Cattle Farm Business Plan, Marketing Plan, How To Guide, and Funding Directory
The Cattle Farm Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Cattle Farm business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.
Your Business Planning Package will be available for download after your purchase.
Product Specifications (please see images below):
- Bank/Investor Ready!
- Complete Industry Research
- 3 Year Excel Financial Model
- Business Plan (26 to 30 pages)
- Loan Amortization and ROI Tools
- Three SWOT Analysis Templates
- Easy to Use Instructions
- All Documents Delivered in Word, Excel, and PDF Format
- Meets SBA Requirements
Cattle farms can be highly lucrative businesses to operate provided that the owner understands how to properly raise cattle for both milk and meat production. These businesses have unusually high startup and ongoing operating expenses given the amount of land that is needed, the amount of feed that is needed for the cattle, and the ongoing underlying expenses of having a number of farmhands on staff. Typically, a new cattle farm will have a startup costs ranging anywhere from $500,000 all the way to $5 million depending on the initial scope and scale of the business. Most importantly, any farmer that is looking to get into cattle raising is going to need a significant amount of working capital on hand to support the initial operating expenses while the initial cattle herd is being raise.
Almost all lenders are willing to provide a significant amount of loans and lines of credit to cattle farms given their economically secure nature. Additionally, most investors are willing to put up the equity portion needed to get a cattle farm of the ground while concurrently securing financing such as a real estate loan for the actual acquisition of the land. Anyone that is raising capital for this type of business is going to need to have a business plan. The cattle farm business plan should include a three year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page that follows industry-specific guidelines for raising a herd of cattle. The cattle industry should also be examined given that it is one of the largest industries in the United States as it generate in excess of $50 billion your revenue. Beyond the financial information, a business plan should also have an examination of the customers that will be targeted for the beef and milk that will be produced. Typically, most cattle farms have ongoing purchase order arrangements with slaughterhouses as well as local restaurants that want to source their beef locally.
A cattle farm marketing plan is also going to be required. This marketing plan – again – should focus heavily on obtaining ongoing purchase order relationships with major food producers, supermarkets, and restaurants. One of the trends that has happened lately with the United States is that many restaurants are seeking to source their beef locally from regional forms. This is one of the best ways that a cattle farm can increase its brand name visibility given that many restaurants will include the form name on their menu when using the beef produced from their location.
Many cattle farms also maintain a proprietary website that showcases the farm operation, the herd of cattle, the people that started the business, and other pertinent information about how the cows are raised for milk and beef production. Beyond a proprietary website, a cattle farm will also have a presence on social media including platforms such as FaceBook, Twitter, Instagram, and Google+. On these social media platforms – many owners of cattle farmers will upload images of the cattle, the farm, and the people working at the farm so that the brand name of the location is clearly displayed.
Outside of the business plan and marketing plan – many people will develop a cattle farm SWOT analysis. As it relates the strengths, beef and cows’ milk are very popular within the United States. As such, these businesses are relatively immune from negative changes in the economy given that these products are demand that all times. Relating to weaknesses, these businesses have extremely high operating costs as well as highly variable input costs. The pricing for beef, milk, and livestock feed fluctuate on a day-to-day basis. As such, special attention needs to be paid to these ongoing fluctuations in price as a can drastically impact the profit and loss statement of the cattle farm. It should be noted that there are a number of farm management companies that work with cattle farmers in order to hedge certain commodity prices in order to ensure a smooth operating year. For opportunities, many cattle farmers will seek to expand the number of facilities they operate, the size of their herd, and equipment that is used in the process of obtaining milk from cows. Once a cattle farm is profitable it is very easy to obtain additional financing in order to rapidly expand operations. For threats, there are a continuous number of changes that are occurring on a regulatory basis as it relates to farms. A farmer is going to need to have a qualified attorney on retainer so that any major changes to regulations are well-known by the farmer so that they can implement them into their operating protocols and procedures. Additionally, outside threat to any agriculture or farming business is the risk of disease. However, by adhering to modern farming principles these risks can be substantially ameliorated.
In conclusion, a cattle farm can be a highly lucrative business for an active owner operator. While the ongoing operating expenses can be high, the profitability of these businesses can be substantial over a five year period.