Dear colleagues,
ProAgro Information Company has prepared a new informational product
DAIRY-FARM ORGANIZATION. ECONOMIC JUSTIFICATION
(1 000 heads)
The main benefit of a business planning is that a well
developed business plan reveals prospects of company development, so eventually
it answers the most vital question for an entrepreneur and an investor: is it
worth investing in this business and will it allow to make profits which will
suffice to repay all efforts and costs? Our business plan meets to the maximum
all the requirements of Ukrainian banks as for similar documents while providing
credits.
This study contains justification of a credit line opening
for milk production process organization. The project involves reconstruction of
the existing dairy-farm, purchase of equipment necessary for cows raising, sales
of milk and beef in live weight directly to procuring and milk- and
meat-processing enterprises.
Moreover, own basis of milk collection and cooling is the
main factor of survival and products promotion within the period of escalation
of competition on dairy stock market. Organization of such department is also
discussed in this business plan.
Main parameters of the project:
- planned feeder milk cow livestock – 1 000 cows (2 barns);
- management technology – yard and cubicle housing, on the
sand litter;
- feed – mixed, homotypic, well-balanced, conserved;
- planned milk sales volume – 8 thousand tons per year;
- planned meat sales volume in live weight – 270 tons per
year;
- credit line - $ 9.6 mln., 7 tranches;
- crediting period – 10 years;
- lending rate is 11% in US$;
- the project payback period – 117 months.
|
Integral indicators of the project efficiency |
|
Indicator |
Value |
|
Payback period |
117 months |
|
Average profitability rate |
10.56 % |
|
Net present value, US$ thousand |
418.4 |
|
Profitability index |
1.06 |
|
Internal rate of return |
0.93 |
|
Duration |
6.5 years |
The project analysis conducted according to the "Monte Carlo
method", under unfavorable conditions provides sustainable positive forecasts:
insignificant increase of the payback period, reduction of the average
profitability rate and present value. It gives evidence of quite a high level of
the project risk sustainability, its investment attractiveness and a guarantee
of the bank credit reimbursement according to the terms agreed.
The project calculation part is in a separate appendix,
which provides an opportunity to conduct recalculation depending on the change
of input indicators. The appendix enables to export obtained table and graphical
results of calculation and analysis to a text editor.
|
Table of Contents
DAIRY-FARM ORGANIZATION.
ECONOMIC JUSTIFICATION
|
|
 |
1. Introduction
1.1. General remarks
1.2. Brief market characteristic
2. Enterprise description
3. Products description
4. Description of milk production
technology
5. Marketing plan
5.1. Overview of dairy cattle
husbandry
5.2. Competition on industry milk
consumer market
5.3. Price formation on dairy market
6. SWOT – analysis
7. Investment plan
8. Operational plan
9. Financial plan
10. Project results
11. Project analysis
12. Project risk sustainability
13. Conclusions
14. Information sources used
15. List of tables, pictures, and diagrams
|
The project consists of two parts: descriptive and calculation part. The calculation part is a special
Russian-language software (it is a component of the project set together with a manual) that enables a user to change on his/her own account the project initial parameters depending on the specific conditions, to conduct all the necessary economic calculations and to analyze the project economic efficiency.
Furthermore, ProAgro Company is ready to prepare upon a separate request a business plan on a
milk production organization for your enterprise.
The price for this business plan is USD 1 200 / EUR 850. Regular customers of ProAgro Company are provided with a discount.
To obtain an additional information and to order a sample business plan
"DAIRY-FARM ORGANIZATION. ECONOMIC JUSTIFICATION" please send a request in free format to
ProAgro Information Company by E-mail: info@proagro.com.ua or just call +38 (044) 586-41-20, 489-50-20. |
