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Seed Co Business Plan

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Mzamani Logistics

Post Dot Net X119

Business Plan for Distributorship for Seed Co (Malawi)

1) Introduction
Mzamani is an agro-focussed business company that has delved in and stayed in agricultural
supply and produce for several years. As a company that has been in agri-supply and produce
with focus on the whole agricultural value chain starting from farm inputs to the market.
Mzamani takes on a wide range of tasks in the agricultural value chain. Currently, Mzamani has
been working in the government’s Agricultural Input Program focussing on transportation,
warehousing and sales.

2) Market Perceptions
As per Seed Co’s perspective and the perspective of all involved in the supply, distribution and
sales of farm inputs, the market for seeds and all farm inputs keeps on growing following the
trend in demographic dynamics and economic drivers. Currently, the demands for agricultural
inputs is growing in-line with government’s yearly agricultural development goals. Farming
enterprises and more focused and output targeted farming has taken lead and therefore growth
opportunities for farm input business including distributors and resellers. In the EPAs under
focus, taking Lizulu and surrounding areas as an example, there are an estimated over 100,000
farmers. This offers a great and promising market to our enterprising as distributors of farm
inputs under Seed Co.

3) Target Market and Customer Preferences


Our clientele will be made up of subsistence and commercial farmers that grow out of season
crops and in season farmers that will need inputs for their yearly farming projects. In our target
EPAs, farmers have always longed for sustainable and continuous supply and sale of farm inputs
at a price and availability that will suit their demand, capacity and ability. Our distribution chain
and the sales strategy of Seed Co will carter for these needs.

4) Pricing
Pricing will depend on Seed Co’s guidelines for pricing farm input products. Further, we will
work around our cost of sales and operating expenses to streamline our operations to reach our
projected profits while delivering quality sales service.

5) Publicity and Advertising


We will be operating from trading centres within EPAs that have a high number of farmers.
These will know of the business’s presence as we will be operating from premises that are large
enough, spacious and well painted and branded to indicate a Seed Co outlet. We will also use
road side signage that shall be prominent and will portray a strong image for the business.
6) Organization and Personnel
Mzamani has a standing team of administrative management personnel and for purposes of the
farm input outlets we will further employ the following per outlet:

 Supervisor
 3 Sales clerks per outlet or as guided by Seed Co
 3 Security guards per outlet or as guided by Seed Co.
Our company already has the following permanent personnel positions:
Managing director, Administrative Manager, Finance Manager, Sales and Operations
Manager, Accountant, Sales officer (2), Warehouse clerk, Office assistant and Driver

7) Competition
The distributorship will face competition from other farm input suppliers like SFFRFM and
other farm input suppliers. Our service delivery and customer centred business operations
coupled with Seed Co’s guidance in pricing and prominence of our operating premises will give
Mzamani a competitive advantage in the market.

8) Financial Plan
Mzamani has adequate financial capital in excess of the minimum requirement of
MK30,000,000.000 as required to carter for the operation of the business.
We have a financial team that collects all records pertaining to business transactions and
produces financial statements and management reports. These reports are used by management
for business analysis and control. Where necessary the systems, processes and procedures are
twitched to improve business operations.
We will keep track of our performance for review and redress as this will be the first year of
operation the business with Seed Co, as we strive for quality of operations and service as well as
keeping our returns well above our cost of capital.
9) Infrastructure
We have the following infrastructure at our disposal as shown in the attachments that is
available for use in the distributorship business.

 Business premises
 30 tonne trucks
 Warehousing
Attachments:

1. Bank guarantee
2. Registration certificate
3. Tax clearance certificate
4. Identification document (ID)
5. Two passport photos
6. Two references
7. Photos: Place of residence, Business premises in chosen EPA, Transportation, Warehousing,
Place of residence

Area 47/3/145 Chiwamba Street

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