BUSINESS PROPOSAL

CONTENT SUMMARY• Mission, Vision and

Objectives THE BUSINESS• Description Of Business• Products/Services• Market Analysis• Marketing Plan• Location• Competition• Management And

Operations• Personnel• Application And Effect

Of Loan Or Investment

FINANCIAL DATA• Projected Financial

Statement

THE BUSINESSThe plan outlines our proposal to do a cattle farming at Agropark. AG-C Sdn. Bhd. formed with the purpose to start, learn and have some experience about organized a small business. In addition, the establishment of this business is to apply the lessons we have learned in business activities. Establishment of AG-C Sdn. Bhd. also to expose or give an service for all community especially around Jeli in cattle farming using feed lot. This business establishment is in line with government's call for students to participate actively in the field of entrepreneurship that is to serve the agropark to community. Besides that, this proposal has done to get loan to expand our business. For do this project, we use Good Animal Husbandry Practices (GAHP) for get quality and healthy cattle.

THE BUSINESSMission : To manage the farm as an efficient and profitable family-operated cattle farming business, maintain assets in good working condition, reduce debt and build equity.Expand the target market and increase the livestock.Vision : To produce good quality of beef and can be marketed to whole Malaysia.Objectives :Get closer ties between citizens University Malaysia Kelantan with community.To help community around Jeli get job.

BUSINESS DESCRIPTION

COMPANY BACKGROUND Name of Company/ Firm : AG-C SDN. BHD.Types of Organization : Partnership Address : Universiti Malaysia Kelantan Kampus Jeli, Beg Berkunci No. 100, 17600 Jeli ,Kelantan.C.E.O : Siti Subailah Binti Hj. SuodEmail Address :animalgrowth_cow@yahoo.comActivity : Cattle Farming Using Feedlot

DESCRIPTION BUSINESS

EN.MOHD AMIZIADVISOR

NORSYAKIRA BINTI MAT

SECRETARYAZIFAH BT SUHAIMI

FINANCIAL EXCUTIVERAZIN BT MOHD RAMLIMARKETING EXCUTIVE

SITI A’EISYAH BINTI SUHIMI

MANAGEMENT EXCUTIVE

SITI SUBAILAH BT HJ SUODC.E.O

PRODUCTSProducts/Services

Our product that we suggest consists of many species of cattle that from good varieties. For manage our cattle systematically, we will apply Good Animal Husbandry Practices(GAHP) feedlot where practice of applying the concept of quality assurance program ( QAP ) in feedlot farming good practice will help farmers and feedlot operators to maintain and produce quality livestock feedlots early in the establishment of a feedlot farm , selection and purchase of animals ( feeder ) , rearing up on marketing and the sale of livestock feedlots .

MARKET ANALYSIS

MARKET ANALYSIS

TARGET MARKET

SIZE MARKET

MARKET SYER

MARKET TREND

MARKETING STRATEGIC

Feedlot cattle marketing is one of the important activities that determine whether a cattle feedlot project viable or otherwise. Feedlot cattle sales price is the third important factor that will determine whether it is profitable or not. Wise feedlot operators usually have to determine and plan their marketing strategies result before starting industrial feedlots . This means that enterprises feedlot is a market-based activities using the locally available resources as efficiently as possible.

MARKETING STRATEGIC

LOCATION

PRICE PRMOTION

PRODUCT

a) Product or services description

There is some potential to breed cattle bred for meat production. The breeds are Brahman cross cattle, Droughtmaster , Kedah, Kelantan Cross (KK ) , ' Yellow Cattle ' and Bali . The principal activity of selecting breeds of cattle for breeding is an important activity for farming because only quality breeds will produce quality cattle.

The basic thing during selection bull e:g Pure Brahman breed are :i . Average age of 36 months ;ii . Weight not less than an average of 350 kilograms;iii . Healthy and be free of any infectious diseases ;iv . Have reproductive organs and works well for breeding .

The basic thing in selecting cows for example for Brahman hybrid is ;i . 18 months on and not exceeding 36 months ;ii . Weight not less than 250 kg ;iii . Healthy and be free of any infectious disease ;iv . Have a good reproductive organs and can work well for breeding ;v . Having breast ( udder milk ) is good with four teats that perfect position and can work well.

Criteria for Health are :i . Good health and be free of any disease communicable diseases such as FMD , Rinderpest , Camphylobacteriosis , trichomoniasis , Leptospirosis , Babesiosis and anaplasmosis , Bovine Enzootic Bovine Leukosis Spongiform Encephalopathy ( BSE ) , Haemorrhagic Septicaemia and brucellosis ;

ii . Health certificate from the appropriate authority confirming the cattle health must be accompanied by a list of numbers cattle identification as is supplied ;

iii . Have a good reproductive organs and can work well for breeding ;

iv . Each received cows must be in good physical condition , not crippled, lame , blind , or the like that can be affect the reproductive potential of the cow .

Baka Lembu Jantan KacukanBrahman Tulen

Baka Lembu BetinaKacukan Brahman

Baka Pejantan Kacukan“Yellow Cattle”

Baka Kedah Kelantan

Baka IndukBetina Yellow Cattle

Baka PejantanKedah Kelantan

TIMELINE

PHASE 1( FUND)

PHASE 2(TIME

GROWTH)

PHASE 3( SELLING)

TYPE OF MARKET

There are four main methods of marketing for feedlot cattle :i. Live cattle sales to middlemen ( Butcher )ii .Sales of live cattle to the sacrificial iii . Sales of live cattle to sacrificeiv . Retail sales in cash ( fresh meat )

Kumpulan@

Peringkat

Bulan

Ternakan

Masuk

Berat Masuk

(kg)

Peningkatan

Berat Badan

harian

(Kg/hari)

Target Berat

Jualan (kg)

Target Jualan

(bulan)

Pertama

 

Kedua

Ogos

 

Oktober

230-260 kg

 

180-230 kg

1. kg/hari

 

1.0kg/hari

350-380 kg

 

300-350 kg

Hari Raya Aidil Fitri

Hari Raya Korban

(Februari)

Ketiga

 

Sepanjang

masa

230-260 kg 1.0kg/hari 350-380 kg Jualan hidup/daging

segar (Jan-Dis)

Table 1 shows examples of marketing strategies for operating feedlot fattening stage 3 to 4 month period ( 120 days ) at a rate of daily weight gain 1kg/days :

LOCATIONThe business address is at Universiti Malaysia Kelantan Kampus Jeli, Beg Berkunci No. 100, 17600 Jeli, Kelantan. Ideally located farm or feedlot project located at least 0.5 km radius of residential or houses and industry and not too close to the river or irrigation system. This is to avoid flooding when heavy rain. Surrounding area should be fenced farm feedlot (perimeter fence) and filled with trees plants or fruits.Avoid low areas and easy sink when flooding occurs. Make sure that the access roads to the farm can be passed throughout the season and can hold heavy vehicles (truck) up weighing 16 tons.Feedlot cattle project site should be a strategic area in terms of topography, environment and infrastructure.

LOCATION

HILLS

TARGET PLACE

RIVERS

NETTING HOME

COMPETITION

Our big competitor is the supplier of beef from Thailand, as Jeli is nearby Rantau Panjang.-Our operation would be worse if we cannot overcome the infectious disease. Otherwise, our operation would be better if we success to overcome this crisis that affecting the cattle.

MANAGEMENT AND OPERATIONS

Efficient and systematic management is important is to ensure the health of livestock, increased body weight daily maximum , minimum operating cost control and profit optimization. Management Livestock feedlot cattle breeds in particular should be bathed at least once a day to reduce the thermal load (heat stress) . This action, which helps to increase appetite diet ( feed intake ) that determine the daily weight increase high. Observation and random inspections to be done from time to time to ensure the comfort , health , nutrition and weight gain of livestock performance

MANAGEMENT AND OPERATIONS

• Management Pens• Nutrition Management• Management of Vehicle• Records Management

PERSONNEL

Most feedlot operators or owners do not do livestock management directly, instead employ the necessary labor . Therefore, personnel management is importantManagement personnel include the following activities :

i . Determine the number of employees subject to a number of cattle required , the size and type of feedlot operations undertaken . Rate efficient and optimal employee compared to the number and types of cattle feedlot operations are as follows :

a.Feedlot operations manual = 1 employee to 200 headb.Feedlot operations mechanically = 1 employee to 400 tail

PERSONNEL

ii .Attached schedule or daily work schedule should be provided to the employee for the referral facility maintenance and management of daily operations more easily and efficiently .

Application And Effect Of Loan Or Investment

The total investment needed to start the business is around RM50,000 to grow 10 calf for the first step. The investment will be used to buy the calf, build its pen, calf feed stock, veterinary medicine and so on.

THE FINANCIAL

  Period from 2014 to 2015 and projected 3 years

    2014 2015 Year 1 Year 2 Year 3

  Income          

  Cow Calf 78,000 77,000 78,000 79,000 80,000

  Crops 6,000 6,000 6,000 8,000 9,600

  NTS/FII 2,700 2,700 2,700 2,700 2,700

a) Total Cash Income 86,700 85,700 86,700 87,700 91,000

  Direct Expenses          

  Crop Expenses 6,600 6,600 6,600 6,600 6,600

  Livestock Expenses 8,030 8,030 8,030 8,030 8,030

 

 

Equip. Fuel &

Repairs

10,200 10,200 10,200 10,200 10,200

 

 

Marketing &

Trucking

2,250 2,250 2,250 2,250 2,250

  NTS/FII 1,875 1,875 1, 875 1,875 1,875

b) Total Direct Expenses 28,954 28,954 28,954 28,954 28,954

  Indirect Expenses          

  Labour 4,000 4,000 4,000 4,000 4,000

  Legal & Accounting 850 850 850 850 850

  Insurance & Licences 2,400 2,400 2,400 2,400 2,400

  Utilities, Misc. 2,850 2,850 2,850 2,850 2,850

  Operating Interest 2,000 1,800 1,700 1,400 900

  Term Loan Interest 10,000 9,000 8,000 7,000 7,000

c) Total Indirect Expenses 22, 100 21,000 20,900 20,600 20,200

d) TOTAL EXPENSES 51,054 49,954 49854 49554 49154

e) NET RETURN CASH EXPENSES (a-d) 35,646 35,746 36,846 38,146 41,846

  Depreciation -12,100 -10,990 -9,970 -8,670 -7,040

  Inventory Change   2,400   400 1,200

f) Total Adjustments -12,100 -8,590 -9,970 -8,670 -7,040

g) NET FARM INCOME(e+f) 23,546 27,156 26,876 29,476 34,806

SUPPORTING DOCUMENTS

i. Record purchase cattle feeder ii. Daily feeding recordsiii. Record daily weight increase iv. Health records and death v. Records marketing / sales of cattle feedlot vi. Personnel recordsvii. Financial records

 

Want to set up a training academy in animal livestock for sharing

knowledge and experience with those interested in entrepreneurship courses

where cattle and include techniques cattle sheep and goats, poultry feed

manufacturing, manufacture of organic fertilizer, halal slaughter, livestock

logistics procedures, the use of probiotics EM (Effective Micro-organisms),

strategic marketing techniques and preparation loan papers.

RECOMMANDATION

Cattle and sheep industry less interested in the country and we feel compelled to attract the young people especially in village to involved farming sector. This

is because livestock industry not enough to meet local demand, but need to dependent on imports around 75 percent. Malaysia is rich with grasses but still far omissions in the livestock industry because no interest among the younger generation. Still many areas not fully exploited, neglected and wasted, while it may reduce unemployment problem. Furthermore, the country needs more than 500,000 goats year and 95 percent is imported from Australia, Thailand and Indonesia, thus cause the flow of money out of the country. This time for

starting,, we only have stock 10 head of cattle for sale. However, we do not sell fresh meat, but sell live cattle.

CONCLUSION