PALM OIL PROCESSING BUSINESS PLAN SAMPLE
Thriving in some African countries and Asia, the palm oil production and processing business is a booming one with more room for investments.
For entrepreneurs interested in exploiting this investment opportunity, there are procedures to do so, some of which include first, the writing of an effective business plan. This is where many entrepreneurs have encountered problems, as they have little to no knowledge on how to produce a good business plan for their business themselves.
Do you need to develop a palm oil processing business plan?
This article comes to the rescue, as it makes available a sample palm oil processing business plan to follow. It is believed that if this sample is properly utilized, only the best of business plans will be realized.
Here is a sample business plan for starting a palm oil processing plant.
- Executive Summary
- Products and Services
- Our Vision
- Our Mission
- Market Analysis/Trends
- Target Market
- Competitive Advantage
- Sales and Marketing Strategy
- Sales Projection
- Publicity and Advertising Strategy
- Payment Options
Executive Summary
With quality service delivery as our main drive, Redstar Palm Processing Ventures aims at becoming the preferred brand in palm products. Using state-of-the-art equipment in extracting oil from the palm kernel fruit which will be bought locally, our products will be produced in the best hygienic environment and conditions.
Purchasing the palm kernel fruits is an interim arrangement, as we will eventually have our own palm tree plantation, thereby lowering our cost of production and general overhead running cost.
Our products will speak for themselves, as we plan on making them so attractive, healthy, and yet affordable as to make our first-time customers always return. We have already obtained certification approval from the food and drug regulatory agency for the commencement of business.
Products and Services
The products and services to be provided by RedStar Palm processing include the sale of premium palm oil products which will be sold through distribution, wholesale and retail, palm produce processing, and also the packaging.
Our Vision
Our vision at RedStar includes taking our company to an enviable level, to be the toast of consumers within our first 5 years of commencement of business. We plan on ensuring that products undergo the most stringent test through our world-class quality control unit.
Our Mission
Apart from going into this business because of the profits realizable, we will balance this with our passion for absolute satisfaction. Hence, we will be building a brand synonymous with excellence, and this will be driven by a highly motivated workforce.
Market Analysis/Trends
Business location matters and a particular type of business requires a particular type of location favorable to it.
Hence, palm oil processing industries have tended to be located near their raw materials, that is, either close to a plantation owned by the business or close to sellers that own plantations. This is to enable easy production, and limit the negative effect distance from raw materials can cause to this type of business.
In the light of this, we will be locating our business close to our source of raw materials. While depending on other plantations for the purchase of these materials, we intend to have our own farm within the shortest possible time.
Target Market
Because of the importance, palm oil products have, our target market will be quite diverse. Some of our target markets include households who use this oil for cooking and also for industries that use it as a source of raw material. Such industries include soap-making industries among many. So, our products will be sold to both consumers and manufacturers.
Competitive Advantage
The competitive advantage we have over our competitors includes putting a world-class quality control department in place that will ensure that only the best of our products and services reach our customers.
Also, we will employ the services of a business strategist and marketing strategist that will ensure that every department performs optimally to ensure high productivity and little wastage.
Sales and Marketing Strategy
The sales and marketing strategy to be employed include entering into talks with department stores, supermarkets, and major wholesale and retail dealers to ensure that our products achieve high penetration of the market. The services of a marketing strategist will be used to ensure that our marketing department achieves high results within reasonably short periods.
Sales Projection
Based on research, we have concluded that we will be achieving huge profits, realizing more than double the profits for every financial year. However, this discounts factors such as natural disasters, economic recession, and the likes. A sample of this is shown below;
- First Year $85,000
- Second Year $208,000
- Third Year $550,000
Publicity and Advertising Strategy
The use of local radio and TV stations to spread the message of our products and services will be utilized. Also, we will be taking advantage of the internet to make our presence felt by the online community. A website will be built, and will specifically advertise our products and services. We will be mounting billboards in major commercial areas to help in spreading the word about our services.
Payment Options
Because we value our clients, we have come up with several payment options, thereby eliminating the worries occasioned by a single payment option.
Payment for products can be made through channels such as the use of a POS, acceptance of cash payments, credit cards, and mobile banking among several other options.
Conclusion
The information provided above details the guidelines for the palm oil processing business. All the entrepreneur has to do is simply follow the steps laid out, while supplying details unique to his/her own processing company.
The information in this palm oil business plan is only for demonstration purposes, and should not be depended upon solely, as they are only fictional.