A business plan is a set of documents prepared to summarize the operational and financial objectives of a business, plus how they will be accomplished. It serves as a blueprint that will inform and guide a business’ strategies and policies. It is dynamic in nature, given that it can be periodically updated as the operating environment changes or new prospects arise.
When the business plan is meant for presentation to a potential investor or financier, it becomes a detailed forecast of business performance. The piggery farming business is not exempt from having a business plan. That is why we are discussing tips for writing a piggery business plan.
Why Is the Piggery Business Plan Necessary?
There are a number of reasons why the piggery business plan must be drafted. There are instances when a prospective piggery farmer needs to look for funding. It can be from investors or financing institutions. The business plan will be a tool to convince them how worthwhile the business venture is. There can also be times the piggery farmer is looking to scale their business or to approach potential business partners. The business plan serves as a comprehensive body of information that can be used in decision-making.
Even aside from all those purposes, a business plan can simply be a working or reference document while building the piggery business. Never make light of the importance of a piggery business plan. Here are tips that can help you come up with the best piggery business plan:
Do Not Draft a Generic Piggery Business Plan
We have already established that your piggery business plan can be meant for different reasons. For your business plan to be compelling, you must draft it with the intended recipient in mind. Is it for an investor? Is it for a financing institution, e.g., a bank or microfinance? Is it for a target business partner? All these possible recipients mean your piggery business plan must be tailored differently. What an investor looks for in your piggery business plan differs from what a microfinance institution looks for. You will find that some of these recipients might have formats they want you to follow.
Thus, it might defeat the purpose if you just draft a generic piggery business plan. To increase your chances of getting the desired response, the recipient of your business plan must see it was tailored specifically for them.
Ensure The Essential Parts Are Included
This is the first thing you must pay attention to. Business plan formats do vary, but there are core parts that must be covered in it. There must be an executive summary that gives an overview of the piggery business. This should also include why this business plan is being put together. This should be followed by the business or company description. This entails introducing your business (who it is and what it offers) and an overview of its position in the piggery industry. You can also include vision, mission, and core values under that.
Market analysis and competitive analysis are a must. The former is about demonstrating your understanding of the market whilst the latter of your competitors. The next part is operations-basically how you will execute and manage your business plan. Then we have the marketing plan, an important part given its bearing on revenue generation. The financials are the most important part of your piggery business plan. Your financials must cover past, present, and future projections. These are essential parts you must include in your piggery business plan.
Be Straight to The Point and Do Not Use Jargon
Simplicity is the ultimate sophistication. Any undertaking that involves writing should follow that principle. Write as if you are writing to an 8-year-old. This means you should use simple English; avoid big or complex words. Be brief by using reasonably sized sentences.
Wherever possible, avoid text but rather use diagrams, illustrations, tables, images, graphs, and the like. It is understandable that piggery farming does involve some jargon. Try by all means to avoid jargon or if you cannot avoid it, clarify what it means. All of this helps make your business plan as brief, as simple, and as clear as possible.
Do Not Be Overestimate Your Financial Projections
Financials do play a huge role in convincing investors or financiers to bankroll your piggery business. However, exercise caution when coming up with your financial projections. The piggery business is subject to unforeseen circumstances. For example, there can be a disease outbreak, or there can be sudden adverse weather conditions. You can even experience theft or run out of capital, amongst many other possible circumstances.
It is also possible for your pigs to experience poor reproductive rates despite your best inputs and efforts. That can also occur with the pigs failing to attain appreciable market weights. All these and more can dent your inflated financial projections. That is why it is wise to be extremely conservative when coming up with your financial projections. It is better to underestimate and then over-deliver than to overestimate and under-deliver.
Engage Experienced Piggery Farmers for Guidance
Piggery farming is technical in so many ways. There are a number of variables that influence the contents of a piggery business plan. If you are working on drafting a piggery business plan, chances are it is your first time. Do not assume things or guess when you are in doubt. Look for expert advice or opinions regarding details in your business plan. For instance, an experienced piggery farmer will have a solid understanding of the financial aspects of the business. They will also have a firm grasp on the piggery industry and competitors too. That information will be useful in coming up with a factual piggery business plan.
If you follow these 5 tips, you will come up with a winning piggery business plan. Following these tips will help you produce a business plan that is factual, realistic, comprehensive, not too long, and convincing.