MAGOYE RESEARCH

INNITIATIVE MULTIPURPOSE
CO-OPERATIVE SOCIETY
LIMITED

BUSINESS PLAN

TO

MAGOYE CONSTITUENCY DEVELOPMENT FUND

(CDF)

GOAT PROJECT

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1.0 EXECUTIVE SUMMARY

The Co-operative is located 30 km from Mazabuka Central Business. By nature the co-operative is
agricultural and has concentrated in goat production since inception. The co-operative has a total
membership of 15 active members of which 10 are youths, however, more than 20 people are
indirect beneficiaries of the project through short contractual work they are hired to do by the co-
operative.

The co-operative wants to start rearing goats as another source of income. The co-operative has red
market for the goats, and wishes to start rearing 100 goats per time in order to satisfy its acquired
market. We have realized that goat business is a fast and profitable venture that would add value and
help in job creation. It is for this reason that the co-operative request the government through
Constituency Development Fund for a Grant of K 40,000.00 to enable it purchase the goats, feeds,
drugs and accessories. The project will benefit the community through employment and of goat
products. The project will create 5 direct jobs and over 30 indirect jobs this will increase the flow of
cash in the community hence increased buying power and improved diets.

2.0 BUSINESS DESCRIPTION

NAME OF BUSINESS : MAGOYE INITATIVE MULTIPURPOSE CO-OPERATIVE SOCIETY
LIMITED
CHAIRPERSON : LAMECK LUPUPA

BUSINESS ADDRESS : C/O MAGOYE RESEARCH PRIMARY SCHOOL P.O. BOX 6700144,

MAGOYE-MAZABUKA

CONTACT PHONE : 0970625930

COMPANY PRODUCTS : GOAT

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2.1 COMPANY VISION

To be a self-supporting organization providing diversified products and services to members and the
community at large.

2.2 MISSION STATEMENT

To improve the quality of Goat products and be a major supplier in the region and beyond and also
provide technical information to the community.

3.0 BREIF PROFILE

The Co-operative has a potential of rearing over 2000 goats per year and now are we not utilizing
that potential. This project proposal is meant to enable us start utilizing that potential. You will do us
and community at large a great favor by providing the requested grant funds for the project.

4.0 ECONOMIC BENEFITS OF THE PROPOSED BUSINESS TO THE PROJECT

4.1 EMPLOYMENT CREATION
Currently, once funded the business has capacity to employ 5 workers. With the new project we will
employ more workers to help manage our project in terms of security and general poultry business.
The said jobs will be direct jobs and we hope to create over 30 indirect jobs from the business
multiplier effects.

4.2 TRANSFER OF TECHNOLOGY

The co-operative members have been trained through world vision and through learning tours to goat
farms. We will be able to transfer the acquired skill to other members of the community.

4.3 TRANSFER OF KNOWLEDGE AND SKILLS

The co-operative is operating in the middle of Magoye constituency community and will be able to
transfer knowledge and skills through the filed days that will be organized from time to time.
4.4 CONTRIBUTION TO NATINAL TREASURY

The business will increase on its statutory contributions such as NAPSA, PAYE, and the 4%
turnover tax to Zambia Revenue Authority (ZRA).
4.5 PROVISIONAL OF AN ESSENTIAL SERVICES

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The project will assist farmers in goat businesses acquire the necessary vaccines and drugs and also
help them administer the same to the other poultry farm around. This will help reduce the mortality
rate and goat disease out brake for both exotic and local breeds respectively.
4.6 INCULCATING A CULTURE OF ENTREPRENURESHIP

The project will assist the members of the community to view goat rearing as a serious money
spinner with a lot of good profit.
4.7 UTILIZATION OF LOCALLY AVAILABLE RAW MATERIALS

The project will demonstrate that a farmer can make goat feed from locally available materials like
maize, sun flower cake etc.

5.0 MARKETING PLAN

5.1 COMPANY PRODUCTS AND SERVICES

The co-operative will advertise through community radio stations, social medial, and role play and
drama groups.
5.2 PRICING

Mostly farmer’s price using eyesight but we will sale our goat based on their weight. The idea is to
make higher profits.
5.3 BUSINESS LOCATION

The business is located in Magoye, some 35 km south of Mazabuka District business center along
Livingstone road. The area is electrified and has own water supply.
5.4 BUSINESS GEOGRAPHICAL COVERAGE AND TARGET CUSTOMERS

The project is centrally and strategically located which gives it an advantage of choosing where to
sell our products (goat). The co-operative has a choice of offloading its products in any of the
following towns: Mazabuka, Monze, Pemba, Chisekesi, Batoka, Maamba, Chirundu and Siavonga
and Kalomo where we can open shops for our products and just employ sales persons.
5.5 ESTMATED SALES VOLUME

TYPE OF PRODUCT ESTMATED VOLUME

Goats 500 goats
Goat Manure 2 tons

5.6 ESTMATED MARKET SHARE

We are currently insignificant in terms of market share but hope to increase to at least 5%.

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5.6 COMPANY MARKETING STRATEGY

We hope to produce high quality goats products, and advertise it through community radio stations,
social media platforms, drama groups, posters, brochures and role plays.

6.0 PRODUTION /OPERATING PLAN

The co-operative currently is planning to have one (1) goat house which can accommodate the initial
number of goats to be reared. The project plan is meant to source for funds to purchase the one
hundred vaccines drugs and feeds. The project is there for applying for a grant of K40, 000.00 for
the purchase of the above.
6.2 FIXED ASSETS TO BE USED IN PRODUCTION AND OPERATIONS

Goats, borehole, land and buildings.

6.3 RAW MATERIALS/STOCK /INPUT REQUIREMENT

 Three Months Old Goats

 Drugs and stock feed from livestock services.
 Cleaning material from livestock.
6.4 HEALTH AND SAFETY MEASURES.

 Ensure periodical medical checkups for workers.

 Ensure regular health inspection of our premises.
 Installation of firefighting equipment.
 Protective clothing for our workers.
 Vaccinations

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7.0 ORGANIZATION AND MANAGEMENT PLAN
7.1 ORGANIZATION CHART
Members

MANAGER

ASSISTANT MANAGER

CHAIEPERSON SECRETARY TREASURE

Sales Persons Watchmen AUDITOR

7.2 BUSINESS EXPERIENCE AND QUALIFICATIONS OF THE ENTREPRENEUR

The co-operative has undergone a lot of economic pressure and business challenges in the past years
of operation. This has provided a lot of experience in business resilience. With the acquired
experience we are ready to face yet another challenge in the goat industry. Once empowered the co-
operative is more than ready to forge ahead with the business leaning on the acquired experience and
resilience. We shall always operate our business using advice and knowledge from breeders and
government line ministry.

8.0 FINANCIAL PLAN

8.1 TOTAL PROJECT COST

ITEM ESTIMATED COST (ZMW)

(A) PROPOSED FACILITY
(1) FIXED ASSETS
Machinery and equipment (3 Months old Goats) 12,500.00
Subtotal 12,500.00
(2) WORKING CAPITAL
Raw material cost (Stock feeds) 22,500.00
Labour Cost 3,500.00
Overhead costs 1,500.00
GRAND TOTAL 40,000.00

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 GRANT LOAN
The co-operative has a problem of low volumes due to the poor quality of animals. The project
therefore, has no capacity for now to purchase improved breeds and hence its wishes to go into goat
industry which has a low capital injection. This, we feel, will bring back the co-operative to active
business life.

The group is therefore applying for a grant of K40, 000.00 to enable it purchase the above mentioned
goats, drugs and feeds.

FINANCIAL PROJECTION (INCOME STATEMENT FOR 3 MONTHS

DESCRIPTION INFLOW (ZMW) OUTFLOW (ZMW)

1 2 3 1 2 3
SALES
COST OF SALES 50,000.00 75,000.00 100,000.00
PURCHASES 25,000.00 25,000.00 25,000.00
GROSS PROFIT 25,000.00 50,000.00 75,000.00

Expenses
Loan Repayment - - -
Statutory 1,500.00 1,500.00 1,500.00
Obligations
Land and 10,000.00 10,000.00 10,000.00
Buildings
Administrative 3,500.00 3,500.00 3,500.00
cost
Sub Total 15,000.00 15,000.00 15,000.00
Net Surplus 10,000.00 35,000.00 60,000.00

CONCLUSION
The group is therefore applying for a grant of K40, 000.00 to enable it purchase the above mentioned
goats, drugs and feeds and the above narration it is crystal clear that the project is viable and
profitable. You would not go wrong to fund this viable project.

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