Livestock Farming Business Plan Template

Livestock Farming Business Plan

You’ve come to the right place to create your Livestock Farming business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Livestock Farms.

Below is a template to help you create each section of your Livestock Farming business plan.

Executive Summary

Business Overview

Bear Creek Farms is a new livestock farm located just outside of Austin, Texas, near Bear Creek. The company operates a 1000-acre farm that is home to hundreds of pastured cattle, pigs, and sheep. The farm will produce milk, cheese, and meat to sell to grocery stores, restaurants, and individuals located in the Austin area. We aim to be the largest producer of meat and dairy in the region in the next decade, all while keeping our commitment to raising our livestock ethically and sustainably.

Bear Creek Farms is founded and run by Barry Ellis. Barry has worked on local farms for the past ten years, starting off as a farm hand and working his way into a farm operations manager position. As such, Barry has extensive experience running a livestock farm and will be able to make Bear Creek Farms one of the most profitable farms in the region.

 

Product Offering

Bear Creek Farms will be involved in the commercial breeding and care of cattle, pigs, and sheep to provide the following products:

• Beef
• Lamb
• Pork
• Milk
• Cheese
• Bacon

 

Customer Focus

Bear Creek Farms will target all residents living in Austin, Texas, and the surrounding areas. We will primarily target local grocery stores and restaurants but will also offer an online store where local residents can purchase our products directly from the farm.

 

Management Team

Bear Creek Farms is founded and run by Barry Ellis. Barry has worked in the livestock farming industry for over a decade, starting off as a farmhand and working his way up into a management position. As such, he has extensive experience in running a livestock farm as well as considerable knowledge of the industry. He is committed to running the farm with a strict code of ethics and sustainability practices, which will help us stand out from the competition. His leadership experience and industry expertise will be the farm’s greatest assets.

 

Success Factors

Bear Creek Farms will be able to achieve success by offering the following competitive advantages:

• There is a high demand for meat and milk in the community. The demand is currently not being met by local and regional farms.
• Bear Creek Farms will employ a team of friendly, knowledgeable, and highly qualified farmhands.
• The farm will be a major producer of several meat and dairy products to cater to a wide demographic.
• Bear Creek Farms will offer the best pricing in town. The pricing structure is the most cost-effective when compared to the competition.

 

Financial Highlights

Bear Creek Farms is currently seeking $1,000,000 to start the company. The funding will be dedicated to securing the farmland and purchasing the necessary equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include the payroll of the staff and marketing costs for the farm. The breakout of the funding is below:

• Land and Equipment: $500,000
• Livestock Care Supplies: $200,000
• Three Months of Overhead Expenses (Payroll, Rent, Utilities): $150,000
• Marketing Costs: $50,000
• Working Capital: $100,000

The following graph below outlines the pro forma financial projections for Bear Creek Farms.

 

Company Overview

Who is Bear Creek Farms?

Bear Creek Farms is a new livestock farm located just outside of Austin, Texas. Our mission is to become the largest supplier of meat and dairy products in the region over the next decade. The region is currently experiencing a shortage, and local farms cannot keep up with demand. Our farm will help meet this demand but also provide locals with better products that are priced moderately. The residents of Austin will soon learn that we offer the best meat and dairy products, making us the most popular farm in the region.

 
Bear Creek Farms will commit itself to a strong code of ethics and sustainable practices. This will ensure that all livestock are well cared for and that our products are of the highest quality. It will also ensure that our farm continues to operate efficiently for decades to come.

Bear Creek Farms is founded and run by Barry Ellis. Barry has worked on local farms for the past ten years, starting off as a farm hand and working his way into a farm operations manager position. As such, Barry has extensive experience running a livestock farm and will be able to make Bear Creek Farms one of the most profitable farms in the region.

 

Bear Creek Farms History

Barry incorporated Bear Creek Farms as an S corporation on May 1st, 2023. Barry has selected an initial location and is currently undergoing due diligence on it and the local market to assess if it is a suitable location for a commercial livestock farm.

Since incorporation, the company has achieved the following milestones:

• Found a potential farm location
• Developed the company’s name, logo, and website
• Determined supply requirements
• Began recruiting key employees

 

Bear Creek Farms Services

Bear Creek Farms will be home to hundreds of cattle, sheep, and pigs. All livestock will be pastured and treated with great care. The farm will adhere to a strict set of ethics and sustainable practices.

We will raise all of the livestock to produce meat and dairy products. Some of these products will include:

• Beef
• Lamb
• Pork
• Milk
• Cheese
• Bacon

 

Industry Analysis

Bear Creek Farms competes against large-scale livestock farmers in the U.S. The livestock industry remains in strong demand as meat is a common staple in most Americans’ diets.

The improved living standards for many people in the country have resulted in a shift in meat preferences, with most choosing beef-based products rather than products derived from pork and chicken. Farms that understand these changing diet trends will have a competitive advantage by offering their target market the exact products they demand.

The livestock production industry faces many challenges, including droughts/climate change, rising labor costs, the price of feed, and the increasing popularity of plant-based diets. The primary factor that works in the industry’s favor is the rapid improvement of farming technology and automation.

Despite these challenges, the livestock industry is still going strong. According to Markets and Markets, the precision livestock industry was valued at $5.2 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 17.99% from now until 2030. This projected growth shows that Bear Creek Farms is sure to be a very profitable and successful business.

 

Customer Analysis

Demographic Profile of Target Market

Bear Creek Farms will target all residents living in Austin, Texas, and the surrounding areas. We will primarily target local grocery stores and restaurants but will also offer an online store where local residents can purchase our products directly from the farm.

The precise demographics for the Austin, Texas area are as follows:

	Total	Percent
Total population	1,680,988	100%
Male	838,675	49.9%
Female	842,313	50.1%
20 to 24 years	114,872	6.8%
25 to 34 years	273,588	16.3%
35 to 44 years	235,946	14.0%
45 to 54 years	210,256	12.5%
55 to 59 years	105,057	6.2%
60 to 64 years	87,484	5.2%
65 to 74 years	116,878	7.0%
75 to 84 years	52,524	3.1%

 

Customer Segmentation

Bear Creek Farms will primarily target the following customer profiles:

• Local meat and dairy consumers
• Grocery stores
• Restaurants

 

Competitive Analysis

Direct and Indirect Competitors

Bear Creek Farms will face competition from other companies with similar business profiles. A description of each competitor company is below.

 

Lone Star Livestock Farms

Lone Star Livestock Farms is one of the largest livestock farms in the state of Texas. The company boasts an 8,000-ha farm that is home to thousands of livestock. Lone Star Livestock Farms also has well-established relationships with local retailers and is one of the most popular producers of meat and dairy in the region. Lone Star has been in operation for nearly 50 years and has automated equipment and machines that consistently improve operations.

 

Rolling Hills Farm

Rolling Hills Farm has been a major cattle farm in Texas since 1990. The farm provides excellent quality beef at an affordable price due to its advanced machinery and automated processes. Rolling Hills products can be found in nearly every grocery store and restaurant in the region. The farm also has a large distribution network that can serve customers up to a 500-mile radius. Since Rolling Hills Farm only produces beef, steak, and milk, it will only be a competitor for target markets that buy these products.

 

SW Livestock, Inc.

SW Livestock, Inc. has been in business for the past 50 years and enjoys great success. SW Livestock, Inc. is one of the largest livestock producers in the southern half of the United States, and its products can be found in nearly every grocery store across 15 states. The farm produces a wide variety of products, including milk, beef, steak, bacon, and pork. SW Livestock, Inc. is an enormous operation, making it our largest competitor.

 

Competitive Advantage

Bear Creek Farms will be able to offer the following advantages over their competition:

• Management: The company’s management team has years of farm and marketing experience that allows them to market and serve customers in an improved and more sophisticated manner than the competitors.
• Relationships: Having lived in the community for 20 years, Barry Ellis knows all of the local leaders, media, and other influencers. As such, it will be relatively easy for Bear Creek Farms to build brand awareness and an initial customer base.
• Quality products at affordable pricing: The company will provide quality meat and dairy products at affordable pricing.
• Sustainable packaging: Bear Creek Farms will utilize product-oriented packaging materials that can reduce the damage to the products at the time of supply. The packaging will also be made from sustainable materials to keep our farm’s commitment to sustainability.

 

Marketing Plan

Brand & Value Proposition

Bear Creek Farms will offer a unique value proposition to its clientele:

• Efficient and quick delivery network
• Quality, sustainable packaging
• Delicious, high-quality products at a moderate price
• Excellent customer service and long-lasting client relationships

 

Promotions Strategy

The promotions strategy for Bear Creek Farms is as follows:

Social Media Marketing

Social media is one of the most cost-effective and practical marketing methods for improving brand visibility. The company will use social media to develop engaging content, such as sharing pictures of the livestock and creating educational content about the industry.

Website/SEO Marketing

Bear Creek Farms will develop a professional website that showcases pictures of the farm and its livestock. It will also invest in SEO so that the company’s website will appear at the top of search engine results.

Word of Mouth/Referrals

Barry Ellis has built up an extensive list of contacts over the years by living and working in the livestock farming industry. Since a number of local livestock farms have ceased operations, they have committed to Barry that Bear Creek Farms will be their livestock supplier. They trust his work ethic and commitment to the local community.

Billboard

Bear Creek Farms will highlight our location, livestock, and products on a major billboard facing the busiest highway in town. The billboard will provide the location of Bear Creek Farms and the website URL.

 

Pricing

Bear Creek Farms’ pricing will be moderate, so customers feel they receive great value when availing of the products. Pricing will be about 50% lower than retail prices to allow wholesalers and retailers to earn their margins.

 

Operations Plan

The following will be the operations plan for Bear Creek Farms.
Operation Functions:

• Barry Ellis will be the Owner and President of the company. He will oversee all staff and manage the general operations of the farm. Barry has spent the past year recruiting the following staff:
• Jane Silver– Accountant who will manage all client invoicing, billing, and payables.
• Michelle Vance – Marketing Assistant who will run all the marketing and promotions campaigns.
• Eric Mason– Head Farmhand who will oversee the farming staff and day-to-day operations.
• Rebecca Wright– Distribution Manager who will oversee the packaging and distribution of all products.
• Over the next several months, Barry and Eric will hire several farmhands to help manage the livestock and the farm.

 

Milestones:

Bear Creek Farms will have the following milestones completed in the next six months.

• 6/2023 – Finalize purchase of farmland
• 7/2023 – Purchase farm equipment, supplies, and materials
• 8/2023 – Finalize contracts for grocery store chains and restaurant clients
• 9/2023 – Purchase initial livestock
• 10/2023 – Hire and train farm staff
• 11/2023 – Bear Creek Farms begins farm operations

 

Management Team

Bear Creek Farms is founded and run by Barry Ellis. Barry has worked in the livestock farming industry for over a decade, starting off as a farmhand and working his way up into a management position. As such, he has extensive experience in running a livestock farm as well as considerable knowledge of the industry. He is committed to running the farm with a strict code of ethics and sustainability practices, which will help us stand out from the competition. His leadership experience and industry expertise will be the farm’s greatest assets.

Though Barry has never run a business himself, he has been in the industry long enough to develop an in-depth knowledge of the operations and administrative sides of the business. He will hire other professionals who can help with the other aspects of the business he is unfamiliar with, such as marketing and accounting.

 

Financial Plan

Key Revenue & Costs

Bear Creek Farms’ revenues will come from the sales of meat and dairy products to its customers. The major costs for the company will be the cost of land and equipment. The staff will earn competitive salaries allowing Bear Creek Farms to hire experienced workers. In the initial years, the company’s marketing spending will be high as it establishes itself in the market.

 

Funding Requirements and Use of Funds

Bear Creek Farms is currently seeking $1,000,000 to start the company. The funding will be dedicated to securing the farmland and purchasing the necessary equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include the payroll of the staff and marketing costs for the farm. The breakout of the funding is below:

• Land and Equipment: $500,000
• Livestock Care Supplies: $200,000
• Three Months of Overhead Expenses (Payroll, Rent, Utilities): $150,000
• Marketing Costs: $50,000
• Working Capital: $100,000

 

Key Assumptions

The following outlines the key assumptions required to achieve the revenue and cost numbers in the financials and pay off the startup business loan.

• Number of Cows: 100
• Number of Pigs: 200
• Number of Sheep: 250
• Average Revenue per Animal: $500
• Number of Products Sold Per Year: 100,000

 

Financial Projections

Income Statement

Balance Sheet

Cash Flow Statement

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