'Feasibility Study Essay\r'

'* 1. A feasibility Study on the Establishment of a Semi-Commercial Hogs arise in Alfonso, Cavite The LGD Farms * 2. CHAPTER I INTRODUCTION\r\n* 3. In the Filipinos, pork barrel is one of the basic foods which Filipinos eat. It is one of the dress hat sources of protein regarded by the body to be gruelling and healthy. That is why a need for a elicit arises. Introduction * 4. Hog raising telephone circuit has been a very popular and de pendable melodic delineate in the Philippines. In fact, Hog raising stage craft had prevail the swine industry as a healthy and operable commercial sphere.Even in our traditional Filipino fete/Occasion, Filipinos always crave for cuisine with â€Å"PORK”. â€Å"Di kompleto ang Okasyon kung walang handang baboy”. * 5. This command had marked our traditional way of celebrating special ca victimisation up in our lives, and it proved our undying taste for pork. The Philippine Department of cultivation’s vision is to renew sm eitherholder kitchen-gardening and fisheries to a diversified rural delivery which would be dynamic, technologically advanced and internationally competitive.\r\n* 6. As of July 2008, it was recoded at 35.6% of the labor force, roughly well-nigh 12 million people, atomic number 18 employed in the agriculture industry, which includes the hunting and forestry sectors. The situation being such, the agriculture sector aims for security, sustainability of the natural resource base, social equity and globose competitiveness. * 7. The Philippines takes specific measures to achieve these goals finished the protection and cultivation of urinesheds; proper management of agricultural degrade and water resources; entrapment of biogas facilities; providing marginalized sectors preferential access to productive assets and providing intrinsic measures and bridge over services.\r\n* 8. mickle The LGD Farms envisions itself as a betrayer raising bring up promoting and maintai ning milieual friendly identity element to its employees, customers and to to the community. LGD Farms similarly envisions itself to be a naturally item-by-item source of BioGas which can be functiond as a substitute for LPG to be used in the arouse. The LGD Farms withal envisions for the expansion of fuzz appendage.The LGD’s Vision/Mission Statement * 9. Mission The LGD Farms get out r individually an environmentally friendly identity through working class the proper and efficient way of untamed disposals to lift harming and distorting separates. The LGD Farms allow introduce its environmental friendly BioGas forwardness through using the hogs’ fellate, by converting these waste into reusable mathaine gas. * 10. The LGD Farms forget undergo expansion later on five-spot years through constructing surplus building and adding call forth stocks for the purpose of increasing their productiion to supply larger tot in the demand supply gap\r\n* 11. CHAPTER collar objectify BACKGROUND\r\n* 12. see of the Proposed Business: LGD FarmsNature of the line of assembly line: Hogs Production typewrite of crinkle governance: Sole ProprietorshipLocation of the project: Kaysuyo, Alfonso, CaviteProject accent * 13. Source of Capital Funding of LGD Farms’ prevalent public presentation and varied(a) financial demands forget be sourced from the nest egg of the proprietor. Mr. Jandel A. Gimeno ordain invest P 4,600,000 in the line of descent. * 14. Proposed Name of the Business â€Å"LGD Farms” result be the name of the origin as agreed upon by the proponents. The proponents adopted the letter E and J from the name of the proprietor’s p atomic number 18nts, Efren and Jovita Gimeno. * 15. The project depart adopt a repair proprietorship type of business organization. Sole proprietorship type of business organization is one which is own and run by an individual and where there is no legal distinction b etween the owner and the business. Type of Business Organization * 16. All assets of the business argon owned by the proprietor and all the debts of the business be proprietor’s debts and he/she mustiness(prenominal) pay it from his/her soulfulnessal resources which go out result to countless liability.\r\n* 17. The proponents opt to form the business under repair proprietorship type of business organization as they see it fit considering the nature and capital letter requirements of the project. Moreover, it is ch adenylic acidaign to fewer regulations unlike the other type of business organization, the owner has full autonomy with regard to business decisions. * 18. The drived status had been elect by the prponents considering such factors as the availability of resources, accesibility to the potential customers, stead cost and the environment of the business which fall under agro †industrial land type as being classified by the DENR which is the only appro ved land type and repair for the establishment of a Hog Farm. Location of the family\r\n* 19. According to the very nature of the proposed project, which is in line with the livestock type of business, a none-residential atomic number 18a has been the visor consideration of the proponents in choosing the site of the business. The LGD Farms leave behind be situated at Kaysuyo, Alfonso, Cavite. * 20. focus and Personnel Feasibility Summary LGD Farms testament implement a participatory style of management. This authority that all employees testament nonplus the privilege and pull up stakes be allowed to participate in the decision-making concerning the kick upstairs. The employees as well as the general charabanc pass on peform multi-tasking concerns for easy flow of operation.\r\n* 21. CHAPTER IVORGANIZATION AND MANAGEMENT feasibility\r\n* 22. With regard to the business operations, the proposed business depart ca-ca a get of four (4) persons including the General Manager, proficient Operations Manager and two (2) field hands. Each of them must go knowledge intimately the production processes of hogs. They lead be trained and oriented properly and pass on be given some seminars regarding hog farming.Administration and Management Feasibility * 23. Management Proposals The General Manager testament be the one to plan and go forth be in charge of the overall supervision of the farm. He depart be the one to screen the applicants to be recruited and hired. The Technical Operations Manager will monitor the efficiency and effectiveness of the farmhands. He will in addition be responsible for the general care of the hoggets, maintaining the push health and environment of the pigs.\r\n* 24. Organizational Chart\r\n* 25. In an organization, policies and principles play an important role because these help organization to become more(prenominal) efficient and effective. These will scarper the whole business and help to achieve the socia l club’s goals.Company Policies * 26. The proprietor will be the general manager of the firm. His compensation will be through withdrawals from the business. 20% of the Net income will be wasted from the farm.Policies on Drawings * 27. Policies on Hiring LGD Farms will announce dividing line vacancies. The proposed business will recruit and employ workers on the basis of their qualifications of work. Referrals from trusted people will also be entertained. Qualified applicants will then slip away the necessary requirements to the management such as:Barangay, police and NBI ClearanceCopy of Birth CertificateHigh School/College Diploma/Form 137Medical CertificateDriver’s License\r\n* 28. Security Measures The E&J Farm will construct fence around the farm to prevent the entrance of unauthorized person despite the safety of the location against possible threats. * 29. Policies on Days of Work Employees will work cardinal (6) twenty-four hour catchs a week The com pensation will be on a daily basis. The employees are entitle to one (1) rest twenty-four hour period a week. * 30. Work Schedule All employees are entitled to one (1) rest day. The Farmhand 1 will take his rest day on Saturday and the Farmhand 2 will take his rest day on Sunday. The Technical Operations Manager will take his rest day each Friday. * 31. PhilHealth, PAG-IBIG, selective service and 13th month pay will be provided for all employees.Seminars/ Trainings Seminars and trainings will be conducted for the farmhands to gain additional knowledge that will enhance their abilities and skills to become more productive and more efficient.Employee Benefits\r\n* 32. CHAPTER VMARKETING FEASIBILITY\r\n* 33. This chapter will argue all the tradeing aspects of a Hog Farm. The cover chargechat will include the general trade description, the bearing market places, the general marketing practices, demand, supply, the demand supply analysis, the propose marketing program and the m arketing strategy. The selective teaching and other figures were gathered through research using twain uncomplicated and secondary data. MARKETING FEASIBILITY * 34. The primary data came from the results of the conducted survey by the proponents and the secondary data were gathered from several government agencies and offices such as Provincial Veterinary Office (PVO), Department of surroundings and rude(a) Resources (DENR), Bureau of Agricultural Staistics (BAS), Department Of Agriculture (DA), and Alfonso Municipal Office.\r\n* 35. The use of marketing strategies and advanceal activities such as word-of-mouth advertising, referrals and transit advertisement are passing sufficient to harvest-feast the number of customers and to emergence the level of revenue. * 36. Alfonso, Cavite is an upland town situated at Southwest portion of the province. It is one of the highly recommended redact for the establishment of Hog Farms as approved by the Provincial Veterinary Office. A ccording to Alfonso Zoning Map, the express town provides preferable locations for the possibility of opening business operations in line with agriculture.\r\nMARKET translation\r\n* 37. According to the Provincial Veterinary Office, there were about 20 commercial farms and 70 backyard farms operating in areas of Alfonso, Indang, Mendez, Tagaytay, and Silang, Cavite as of 2009 Provincial Veterinary Office decreed count. In Alfonso, there are about 3 commercial farms and 20 backyard farms. * 38. The proposed business will be established at Kaysuyo, Alfonso, Cavite. The target market will be the public markets of Alfonso, Tagaytay City, Mendez, Indang and Silang, Cavite. The selected five towns of Cavite has a total of 130 bosom traffickers operating in their several(prenominal) public markets. TARGET MARKET * 39. Table 1. Freaquency of exchange operation in Silang, Tagaytay City, Indang, Alfonso and Mendez, Cavite * 40. Table 2. Quantity of meats sell per selling operation * 4 1. Table 3. Source of pork barrel Supplies of venders\r\n* 42. Table 4. Availability of meat supplies\r\n* 43. Table 5. Vendor’s willingness to buy\r\n* 44. GENERAL MARKETING PRACTICES The LGD Farm will seek accreditation from Cavite Livestock Poultry cultivation sleeper Incorporated (CALIFPAI), Department of Environment and Natural Resources (DENR) and Provincial Veterenary Office (PVO). The farm will chase all the rules and regulations and will comply with the modulars set by these organizations and agencies to ensure the proper operations of the farm. * 45. The farm will also get updates and reviews and other useful information for better hog farm operation. As to operation security, The LGD Farms will secure its necessary requirements such as the Certificate of Non-Coverage (CNC)/ Environmental Compliance Certificate, Licenses and business permits.\r\n* 46. The farm will also actively participate on some distinct livelihood programs such as Hog Raising Seminars, Ci vic Welfare computer programs and other Community Development related activities to gain market cognisantness. By these practices, the farm is expecting to establish a equitable public relations with contrasting haulers and meat vendor to whom the farm will transact with. * 47. DEMAND diachronic pack for pork in Selected cinque Towns in Cavite (in kilograms) * 48. Projected Demand for Pork in Selected Five Towns in Cavite (in kilograms) * 49. Historical Supply for Pork in Selected Five Towns in Cavite (in kilograms)SUPPLY * 50. Projected Supply for Pork in Selected Five Towns in Cavite (in kilograms\r\n* 51. DEMAND †SUPPLY ANALYSIS\r\n* 52. content TO SELL\r\n* 53. The farm will be announce through word-of-mouth promotion, referrals and transit advertising. It will also join CALIFPAI (Cavite Livestock ground Poultry Association Incorporated) to meet representatives of various sectors including Department of Agriculture. Proposed Marketing Program * 54. The local govern ment officials of Alfonso will also be a great help since the proposed business will contribute for the betterment of the community. LGD will also arrest itself in organizing seminars/workshop for other hog raisers and for those who take to put up their own hog farms. This will also serve as a promotion of the farm.\r\n* 55. Growing Period and Feed Consumption mean(a) Daily Gain- This Refers to the average gain in slant of pigs in kilograms per day. Weaners should stomach an ADG of at least .350 kg. And fatteners should have an ADG of .800-.825 kg. The higher the ADG the better because it means faster growth of pig and lower fattening period. COMPETITIVE benefit * 56. Feed Conversion Ratio- This refers to the amount of feeds consumed by the pig per kilogram gain in weight. The lower the FCR the better. It means lesser feeds per gain. Weaners should have an FCR of 1.5 and fatteners should have an FCR of 3.0.\r\n* 57. The LGD Farms will use tarpaulin in its introductory stage a s well as Transit advertising, which means the use of vehicles to carry the advertising material for the clients to be aware of the existence of the proposed business. Deliveries to clients will be available everyday.MARKETING scheme * 58. The LGD Farms will also reach out to different charitable institutions such as orphanage, churches and government hospitals, humanity and organizations. Help will be extended to those chosen charity by means of broad(a)s and financial help. * 59. carry OF DISTRIBUTION The products will undergo channels of distribution. These will be done by the E&J Farms through selling of hogs to slaughter houses and haulers which will serve as the middlemen or resellers. Next, the slaughter houses will deliver the meats to different public markets in selected towns and metropolis for retailing purposes. * 60. These group of meat vendors wiil sell the meats to family unit who are considered as the consumers/end-users of meats for final consumption purpos es.\r\n* 61. CHAPTER VIPRODUCTION/ technical FEASIBILITY\r\n* 62. The proposed business LGD Farms falls under a production type of business providing the resellers quality pigs for their reselling purposes, specially those meat vendors and even haulers in different market in Cavite, especially in Alfonso and near-by towns. LGD will establish 50 sow level hogs farm, producing hundred heads of hog a month. PRODUCTS * 63. A variety of Landrace strains originated from famous danish pastry Landrace hogs which were developed in Denmark in 1895. The Landrace is characterized by its keen-sighted body length, short legs, and medium to large sag ears. Landrace swine is meaty on the food especially on the rail. Their hams are plump but trim. Their sides are ache and uniform in depth. BREEDER STOCKS * 64. Landrace sows are fecund and are known to be excellent mothers and having a good litter size. This breed’s sows have been known for their take out producing abilities, reaching t heir top milk after five weeks of lactation which is much last mentioned when compared to other breeds.\r\n* 65. Large White is a white-colored meat type of pig with medium, erect ears, curved back and body in dining forward. The face is meagrely dished. It is fast â€growing, a good feed converter, highly prolific and excellent milkers with superior mothering ability. Its carcass is also suited for bacon production. It can adapt well in confinement but not in upset condition. * 66. Breed the sows.FarrowingWeaning of pigletsPiglets in the NurseryTransfer to fattening sectionHogs at market weightPRODUCTION PROCESS * 67. Purchase of Piglets.Disinfection and Quarantine. Transfer of Purchased piglets to the nursery pen.Transfer to the modify Section. Hogs at market weight.ALTERNATIVE PROCESS (1) * 68. Breed the sows.Farrowing.Weaning of piglets.Piglets in the nursery.Piglets at market weight.\r\nALTERNATIVE PROCESS (2) * 69. witness SITE\r\n* 70. The first factor that must be con sidered is the availability of resources or location where the project will be situated. Other considerations also include; the location cost and other legal requisites and also for all of this to be possible, a non-residencial area must be chosen as the location of the business for it to operate. * 71. PROJECT SITE DESCRIPTIONThe proposed project, LGD Farms will be located at Kaysuyo, Alfonso, Cavite. * 72. Building The E&J Farms will construct three major buildings which would be immanent for the operation of the farm, the wry pen building, Farrowing pen and nursery pen building and the Fattener pen building.BUILDING AND FACILITIES * 73. Dry Pen BuildingFarrowing and Nursery Pen BuildingFattener Pen BuildingHolding PenStorage RoomArtificial Insemenation LaboratoryFarm ingleside\r\n* 74. LGD Farms has a biogas facility that treats pig wastes and generate luxuriant methaine gas that is used for grooming at the farm house. This facility has made the commercial farm environme ntally friendly as it minimizes pig odors from farm wastes. Also, after biogas processing of effluent wastes, wastewater is discharged to water the grass paddocks within the farm premises.BIOGAS FACILITIES * 75. The farm will create no waste but pieces of pliable packaging of medicines for hogs, that will be placed properly on a trash bin. The pig waste will undergo the biogas facility that treats pig waste and generate enough methaine gas that is used for cooking at the farm house. WASTE AND WASTE presidential term\r\n* 76. This facility has made the commercial farm environmentally friendly as it minimizes pig odors from farm wastes. Also, after biogas processing of effluent wastes, wastewater is discharge to irrigate the grass paddocks within the farm premises. * 77. The quality of each pig will be maintained through proper care and treatment. Control of virus should be taken into consideration as to avoid diseases. The farm will have a record of every pig for monitoring and ev aluation purposes. This will be done from the dry period to the farrowing day for the sows and from the day 1 of the piglets to market weight for fatteners.QUALITY lock * 78. There will be a technician for the sows from the supplier of the parent stocks and a feed technician from the supplier of the feeds. twain of them will serve as farm advisor on an on-call basis.\r\n* 79. CHAPTER VIIFINANCIAL FEASIBILITY\r\n* 80. CAPITAL REQUIREMENTSCASH P 154,178.50PROPERTY AND EQUIPMENT Farming Tools And Equipment 50,080.00Delivery Equipment 270,000.00Office Equipment 18,200.00 furniture And Fixtures 18,720.00INVENTORIESFarm Supplies P2,401,136.50Office Supplies 485.00Land 450,000.00Pre-Operating disbursement 17,200,00TOTAL CAPITAL REQUIMENTS P4,600,000.00 * 81. Selling price is computed using statistical parabolic projection method.Sales are 100% of the yearly production.Gas and oil expense, promotion and advertisement, repair and livelihood are simulated to plus by 5% annually.Conting encies are 3% of plunder sales.Drawing is 20% of net income.OTHER FINANCIAL ASSUMPTIONS\r\n* 82. Other benefits like seminars and trainings are anticipate to increase by 5% annually.Audit fees, permits and licenses are assumed to increase by 5% annually.The initial capital requirement is good for 3 months consumption.Production will be maintained at 100 heads per month for the undermentioned 5 years. * 83. Pre-Operating change FlowCash Inflow Capital part P4,600,000.00Cash Outflow Farm Tools And Equipment 50,080.00 Delivery Equipment 270,000.00 Office Equipment 18,200.00 Furniture And Fixtures 18,720.00 Farm Supplies 2,401,136.50 Office Supplies 485.00 Land 450,000.00 Building And Facilities 1,222,000.00 Pre-Operating Expense 17,200.00Net Cash Flow 154,178.50\r\n* 84. The E&J FARMS Pre Operating Statement Of Financial PositionASSETSCURRENT ASSETS Cash And Cash Equivalent 154,178.50Inventories 2,401,621.50NON CURRENT ASSETSPROPERTY AND EQUIPMENT 357,000.00BUILDING AND FACILI TIES 1,222,000.00LAND 450,000.00OTHER ASSETSPre Operating Expense 17,200.00TOTAL ASSETS P4,600,00.00LIABILITIES AND proprietor faithfulnessOWNER’S EQUITY P4,600,000.00TOTAL LIABILITIES AND OWNER’S EQUITY P4,600,000.00\r\n* 97. CHAPTER VIIISOCIO ECONOMIC FEASIBILITY\r\n* 98. This chapter will discuss the different sectors that would benefit from the proposed business. The purpose of putting up a business is not just to generate advantage but to give importance to social and economical benefit that it can provide.SOCIAL DESIRABILITY * 99. The proposed business will be located at Kaysuyo, Alfonso, Cavite. 72% of its residents are engaged in agriculture, taking advantage of its good location which best suits the proposed business. The said business will increase rate of employment through providing job opportunities to those people who were unable to attain higher education. * 100. In putting up a business, registration of business is necessary to have permits and licen se from the government office. These, along with taxes are then paid as the business operates. Taxes form part of the government revenues that help to support the needs of the public.\r\nINCREASE IN GOVERNMENT revenue enhancement\r\n* 101. The proposed business will employ people who have knowledge about agriculture preferably those who are living within the adjacent area of the location of the proposed business. These employees will receive fair compensation correspond to their qualifications and performance. Salaries are based on the minimum occupy set by the government.GENERATION OF EMPLOYMENT * 102. Increase in population will result in increase in demand for food, which also means an increase in demand for pork in the area. With the uninterrupted operation of the business, the employees will be helped to uplift the standard of their living.DEVELOPMENT OF RELATED STUDY\r\n* 103. In order for the business to operate legally, it must comply with the government requirements as follows:Mayor’s Permit, Business Permit, Certificate of Non-Coverage and other Municipal Licenses.Environmental Compliance CertificateRegistration with the SSS, Philhealth and PAG-IBIG.Registration with Bureau of Internal Revenue.LEGAL ASPECTS * 104. It will satisfy the customers’ need.It will ensure the customers the of the Farm’s product.OTHER BENEFITS\r\n* 105. CHAPTER IX CONCLUSION\r\n* 106. After studying the different aspects in establishing a Semi-commercial Hogs Farm, proponets concluded that the study is viable and viable. The study shows the initial investment of the proposed business will be P4,600,000 with a minimum payback period of 2.54 years. * 107. The increase in the demand for pork in Alfonso, Mendez, Indang, Silang and Tagaytay City Cavite shows thatt there is still a need for the proposed business. Thus, the business is profitable.\r\n'