Tree Farm Business Plan Template

Tree Farm Business Plan

You’ve come to the right place to create your Tree Farm 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 Tree Farm businesses.

Below is a template to help you create each section of your Tree Farm business plan.

Executive Summary

Business Overview

Savannah Saplings is a startup tree farm located just outside Savannah, Georgia. The farm is founded by Angela Whitmore, who has a degree in horticulture and experience in nurseries. While Angela is confident in her ability to manage all aspects of her commercial tree farm, she has enlisted one of her college professors to act in an advisory capacity. Angela has approached several area nurseries and big box stores, and has entered into verbal agreements to supply a variety of saplings and shrubs once her stock is established.

Savannah Saplings will initially focus on growing evergreens, fruit trees, and a small variety of flowering shrubs. Angela chose these products to start with, for speed of growth and enduring demand. The farm will start with sales to local retailers, but plans to ramp up to commercial production for distribution throughout the Southeastern United States.

 

Product Offering

The following are the products that Savannah Saplings will provide:

• Evergreens
• Fruit Trees
• Flowering Shrubs

In addition, Savannah Saplings will initially operate a Christmas tree stand on a seasonal basis.

 

Customer Focus

Savannah Saplings will initially target all nurseries, big box retailers, and households in Chatham County. Once the stock is well-established, the farm will target nurseries and nursery stock wholesalers throughout the Southeast.

 

Management Team

Savannah Saplings will be owned and operated by Angela Whitmore. Angela will be joined by Jen Martin, a veteran retail manager, will help manage the office and administrative operations.

Angela discovered her green thumb while volunteering at the local botanical garden during high school. Her passion for growing beautiful things led her to pursue a Bachelor of Science in Horticulture at University of Georgia. While pursuing her degree, Angela worked at a commercial nursery, where she gained experience and made valuable connections.

Jen Martin, whom Angela met at a networking event, has been assistant manager at the largest wholesale nursery in Georgia for the past five years. Angela will depend on Jen’s business acumen in managing the books and all the administrative details that go into running a tree farm.

 

Success Factors

Savannah Saplings will be able to achieve success by offering the following competitive advantages:

• Angela is an experienced horticulturalist. This, coupled with her industry connections from her college days have already given her an entree into the state’s nursery industry, providing a distinct advantage over other tree farms in the county.
• Savannah Saplings will initially grow fast-producing evergreens, fruit trees, and flowering shrubs.
• Though Savannah Saplings’ pricing will be comparable to products of similar quality, it will attract area retailers that appreciate having suppliers in the vicinity.

 

Financial Highlights

Savannah Saplings is seeking $111,000 in debt financing to launch its tree farm. The funding will be used towards purchasing an existing farm and procuring the initial plants. Funding will also be used towards three months of overhead costs to include payroll and marketing costs and insurance. The breakout of the funding is below:

• Farm purchase down payment: $10,000
• Office and greenhouse construction: $30,000
• Office equipment, supplies, and materials: $1,000
• Farm equipment, supplies, and materials: $25,000
• Three months of overhead expenses (payroll, utilities, insurance): $30,000
• Working capital: $15,000

The following graph below outlines the pro forma financial projections for Savannah Saplings.

 

Company Overview

Who is Savannah Saplings?

Savannah Saplings is a newly established tree farm located just outside Savannah, Georgia. Savannah Saplings will initially focus on growing evergreens, fruit trees, and a small variety of flowering shrubs. Angela chose these products to start with, for speed of growth and enduring demand. The farm will start with sales to local retailers, but plans to ramp up to commercial production for distribution throughout the Southeastern United States.

 
Savannah Saplings’ founder, Angela Whitmore, has a degree in horticulture and experience working in wholesale nurseries. Savannah Saplings will produce healthy and hardy trees and shrubs, to sell directly to households and to local retailers.

 

Savannah Saplings History

Savannah Saplings is owned and operated by Angela Whitmore, who holds a Bachelor of Science in Horticulture from the University of Georgia. Angela discovered her green thumb during high school, when she began volunteering at the local botanical garden. Her passion for growing beautiful things led her to pursue a Bachelor of Science in Horticulture at University of Georgia. While pursuing her degree, Angela worked at a commercial nursery, where she gained experience and made valuable connections. While Angela is confident in her ability to manage all aspects of her commercial tree farm, she will be able to draw on the knowledge of her college professor and mentor, should the need arise. She will also be supported in day-to-day operations by seasoned nursery manager, Jen Martin.

Since incorporation, Savannah Saplings has achieved the following milestones:

• Registered Savannah Saplings, LLC to transact business in the state of Georgia.
• Has located an existing farm, and has placed an offer for purchase.
• Reached out to numerous contacts, including nursery retailers and wholesalers, to advise them of their planned opening.
• Identified property improvements and equipment necessary for a successful operation, and obtained quotes for construction and pricing for equipment purchases.

 

Savannah Saplings Services

The following will be the products Savannah Saplings will provide:

• Evergreens
• Fruit trees
• Flowering shrubs

In addition, Savannah Saplings will initially operate a Christmas tree stand on a seasonal basis.

 

Industry Analysis

The Tree Farming industry is expected to grow over the next five years to over $8.2 billion.

The growth will be driven by private spending on home improvements, and increasing automation in industry processes. Consumers are expected to spend more on home improvements such as landscaping over the next five years. Exports are also expected to grow, which will tighten supply and drive up prices for trees and shrubs and other landscaping products, but consumers are expected to bear this price increase. Furthermore, the cost of production is expected to fall, as the use of drones, AI, and precision farming improves operational efficiency.

Costs largely come from agricultural supplies such as plants, seeds, fertilizer, soil, soil nutrients, conditioners and packaging materials. Fertilizer tends to have highly volatile prices in line with natural gas price swings. Chemical products, such as pesticides, are also influenced by natural gas and oil prices.

 

Customer Analysis

Demographic Profile of Target Market

Savannah Saplings will initially target local retailers and households, and once established, will target nursery stock wholesalers throughout the Southeast.

The precise demographics for Chatham County, Georgia are:

	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

Savannah Saplings will primarily target the following customer profiles:

• Local garden stores
• Local general retailers and big box stores
• Local households who like to purchase fresh Christmas trees
• Nursery stock wholesalers

 

Competitive Analysis

Direct and Indirect Competitors

Savannah Saplings will face competition from other companies with similar business models. A description of each competitor company is below.

 

Ballantine Tree Farm

Ballantine Tree Farm is a family-owned and operated business located in the heart of southeast Georgia. With a rich history dating back over 50 years, the farm has been dedicated to the cultivation and conservation of Georgia’s native trees.

The farm specializes in a variety of native trees, including Southern Pine, Live Oak, and Magnolia. It offers both wholesale and retail options, catering to landscapers, nurseries, and individual homeowners. In addition to tree sales, the farm provides landscaping services and expert advice on tree care and maintenance.

Committed to sustainable farming practices, Ballantine Tree Farm employs environmentally friendly techniques such as drip irrigation and organic fertilization to ensure the health and vitality of their trees. The farm is also involved in local reforestation efforts, contributing to the preservation of Georgia’s natural beauty.

 

Scott Marsh Nursery

Scott Marsh Nursery is a third-generation wholesale tree nursery located in upstate South Carolina. The Marsh name has been synonymous with the nursery business since the 1930’s. The company employs modern up-to-date equipment and technology to produce top-quality landscape plants.

The nursery is a certified SC grower, and offers a wide variety of trees to landscapers, nurseries, and contractors in the eastern U.S. The company is a member of several organizations, including the American Hort, Florida Nursery, Growers and Landscape Association, South Carolina Green Industry Association, North Carolina Nursery & Landscape Assoc., Georgia Green Industry Assoc., and Tennessee Nursery & Landscape Assoc.

 

Shade Tree Farms

Established in 2019, Shade Tree Farms is a commercial tree farm located in Macon, Georgia. The farm is known for offering a large variety of hardwood, ornamental, and evergreen ball. The farm employs 6-10 people.

 

Competitive Advantage

Savannah Saplings will have the following advantages over their competition:

• The founder is educated and experienced, with connections along the supply chain
• Savannah Saplings will initially focus on popular stock that are known for fast growth
• Savannah Saplings offers high quality products at competitive prices

 

Marketing Plan

Brand & Value Proposition

Savannah Saplings will offer the unique value proposition to its clientele:

• Founded and run by an educated, experienced horticulturalist who has ties in both academia and along the industry supply chain.
• High-quality, locally-grown products.

 

Promotions Strategy

The promotions strategy for Savannah Saplings is as follows:

Website and SEO

We will develop a user-friendly website showcasing the variety of trees, services offered, and the sustainable practices followed at the farm. We will also implement Search Engine Optimization (SEO) strategies to improve online visibility.

Social Media Engagement

We will regularly update social media platforms with engaging content such as tree care tips, behind-the-scenes looks at the farm, and customer testimonials.

Email Marketing

We will collect email addresses from customers and website visitors to send newsletters, special offers, and updates about the farm.

Local Partnerships and Community Involvement

We will plan to partner with local businesses, schools, and community organizations for tree planting events, workshops, and other collaborative efforts. We will also sponsor or participate in local events, farmers markets, and festivals to increase visibility within the community.

 

Pricing

The pricing of Savannah Saplings will be moderate and on par with competitors, so customers feel they receive value when purchasing their products.

 

Operations Plan

The following will be the operations plan for Savannah Saplings.
Operation Functions:

• Angela Whitmore will be the Owner and President of the company. She will oversee all operations.
• Jen Martin – Office Manager who will manage the office administration, client files, and accounting.

 

Milestones:

Savannah Saplings will achieve the following milestones in the next few months.

• 5/1/202X – Finalize contract to purchase the farm
• 5/15/202X – Finalize contracts for construction/renovation of facilities
• 6/1/202X – Purchase farm equipment and supplies
• 6/15/202X – Begin initial plantation
• 8/22/202X – Finish facilities
• 11/21/202X – Open the inaugural Christmas Tree stand

 

Management Team

Savannah Saplings will be owned and operated by Angela Whitmore. She is joined by veteran nursery manager, Jen Martin, who will help manage the office and operations.

Angela Whitmore has a degree in horticulture and experience in nurseries. She first discovered her green thumb while volunteering at the local botanical garden during high school. Her passion for growing beautiful things led her to pursue a Bachelor of Science in Horticulture at University of Georgia. While pursuing her degree, Angela worked at a commercial nursery, where she gained experience and made valuable connections.

Jen Martin, whom Angela met at a networking event, has been assistant manager at the largest wholesale nursery in Georgia for the past five years. Angela will depend on Jen’s business acumen in managing the books and all the administrative details that go into running a tree farm.

 

Financial Plan

Key Revenue & Costs

The revenue drivers for Savannah Saplings are sales of trees and shrubs.

The cost drivers will be the overhead costs required to cultivate trees. Costs largely come from agricultural supplies such as plants, seeds, fertilizer, soil, soil nutrients, conditioners and packaging materials.

 

Funding Requirements and Use of Funds

Savannah Saplings is seeking $111,000 in debt financing to launch its tree farm. The funding will be used towards purchasing an existing farm and procuring the initial plants. Funding will also be used towards three months of overhead costs to include payroll and marketing costs and insurance. The breakout of the funding is below:

• Farm purchase down payment: $10,000
• Office and greenhouse construction: $30,000
• Office equipment, supplies, and materials: $1,000
• Farm equipment, supplies, and materials: $25,000
• Three months of overhead expenses (payroll, utilities, insurance): $30,000
• Working capital: $15,000

 

Key Assumptions

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

• Number of Trees Sold Per Month: 150
• Average Sales per Month: $18,000
• Input Costs per Year: $100,000

 

Financial Projections

Income Statement

Balance Sheet

Cash Flow Statement

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