Sheep: business plan
Often, aspiring entrepreneurs living in rural areas, when choosing the direction of their activities, prefer to engage in sheep breeding. Sheep breeding has traditionally been a popular business and there are several reasons for this. First of all, the case attracts to itself because of its relatively low labor intensity. This is explained by the fact that sheep are rather unpretentious animals.
The second reason for the popularity of these animals for breeding is their relatively low mortality. It is also attractive that such a business can be started from the smallest herd. The entrepreneur will not have any problems with feed, because sheep are grazing animals.
According to statistics, the population of our planet is constantly growing in demand for food. Lamb is no exception. The share of the annual consumption of this meat is about eight and a half million tons. As for Russia, there is a period of deep crisis in sheep breeding.
This fact is confirmed by the rapid decline in the number of animals. Farms keep only 1 million sheep, herds of agricultural enterprises number 4.4 million heads, and 9 million of these animals are raised in private households.
Starting a Business
If, in order to receive income, you have chosen such a type of activity as sheep breeding, a business plan, as in any other business, must be drawn up without fail. In this document, reflecting the main stages of the formation of a farm, an item such as registration of a company must be indicated without fail. Only in this case your activity will be considered legal.
The legal form of the company is a peasant farm (peasant farm). Registration of a sheep breeding business is similar to registration of an individual entrepreneur. Organization of a legal entity is not required in this case.
Anyone who draws up a business plan for sheep breeding must necessarily study the list of those documents that must be collected for submission to the registering authority. This list includes:
- application for registration of a farm;
- power of attorney for the MFC;
- receipt confirming payment of state duty for registration of a farm;
- the original, as well as a copy of the passport of the head of the farm;
- a document confirming the Russian citizenship of the person who registers the farm;
- the original, as well as a copy of the birth certificate.
Another document that the business plan for sheep breeding should provide is a permit from the SES. Without it, the opening of the farm will be impossible.
A business plan for a farm with sheep as the main activity should address animal nutrition. To provide fodder, you will need to find a suitable pasture option.
When choosing sheep farming as a business, know that you have chosen one of the most suitable agricultural activities for a budding entrepreneur. Sheep are considered to be rather unpretentious animals.
Their meat, milk and wool are highly valued by consumers. Today we will take a closer look at how the organization of sheep breeding takes place.
Statistics show that the demand for food is increasing every year. About 8.5 million tons of mutton are consumed in the world annually. Despite this, the development of sheep breeding in Russia is in a deep crisis. This fact is confirmed by the data that the number of livestock is rapidly declining. In our country, about 9 million sheep belong to private households, 4.4 million - to agricultural enterprises and only 1 million - to farms.
Choosing sheep breeding as a business, you should register a new company in the form of a peasant farm. KFH is a community of people engaged in joint activities for the production and sale of agricultural products.
Based on Article 1 of the Law "On Peasant Economy", there is no need for a PF to create a legal entity. Their registration is carried out under the same conditions as for individual entrepreneurs (individual entrepreneurs). The founders of the farm must sign an agreement on the establishment of a farm and send the contract to the registration authority.
The package of documents required for registering a peasant farm includes:
- application for registration of a farm;
- a copy and original of the passport of the head of the farm;
- power of attorney for the MFC;
- a receipt that the state duty for the formation of the farm was paid;
- a document that confirms the place of residence of the person registering the farm (if there is no Russian citizenship, then a temporary residence permit and a residence permit are required);
- copy and original of birth certificate.
In addition to the listed documents, before opening a farm, you need to obtain permission from the SES.
Sheep is one of the most popular livestock businesses. Sheep belong to the category of grazing animals that are easy to feed.
These are unpretentious animals that perfectly tolerate the cold. They are bred to obtain valuable meat, wool and milk. How to prepare a business plan for a sheep farm?
Prerequisites for the farm
To organize a sheep-breeding farm, it is important to create certain conditions, which include:
- Choosing a place for pastures
- Preparing premises for raising sheep
The number of hectares of meadows is determined by the number of heads in the herd. As far as the room is concerned, it is a standard wooden enclosure.
In winter, sheep do not need heating, because they tolerate low temperatures well. With the onset of abnormal cold weather, a stove-stove will be enough.
This type of business falls under the KLF organization. It involves the extraction of a small but stable profit. And in the future, it will become a good base for expanding other areas.
This business will need the following specialists:
Sheep meat should be noted separately. The fact is that sheep by nature have very strong immunity, and this advantage distinguishes them favorably from the same cows. There is minimal intervention of veterinarians in their life. This, on the one hand, reduces your costs for breeding this livestock. On the other hand, there is no intervention, which means vaccination and antibiotics against diseases, viruses and pathogens, there are no drug residues in the meat of the animal. Therefore, we get an environmentally friendly and healthy product.
As we noted above, only herbs are present in the diet of sheep. And the range of these herbs, so to speak, is much wider than what cows consume. Consequently, there are much more places for sheep pastures, where cows do not graze. And they do not need to be sown with special grass mixtures to create a separate forage base, which also carries additional costs. Sheep can graze and gain weight anywhere. Even desert steppes with minimal vegetation are suitable for them.
Where there are pros, there are cons
According to the current trend, agriculture in our country is not a high-margin business. And you will need to spend more than one year on the establishment of your farm, to make additional costs before you start to receive a solid and stable profit. The first year, if you correctly approach sheep breeding, the profitability can be from 10 to 20 percent. And then, these funds will need to be invested in the development of the herd, namely, to increase the livestock. Profit for the next year will also go into development. Cheese making requires a lot of investment until it starts to make a profit. But when it starts to generate a steady income, it will be a reliable business.
Today, the annual consumption of mutton meat is 2-2.5 thousand tons. This is quite a lot, and the figures only increase every year.
Therefore, entering the farming business through sheep breeding is a good start.
Where does sheep breeding begin
Sheep farming begins with breed selection. It is she who determines the combination of the invested funds and their speed of payback. Today, a sufficient number of sheep breeds are presented on the market, the fertility of the breed is 120-140% per year. That is, a modern sheep reaches sexual maturity by 5-6 months, therefore, your livestock will increase at least twice a year. And then exponentially.
There are, of course, breeds specially bred and having 300% regeneration per year, but this is not a domestic selection, and is intended for regions where there is no cold season. For example, for Australia and New Zealand, where permanent green fodder is present.
Pasture area and barn
For competent sheep breeding, the required area for pasture is required. On average, this area is calculated using a simple formula: one sheep and its subsequent offspring = 1 ha. You buy a flock of 200 sheep, which means that you should have two hundred hectares for pasture.
For the best effect, it is important to enclose this area. Today there are a lot of proposals for the construction of a pre-fabricated hedge that can control the movement of your herd and protect it from external factors, including theft.
Against theft, it is also important to install outdoor surveillance cameras with motion sensors. Yes, this is somewhat costly, but later, thanks to video surveillance, you will be able to stop theft once and for all, and this will pay off with good dividends.
Breeding and raising sheep in agriculture in most countries is the most popular type of animal husbandry. Profitability is in the range
10-25% with return on investment
15-20 months Sheep breeding is suitable for starting a business in a village from scratch, i.e. does not require large financial costs and special knowledge of animal care. In this article, we will analyze how to organize sheep breeding as a business from scratch.
Sheep farming as a business: advantages and disadvantages
The key point is choosing a business line, which depends on the breed of sheep. Sheep breeding can be for obtaining meat products (meat and meat breeds of sheep) or for obtaining wool (wool and meat breeds). An additional direction could be the sale of sheep milk. Consider the main advantages and disadvantages of an agricultural sheep raising business.
10-15% and a long payback period
This business in the field of animal husbandry does not have special requirements to start. Small capital is required, the cost of raising animals is minimal. A significant drawback But there is - profitability. Some domestic experts or "experienced" livestock breeders assess the profitability
10-15%. This is often the main criterion by which starting entrepreneurs are judged and, unfortunately, they are not entirely right. Foreign analysts assess the profitability of this sphere of animal husbandry
25%, proper animal and pasture care can improve business performance.
Sheep Breeding Business Plan
An important feature of drawing up a business plan is making approximate calculations for available resources, distribution channels, personnel, costs and revenues. The purpose of a business plan is a visual presentation of a business idea to determine the stages of its implementation or presentation to investors (lenders) to obtain investments or subsidies for business development. If you are starting your business from scratch, then you should not count on receiving funds from investors. Investors, with the exception of venture capital or business angels, invest in an existing business, which shows its effectiveness through an assessment of its income and costs. To raise funds for business development from scratch, you can get government support or subsidies, but as a rule, their size is very small. / n>