BUSINESS/INVESTMENT PLAN

SUBMITTED BY

DINO’S ORGANIC FARM ENTERPRISE

No. 1 Agbara Iji Street, Azu Nkwo, Ndi Agbor,
Aninri, Enugu State

VALUE CHAIN/SEGMENT:
PRODUCTION AND FATHENING OF PIG
(NON-RUMINANT)

SUBMITTED TO
MASTERCARD FOUNDATION FUND FOR
RESILIENCE AND PROSPERTIY AGRO-
BUSINESS CHALLENGE

DATE:
6TH JUNE, 2024
 TABLE OF CONTENTS
Cover page
Table of Content
Letter from Beneficiary to SCADO
1.0. Enterprise Objectives and Justification
2.0. Project Description
3.0. Agro-Business Product/Service Mix
4.0. Targeted market for the Enterprise products
Table 1: Market Segmentation and Distribution on of Revenue
5.0. Financial Plan
i. Table 2: Checklist of Item/Cost
ii. Table 3: Asset Register
iii. Table 4: Revenue and Cost Stream of enterprise
iv. Table 5: Cash Flow (for 3 years)
v. Table 6: Financial Analysis
6.0. Risk Assessment and Mitigation measures
7.0. Environmental and Social Plan.
 LETTER FROM BENEFICIARY TO SCALE
I /We Dino’s Organic Farm of No. 1 Agbaraji Azu, Nkwo, Ndi
Agbor – 09168796215, email – dinosorganicfarm@gmail.com
having being successfully trained under the commercial
Agricultural Development Project (CADP) Women and Youth
empowerment program has decided to participate in the
programe in the area of (Non-Ruminant) piggery.
I have been fully informed of the rules and procedures guiding
the implementation of the programme and hereby agree to abide
by the laid down rules and regulation.

Dino’s Organic Farms 19/05/2024

1.0. Enterprise Objectives and Justification
1.1. Overall Objectives:
Production of Pigs in No. 1 Agbara Azu Nkwo, Ndi Agbor Aninri
Local Government Area, Enugu State with the view of reducing
malnutrition, unemployment and cost of pork meat and to
generate profit.

1.2. Specific Objectives

 To purchase 7 pigs and sales of 170 pigs in cycle of 3 years.
 To create at least 3 job opportunities for 3 people.
 To reduce the prevalency of disease caused by malnutrition
down.
 To create opportunity of learning integrated Agriculture to the
society.
 To generate net profit of ₦841,351.05 in three years.

1.3. Business Justification

The basic raw materials which includes constant water supply,
rice mills, palm oil processing company, and in host community
pig feed will be produced locally with more protein. One skilled
labour will be to work as farm manager.
The uniqueness of my product is to produce pig’s with high
protein, vitamins and mineral content. Our market will be
basically on household, Local market, processor and hospitality
industries.
The fat in port is trans-fat tree and mostly mono and poly-
unsaturated, so trimmed pork is suitable for even cholesterol-
lowering or heart diet. Pork meat is A (white meat) and highly
enriched with vitamins, thiamin, Naicin. Vitamin A and E are
found in very small amount, caloritic value of Pork is 458.0 per
gram
2.0. Business Description
 The proposed enterprise targets to purchase about 7 pigs and
170 pigs in cycle of 3 years (with 7% loss).
This can be achieved by reproductions per annum under this
business enterprise value will be added to piggery farms and the
quality of the port meat will be improved. The enterprise is
expected of cost is ₦6,748,816. This amount will be used to
purchase all the materials listed on the checklist table.
3.0. Agro-Business Production/Service Mix
The process involved in the implementation of production of pigs
includes
 Sanitary Quarantine
 Stocking
 Feeding
 Mating
 Separating
 Cleaning of Pig house
 Delivery
 Winnig
 Separating
 Sales of mature one/piglet

4.0. Market Description/Assessment

The main market strategies for the enterprise are tabulated
below
Table 1: Segmentation and Distribution of Revenue
PERCENTAGE
SEGMENT VOLUME DISTRIBUTION PRICE/KG (₦) SALES (₦)
Marketers 8 26 74,506 596,048
Hospitality 8 26 74,506 596,048
Household 5 22 74,506 596,048
Processors 8 26 74,506 596,048
Total 29 100 2,384,192
 From the table above, after the first year, I reduced total sales
of ₦2,160,674. Our major is the marketers, processors and the
hospitality industries. While we try to increase home sales
reduce retail cost.
5.0. Financial Plan
S/N ITEMS UNIT QYT UNIT PRICE (₦) TOTAL COST (₦)
1 Construction of building 1 16 50,000 800,000
2 GEEPEE tank 2000 1 300,000 300,000
3 Digging of borehole 1 700,000 700,000
4 Pumping machine 2.5hp 1 210,000 210,000
5 Breeders lump 7 55,000 305,000
6 Feeding 36,121.80 2,000 2,389,596
7 Medications lump 228,000
8 Insurance lump 35,000
9 Generator 15KVA 1 800,000 800,000
10 Transport No 1 70,000
11 Proprietor Month 12 18,000 216,000
12 Manager Month 12 18,000 216,000
13 Utility Month 12 20,000
14 Labour Month 12 10,000 120,000
15 Safety Boot No 3 50,000 150,000
16 Fuel litre 158.6 700 111,020
15,000
17 Weighing Scale No 2 24,000 39,000
18 Tank Stand No 1 50,000 50,000
19 Shovel No 2 5,000 10,000
20 Sanitary lump 1 6,000 6,000
21 Parker lump 2 2,000 4,000
22 Brush lump 2 1,000 2,000
23 Feeding drums lump 3 25,000 75,000
24 Buckets lump 3 3,000 9,000
50
25 Host 50 yrs years 1 17,000 17,000
26 Broom 3 4,000 12,000
Total 6,894,616
 i. Assets Register and Depreciation
DEPRECIATION
S/N DESCRIPTION OF QTY VALUE LIFESPAN YEAR 1 YEAR 2 YEAR 3
ASSETS
1. Pig pen 1 build 900,000 10 years 90,000 90,000 90,000
16 pen
2. Water Tank 1 300,000 5 years 60,000 60,000 60,000
3. Borehole 1 700,000 10 years 70,000 70,000 70,000
4. Pumping Machine 1 210,000 5 years 42,000 42,000 42,000
5. Generator 1 800,000 5 years 160,000 160,000 160,000
6. Weighing scale 2 39,000 5 years 7,800 7,800 7,800
7. Tank Stand 1 500,000 10 years 50,000 50,000 50,000
8. Feeding drums 3 75,000 5 years 15,000 15,000 15,000
Total 3,524,000 494,800 494,800 494,800
 REVENUE AND COST STREAN OF ENTERPRISE
ITEMS UNIT QTY UNIT VALUE ITEMS UNIT QTY UNIT VALUE ITEMS UNIT QTY UNIT VALUE (₦)
PRICE (₦) PRICE (₦) PRICE
Revenue Revenue Revenue
(Income) (Income) (Income)
Sales of 50kg 29 74,506 2,160,674 Sales of 50kg 66 43,479 2,869,614 Sales of 50kg 75 39,279.4 2,945,961
Pigs Pigs Pigs 8
Sales of 100kg 81 500 40,500 Sales of 100kg 140 500 70,000 Sales of 100kg 16 15,000 240,000
manure manure manure 149 500 74,500
Total 2,201,174 Total 2,939,614 Total 3,260,461
Revenue Revenue Revenue
(A) (A) (A)
Variable Variable Variable
Cost Cost Cost
(Input) (Input) (Input)
Breeders Male/ 1 305,000 Breeders Female 50,000 Breeders
female 6-7
Feeding Tons 10.48 8,000 817,440 Feeding Tons 17,568 8,000 1,405,440 Feeding Tons 18,66 1,492,800
0
Medication 85,000 Medication 143,000 Medication 163,500
Fuel Litres 158.6 700 111,020 Fuel Litres 158.6 700 110,020 Fuel Litres 158.6 700 111,020
Labour 10,000 Labour 100,000 Labour 10,000
Insurance 35,000 Insurance 35,000 Insurance 35,000
Total 1,363,460 Total 1,754,460 Total 1,812,320
Variable Variable Variable
cost (B) cost (B) cost (B)
Gross 837,714 Gross 1,185,154 Gross 1,448,141
Profit (A-B) Profit (A- Profit (A-B)
B)
Fixed Cost Fixed Cost Fixed Cost
(c) (c) (c)
(Overhead) (Overhead (Overhead)
)
Safety 3 5,000 15,000 Safety Safety 3 5,000 15,000
booth booth booth
Proprietor’s Monthly 12 18,000 216,000 Proprietor’ Monthly 12 18,000 216,000 Proprietor’s Monthly 12 18,000 216,000
salary s salary salary
Manager’s Monthly 12 18,000 216,000 Manager’s Monthly 12 18,000 216,000 Manager’s Monthly 12 18,000 216,000
salary salary salary
Stationery 12 5,300 Stationery 5,300 Stationery 5,300
Small 20,000 Small 20,000 Small 20,000
equipment equipment equipment
Transport 49,200 Transport 25,400 Transport 25,400
Total fixed 70,000 Total fixed 30,000 Total fixed 40,000
cost cost cost
(Overhead) (Overhead (Overhead)
)
TOTAL 591,500 512,700 537,700

Depreciatio 494,800 Depreciati 494,800 Depreciatio 494,800

n on n
Total Fixed 1,086,300 Total 1,007,500 Total Fixed 1,032,500
cost (C+O) Fixed cost cost (C+O)
=E (C+O) = E =E
Total Fixed 2,449,760 Total 2,761,960 Total Fixed 2,844,820
cost (B+E) Fixed cost cost (B+E)
=F (B+E) = F =F
Operating 248,586 Operating 177,654 Operating 415,641
Profit (A-F) Profit (A- Profit (A-F)
F)
Tax (5% of 12,429.3 Tax (5% 8,882.7 Tax (5% of 2,0782.05
profit) of profit) profit)
Net Profit 236,156.7 Net Profit 168,771.3 Net Profit 436,423.05
 iv. TABLE 5 CASH FLOW

DESCRIPTION YEAR 1 YEAR 2 YEAR 3

INFLOW
CADP GRANT 6,748,816
SALES 2,160,674 2,869,614 2,945,961
OTHER REVENUE 40,500 70,000 314,500
RE-INVESTMENT 1,388,412 824,346.4
TOTAL INFLOW (A) 8,949,990 4,328,026 4,084,807.4
OUT FLOW
TOTAL VARIABLE COST 1,363,460 1,754,460 1,812,320
FIZED COST (OVERHEAD) 591,500 512,700 537,700
VALUE OF FIXED ASSEST 3,524,000
TOTAL OUTFLOW (B) 5,478,960 2,267,160 2,350,020
NET CASHFLOW (C=A+B+F) 3,471,030 2,060,866 1,734,787.4
CASH BROUGHT FORWARD 2,082,618 1,236,519.6
RE-INVESTMENT (40% OF C) = D 1,388,412 824,346.4 693,914.96
CASH CARRIED DOWN (C-D)=F 2,082,618 1,236,519.6 1,040,872.44

iv. TABLE 5 CASH FLOW

1 2 3 4 5 6 7
Yr TOTAL REVENUE Profit Discount Net Present Discounted
Discounted
COST (Sales) (2.1) facto Value (3x4) cost (1x4)
Revenue (2 x
25% 4)
Y1 1,846,740 2,201,174 354,434 0.80 283,547.2 1,477,392 1,760,939.2
Y2 2,173,940 2,939,614 765,674 0.64 490,031.36 1,391,321.6 1,881352.96
Y3 2,231,800 3,260,461 1,028,661 0.51 524,617.11 1,138,218 1,662,835.11
1,298,195.67 4,006,931.6 5,305,127.27

𝑻𝒐𝒕𝒂𝒍 𝑫𝒊𝒔𝒄𝒐𝒖𝒏𝒕𝒆𝒅 𝑹𝒆𝒗𝒆𝒏𝒖𝒆

Benefit Cost Ratio = 1.32
𝑻𝒐𝒕𝒂𝒍 𝑫𝒊𝒔𝒄𝒐𝒖𝒏𝒕𝒆𝒅 𝑪𝒐𝒔𝒕

NPV = 1,298,195.67