on how much the customer
believes what you’re selling is worth.
It’s important when we consider the price that we realize it is not for
ourselves, but for the target customers.
C. PROMOTION OF ADVERTISEMENT
The Promotion of the product will on social media like facebook, because
in this era, almost people or 80% of the population know how to operate
cellphones and they are capable of using it. It is more likely to lessen the
expenses in promotion using social media like facebook.
8. D. PRODUCT DISTRIBUTION STRATEGIES
The proponents will be the producer and directly sell the product to
restaurants/eatery that are serving chevon as one of their cuisine or
also called as “DIRECT DISTRIBUTION”
E. TARGET MARKET SHARE AND PROFIT OBJECTIVES
The target market shares and profit objectives of the proponents are:
To maximize long-run profit
Increase sales volume (quantity)
Increase market share
Obtain a target rate of return on sales and return of investment
9. IX. PRODUCTION/TECHNICAL ASPECT
A. ESTABLISHMENT OF FORAGE PLANTATION
B. STOCK SELECTION
AGE – 9 month-old
BREED – purebred boer and anglo-nubian
SEX – good breeder
HEALTH – alert and active with good appetite
BODY CONSTITUTION AND VIGOR – well sprung ribs and a large hearth
girth low set
C. CARE AND FEEDING MANAGEMENT
HOUSING AND EQUIPMENT SYSTEM – STILTED TYPE
FEEDING MANAGEMENT – DRUMS AND TIRE AS WATER TROUGH
D. HEALTH MANAGEMENT
VACCINATION – AGAINST EMERGING AND RE-EMERGING DISEASES
DEWORM – TO ELIMINATE PARASITE
VITAMINS – FOR SUPPLEMENTS
E. MARKETING
Market when they are mature and be sold to livestock auction market on
per head basis or either live weight basis.
10. X. ORGANIZATION AND MANAGEMENT ASPECT
A. MANAGEMENT DURING THE PRE-OPERATIVE PERIOD
The proponents will hire and train persons capable of the work to be done
in the project and can accomplish the objectives of the business.
The proponents will also buy all the necessary equipment and tools to be
used during the operation.
The proponents will assure that all the employees to be hired will have
enough skills and experienced before jumping to operating period.
B. MANAGEMENT DURING OPERATING PERIOD
The proponents shall provide all services customarily provided by the
partners including the financial, marketing and human resources to take
reasonable steps to include promotions being offered by the partners to
enable the business its operations accordance for the expansion of project.
C. LABOR
The proponents will be hired skilled labourer and non-skilled labourer.
The non-skilled labourer will work primarily with their hands meaning
they will capable for the cut-and-carry and they are the one who will
transfer the goats to other paddock.
They will also looked unto the water trough and feeder of the goats.
The skilled labourer will serve as the foreman and he will also capable for
the medication of goats and other services that be needed in the project.
11. XI. FINANCIAL ASPECT
A. TOTAL PROJECT COST
- Php 6,000,000.00
B. SOURCE OF FINANCING
- Partnership until obtain the said amount
C – D. FINANCIAL ASSUMPTIONS AND STATEMENTS
NAME QUANTITY UNIT PRICE TOTAL PRICE
Animal Purchase 100- does
4 - buck
Php 15,000/head
Php 18,000/hd
Php 1,500,000
Php 72,000
Subtotal Php 1,572,000
MATERIALS
Galvanized iron
sheet
500 pcs 500/pc 250,000
wood 30 pcs (2x3) 350/pc 10,500
40 pcs (2x4) 450/pc 18,000
Nail (diff. sizes) 20 kgs 80/kg 1,600
Fencing wire 1,000 m 30/m 30,000
Tie wire 5 kg 80/kg 400
Steel 200 pcs (9mm) 170/pc 34,000
90 pcs (12mm) 210/pc 18,000
60 pcs (14mm) 290/pc 17,000
cement 150 bags 320/bag 48,000
sand 5 loads 1,500/load 7,500
Hollow blocks 1,500 pcs 10/pc 15,000
Subtotal Php 450,000
EQUIPMENT
Water container 11 pcs 800/pc 8,800
hose 1,000 meters 40/meter 40,000
Water pump
(diesel)
1 piece 12,500/piece 12,500
Generator system 1 piece 11, 500/pc 11,500
Extensions 10 (50 mts) 350/m 3,500
bulb 30 pcs 150/pc 4,500
bolo 3 pcs 200/pc 600
Wheel barrow 3 pcs 5000/pc 15,000
scythe 10 35/pc 350
subtotal Php 96,750
12. Labor (building
paddocks and
housing)
10 laborer x
350/day
10 persons x
350/day x 6 days
x 4 weeks x 4
months
336, 000
Snacks for labor 500/day 500/day x 6 days
x 4 weeks x 4
months
48,000
subtotal Php 384,000
Labourer for 3
years
2 non-skilled –
300/day/person
1 skilled
labourer -
350/day
600/day x 6 days
x 4 weeks x 12
months x 3 years
350/day x 6 days
x 4 weeks x 12
mos. X 3 years
518,000
302,400
Subtotal Php 820,400
Veterinary
medicines
Php 20,000
Land 3 hectares 700,000/ha. Php 2,100,000
water 1,500/month X 3 years Php 54,000
electricity 1,200/month X 3 years Php 43,200
Zoning and
permits
Php 50,000
Other expenses Php 50,000
GRAND TOTAL 5,640,350.00
13. XII. ENVIRONMENTAL AND SOCIOECONOMIC ASPECT
Raising goat have high return income. The project will showcase the
technology of livestock raising by using organic practices. The animal
manure/wastes will be converted into organic fertilizer that will be added
to the soil for the forage production. This will reduce the cost of fertilizer
for the maintenance of forage production.
The business have zoning permits so it can operate according to
environmental standard.
14. XIII. PROJECTION OF THE PROJECT
1st bred
AT JUNE 2020, 100 DOES WERE BREED, AND EXPECTED KIDDING WILL BE
ON NOVEMBER 20, 2020.
@ 100 DOES kid on November 22, 2020, the kids weaned on February 20, 2021
- 35 DOES KID 2 KIDS/HEAD – 70
- 45 DOES KID 1 KID/HEAD – 45
- 30 DOES KID 3 KIDS/HEAD- 90
205 KIDS
At April 2021, 200 goat were sold @ a price of Php 9,200.00/head and sold at
Php 1,840,000.00.
2nd bred
At March 17, 2021, 97 does were breed again and the target parturition will be
on August 15, 2021.
15. @ 97 does
- 19 does kid 1 kid/head – 19
- 44 does kid 2 kids/head – 88
- 34 does kid 3 kids/head – 102
209 kids weaned on November 17, 2021.
On December 2021, the 203 goats were sold at a price of 9,400/head and sold
at Php 1,908, 200.00
3rd bred
On December 15, 2021, 90 does were bred and target kidding will be on May 10,
2022.
@ 90 does
- 50 does kid 2 kids/head – 100 heads
- 35 does kid 3 kids/head – 105 heads
- 5 does kid 1 kid/head – 5 heads
210 heads weaned on August 20,
2022.
On September 2022, the 200 goats were sold at 8,700/head and sold at Php
1,740,000.
16. 4th bred
On September 1, 2022, 100 does were bred and the expected parturition will be
February 2023,
@100 does
35 does kid 2 kids/head – 70
40 does kid 3 kids/head – 120
30 does kid 1 kid/head – 30
210 heads
On end of May 2023, the 210 goats were sold at 9,300/goat and sold at
1,953,000.00
5th bred
On June 7, 2023, 95 does were bred again and the expected kidding will be on
November 2023.
@95 does
35 does – kid 2 kids/head – 70
35 does kid 3 kids/head – 105
25 does kid 1 kid/head – 25
200 kids
On April 2024, 195 kids were sold at 9,500/head and sold at 1,852,500.00
17. XIV. PROJECT INCOME
TOTAL SALES
No. of bred Total kids mortality Sell at price per
head
Income for the kids
sold
1st bred 205 5 9,200/head 1,840,000.00
2nd bred 209 6 9,400/head 1,908,200.00
3rd bred 210 10 8,700/head 1.740,000.00
4th bred 210 0 9.300/head 1,953,000.00
5th bred 200 5 9,500/head 1,852,500.00
Grand total 9,293,700.00
PERCENTAGE OF ROI
TOTAL INCOME FOR 3 YEARS 9,293,700.00
TOTAL EXPENSES FOR 3 YEARS 5,640, 350.00
TOTAL ROI (RETURN OF
INVESTMENT)
3,653,350.00
ROI = RETURN /EXPENSES X 100
% OF ROI 64.77 %
XV. FINAL STATEMENT
The proponents concluded that they gained profit from their business but
not too much, and in several years of their enterprising and marketing,
they will surely gain more profit and may also expand their business if
they work it well.