QUESTION 1
Select any sample business venture of your choice
(Small scale type) and implement the business plan on it.
SOLUTION
A business plan is a
written description of your business's future. A document that describes what
you plan to do and how you plan to do it.
Business plans can help perform a number
of tasks for those who write and read them. They're used by investment-seeking
entrepreneurs to convey their vision to potential investors.
It is often an integration of
functional plans such as marketing, finance, manufacturing and human resources.
Potential investors and suppliers too are interested in a business plan, as it
can proof helpful in taking decisions.
For the purpose of this
assignment, the selected sample business venture is DE BRIGHT POULTRY FARM.
Name of the business: DE Bright Poultry Farm
Address of the business: The location of the business determines both the success
and failure of the business, hence this business will be located in Up Oversea
in Nasarawa town
Nature of the business: The business is
profit oriented that is, it is established for the sole purpose of making
profit. The business will begin in small scale considering the financial
implication but may gradually increase as income become larger.
Statement of finance needed: Poultry farming is capital intensive, as low as 150,000 can
start the business at the scale I wish to operate, but a basic necessity is
housing, where there is none, then more capital will be required to access one
and capital is required to get that. The capital to start up this business will
be sourced from loan from agro-based subsidy organizations.
EXECUTIVE SUMMARY
Poultry farming is a branch of
agricultural business that deals with raising of domesticated birds such as
chickens, turkey, ducks and geese, for the purpose of farming meat or eggs for
food. This business plan is centered on rearing of chicken which is the most
common aspect of poultry farming. It is a very lucrative business that can
transform a pooper to a billionaire.
Objective Statement
The De Bright poultry farm mission is
to become the recognized leader in its focused industry for income of poultry
and egg.
PRODUCTION PLAN:
The poultry farming is capital intensive
depending on the scale, location of the farm and the type of management
technology used
Production process: the major requirement is the housing for the birds, poultry equipment and
appliances. The incubation period of the domestic fowl is 21 days. After the
incubation period, the poultry hatch into chicks and the rearing process
begins. At the early stage, there won’t be any output, until the are old enough
to start laying eggs, but before then much money will have to be invested in
feeding with the adequate nutritional requirement needed for healthy growth of
the poultry.
Raw materials: the
major raw materials required in poultry production are the feed, and they are
classified based on the stage of the poultry: starters, growers, layers and finishers.
Vaccination is also recommended at intervals to ensure proper health condition.
MARKETING PLAN
Sales of Chicken
The primary income stream for the
organization will come from the sales of chicken to industries, hotels,
restaurant and slaughterhouses within the Business’s focused market.
The De Bright poultry farm plans to
produce a lot of interest in the farm due to the fact that there is high demand
for poultry product in Nasarawa town and Nigeria at large.
Promotion Strategies
De Bright poultry farm plans on using
a variety of selling techniques that will allow the farm to easily focus on
buyers within the focus on audience.
Financial Plan
Actual Assumptions
·
The
De Bright poultry farm will have a yearly income amount of growth of 20% per season.
·
The
Owner will obtain N150,000 of debt resources to create the company.
CONCLUSION
It’s one thing to start a chicken farm, but to start an actual business
out of it is something else entirely. You are not only going to become a
chicken farmer, but a businessperson as well, depending on what markets you
want to target and what part of the chicken industry you want to tap into. In
the chicken industry there are two main sectors: Layers, which are chickens
bred and raised to produce eggs, or broilers, chickens raised and bred to be
slaughtered. Whatever sector you choose, you have to make responsible
managerial and financial decisions to make your chicken farm business a
profitable one.
QUESTION 3
The procedures and requirement for naming a business
and incorporating business vary elucidate.
SOLUTION
An
investor who intends to commence any business must first make a decision on the
form of business in which to operate. In Nigeria, there are two main forms a
business can take. The business could either take the form of a registered
business name or an incorporated company.
The
Companies and Allied Matters Act 1990 (“CAMA”) provides for the processes and
procedures for registration of these forms of business.
1.
A REGISTERED BUSINESS NAME
A
Business Name is registered under Part B of CAMA. Businesses registered under
this Part are normally Sole Proprietorships and ordinary Partnerships.
REGISTRATION PROCEDURE FOR A
BUSINESS NAME
Step A: Reservation of
Name
This
is the first step prior to the registration of a Business Name in Nigeria.
An
investor is required to supply proposed alternative name options for the
Business Name in the prescribed form to the Corporate Affairs Commission
(‘CAC’). The CAC will then determine whether or not any of the proposed names
are available for use. Where any are deemed available and approved by the CAC,
one of the options will be reserved for that particular investor for a period
of sixty days to allow for registration.
Step B: Submission of
the following documents to the CAC:
1.
The approved reservation of name form
2.
Duly completed Business Name
registration form.
3.
2 (Two) passport size photographs of
each investor
4.
Certificates of professional
qualification where necessary
Step C: Payment of the
prescribed fees and stamp duties at the bank desk at the CAC
Step D: Registration and provision of Certificate
2.
AN INCORPORATED COMPANY
There
are different types of incorporated companies in Nigeria.
We
have the limited liability Companies which can either be private or public
company; the companies limited by Guarantee and the unlimited liability
Companies. There are also Incorporated Trustees which are incorporated
companies for non-profit organizations such as Religious Bodies, Associations,
and Non-Governmental Organizations
CAMA
provides under Part A for the procedure of incorporation for limited and
unlimited liability companies, and also for companies limited by guarantee. The
procedure is as follows:
Step A: Reservation of
Name
This
is the first step prior to the incorporation of any company in Nigeria.
An
investor is required to supply proposed alternative name options for the
Company in the prescribed form to the CAC. The CAC will then determine whether
or not any of the proposed names are available for use. Where any are deemed
available and approved by the CAC, one of the options will be reserved for that
particular investor for a period of sixty days to allow for incorporation.
Step B: Submission of
the following documents to the CAC:
·
The approved reservation of name form
·
Duly Completed Incorporation Forms
·
Duly stamped Memorandum and Article of
Association (2 copies)
·
Certification of proficiency where
required.
·
Copies of Means of Identification of the
Directors
Step C: Payment of the
prescribed fees and stamp duties at the Bank Desk at the CAC
Step D: Incorporation and provision of
Certificate
OTHER REQUIREMENTS FOR COMPANY
REGISTRATION
CAMA
requires a minimum of two directors and two shareholders to form a company. The
directors and shareholders can be of any nationality, and need not be resident
of Nigeria.
CAMA
requires every foreign company who intends to do business in Nigeria to register a separate entity in Nigeria for
that purpose. Notwithstanding this requirement, the law created instances where
a foreign company can be exempted from the requirement of registration.
Please
note that foreign investors may own up to 100% of any Nigerian business except
in the Maritime sector as provided in the Cabotage Act.
Every
company after registration is required to disclose on its letterhead papers,
the following;
•
Name of the company/Business Name
•
Registered Address of the Company/Business Name
•
RC Number/BN Number of the Company
•
Names of Directors of the Company
QUESTION 4
Of what important do you think industries
support agencies are to entrepreneurial development of Nigeria?
SOLUTION
Some supportive agencies are established by the
government at all levels to facilitate the promotion of entrepreneurship
in Nigeria. These agencies are established to cope with the
dynamics of the economy at a particular time. Their basic functions can be
discussed under these roles.
1. Participatory
2. Regulatory
3. Facilitating
Participatory
Agencies
The agencies in this category aid in
providing goods and services which are best produced by the
government. They provide goods and services that are highly subsidized or goods
produced below the average cost. The services provided by these agencies are
essentially to encourage entrepreneurship. Examples are FERMA, Federal
Road Maintenance Agency, public corporations such as PHCN, NEMA, FAAN etc.
Regulatory Agencies
These are agencies established for regulating
business. They are involved in inspection of facilities, laboratory test of
products, approval of facilities and product etc. They include the following:
- Standards Organization of Nigeria (SON)
- National Agency for Food and Drugs Administration and Control (NAFDAC).
- National Drug Law Enforcement Agency (NDLEA).
- Federal Environmental Protection Agency (FEPA)
- State Environmental Protection Agency (SEPA).
Facilitative Agencies
These are agencies set up to facilitate the
establishment and successful existence of small scale industries. They are
saddled with the responsibility of ensuring conducive environment for SMEs.
Their function may include specialized fund for SMEs or otherwise. In this
category we have such institutions as:
- The Industrial Training Fund (ITF)
- Federal Institute of Industrial Research Oshodi (FIIRO)
- Bank of Industry (BOI)
- The Industrial Development Centre (IDC)
- Universities and Polytechnics
- Nigerian Export Promotion Council (NEPC)
- The National Directorate of Employment (NDE)
- National Poverty Eradication Programme. (NAPEP)
- Small and Medium Enterprise Development Agency of Nigeria (SMEDAN)
QUESTION FIVE
Briefly explain the function of the following
industry support agencies
i.
Raw
Material Research and Development Council (RMRDC)
ii.
Small
and Medium Enterprise Development Agency of Nigeria
i.
Raw material and Research and development council
(RMRDC)
The Raw Materials Research and Development Council
was established to perform the following functions
(a)
To draw up policy guidelines and action programmes on raw
materials acquisition, exploitation and development;
(b)
To review from time to time, raw material resources
availability and utilization with a view to advising the Federal Government on
the strategic implication of depletion, conservation or stock-piling of such
resources;
(c)
To advise on adoption of machinery and processes for raw
material utilisation;
(d)
To encourage publicity of research findings and other
information relevant to local sourcing of industries;
(e)
To encourage growth of implant research and development
capabilities;
(f)
To advise on and devise awards or systems for industries that
achieve any
break-through or make innovations and inventions;
break-through or make innovations and inventions;
(g)
To organise workshops, symposia and seminars, from time to
time, designed to enlighten people on new developments and solutions
discovered;
(h)
To consider and advise on special research grants for
specific objectives;
(i)
To consider and advise on any other issue capable of
enhancing the objectives of the Council.
ii.
Small and Medium Enterprise Development Agency of
Nigeria
The Small and Medium
Enterprises Development Agency of Nigeria (SMEDAN) was established by the
SMEDAN Act of 2003 to promote the development of micro, small and medium
enterprises [MSME] sector of the Nigeria Economy.
The following are the
functions of Small and Medium Enterprise Development Agency of Nigeria
1. The Agency is focus on facilitate
the access of micro, small and medium entrepreneurs and investors to all
resources required for their development.
2. Stimulating, Monitoring
and Coordinating the development of the MSMEs sector,
3. Initiating and
articulating policy ideas for micro, small and medium enterprises growth and
development,
4. Promoting and
facilitating development programmes, instruments and support services to
accelerate the development and modernization of MSME operation.
5. Serving as vanguard for
rural industrialization, poverty reduction, job creation and enhance sustainable
livelihoods.
6. Linking SMEs to internal
and external sources of finance, appropriate technology, technical skills as
well as to large enterprises.
7. Promoting information and
providing access to industrial infrastructure such as layouts, incubators, industrial
parks.
8. Intermediating between
MSMEs and the Government. SMEDAN is the voice of the MSMEs.
No comments:
Post a Comment