YAHAYA ALHAJI BELLO

TEL: 08036165290

Consultant/Business Development by: End to End Agri Business Project

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YAHAYA ALHAJI BELLO
TEL: 08036165290

YAHAYA
ALHAJI
BELLO
ONION
PROCES
SING &
PACKAG
ONION
ING POWDER
Business Plan
ADDRESS:
Dumdaye Area, Sokoto State.

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Table of Contents
EXECUTIVE SUMMARY...........................................................................................................................3
BUSINESS OVERVIEW.............................................................................................................................5
VISION...............................................................................................................................................7
MISSION............................................................................................................................................7
OBJECTIVES........................................................................................................................................7
THE CURRENT STATUS OF THE BUSINESS..........................................................................................7
TARGET MARKET...............................................................................................................................8
SUSTAINABLE DEVELOPMENT CHAIN....................................................................................................9
ONION MARKET DISTRIBUTION.........................................................................................................9
OUR PRODUCT OFFERING....................................................................................................................10
BUSINESS STRUCTURE.........................................................................................................................10
ROLES AND RESPONSIBILITIES.........................................................................................................11
PRODUCTION ORGANOGRAM.............................................................................................................17
SWOT ANALYSIS...................................................................................................................................18
MARKET ANALYSIS...............................................................................................................................21
MARKET TRENDS.............................................................................................................................21
OUR COMPETITIVE ADVANTAGE.....................................................................................................21
SALES AND MARKETING STRATEGY.....................................................................................................24
SOURCES OF INCOME......................................................................................................................26
SALES FORECAST..............................................................................................................................26
PRICING STRATEGY..........................................................................................................................27
PAYMENT OPTIONS.........................................................................................................................29
PUBLICITY AND ADVERTISING STRATEGY............................................................................................30
FINANCIAL PROJECTIONS AND COSTING.............................................................................................32
FINANCIAL MODEL...............................................................................................................................33
LOAN AMOUNT...................................................................................................................................35
FUND RAISING YAHAYA ALHAJI BELLO ONION PROCESSING & PACKAGING BUSINESS...................36
SUSTAINABILITY STRATEGY..............................................................................................................36

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EXECUTIVE SUMMARY

Yahaya Alhaji Bello Onion Processing & Packaging Business situated at

Dumdaye Area Sokoto Sokoto GRA is an organic onion processing and

packaging Business society that processes and packages onions grown b

grassroots farmers within and around Sokoto state. Vegetables processed from

these grassroot farmers are packaged and sold both in Sokoto and to all other

states in Nigeria.

Yahaya Alhaji Bello Onion Processing & Packaging Business will process

onion bulbs in commercial quantities and produce powder from it which will

be packaged in 80g, 250g or 500g water proof transparent bags in order to

create a good view of the product within and also package in an economical

way that facilitates ease of transporting the product as well as reduces the

carbon footprint on the environment when compared to packaging in PVC

bottles.

By this means we believe that we will be able to contribute our quota in

growing the Nigerian economy. We target the millions of house both within

and outside Sokoto metropolis. Also other buyers are considered which

includes the restaurants, hotels, whole sellers, catering services, exporters,

food processing companies etc.

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In 2012, about 240,000 tons of green onions and 1,350,000 tons of dry

onions were produced in Nigeria alone, excluding the rest of Africa, or the

world at large. This large figure places Nigeria on the list of the top 10 largest

producers of onions in the world. With a 5.5% global share of green onions and

1.65 of the global share of dry onions in 2012 alone, the potential in onion

farming in Nigeria or anywhere else in Africa continues to glow brighter with

every passing year. The ease of cultivation, widespread uses, and excellent

health and financial benefits of onions make them a top choice in the

preparation of most meals in Nigeria. This high demand hasn’t just made onion

farming a top agribusiness choice to venture into, but has made it a source of

constant recurrent revenue for thousands of farmers in Nigeria and many

other countries around the world.

Yahaya Alhaji Bello Onion Processing & Packaging Business is well

positioned to become one of the leading commercial onion processing and

packaging Business society in Nigeria, which is why we have been able to

source for the best hands and farm machinery to run the facility with. We have

put processes and strategies in place that will help us employ best practices

when it comes to commercial onion processing and packaging as required by

the regulating bodies in Nigeria.

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We will ensure the production of high-quality onion powder and will

ensure that we make timely and profitable delivery to out client at all time.

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BUSINESS OVERVIEW

The most promising option for production is the 250g package. Which

are sold mostly to the upmarket suburbs and city centrals that appreciate

exotic foods and supplements.

The vegetables Onions that we utilize as raw material will be grown by

mainly contracted farmers that harvest them early in the morning of the

delivery date so that they will be processed immediately into dried diced onion

and pulverized then graded for packaging. Onion is one of the most consumed

vegetables in the world simply because they have so many valuable medicinal

applications due to the nutrients, vitamins, minerals and organic compounds

contained in them, including the presence of sulfuric compounds and

quercetin in traces of the essential oils. Onions also contain mineral

components such as calcium, magnesium, sodium, potassium, selenium and

phosphorus, and they are a good source of vitamin C, vitamin B6, and dietary

fibre.

The onion production business that onion processing and packaging is a

part of, you will agree that the onion production business is anticipated to

increase due to increasing consumer health consciousness, which has led to

increasing demand for fresh produce. While per capita fruit and vegetable

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consumption has remained stable in recent time, the price of vegetables has

increased as consumers demand premium, fresh vegetables.

Onion processing and packaging indeed a fast – growing industry and

pretty much active in all countries of the world. As a matter of fact, The

Netherlands has some of the largest greenhouses in the world where

vegetables are cultivated. That is the scale of food production in the country so

much so that in 2000 alone, greenhouses occupied about 10,526 hectares, or

0.25 percent of the total land area.

In the United States of America alone, there are about 76,459 registered

and licensed vegetable farms (including onion farmers) scattered all across the

United States responsible for employing about 317,590 and the industry rakes

in a whooping sum of $26 billion annually. The industry is projected to enjoy

2.5 percent annual growth, farmers can now comfortably grow onions and

varieties of vegetables in a country where such crops can hardly survive.

Onion processing and packaging is indeed a profitable business venture

and it pays for the suppliers of the raw material (farm onions) to cultivate

other vegetables alongside onion in order to maximize profit and the good

thing is that other vegetables do pretty well when they are cultivated alongside

onions.

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VISION

Our Vision is to become one of the leading onions processing and

packaging brand not just in Nigeria but also on the global stage.

MISSION

As a Business society, our mission is to go into full – time, all season

processing and packaging of onions that will not only be consumed in Nigeria,

but also exported to other parts of the world.

OBJECTIVES

To adhere strictly to hygiene at every stage of our value chain development, To

increase market share, Ensure customer satisfaction to produce high quality

onion products in line with best practices, To attain profitability, To create jobs

for 150 youths in our community over the span of 3 years.

THE CURRENT STATUS OF THE BUSINESS

Nigeria onion production in estimated at about 621, 000 tons annually

ranked 24th in the world and 4 th in Africa behind Egypt, Algeria and Morocco.

This shows that the market is large enough to accommodate new investors.

Onion is a unique vegetable considering its ease of cultivation, widespread

uses when processed and excellent health and financial benefits.

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TARGET MARKET

Yahaya Alhaji Bello Onion Processing & Packaging Business’s target

market is divided into two the household consumers and the business owners,

the household consumers is estimated to be about one million household and

fifty thousand business people. Naturally, the target market of those who are

the end consumer of onion production business produce and also those who

benefits from the business value chain of the onion production business is all

encompassing; it is far – reaching. Every household consumes produce from

onions. In essence an onion farmer should be able to sell his or her product to

as many people as possible.

We will ensure that we position our business to attract consumers of

fresh vegetables and onions not just in Sokoto State alone but also other parts

of the world which is why we will be exporting some of our onions either in

raw form or processed form to other countries of the world.

Remarkably, the market potential is quite huge and growing. Broadly,

the market is divided into Business and Consumer markets.

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SUSTAINABLE DEVELOPMENT CHAIN

ONION MARKET DISTRIBUTION

ONION MARKET
HOUSEHOLD CUSTOMERS

BUSINESS CUSTOMERS

EATERIES

HOTELS

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OUR PRODUCT OFFERING

Yahaya Alhaji Bello Onion Processing & Packaging Business is a

commercial farm that will be involved in processing and packaging onions for

both Nigeria and the global market. We are in business to process it in

commercial quantities.

We are in this line of business to make profit and create jobs for the

large and growing scale of unemployed youths. We will ensure that we do all

that is allowed by the law of the country to achieve our business goals and

objectives. These are the areas we will concentrate on in our onion farms.

BUSINESS STRUCTURE

Yahaya Alhaji Bello Onion Processing & Packaging Business is a

commercial onion business that intends starting small in Sokoto, but hope to

grow big in order to compete favourably with other leading commercial

vegetable farms in the commercial farming and processing industry both in

Nigeria and on the global stage. We are aware of the importance of building a

solid business structure that can support the picture of the kind of world class

business we want to own. This is why we are committed to only hire the best

hands in and around Nigeria.

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At Yahaya Alhaji Bello Onion Processing & Packaging Business, we will

ensure that we hire people that are qualified, hardworking, dedicated,

customer centric and are ready to work to help us build a prosperous business

that will benefit all our stakeholders (the owners, workforce, and customers).

As a matter of fact, profit-sharing arrangement will be made available to

all our Business members and it will be based on their performance for a

period of five years or more as agreed by the EXCOs. In view of the above,

Yahaya Alhaji Bello Onion Processing & Packaging Business have decided to

hire/designate qualified and competent hands/members to occupy the

following positions;

 Chief Operating Officer

 General Manager

 Production (Onion) Manager/Supervisor

 Sales Executive/ Finance Manager

 Administrator/Accountant

 Front Desk Officer

 Production and Distribution Labour

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ROLES AND RESPONSIBILITIES

Chief Operating Officer – CO (Chairperson):

Increases management’s effectiveness by recruiting, selecting, orienting,

training, coaching, counselling, and disciplining managers; communicating

values, strategies, and objectives; assigning accountabilities; planning,

monitoring, and appraising job results; developing incentives; developing a

climate for offering information and opinions; providing educational

opportunities

Responsible for fixing prices and signing business deals

Responsible for providing direction for the business

Creates, communicates, and implements the organization’s vision, mission,

and overall direction – i.e. leading the development and implementation of the

overall organization’s strategy

Responsible for signing checks and documents on behalf of the company

Evaluates the success of the organization

General Manager

Responsible for the planning, management and coordinating all farm activities

across the various sections on behalf of the organization

Supervises other section managers

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Ensures compliance during project executions (especially in the construction of

greenhouse and hothouse et al)

Provides advice on the management of farming activities across all sections

Responsible for carrying out risk assessment

Uses IT systems and software to keep track of people and progress of the

growth of crops

Responsible for overseeing the accounting, costing and sale of product after

harvest

Represents the organization’s interest at various stakeholders’ meetings

Ensures that farming goals are achieved, the most efficient resources

(manpower, equipment, tools and chemicals et al) are utilized and different

interests involved are satisfied. Responsible for preparing financial reports,

budgets, and financial statements for the organization

Responsible for overseeing the smooth running of HR and administrative tasks

for the organization

Handles all financial transactions for the company

Defines job positions for recruitment and managing interviewing process

Carries out staff induction for new team members

Responsible for training, evaluation and assessment of employees

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Oversees the smooth running of the daily farming activities across the various

farm sections

Administrator/Accountant

Responsible for overseeing the smooth running of HR and administrative tasks

for the organization

Defines job positions for recruitment and managing interviewing process

Carries out staff induction for new team members

Responsible for training, evaluation and assessment of employees

Responsible for preparing financial reports, budgets, and financial statements

for the organization

Responsible for financial forecasting and risks analysis

Responsible for developing and managing financial systems and policies

Responsible for administering payrolls

Ensures compliance with taxation legislation

Handles all financial transactions for the farm

Serves as internal auditor for the farm

Production (onion )Manager/Supervisor

Responsible for the production/processing of onions into end products.

Supervises other workers within the department

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Works closely with the General Manager to achieve the organizations’ goals

and objectives

Sales Manager

Identifies, prioritizes, and reaches out to new partners, and business

opportunities et al

Identifies development opportunities; follows up on development leads and

contacts; participates in the structuring and financing of projects; assures the

completion of relevant projects

Writes winning proposal documents, negotiate fees and rates in line with

company policy

Responsible for handling business research, marker surveys and feasibility

studies for clients

Responsible for supervising implementation, advocate for the customer’s

needs, and communicate with customers

Develops, executes and evaluates new plans for expanding increase sales

Documents all customer contact and information

Represents the company in strategic meetings

Helps to increase sales and growth for the farm

Front Desk/Customer’s Service Officer

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Welcomes guests and clients to the farm/factory by greeting them in person or

on the telephone; answering or directing inquiries.

Ensures that all contacts with clients (e-mail, walk-In centre, SMS or phone)

provides the client with a personalized customer service experience of the

highest level

Through interaction with clients on the phone, uses every opportunity to build

client’s interest in the company’s products and services

Manages administrative duties assigned by the manager in an effective and

timely manner

Consistently stays abreast of any new information on the farm’s products,

promotional campaigns etc. to ensure accurate and helpful information is

supplied to clients

Receives parcels/documents for Yahaya Alhaji Bello Onion Processing &

Packaging Business.

Distributes mails in Yahaya Alhaji Bello Onion Processing & Packaging Business

Handles any other duties as assigned by the line manager

Production and Distribution Labour

Executes all instructions and assignments allotted by the production and sales

managers respectively.

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PRODUCTION ORGANOGRAM

Proudction Labour

Production
Manager/Supervisor Cleaner
(Food technician)

Security

Chief Operating Labour (Distribution

Sales Manager

Delivery Assistant

Administrative/
Front Desk Officer
Accountant

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SWOT ANALYSIS

We are quite aware that there are several large, medium and small-scale

onion production business all over Sokoto and even in the same as ours, which

is why we are following the due process of establishing a business.

We know that if a proper SWOT analysis is conducted for our business,

we will be able to position our business to maximize our strength, leverage on

the opportunities that will be available to us, mitigate our risks and be well

equipped to confront our threats.

Yahaya Alhaji Bello Onion Processing & Packaging Business employed

the services of an expert HR and Business Analyst without bias in the

commercial farming industry to help us conduct a thorough SWOT analysis and

to help us create a business model that will help us achieve our business goals

and objectives.

Here is a summary of the result of the SWOT analysis that was conducted on

behalf of Yahaya Alhaji Bello Onion Processing & Packaging Business;

Strength:

Our strength as an onion processing and packaging Business is that we

have healthy relationships with loads of major players (agriculture merchants)

in the agriculture industry; both suppliers and buyers within and outside

Sokoto State. We have some of the latest onion production machines; tools

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and equipment that will help us cultivate crops (onions and other vegetables)

in commercial quantities with less stress. Aside from our relationship (network)

and equipment, we can confidently boast that we have some the most

experienced hands in the vegetable cum onion processing and packaging line

of business.

Weakness:

Our major weakness is that we are a new onion processing and

packaging Business in Sokoto States; it might take some time for our Business

to break into the market and gain acceptance especially from international

markets in the already saturated and highly competitive commercial farming

industry. Another weakness is that we may not have the required cash to

promote our business the way we would want to.

Opportunities:

The opportunities that are available to us cannot be quantified; we know

that everybody on planet earth eats onions. We are ready to take advantage of

every opportunity that is available in the onion business.

Threat:

The number of small local farms and the number of larger commercial

farms have been growing. Increasing importation of fresh produce will slightly

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constrain demand for onions. Just like any other business, one of the major

threats that we are likely to face is economic downturn.

It is a fact that economic downturn affects purchasing/spending power.

Another threat that may likely confront us is the arrival of a new large scale

onion production company or commercial greenhouse farm in same location

where our target market exists and who may want to adopt same business

model like us.

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MARKET ANALYSIS

MARKET TRENDS

If you are a close observer of the trends in the onion production

business, you will agree that the onion production business is anticipated to

increase due to increasing consumer health consciousness, which has led to

increasing demand for fresh produce. While per capita onion consumption has

remained stable over in recent time, the price of onions has increased as

consumers demand premium, fresh onions.

So also, the number of both small and large farms has been increasing.

Small, local farms are benefiting from the organic, local movement, while

large, commercial farms are improving labour efficiency. Going forward,

players in the industry will continue to increase revenue generation for their

business.

OUR COMPETITIVE ADVANTAGE

The challenges onion business face is storage, so we are going to use a

cutting-edge technology in storing the onion, which will give us upper hand

against our competitors as we can have inputs supply all year round for our

production. And we are going to have:

 Effective service delivery

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 Hygienic packaging

 Good customer relation

 Different sales outlet

It is easier to find entrepreneurs flocking towards an industry that is

known to generate consistent income which is why there are more commercial

farmers in Nigeria and of course in most parts of the world.

Yahaya Alhaji Bello Onion Processing & Packaging Business is fully aware

that there are competitions when it comes to processing and packaging onions

and other vegetables all over the globe, which is why we decided to carry out

thorough research so as to know how to take advantage of the available

market in Nigeria and in other parts of the world.

We have done our homework and we have been able to highlight some

factors that will give us competitive advantage in the marketplace; some of the

factors are effective and reliable farming processes that can help us sell our

produce at competitive prices, good network and excellent relationship

management.

Our competitive advantage lies in the power of our team; our workforce.

We have a team of hardworking and highly proficient farmers, a team with

excellent qualifications and experience in various niche areas in the onion

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production business. Aside from the synergy that exists in our carefully

selected team members, we have some of the latest and efficient vegetable

and we will be guided by best practices in the industry.

Lastly, all our employees will be well taken care of, and their welfare

package will be among the best within our category (start – ups onions

production business in Nigeria) in the industry. It will enable them to be more

than willing to build the business with us and help deliver our set goals and

achieve all our business aims and objectives.

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SALES AND MARKETING STRATEGY

Our goal is to grow Yahaya Alhaji Bello Onion Processing & Packaging

Business to become one of the leading onion production business in Nigeria

which is why we have mapped out strategies that will help us take advantage

of the available market and grow to become a major force to reckon with not

only in Sokoto but also in other cities in Nigeria and the world at large.

We are quite aware that the reason why some onions production

business make good profits is their ability to sell off their products, especially in

the case of perishable crops as at when due. In view of that, we have put plans

in place to set up a standard food processing plant to help us maximize profits.

Our sales and marketing team will be recruited based on their vast

experience in the vegetable farms industry and they will be trained on a

regular basis so as to be well equipped to meet their set targets and the overall

business goal of Yahaya Alhaji Bello Onion Processing & Packaging Business.

Over and above, we have perfected our sale and marketing strategies

first by networking with agriculture merchants, hotels, restaurants,

supermarkets, grocery stores and companies who are likely to become our

customers.

In summary, Yahaya Alhaji Bello Onion Processing & Packaging Business

will adopt the following strategies in marketing our commercial product;

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Introduce our farming business by sending introductory letters alongside our

brochure to stakeholders in the industry.

Advertise our business and agriculture produce in agro – allied and food

related magazines and websites.

List our onion production business on yellow pages ads

Attend related agriculture and food expos, seminars, and business fairs et al

Leverage on the internet to promote our business

Engage in direct marketing

Encourage the use of word of mouth marketing (referrals)

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SOURCES OF INCOME

Yahaya Alhaji Bello Onion Processing & Packaging Business is in the

onion production business for the purpose of maximizing profits hence we

have decided to explore all the available opportunities within the industry to

achieve our corporate goals and objectives. In essence we are going to rely all

source of funding ranging from loans, grants and customer deposit to generate

income for the business.

SALES FORECAST

From the survey conducted, we were able to discover that the sales

generated by an onion production business depend on the size of the farm,

and the nature of the onion production business (greenhouse vegetable farms

or land cultivation of vegetables).

We have perfected our sales and marketing strategies and we are quite

optimistic that we will meet or even surpass our set sales target of generating

enough income/profits from the first year of operation and build the business

from survival to sustainability.

We have been able to critically examine the onion production business

and we have analysed our chances in the industry and we have been able to

come up with the following sales forecast. The sales projections are based on

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information gathered in the field and some workable assumptions with respect

to the nature of onion production business that we run.

Below are the projections that we were able to come up with for the first three

years of running

Yahaya Alhaji Bello Onion Processing & Packaging Business;

First Year-: N16,623,900.00

Second Year-: N38,152,100.00

Third Year-: N58,763,150.00

N.B: This projection is done based on what is obtainable in the industry and

with the assumption that there won’t be any major economic meltdown that

can impact negatively on household spending, bad weather cum natural

disasters (draughts, epidemics), and unfavourable government policies. Please

note that the above projection might be lower and at the same time it might

be higher.

PRICING STRATEGY

Some of the factors that will help us sell our product at the right price

that will guarantee that we make profits are dependent on our strategy while

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some of the factors are beyond our control. For example, if the climatic

condition is unfavourable and if there are natural disasters in the location

where we have our commercial production, then it will directly affect the

prices of our product.

Over and above, we will ensure that we choose a good location for our

production, choose good raw materials that will guarantee quality production,

cut the cost of running our production to the barest minimum and of course

try as much as possible to attract buyers to your business location as against

taking product to the market to source for buyers; with this, we would have

successfully eliminated the cost of transporting the goods to the market and

other logistics.

We are quite aware that one of the easiest means of penetrating the

market and acquiring loads of customers for our onion products is to sell them

at competitive prices hence we will do all we can to ensure that the price of

our product is going to be what other commercial farmers would look towards

beating.

One thing is certain; the nature of onion production business makes it

possible to place prices for the products based on discretion without following

the benchmark in the industry. The truth is that it is one of the means of

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avoiding running into loss. The easier you sell off your harvest, the better for

your business.

PAYMENT OPTIONS

The payment policy adopted by Yahaya Alhaji Bello Onion Processing &

Packaging Business is all inclusive because we are aware that different

customers prefer different payment options as it suits them but at the same

time, we will ensure that we abide by the financial rules and regulation of

Nigeria.

Here are the payment options that Yahaya Alhaji Bello Onion Processing &

Packaging Business will make available to her clients;

Payment via Point of Sale Machines (POS Machines)

Payment via mobile money transfer

Payment via bank draft

Payment via bank transfer

Payment with cash

Payment via online bank transfer

Payment via check

Our bank account numbers will be made available on request.

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PUBLICITY AND ADVERTISING STRATEGY

Any business that wants to grow beyond the corner of the street or the

city where they are operating from must be ready and willing to utilize every

available means (conventional and non – conventional means) to advertise and

promote the business. We intend growing our business which is why we have

perfected plans to build our brand via every available means.

We know that it is important to create strategies that will help us boost

our brand awareness and to create a corporate identity for our onion

production business. Below are the platforms we will leverage on to boost our

onion production brand and to promote and advertise our business;

Place adverts on both print (newspapers and magazines) and electronic media

platforms

Sponsor relevant community-based events/programs

Leverage on the internet and social media platforms like; Instagram, Facebook,

twitter, YouTube, Google + et al to promote our business

Install our billboards in strategic locations all around Sokoto state and beyond

Engage in road shows from time to time in targeted neighbourhoods

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Distribute our fliers and handbills in target areas

Contact corporate organizations and residents in our target areas by calling

them up and informing them of Yahaya Alhaji Bello Onion Processing &

Packaging Business and the product we sell

List our vegetable farms in local directories/yellow pages

Advertise our onion production business in our official website and employ

strategies that will help us pull traffic to the site.

Ensure that all our staff wears our branded shirts and all our vehicles and

trucks are well branded with our company logo et al.

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FINANCIAL PROJECTIONS AND COSTING

When it comes to calculating the cost of starting an onion production

business, there are some key factors that should serve as a guide, factors such

as the quality of onions to be processed and the size and capacity of the onion

production business.

The tools and equipment that will be used are nearly the same cost

everywhere, and any difference in prices would be minimal and can be

overlooked. As for the detailed cost analysis for starting an onion production

business; it might differ in other countries due to the value of their money.

Below are some of the basic areas we will spend our start – up capital in setting

up our onion production business;

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YAHAYA ALHAJI BELLO
TEL: 08036165290

FINANCIAL MODEL

PARTICULARS 1st Year 2nd Year 3rd Year 4th Year 5th Year Total (N)
Sachets of Dehydrated Onion Powder 1651075
Produced Per Annum 125,200 187,800 281,700 422,550 633,825
           
-
Number of Packaging materials
required to bag in 500g and 250g 125,200 187,800 281,700 422,550 633,825 1,651,075
scahets
             
REVENUE/CASH FLOW            
Sale of each pack at N350 ₦43,820,000.00 ₦65,730,000.00 ₦98,595,000.00 ₦147,892,500.00 ₦221,838,750.00 ₦577,876,250.00
 ₦ ₦ ₦ ₦ ₦ ₦
- - - - - -
TOTAL ₦43,820,000.00 ₦65,730,000.0 ₦98,595,000.00 ₦147,892,500.00 ₦221,838,750.00 ₦577,876,250.00
0
             
PRODUCTION EXPENSES            
Cost of production @ N115/unit ₦ ₦ ₦ 32,395,500.00 ₦ 48,593,250.00 ₦ 72,889,875.00 ₦
14,398,000.00 21,597,000.00 189,873,625.00
Cost of printing label @ #8 ₦ 1,001,600.00 ₦ 1,502,400.00 ₦ 2,253,600.00 ₦ 3,380,400.00 ₦ 5,070,600.00 ₦ 13,208,600.00
Cost of packaging materials @ N7.5 ₦ 939,000.00 ₦ 1,408,500.00 ₦ 2,112,750.00 ₦ 3,169,125.00 ₦ 4,753,687.50 ₦ 12,383,062.50
TOTAL ₦16,338,600.00 ₦24,507,900.0 ₦36,761,850.00 ₦55,142,775.00 ₦82,714,162.50 ₦12,383,062.50
0

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YAHAYA ALHAJI BELLO
TEL: 08036165290

             
OPERATIONAL/RECURRENT            
EXPENSES
Factory Lease 350,000 350,000 350,000 350,000 350,000 1,750,000
6 Staff Salary (30,000/head/month) 1,440,000 1,440,000 1,440,000 1,440,000 1,440,000 7,200,000
Water treatment facility 400,000 360,000 360,000 360,000 360,000 1,840,000
Record 200,000 200,000 200,000 200,000 200,000 1,000,000
Keeping/Stationary/Computer/Adver
t
Security 240,000 240,000 240,000 240,000 240,000 1,200,000
Onion Peeler 100kg/hr 650,000          
Solar dryer (OGV30 INDUSTRIAL 2,150,000          
SIZED SOLAR DRYERS)
Weighing balance 450,000          
LC Onion powder machine ($5,500 2,007,500          
industrial size)
4 Electric sealing machine 120,000          
Linter generator 12kva 850,000 240,000 240,000 240,000 240,000 1,810,000
Running Cost (Purchase of Raw 600,000 600,000
Materials, Electricity and Security - - - -
Systems, Logistics, Transportation
etc)
Loan Servicing per annum 2,171,500  
2,171,500 2,171,500 2,171,500 2,171,500
TOTAL 9,457,500 3,070,000 3,070,000 3,070,000 3,070,000 23,137,500
TOTAL EXPENSES ₦27,196,100.00 ₦27,577,900.00 ₦39,831,850.00 ₦58,212,775.00 ₦85,784,162.50 ₦238,602,787.50

Page 37 of 39
YAHAYA ALHAJI BELLO
TEL: 08036165290

GROSS PROFITS ₦16,623,900.00 ₦38,152,100.00 ₦58,763,150.00 ₦89,679,725.00 ₦136,054,587.50 ₦339,273,462.50

LOAN AMOUNT

The total amount requested for the purpose of executing this business plan and making the

projected profit of about N339,273,462.50 in net profits after five years is a total amount of

N9,457,500.

Page 38 of 39
YAHAYA ALHAJI BELLO
TEL: 08036165290

FUND RAISING YAHAYA ALHAJI BELLO ONION PROCESSING &

PACKAGING BUSINESS.

No matter how fantastic your business idea might be, if you don’t have

the required money to finance the business, the business might not become a

reality. Finance is a very important factor for our onion production business.

This is why we are looking to obtain a business loan for the Business society to

be able to achieve her goals easily and profitably.

SUSTAINABILITY STRATEGY

One of our major goals of starting Yahaya Alhaji Bello Onion Processing

& Packaging Business is to build a business that will survive off its own cash

flow without the need for injecting finance from external sources once the

business is officially running. We know that one of the ways of gaining approval

and winning customers over is to sell our product (onions and other

vegetables) a little bit cheaper than what is obtainable in the market and we

are well prepared to survive on lower profit margin for a while.

Yahaya Alhaji Bello Onion Processing & Packaging Business will make

sure that the right foundation, structures and processes are put in place to

ensure that our staff welfare are well taken off.

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