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Broiler Production Business Plan

Analisa’s Farm Fresh plans to start a broiler business with a loan of $227,080 at a 6% interest rate, rearing 100 birds in six batches over a year. The total capital expense is $160,000, with expected recurring expenses of $67,080, leading to a total production cost of $212.14 per bird and an anticipated profit of $112,740 from total income of $749,160 across all batches.

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0% found this document useful (1 vote)
18 views4 pages

Broiler Production Business Plan

Analisa’s Farm Fresh plans to start a broiler business with a loan of $227,080 at a 6% interest rate, rearing 100 birds in six batches over a year. The total capital expense is $160,000, with expected recurring expenses of $67,080, leading to a total production cost of $212.14 per bird and an anticipated profit of $112,740 from total income of $749,160 across all batches.

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tiffanyanalisa
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© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Name of Business: Analisa’s Farm Fresh

 Analisa’s Farm Fresh will take a loan of $227,080 from the bank at 6% interest rate, to
start up a broiler business.
 100 broiler birds will be reared over a six weeks’ basis. There will be six batches of birds
for the one-year production cycle.
 At one square foot per bird, 100 birds will require 100sqft.
 The pen will be constructed at 110sqft, this includes the space for drinkers and feeders.
 One drinker and feeder will be adequate for 25 birds each, therefore, 4 drinkers and
feeders will be adequate to service 100 birds.
 Vaccinated day old birds will be purchased and brooded in said pen for 3 days.
 Kerosene stoves will be used to brood the chicks.
 A section of the pen will be cordon off to facilitate brooding.
 Two packs of vitamins and one pack of medication will be used for each batch.
Feed
 Broiler starter will be fed from weeks 1-3
 Broiler grower will be fed from weeks 4-5
 Un-medicated broiler grower will be fed at week 6
Using a feed conversion ratio of 1.9lbs of feed to 1lb live weight (1.9:1), it is estimated that the
birds will attain 5lbs body weight at six weeks (42 days), the estimated feed consumption are as
follows:
 Each bird will consume 9.5lbs of feed daily to attain 5lbs live weight.
 100 birds will consume 945lbs or 10 bags of feed for six weeks

 Broiler starter: 7 bags per day.


 Broiler grower: 3 bags per day.

 For the year, the birds will require 42 bags of starter and 18 bags of grower.
Mortality
Estimated mortality is 6%. Therefore 6 birds will die per batch and 42 birds will die for the one-
year period.

Shaving
 Shaving must be at least 4inches thick. One bag of shaving will cover approximately
10sqft of the pen, therefore, a 110sqft pen will require 11 bags of shaving. However, an
additional 4 bags will be stored to cater for wet spots.
Table of Capital Expense
Item Quantity Unit Price ($) Total Cost ($)
Pen 10 x11 sq ft 1 69,175 69,175
Shaving 15 bags - -
Baby Chicks 100 85 8,500
Kerosene Stove 3 2,000 6,000
Kerosene 3 gals 560 1,680
Medication 1 pk 1,200 1,200
Vitamin/Mineral 2 pks 1,500 3,000
Transportation 2,000 2,000
Starter 7 bags 5,100 35,700
Grower 3 bags 5,000 15,000
Drinker 4 1,600 6,400
Feeder 4 1,500 6,000
Total 154,655
Miscellaneous 3% 5,345
Grand Total 160,000

Total Cost: Capital expense + Recurring expense = $ 227,080

Table of Expected Recurring Expense


Item Quantity Unit Price ($) Total Cost ($)
Shaving 15 bags - -
Baby Chicks 100 85 8,500
Kerosene 3 gals 560 1,680
Medication 1 pk 1,200 1,200
Vitamin/Mineral 2 pks 1,500 3,000
Transportation 2,000 2,000
Starter 7 bags 5,100 35,700
Grower 3 bags 5,000 15,000
Grand Total 67,080

Table of Expected Total Expense


Expense Total ($)
Recurring Expense 67,080
Loan Repayment 38,990
Grand Total 106,070
Expected Income per batch
Sale Quantity Unit Price ($) Total Cost ($)
Plucked bird 329lbs 340 111,860
Foot, gizzard, liver, 19lbs 300 5,700
heart
Litter 23 bags 100 2,300
Offal 2, 5gal bucket 2500 5,000
Grand Total 124,860

Cost of Production: $212.14

Summary
Batch Income ($) Total Expense ($) Profit ($)
1 124,806 106,070 18,790
2 124,806 106,070 18,790
3 124,806 106,070 18,790
4 124,806 106,070 18,790
5 124,806 106,070 18,790
6 124,806 106,070 18,790
Total 749,160 636,420 112,740
UNIVERSITY OF Guyana john’s
campus

Asc-4202: POULTRY
PRODUCTION and management

TOPIC: BROILER PRODUCTION

NAME: Tiffany Jordan


USI: 1019999
LECTURER: Dr. Francis
DATE: 3rd March, 2017

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