PEACOCK COLLEGE OF EDUCATION

JALINGO TARABA STATE

COURSE TITTLE: ENTREPRENEURSHIP IN VOCATIONAL AND TECHNICAL

EDUCATION IN NIGERIA

COURSE CODE: VTE 218

PCOEJ/SUG/CMP/22/2001
DEPT.COMPUTER SCIENCE

ASSINGMENT:
BUSINESS PLAN
BUSINESS NAME: ALH. A .S Dudu Cattle Fattening Production
BUSINESS ADDRESS: Jalingo LGA Taraba State
BUSINESS OWNER: ALH. Ahmed Sule Dudu

EXCUTIVE SUMARY
The following reports and recommendations are in respect of the business proposal for
the establishment of Cattle Fattening project proposal by ALH. Ahmed Sule Dudu

2.0 BACKGROUND OF THE BUSINESS

The idea to set up this project was mooted and perceived uncertified demand for
cattle and its conviction that such project is both viable and desirable and the state
its envious.
Base on the facts that the call made by NBE? CBN as regard to the loan proposed
by the state and its envious.

OWNERSHIP
This ALH. A .S Dudu Cattle Fattening Production Cattle farm project will be
owned by ALH. Ahmed Sule Dudu
The promoter has experience in this sector since childhood.

MANAGEMENT
The project will be under the super vision of the promoter and shall be supported
the employed staffs.

MANPOWER
The promoter of his project will require the technical assistance ranging from the
livestock manager, security men, attendant and account clerk.

LOCATION
The project will be located at No. 62 Atiku Road Jalingo Local government Taraba
State. The location is viable and secured even in terms of raw material availability
also it is closer to some target markets.

PROJECT DESCRIPTION AND SCOPE

The project is envisaged to be implemented per cycle on the receipt of the loan as
follows
 Construction of shed/store
 Feeding
  Sales
 Construction of water source

BANKER
Account provision for the project is imperative for proper accounting and auditing.
One of the commercial banks will be selected for account opening. e.g GT Bank
Plc.

PRODUCT IDENTIFICATION
The main product of this project is bulls which will be available for sales.

CATCHMENT AREA
The catchment for the sales project products are Eware, Mararaban Kunini, Garba
shede, Gorore and other parts of the country.

MARKET OVERVIEW
In view of the importance of meat as a source of protein for human bring, the bulls
will be sold after 120days of intensive feeding. Study shows that, there is an
existing ready market for sales of fatten bulls. Bulk buyers exist within the state
and neighboring states.

The project intends to sale in bulk to the major sellers of cattle in the state. Such
will reduce cost and the risk associated in the transportation and the sales of cattle
to distance market.

DEMAND AND SUPPLY OF MEAT IN TARABA STATE

the demand for meat is related to demand for cattle/meat is one of the most widely
eaten food. It provides the larger share people protein and energy than other food
and it is often refers to as ‘staff of life’

SUPPLY OF CATTLE MEAT IN TARABA STATE

A recent market survey in jalingo showed that the demand for cattle is being made
by more than 150 butchers/cattle breeders.
In some of those outfit one could see that orders are placed by customers in
advance to avoid the usual rush for the product. The project will help in supplying
cattle to satisfy the demand for meat in the market.in Taraba one of the major cattle
markets in the state, more than 1000 cattle are taken to the market for sale each
market day.

MARKET PROSPECTS
Jalingo as a state capital of TARABA STATE is undergoing a rapid industrial
commercial transformation. The increase number of people and establishment of
new hotel in the state and more eateries including other organization provide a
large market for the product of this project.

MARKET SEGMENTATION
The cattle fattened by this project will be marketed in Taraba State being the target
market. However, other markets in the major capital cities of the country especially
in the southern part of the country will also be a target.

PRICING
Due to the intensive care feeding required sale of the product at N120,000 each is
proposed in first year of the operation which may increase respectively.

MARKETING STRATEGIES
Radio station, TV station (such as Rock FM, NTA, TTV, etc.) and Online
promotion through social media platforms, creating blogs or websites.

SUMMARY OF THE PROJECT COST

The total cost of the project is estimated at N2,774,000
Summary is as follows:
Building of half wailed rearing pens with capacity 120 cows….………......……N430,000
Building of storage room with a capacity of 120 cows………….….…....….…...N280,000
Purchased of bulls @70,000 X 8 pieces (start)………….……........………..…...N430,000
Feeding for 100 calf for six month N800X180…………..……………………....N144,000
Purchase of service bulls 4………………………………………….……………N250,000
Feeding for 8 services bulls 650X500…………………..…………………...…...N350,000
Vaccination of cows estimate at N50…………...………………..……………....N204,000
Medication of estimated cows calf N60X3,000Others…………..………....……N180,000
Cost of labor (salary of 3 farms) for six months……………….……………...…N150,000
Transportation Miscellaneous………………………………….………..……….N356,000
TOTAL……………………………………………………………..…………..N2,774,000

FINANCING PLAN
The total project cost N2,774,000 will be provided through the NDE/CBN loan at 5%
interest rate and payable before the period of approved by the financer.
REVENUE ESTIMATE
It is expected that, this project will purchase 8 cattle of 2%-3% year and each cattle cost
85000. The cattle will be fed for the period of 6 month and sold out at N180,000 each.
Therefore, cattle at N180,000 each will give profitability of N100,000 each.

EXPENDITURE
It is clearly that, I haven taking care of everything except for expenditure will be incurred
which is not taking care of the working capital this implies that, this project will generate
a lot of ‘revenue that would amount to more than 4,500,000 and above in one year i.e it
will be able to pay back the loan and the interest before the given stipulated period.

THREE TEARS FINANCIAL PROJECTION PLAN

The financial projection on the operation of the business shows encouraging level of
profitability and stability. The projection shows the following keys result in two years.
YEARS 2022 2023
Sales Income N3,600,000 N7,000,000
Operating Expense N1,100,000 N1,500,000
Net Profit N3,000,000 N3,550,000

It is worth noting that business has the capacity to effectively and efficiently utilize the
loan facilities if granted.
CONCLUSION AND RECOMMENDATIUON
CONCLUSION
The economic justification for establishment of this project in the state by
AHL. Ahmed Sule will assist in generating financial resources to me and the society by
helping in poverty err
Abdication in the society. It is also a means of reducing unemployment.

RECOMMENDATION
This project has demonstrated that the NDE/CBN should provide the loan so that the
promoter can actualize the project.