business plan for organic agriculture

New Crops & Organics

Organic Farm Business Planning

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A successful business always includes a good business plan. A new agricultural enterprise needs to produce profits to be worthwhile for the farmer. In order to assess if a new crop or product, like organics, will work for your business you’ll need to “run your numbers” and flush out the details by preparing a sound plan. The process of developing a business plan allows entrepreneurs to spot risks and pitfalls in a new idea and determine the profitability of that idea. In addition, lenders and funders may require a business plan prior to financing your operation.

An agricultural enterprise budget acts as a financial decision-making matrix wherein the farmer inputs all costs and returns to determine the profitability of a crop or livestock enterprise. Although enterprise budgets are only estimates, they provide an idea of what a farmer can expect to make when producing and selling a new crop.

Business Planning Resources

• Building a Business Plan for your Farm: Important First Steps
• Asheville SCORE – free professional counseling for small businesses and enterprises

Budgets, Pricing & Profitability

(not all organic, but good information for all farmers)

• Vegetable Crop Budgets – NC State University Agricultural & Resource Economics
• Fruit Budgets – NC State University Agricultural & Resource Economics
• The New Farm OPX – Organic Price Index
• Grants Available through Southern SARE
• Western North Carolina AgOptions
• RAFI-USA – For former and current tobacco growers
• Self-Help Credit Union – creating ownership and economic opportunity to those who are underserved by conventional lenders
• Carolina Farm Credit

Reviewed 7/4/2022. Jeanine Davis, NC Alternative Crops & Organics Program, Department of Horticultural Science, NC State University.

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How to Start an Organic Farm in 14 Steps (In-Depth Guide)

Updated:   March 29, 2024

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The organic food market has exploded in recent years, with growth estimated at 8.04% from 2017 to 2027. As health and sustainability concerns drive consumer demand, the organic farming industry is primed for even more growth.

Entrepreneurs hoping to tap into the sustainable agriculture market may wonder how difficult it is to start an organic farm. The barriers to entry are lower than you might expect thanks to innovative new technologies. With some grit, business savvy, and attention to organic certification, your small plot could blossom into a thriving organic farm.

This guide will walk you through how to start an organic tea. Topics include market research, competitive analysis, marketing, customer focus, sourcing equipment, accounting processes, and more.

1. Conduct Organic Farm Market Research

Market research is essential to starting your own certified organic farm and developing a solid business plan. It offers insight into your target market, organic farming practices, and trends in the small organic farm market. It also tells you how other local farmers are pricing produce and where to acquire suitable land.

Some details you’ll learn through research on sustainable farming practices include:

• While the overall farming industry is declining in terms of the number of farms, the number of organic farms continues to rise year over year.
• Diversified demand presents opportunities across crop types for new organic producers. Orchards , flower farms, pumpkin patches , and lavender farms are all becoming more common in the organic farm industry as time goes by.
• Location also plays an important role – organic farms across every U.S. region saw rising sales in 2021, led by the Mountain Plains and Midwest.
• Beyond direct-to-consumer sales at farmers’ markets and farm stands, organic wholesalers are reporting increased demand from grocers, restaurants, and food manufacturers.
• Organic ingredients helped food brands like Beyond Meat increase revenues by 35.6% last year as plant-based alternatives take off.
• Evaluating these B2B routes could significantly expand your addressable customer segments.
• Switching from conventional to organic production takes years of preparation to stop using synthetic chemicals and build healthy soil that meets NOP standards.
• Pricing pressure from rising competition also requires tight control of operations and costs.
• Startup organic farmers may consider targeting niche, high-value crops, and marketing directly to local customers.

The market opportunity for new organic producers is substantial. Success lies in identifying regional demand gaps across specific crops, creatively accessing wholesale distribution channels, mastering unique organic techniques, and above all, delivering a high-quality product that consumers are increasingly seeking.

2. Analyze the Competition

Entering the organic farming industry prepared means carefully evaluating your competition. From large wholesale producers to small CSAs. This analysis should assess both local farm competitors as well as benchmark against wider industry metrics.

Locally, identify direct competitors selling at farmers’ markets and operating CSAs in your geographic target area. Visit their farm stands and sign up for newsletters to gather intel on product offerings, production volumes, branding strategies, and pricing models.

For wholesale producers in your region, research available data on acreage, employees, crops, and certifications through state agriculture departments. Identifying potential partner farms for distribution deals can also help gauge regional competition.

Analysis should also cover the digital presence and marketing savvy of key local players. Review their websites, social media, and online advertising footprint – are they easy to find and engage with online? How effectively are they telling their unique farm story? This can spotlight digital opportunities to differentiate.

Benchmarking financial and operational metrics will indicate how competitive the landscape truly is. Industry average net profit margins for organic crop production range from 15-25% depending on scale, while the average cost of goods sold hovers around 65 cents per dollar of revenue.

Labor, certification, distribution, and marketing expenses also vary widely based on crops, volumes, and sales channels. Checking your business plan against these industry benchmarks helps set realistic goals.

This 360-degree view of regional and national competitors, including their customer reach, brand positioning, and economics, allows you to carve out your niche. It also sets a baseline for defining what competitive advantages you can create through superior product quality, customer service, storytelling, or technology integration.

3. Costs to Start an Organic Farm Business

Starting an organic farm requires significant upfront investment – often between $50,000 to $500,000 depending on size and model. Organic farms are also highly varied, ranging from organic orchards to pearl farms which makes finding an accurate estimate very difficult.

Start-up Costs

• The average cost of farmland in the U.S. is currently around $3,140 per acre according to the USDA, but prices vary widely by region.
• Leasing land via long-term agreements is often a cheaper option for new farmers, with average rental rates around $138 per acre.
• A small 5-10 acre starter organic veggie farm may require $15,000-$30,000 at purchase or $690-$1,380 per year rented. These costs are higher if you plan on growing more exotic organic produce, such as bamboo farming .
• The essential equipment needed, including a greenhouse ($5,000-$20,000)
• Irrigation system ($3,000-$15,000 depending on acreage)
• Tractor ($10,000 for used)
• Various farm tools can easily total over $30,000.

Ongoing Costs

• Labor costs typically make up around 35% of an organic farm’s operating expenses.
• Payroll for a small, moderately mechanized 5-10 acre farm may cost $15,000-$30,000 per year.
• Getting certified organic by a USDA-accredited agency involves fees of $500 to $4,000 paid upfront and annually.
• The organic certification process also requires implementing approved methods on your land for 3+ years in advance, representing a major upfront time and cost barrier.
• A minimum of 12 months of working capital is recommended at the start – perhaps $20,000 for a small starter farm.
• Starting an organic dairy operation often requires closer to $500,000 in working capital to sustain the longer ramp-up.
• Seeds, organic soil amendments, insect/weed control, etc. to sustain production may cost around $2,000 per acre.
• Aggregating, packing, and shipping crops to markets can cost 35% or more of revenue.
• Product liability and crop insurance to protect against weather/disease losses cost on average $380-$1000+ per year.
• Farm website, digital/print advertising, and branded packaging are often a minimum 5% of revenue

Careful financial planning and risk management are vital with the substantial cost outlays to profitably launch and sustain an organic farm.

4. Form a Legal Business Entity

When starting an organic farm, incorporating it as a formal business entity offers important protections and credibility, especially as you grow. Weighing the pros and cons of each structure will lead to the best choice for your operations.

Sole Proprietorship

Simplest and most common for small, early-stage farms. You gain complete control and avoid corporate taxes. However, you are personally liable for all debts and legal actions against the business – substantial risk exposure for a farm with heavy equipment, chemical inputs, and physical labor. Difficult to raise investment capital or take on partners for scaling.

Partnership

Allows multiple owners to share control and liability risks. Brings specialized skills together under one entity. However, any partner can be held responsible if another makes poor decisions or leaves. The partnership may dissolve if a partner departs. Less flexibility for changing ownership stakes over time.

Limited Liability Corporation (LLC)

The best of both worlds for shielding personal assets and allowing shared ownership. Profits pass directly to members’ tax returns, avoiding double taxation. Members cannot be held personally liable for LLC debts and lawsuits. Easy to modify ownership percentages, add new investors, and are even create new classes of membership interests over time.

Corporation

Most complex and expensive to establish ($1500+ incorporation fees) but offers the strongest personal liability protection for shareholders. Attractive to outside investors due to the ability to issue stock. However, profits are taxed both at the corporate rate and shareholder level – less efficient for smaller businesses with few owners. Significant legal/accounting oversight is required.

5. Register Your Business For Taxes

Forming a recognized business entity for your organic farm is an important first step, but you also need to register for the required tax IDs to legally operate. At a minimum, obtaining an Employer Identification Number (EIN) from the IRS establishes your legitimacy to pay employees and file taxes.

An EIN acts as a Social Security Number for your business. The IRS uses it to track tax obligations from business income, employees, etc under your farm’s entity. Applying online for an EIN is free and takes less than 30 minutes through the IRS website.

To complete the form, you’ll need identifying details like your name, address, Social Security Number, and business structure. No documentation is required upfront – simply submit the secure form. You will receive your EIN immediately upon approval.

With your EIN, you can open business bank accounts, apply for licenses and permits, and hire employees and contractors while being compliant with payroll tax obligations. It also allows you to file important tax returns and registration forms under your business name rather than your identity.

If selling products direct-to-consumer in your state, check specific requirements for collecting/remitting sales tax. For example, Wisconsin requires farm operations with over $4,000 in annual income to register for a state tax ID through the Department of Revenue before selling anything. Fees are under $100 and involve listing your chosen business name/entity and EIN.

Don’t let administrative tax tasks intimidate you from launching your organic farm dreams. Sites like the IRS and your state department of revenue walk you through the quick online application process for essential registrations.

6. Setup Your Accounting

Proper financial record-keeping is crucial for organic farm success and IRS compliance. With significant upfront investments and ongoing operating expenses, tracking every dollar coming in and out of your new business is imperative.

Accounting Software

Accounting software like QuickBooks helps track income, expenses, and account balances and categorizes every transaction from invoices to loan payments automatically. QuickBooks seamlessly integrates with your business bank accounts, payment processors, and other financial tools through bank data feeds and API connections.

Hire an Accountant

Working with an accountant experienced with farms is key. A qualified accountant provides financial oversight by reviewing your books monthly or quarterly to catch missed deductions or inconsistencies. This prevents avoidable tax liabilities before year-end. They also advise setting up a foolproof chart of accounts tailored to farm finances from cultivation inputs to market stand sales.

Open a Business Bank Account

You should also maintain separate business banking and credit accounts from day one. Keeping all farm finances isolated from personal avoids any question when deducting expenses or reporting self-employment income. Take time applying for a business credit card in your farm’s legal name, which requires your EIN and revenue projections but has much higher limits than consumer cards.

7. Obtain Licenses and Permits

Before selling that first organic tomato or head of lettuce, your farm must comply with federal and state permitting requirements. Find federal license information through the U.S. Small Business Administration . The SBA also offers a local search tool for state and city requirements.

Key permits and licenses to secure early when starting an organic farm include:

Organic Certification: Arguably the most crucial license, USDA organic certification opens doors to premium pricing and product labeling after rigorous vetting. An accredited agent will audit your farm’s application detailing its growing/handling methods, inputs used, adjacent land usage, and more before awarding certification.

Farm Vehicle Registrations: Tractors, trucks, and other vehicles for field work or product distribution require DMV registration, license plates, and often commercial insurance. Specific farm-use license plates may provide discounts. Always consult your state’s DMV handbook for classifications.

Health Inspections/Permits: If selling any value-added products like jams, dairy, or eggs, expect to require health department permits and commercial kitchen inspections. Even lower-risk whole produce sold direct-to-consumer often needs a grower’s permit for traceability and safety.

Farm Employee Work Permits: Hiring any farm laborers, seasonal or permanent requires formally reporting new workers for payroll/Social Security purposes. Verify eligibility requirements through state and federal wage/hour divisions. Safety administration may also require posting permits publicly.

Pesticide Applicator License: While organic production prohibits certain pesticides, some natural insect deterrents still require special applicator permits from departments of agriculture when sprayed commercially. Structural fumigation or adjacent conventional farms could also trigger oversight.

Waste Management Plans: Animal and crop waste contain contaminants requiring responsible disposal from irrigation runoff to livestock facilities. Your local conservation district can define what waste handling/registration falls under environmental regulations.

8. Get Business Insurance

Given the hands-on physical labor and heavy equipment involved, having adequate business insurance is crucial for organic farm success. Among small businesses, farms suffer the second-highest rate of workplace injuries, even a minor issue can disrupt operations for days during key growing seasons.

Just as importantly, organic farms become targets for lawsuits given chemical-free food’s perishability and consumer safety concerns. Lacking proper coverage leaves your personal finances and livelihood exposed.

Scenarios where business insurance saves organic farms include:

• Workers Comp Claim: An employee injures their back while unloading produce for delivery. Without workers comp, their $50,000 medical and lost wage bill falls to you personally.
• Equipment Fire: Outdated wiring in your barn sparks a fire, destroying your tractor, tools, and shelter for animals. Repair bills run $75,000 without insurance.
• Foodborne Illness: A child sickens from E. coli traced to your farm’s raw milk. Their family sues for $100,000+ in medical costs without proof of liability coverage.

Claiming these unpredictable losses out of pocket could bankrupt early-stage operations. Various insurance policies shield against the myriad risks farms face:

• General liability insurance covering personal/property damage lawsuits
• Product liability protecting against food illnesses/recalls
• Farm vehicle, equipment, and crop/livestock insurance
• Workers compensation for employee injuries
• Umbrella insurance providing additional liability gaps

The National Sustainable Agriculture Coalition lists various risk-sharing programs through the USDA helping organic producers access affordable policies. Considering every possible “what if” scenario and having the proper protection will let you focus on growth rather than worrying over risks outside your control.

9. Create an Office Space

While much of your time operating an organic farm is spent in fields or packing sheds, securing proper office or administrative space is still imperative for business health. Keeping your financial records, customer files, and technical reference materials well-organized requires dedicated infrastructure.

Home Office

A home office is a great way to set up an administrative space when starting. It requires the lowest upfront cost, perhaps just a desk and computer for around $1000 to start. You can also count on tax incentives through the IRS, including deductibles of up to $1,500 per year.

Coworking Space

Shared, flexible small business environments like WeWork allow cost efficiencies from pooled amenities (WiFi, printers, conference rooms, etc.) while ditching home office distractions. Customizable private offices rent for $300-$600/month depending on location and feature access.

Retail Farm Stand Office

If selling your organic produce in person from a farm stand, allocating the cost back office or storage area to administrative tasks keeps things convenient while onsite for customers. Just be sure to secure computer equipment and sensitive files. The cost might only entail locking cabinets and a basic desk in an existing built-out space.

Commercial Office

Maximum productivity and security come from a dedicated ground floor or single-story office space separate from your home and farm facilities. Expect leases starting around $20/square foot in rural locations and locations and up to $40+ in large cities. While air conditioning, ample parking, custom layouts, and high-speed internet provide an ideal work environment, the monthly overhead far outpaces alternatives.

10. Source Your Equipment

An organic farm requires a sizable upfront investment in heavy equipment and tools to cultivate acreage and distribute products. Smart sourcing strikes a balance between critical functionality and startup budget realities. Consider these options for acquiring essential organic farm equipment:

The latest models of tractors, seeders, and harvesters offer cutting-edge productivity features and warranty protection. But new equipment commands premium pricing, a 30HP utility tractor from John Deere starts at around $33,000. Carefully evaluate true capacity requirements and shop specialty farm equipment dealers.

As with vehicles, used tractors and implements often provide huge cost savings of over 50% compared to new ones with just slightly more maintenance. Well-maintained older Deere/Kubota models retain decades of usable life. Facebook Marketplace , Craigslist , and specialty forums like Tractor House are the best places to start.

An affordable intermediate option, equipment rental through national chains like United Rentals or Sunstate Equipment allows accessing necessary trucks, excavators, etc. for seasonal projects without huge upfront buys. Delivery fees are often waived.

The ultimate flexible option, leasing production essentials like greenhouse structures, livestock housing, or irrigation systems means making lower monthly payments rather than giant lump sum buys. As with vehicles, equipment leases run 24-48 months with buyouts possible afterward, allowing upgrades as needs evolve.

11. Establish Your Brand Assets

Creating a consistent brand identity helps organic farms connect with consumers seeking transparency around food sourcing and production practices. Investing in core brand assets sends the right message.

Get a Business Phone Number

Start by securing a unique business phone line via providers like RingCentral rather than using a personal cell. Listing a professional number builds trust when customers call your farm stand asking if eggs are in stock or restaurants place wholesale orders. Expect basic business phone plans to start around $30/month.

Design a Logo

A polished logo also helps. Consider bright, welcoming designs that incorporate images of your fields, harvest bounty, or barn packed with happy livestock. Sites like Looka make logo DIY simple by providing organic layouts and iconography specific for farms based on your vision. Paid creation services start around $20.

Print Business Cards

With a logo file, build complementary brand assets that feel cohesive across business cards, merchandise, delivery truck signage, and banners for your organic farmers market booth. Printers like Vistaprint allow ordering professionally branded mugs, hats, and signage with bulk order discounts.

Get a Domain Name

Secure matching domain names and social media handles whenever branding your farm online. Establish credibility by purchasing your .com domain for around $12/year rather than using free platforms. Recommended sites like Namecheap provide domain privacy and auto-renew options.

Design a Website

Building a custom website on that domain is your farm’s virtual home. Use website builders like Wix for easy drag-and-drop layouts, accepting online orders, and seamless mobile optimization. Expect prices from free for basic sites up to $20/month for advanced e-commerce functionality. Alternatively, freelancers on Fiverr can custom-code sites for just $100.

12. Join Associations and Groups

While organic farming starts in the dirt, expanding your networks is crucial to growth. Local and national associations, events, and online groups provide camaraderie while sharing invaluable insights into increasing crop yields, accessing new markets, and advancing the organic movement.

Local Associations

Seek out a chapter of the Organic Farmers Association (OFA) to join passionate food producers striving for sustainability like yourself. The national organization has regional cooperatives across the U.S. focused on education programs and policy advocacy to benefit organic operations. Expect dues between $50-$150 annually.

Local Meetups

Hands-on workshops about reducing input costs and regenerative techniques led by researchers and veteran growers alike. Many events also facilitate business-to-business networking and recruitment for hard-to-fill seasonal positions. Use listing sites like Meetup to find upcoming conferences near you for fees typically under $75 per ticket.

Facebook Groups

And don’t overlook the power of the digital community within organic farmer Facebook groups. For example, the thousands of members of Organic farming freely exchange advice about drought-resistant seeds, no-till practices, and soil nutrients (primarily coming from organic and natural sources such as nightcrawlers ). Other groups like Organic Farming & Self-Sustainability also foster valuable mentoring.

13. How to Market an Organic Farm Business

Spreading the word about your chemical-free bounty requires strategic promotion to connect local foodies seeking transparency with how their produce is grown. Leveraging personal networks, customer referrals, targeted digital ads and specialty farm publications/events ensures a thriving CSA and stand bursting with loyal shoppers.

Referral Marketing

An initial customer base must be nurtured through impeccable customer service and community goodwill. Pay it forward by gifting basket subscriptions and gift card rewards for referrals. Word of mouth, more than any slogan or jingle, makes an organic farm endure.

Digital Marketing

Digital platforms provide targeted promotion opportunities:

• Geofenced Google/Facebook ads spotlighting in-season cherry tomatoes offered to nearby households for free delivery on orders over $15
• Instagram Reels showcasing the sowing and harvest process from seed to market basket to attract sustainability-focused Millennials
• YouTube tutorials answering FAQs on specialized techniques like vertical growing in converted shipping containers
• Search ads for niche keywords like “grass-fed lamb CSAs” in regional hubs
• Retargeting banners across sites reminding customers of the heirloom tomato options available.

Traditional Marketing

Don’t ignore traditional channels favored by older generations making up significant organic shopper segments:

• Booth at the weekly county farmers market provides product sampling and specials to capture shoppers’ attention
• Team sponsorships and jersey ads for local youth sports like 4H leverage parents’ goodwill
• Direct mail postcard blasts announcing seasonal U-Pick berry availability
• Listings in culinary/farm life publications like Edible Communities
• Flyer placements in health food stores, churches, and community boards

The keys to marketing an organic farm sustainably are conveying your authentic passion for the land and highlighting the care behind each pepper and greens harvest. Build community through welcoming event hosting and forging partnerships with chefs/florists/beekeepers. What your organic farm nurtures is much more than exceptional produce – it’s the future well-being of both people and the planet.

14. Focus on the Customer

While nurturing healthy topsoil and crops are central skills for organic farmers, cultivating lasting customer loyalty through stellar service is equally vital to viability. Just like ripening cantaloupe, the farm-to-table journey hinges on thoughtful handling of every patron interaction.

Focus first on hospitality basics within the farm stand like quickly addressing questions from curious first-timers or sampling juicy heirloom varieties to inform rather than push sales. Such guidance builds trust in your chemical-free mission.

Further boost satisfaction by pre-emptively resolving potential issues, from proactively reaching out if a CSA box runs light during a drought week to replacing damaged eggs en route. Refunding without question also speaks volumes.

Exceeding expectations on delivery instructions for a struggling single mom or adding a surprise lavender bouquet to large orders sparks joy and word-of-mouth referrals. Seek customer feedback regularly to continually improve operations.

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Organic Farming Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Agriculture Sector

Are you about starting an organic farm? If YES, here’s a complete sample organic farming business plan template & feasibility report you can use for FREE to raise money .

Okay, so we have considered all the requirements for starting an organic farming business. We also took it further by analyzing and drafting a sample organic farm produce marketing plan template backed up by actionable guerrilla marketing ideas for organic farms. So let’s proceed to the business planning section.

There are loads of business opportunities in the commercial farming industry and organic farming is one of them. Organic foods are known as one of the world’s healthiest foods and are eaten in all continents of the world.

Organic farming is known to be a profitable business that has evolved from small scale to a global industry in most countries where it is carried out. Countries like The United States of America, Germany, China, Japan, Ireland, Australia et al are known to be in the forefront when it comes organic farming.

Starting an organic farming business comes with its own fair share of challenges, but that does not rule out the fact that it is indeed a profitable business venture. An aspiring entrepreneur can either choose to start an organic farm on a small scale cultivating organic vegetables and fruits, or on a large scale cultivating organic crops and livestock.

If you have decided to go into organic farming, you should carry out thorough feasibility studies and also market survey. Business plan is yet another very important business document that you should not take for granted when launching your own business.

Below is a sample organic farming business plan template that can help you to successfully write your own with little or no difficulty.

A Sample Organic Farming Business Plan Template

1. industry overview.

The organic farm industry includes farms that primarily cultivate organic fruit, vegetables, grains and other crops or livestock. It is important to categorically state that organic farming does not involve the use of artificial chemicals, pesticides and fertilizers, or genetically modified organisms.

The Organic Farming industry provides a variety of farm produce including beef, fruit, vegetables and poultry. These farm produce are free from artificial chemicals, pesticides and fertilizers, or genetically modified organisms. Organic farming has been one of the economy’s best performing industries over the last half a decade.

Global demand for organic farm produce is rising due to increasing health concerns about food. Statistics has it that farming (most especially commercial farming) of which organic farming is a part of, employs more than 24 million American workers (which is roughly 17 percent of the total workforce in the united states).

For example, in 2006 the average American commercial farmer grew enough food for about 144 other people, but in 1940, the average farmer grew food for only about 19 other people (which was close to enough food).

Records have it that in 2007, just 187,816 of the 2.2 million farms in the United States of America accounted for 63 percent of sales of agricultural products, marking a trend toward the concentration in agricultural production. Agricultural efficiency has increased over the past century from 27.5 acres/worker in 1890 to 740 acres/worker in 1990.

Organic farmers are known to pay attention to one or more different organic products, depending on farm location and types of farm produce suitable to the local climate. Market trends can also influence farmers’ choices of more profitable crops or produce.

Organic vegetables and fruits are the most established products provided by the industry. They have the highest demand as they are considered the most susceptible to chemical residues.

In addition, they are often the entry point for organic producers due to their lower start-up costs, smaller land requirements and greater proximity to urban areas. For instance, livestock used for organic meats such as beef, lamb and poultry are some of the industry’s fastest-growing product segments in terms of total sales.

As a matter of fact, with the recent advancement in technology, organic farmers can now comfortably grow a variety of crops in a country where such crops can hardly survive; in places where there are few farm lands, people can make use of the rooftop (basement) of their houses to cultivate organic crops such as vegetable even for commercial purposes.

One thing is certain when it comes to organic farming, if you are able to conduct your market research and feasibility studies before choosing a location for your organic farm, you are more likely not going to struggle to grow your organic crops and also to sell your organic farm produce because there are always food processing companies, grocery stores/organic stores and consumers out there who are ready to buy from you.

Lastly, with commercial organic farming, it will pay you to not only cultivate crops and sell them for consumption in farm markets to retailers and consumers.

You can start a complimentary business like organic food processing plant so as to easily package your organic farm produce. The bottom line is that if you have enough farm land (space) and you are interested in maximizing commercial organic farming, you are sure going to make huge profits from the business.

2. Executive Summary

Kelvin Durham® & Sons Organic Farms, LLC is a world class commercial organic farm that will be based in the outskirts of Tallahassee, Florida – United States.

We have done our detailed market research and feasibility studies and we were able to secure a well – situated and suitable farm land to start our commercial organic farm. Our commercial organic farm is going to be a standard farm that will be involved in fruit and vegetable growing, livestock farming, grain and oil-seed production, honey production and other crops production.

We have put plans in place to help us launch a standard organic food packaging plant within the first three years of officially running Kelvin Durham® & Sons Organic Farms, LLC. We will package organic foods and ensure that they flood the market both in the United States and in other countries of the world.

We want to compete with the best in the industry which is why aside from the fact that we have secured the required farm land and most of the farming equipment and machines, we have also hired key employees who are currently undergoing training so as to fit into the ideal picture of the 21 st  century commercial organic farm workforce that we want to build.

We are in the commercial organic farming business because we want to leverage on the vast opportunities available in the commercial organic farming industry to contribute our quota in growing the U.S. economy, in national food production, raw materials production for industries, to export organic farm produce from the United States to other countries and over and above to make profit.

Kelvin Durham® & Sons Organic Farms, LLC is well positioned to become one of the leading commercial organic farms in the United States of America, which is why we have been able to source for the best hands and farm machinery to run the farm with.

We have put process and strategies in place that will help us employ best practices when it comes to commercial organic farm processes and packaging as required by regulatory bodies in the United States of America.

Kelvin Durham® & Sons Organic Farms, LLC is a family business that is owned by Mr. Kelvin Durham and his immediate family members. The farm cum business will be fully and single handedly financed by Kelvin Durham and his immediate family members.

Before starting Kelvin Durham® & Sons Organic Farms, LLC, Kelvin Durham has worked with some of the leading commercial organic farms in the United States of America; he also has a degree (B.Sc.) in Agricultural Science from the University of Florida.

3. Our Products and Services

Kelvin Durham® & Sons Organic Farms, LLC is a world class commercial organic farm that is committed to cultivating both organic crops and livestock for both the United States’ market and the global market.

We are in business to produce both organic food and raw materials for people and industries in commercial quantities. We will also ensure that we operate a standard organic food packaging plant as part of our complimentary business.

We are in this line of business to make profits, and we will ensure that we do all that is allowed by the law of the United States of America to achieve our business goals and objectives. These are the areas we will concentrate on in our commercial organic farms. If need arises we will definitely cultivate related crops;

• Fruit and vegetable growing
• Livestock farming
• Grain and oilseed production
• Honey production
• Other crop production

4. Our Mission and Vision Statement

• Our Vision is to become one of the leading commercial organic farms and organic food packaging brand not just in the United States of America but also on the global stage.
• Kelvin Durham® & Sons Organic Farms, LLC is a world class commercial organic farm that is in business to cultivate in commercial quantities both organic crops and livestock for both the United States market and the international market. We want our well – packaged organic food to flood every nooks and crannies of the United States and other countries of the world.

Our Business Structure

Kelvin Durham® & Sons Organic Farms, LLC is a commercial organic farm that intends starting small in Tallahassee – Florida, but hope to grow big in order to compete favorably with leading commercial organic farms in the commercial farming industry both in the United States and on a global stage.

We are aware of the importance of building a solid business structure that can support the picture of the kind of world class business we want to own; this is why we are committed to only hire the best hands in and around Florida.

At Kelvin Durham® & Sons Organic Farms, LLC, we will ensure that we hire people that are qualified, hardworking, dedicated, customer centric and are ready to work to help us build a prosperous business that will benefit all our stakeholders (the owners, workforce, and customers).

As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the management of the farm. In view of the above, Kelvin Durham® & Sons Organic Farms, LLC have decided to hire qualified and competent hands to occupy the following positions;

• Chief Operating Officer

General Farm Manager

Administrator/Accountant

Organic Crop Cultivation Manager/Supervisor

• Organic Livestock Farming Manager
• Sales and Marketing Executive
• Field Employees
• Front Desk Officer

5. Job Roles and Responsibilities

Chief Operating Officer:

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities
• Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy
• Responsible for fixing prices and signing business deals
• Responsible for providing direction for the business
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the organization
• Responsible for the planning, management and coordinating all farm activities across the various sections on behalf of the organization
• Supervises other section managers (organic crop cultivation manager and organic livestock manager)
• Ensures compliance during project executions
• Provides advice on the management of farming activities across all sections
• Responsible for carrying out risk assessment
• Uses IT systems and software to keep track of people and progress of the growth of crops, fishes, birds and animals
• Responsible for overseeing the accounting, costing and sale of farm produce after harvest
• Represent the organization’s interest at various stakeholders’ meetings
• Ensures that farming goals are achieved, the most efficient resources (manpower, equipment, tools and chemicals et al) are utilized and different interests involved are satisfied. Responsible for preparing financial reports, budgets, and financial statements for the organization
• Responsible for overseeing the smooth running of HR and administrative tasks for the organization
• Handles all financial transactions for the company
• Defining job positions for recruitment and managing interviewing process
• Responsible for training, evaluation and assessment of employees
• Oversees the smooth running of daily farm activities across the various farming sections
• Defining job positions for recruitment and managing the interviewing process
• Carrying out staff induction for new team members
• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Responsible for financial forecasting and risks analysis
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensuring compliance with taxation legislation
• Serves as internal auditor for the company
• Responsible for managing the organic crop cultivation section of the commercial organic farm
• Supervises other workers within the department
• Works closely with the General Manager to achieve the organizations’ goals and objectives

Organic Livestock Farming Manager/Supervisor

• Responsible for managing the organic livestock farming section of the commercial organic farm

Sales and Marketing Officer

• Identify, prioritize and reach out to new partners and business opportunities et al
• Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of relevant projects
• Writing winning proposal documents, negotiate fees and rates in line with company policy
• Responsible for handling business research, marker surveys and feasibility studies for clients
• Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
• Develop, execute and evaluate new plans for expanding sales
• Document all customer contact and information
• Represents the company in strategic meetings
• Helps increase sales and growth for the organization

Field Workers/Contract Staff

• Responsible for preparing farm lands for organic crop cultivation
• Responsible for watering the crops
• Weeding the farm land
• Handle farm implements and machines as instructed by the section manager/supervisor
• Assist in handling the harvest of crops
• Carry out task in line with the stated job description
• Assist in transporting work tools and equipment from the farm and back to the designated store room
• Handle any other duties as assigned by the line manager

Client Service Executive/Front Desk Officer

• Welcomes guests and clients to the farm by greeting them in person or on the telephone; answering or directing inquiries.
• Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
• Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
• Manages administrative duties assigned by the manager in an effective and timely manner
• Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients
• Receives parcels/documents for Kelvin Durham® & Sons Organic Farms, LLC
• Distribute mails in Kelvin Durham® & Sons Organic Farms, LLC
• Handles any other duties as assigned by the line manager

6. SWOT Analysis

Kelvin Durham® & Sons Organic Farms, LLC do not intend to launch out with trial and error hence the need to conduct a proper SWOT analysis. We know that if we get it right from the onset, we would have succeeded in creating the foundation that will help us build a standard organic farm that will favorably compete with leading commercial organic farms in the United States of America and in other parts of the world.

We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be well equipped to confront our threats.

Kelvin Durham® & Sons Organic Farms, LLC employed the services of an expert HR and Business Analyst with bias in the commercial organic farming industry to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives.

Here is a summary from the result of the SWOT analysis that was conducted on behalf of Kelvin Durham® & Sons Organic Farms, LLC;

Our strength as a commercial organic farm is in the fact that we have healthy relationships with loads of major players in the organic farms industry; both suppliers and buyers within and outside of the United States. We have some of the latest commercial farm machines; tools and equipment that will help us cultivate crops in commercial quantities with less stress. Asides from our relationship (network) and equipment, we can confidently boast that we have some the most experienced hands in Tallahassee – Florida on our payroll.

Our weakness is that we are a new commercial organic farm in the United States, and the fact that we have decided to diversify our commercial organic farming activities could count against us. We are aware of this and from our projection, we will overcome this weakness with time and turn it to a major advantage for the business.

• Opportunities:

The opportunities that are available to us cannot be quantified, we know that there are loads of individuals who consume both organic crops and livestock in different forms both in the United States of America and other parts of the world. We will ensure that we maximize the opportunities available in the industry.

Some of the threats and challenges that we are likely going to face when we start our own commercial organic farm are global economic downturn that can impact negatively on household spending, bad weather cum natural disasters (draughts, epidemics), unfavorable government policies and the arrival of a competitor (a commercial farm that cultivates same crops) within same location. There is hardly much you can do as regards these threats and challenges other than to be optimistic that things will continue to work for your good.

7. MARKET ANALYSIS

• Market Trends

One of the common trends in the commercial organic farming line of business is that most players in the industry are no longer concentrating only on organic crop farming. They now find it easier to run both organic crop cultivation and organic livestock farming. Despite the fact that organic foods are expensive, the sale for organic food is on the increase and it is indeed profitable.

Organic farmers are known to pay attention to one or more organic products depending on farm location and types of farm produce suitable to the local climate. Market trends can also influence farmers’ choices of more profitable crops or produce. Organic vegetables and fruits are the most established products provided by the industry. They have the highest demand as they are considered the most susceptible to chemical residues.

In addition, they are often the entry point for organic producers due to their lower start-up costs, smaller land requirements and greater proximity to urban areas. For instance, livestock used for organic meat such as beef, lamb and poultry are some of the industry’s fastest-growing product segments in terms of total sales.

Lastly, with the recent advancement in technology, organic farmers can now comfortably grow a variety of crops in a country where such crops can hardly survive and in places where there are few farm lands.

8. Our Target Market

Naturally, the end consumers of organic food and those who benefit from the business value chain of the commercial organic farming industry is all encompassing.

In view of that, we have positioned our organic farming business to service (supply) supermarkets, grocery stores, hotels, restaurants and other outlets all across Tallahassee – Florida and other key cities all over the United States of America and Canada. We have conducted our market research and we have ideas of what our target market would be expecting from us.

We are in business to retail our organic crops and livestock to the following groups of people and businesses;

• Supermarkets
• Grocery Stores
• Restaurants
• Outdoor caterers

Our competitive advantage

The truth is that it is easier to find entrepreneurs flocking towards an industry that is known to generate consistent income which is why there are more commercial organic farmers in the United States of America and of course in most parts of the world.

For example, Statistics has it that there are 2.2 million farms in the United States of America, covering an area of 922 million acres. These goes to show that there are an appreciable number of farmers in the United States of America but that does not mean that there is stiff competition in the industry.

Kelvin Durham® & Sons Organic Farms, LLC is fully aware that there are competitions when it comes to selling commercial organic farm produce all over the globe, which is why we decided to carry out thorough research so as to know how to take advantage of the available market in the United States and in other parts of the world.

We have done our homework and we have been able to highlight some factors that will give us competitive advantage in the marketplace; some of the factors are effective and reliable organic farming processes that can help us sell our organic farm produce at competitive prices, good network and excellent relationship management.

Another competitive advantage that we are bringing to the industry is that we have designed our business in such a way that we will operate an all – round standard commercial organic farm that will be involved in organic livestock farming. With this, we will be able to take advantage of all the available opportunities within the industry.

Lastly, our employees will be well taken care of and their welfare package will be among the best within our category in the industry meaning that they will be more than willing to build the business with us, help deliver our set goals and achieve all our aims and objectives.

9. SALES AND MARKETING STRATEGY

• Sources of Income

Kelvin Durham® & Sons Organic Farms, LLC is in the commercial organic farming business for the purpose of maximizing profits, hence we have decided to explore all the available opportunities within the industry to achieve our corporate goals and objectives. For now, we are going to rely only on the sale of our organic farm produce to generate income for the business.

Below are the sources we intend exploring to generate income for Kelvin Durham® & Sons Organic Farms, LLC;

10. Sales Forecast

We conducted a thorough market survey and feasibility studies and we were able to discover that the sales generated by a commercial organic farm depends on the size of the farm and the nature of the commercial organic farm (whether cattle rearing, poultry farming, fish farming and crops cultivation et al).

We have perfected our sales and marketing strategies and we are quite optimistic that we will meet or even surpass our set sales target of generating enough income/profits from the very first year of operation and build the business from survival to sustainability.

We have been able to critically examine the agriculture industry cum commercial organic farming line of business, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast.

• First Fiscal Year-: $150,000
• Second Fiscal Year-: $300,000
• Third Fiscal Year-: $500,000

N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown that can impact negatively on household spending, bad weather cum natural disasters (draughts, epidemics), and unfavorable government policies. Please note that the above projection might be lower or higher.

• Marketing Strategy and Sales Strategy

We are aware that the reason why some commercial organic farms hardly make good profits is their inability to sell off their organic crops and livestock as at when due.

Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of the organization. We want to build a standard and world – class organic farm that will leverage on word of mouth advertisement from satisfied clients (both individuals and corporate organizations).

Over and above, we have perfected our sale and marketing strategies first by networking with agriculture merchants and businesses that rely on steady supply of organic crops and livestock. In summary, Kelvin Durham® & Sons Organic Farms, LLC will adopt the following strategies in marketing our commercial organic farm produce;

• Introduce our business by sending introductory letters alongside our brochure to stakeholders in the agriculture industry, organic food merchants, hotels, restaurants and groceries stores et al.
• Advertise our business in agriculture and food related magazines and websites
• List our commercial organic farms on yellow pages ads
• Attend related agriculture and food expos, seminars, business fairs et al
• Leverage on the internet to promote our business
• Engage in direct marketing
• Encourage the use of Word of mouth marketing (referrals)

11. Publicity and Advertising Strategy

Any business that wants to grow beyond the corner of the street or the city they are operating from must be ready and willing to utilize every available means to advertise and promote the business. We intend growing our business which is why we have perfected plans to build our brand via every available means.

Below are the platforms we will leverage on to boost our commercial organic farm brand and to promote and advertise our business;

• Place adverts on both print (newspapers and magazines) and electronic media platforms
• Sponsor relevant community based events/programs
• Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote our business
• Install our billboards in strategic locations all around Tallahassee – Florida
• Engage in roadshows from time to time in targeted neighborhoods
• Distribute our fliers and handbills in target areas
• Contact hotels, restaurants, grocery stores, agriculture produce merchants and residents in our target areas by calling them up and informing them of Kelvin Durham® & Sons Organic Farms, LLC and the organic farm produce we sell
• List our commercial organic farms in local directories/yellow pages
• Advertise our commercial organic farms in our official website and employ strategies that will help us pull traffic to the site.
• Ensure that all our staff members wear our branded shirts and all our vehicles and trucks are branded with our company logo et al.

12. Our Pricing Strategy

If you want to get the right pricing for your organic farm produce, then you should ensure that you choose a good location for your commercial organic farm, choose a good breed/seed that will guarantee bountiful harvest, cut the cost of running your organic farm to the barest minimum and of course try as much as possible to attract buyers to your farm as against taking your organic farm produce to the market to source for buyers; with this, you would have successfully eliminated the cost of transporting your harvest to the market and other logistics.

We are quite aware that one of the easiest means of penetrating the market and acquiring loads of customers for all our organic crops and livestock is to sell them at competitive prices, hence we will do all we can to ensure that the prices of our organic farm produce are going to be what other commercial organic farmers would look towards beating.

One thing is certain, the nature of commercial organic farming makes it possible for farmers to place prices for their farm produce based on their discretion without following the benchmark in the industry. The truth is that it is one of the means of avoiding running into a loss. The easier you sell off your harvested organic farm produce, the better for your business.

• Payment Options

The payment policy adopted by Kelvin Durham® & Sons Organic Farms, LLC is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Kelvin Durham® & Sons Organic Farms, LLC will make available to her clients;

• Payment via bank transfer
• Payment with cash
• Payment via online bank transfer
• Payment via check
• Payment via mobile money transfer
• Payment via bank draft

In view of the above, we have chosen banking platforms that will enable our clients make payment for their purchases without any stress on their part. Our bank account numbers will be made available on our website and promotional materials.

13. Startup Expenditure (Budget)

When it comes to calculating the cost of starting a commercial organic farm, there are some key factors that should serve as a guide; factors such as the capacity of the organic farm and the number of organic crops and livestock you want to cultivate.

Besides, in setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to start a world – class commercial organic farm, then you would need huge capital as you would need to ensure that your employees are well taken care of, and that your organic farm is conducive enough for workers to be creative and productive.

This means that the start-up capital can either be low or high depending on your goals, vision and aspirations for your business. Below are some of the basic areas we will spend our start – up capital when setting up our organic farm;

• The total fee for incorporating the business in United States of America – $750.
• The total cost for payment of insurance policy covers (general liability, workers’ compensation and property casualty) at a total premium – $9,400
• The amount needed to acquire/lease a farm land – $50,000
• The amount required for preparing the farm land – $70,000
• The cost for acquiring the required working tools and equipment/machines/fencing et al – $10,000
• The amount required for purchase of the first set of seedlings and livestock et al – $50,000
• Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $40,000
• The cost of launching an official website – $600
• The amount required for payment of workers for a period of 3 months – $100,000
• Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,000

Going by the report from detailed research and feasibility studies conducted, we will need an average of $500,000 to start a standard commercial organic farming business in the United States of America. These are some of the equipment that we would need to fully launch our commercial organic farm,

• Soil cultivator
• Harrow (e.g. Spike harrow, Drag harrow, Disk harrow)
• Stone/Rock/Debris remover implement (e.g. Destoner, Rock windrower/rock rake, Stone picker/picker)
• Broadcast seeder (alternatively: broadcast spreader, fertilizer spreader, or Air seeder)
• Plastic mulch layer
• Transplanter
• Sprinkler system irrigation
• Wheel Barrow

Basically, the nature of a commercial organic farm does not require an office space, most people that run commercial organic farms operate directly from their farms. But we have decided to open a small liaison office; a place where administrative jobs will be carried out on behalf of the business.

Generating Funds / Startup Capital for Kelvin Durham® & Sons Organic Farms, LLC

No matter how fantastic your business idea might be, if you don’t have the required money to finance the business, the business might not become a reality. Finance is a very important factor when it comes to starting a commercial organic farm.

Kelvin Durham® & Sons Organic Farms, LLC is a family business that will be owned and managed by Kelvin Durham and his immediate family members. They are the sole financiers of the firm, but may likely welcome other partners later which is why they decided to restrict the sourcing of the start–up capital for their business to just three major sources.

These are the areas where we intend sourcing for fund for Kelvin Durham® & Sons Organic Farms, LLC;

• Generate part of the start – up capital from personal savings and sale of his stocks
• Generate part of the start – up capital from friends and other extended family members
• Generate a larger chunk of the startup capital from the bank (loan facility).

N.B:  We have been able to generate about $100,000 ( Personal savings $80,000 and soft loan from family members $20,000 ) and we are at the final stages of obtaining a loan facility of $400,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

One of our major goals of starting Kelvin Durham® & Sons Organic Farms, LLC is to build a business that will survive off its own cash flow without the need of injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to sell our farm produce (organic crops and organic livestock) a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.

Kelvin Durham® & Sons Organic Farms, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our organization’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner of our business strategy.

As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of five years or more as determined by the management of the organization. We know that if this is put in place, we will be able to successfully hire and retain the best hands we can get in the industry, and they will be more committed to help us build the business of our dreams.

Check List/Milestone

• Business Name Availability Check: Completed
• Business Incorporation: Completed
• Opening of Corporate Bank Accounts in various banks in the United States: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of All forms of Insurance for the Business: Completed
• Leasing of farm land and preparing the farm land in Tallahassee – Florida: Completed
• Conducting Feasibility Studies: Completed
• Start – up Capital Generation: Completed
• Writing of Business Plan: Completed
• Drafting of Employee’s Handbook: Completed
• Design of The Company’s Logo: Completed
• Graphic Design and Printing of Packaging, Marketing/Promotional Materials: Completed
• Recruitment of employees: In Progress
• Building/construction of cages and fence et al: In Progress
• Purchase of the needed farm cultivating tools, machines and equipment: Completed
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Farm land Treatment, Health and Safety Arrangement: In Progress
• Establishing business relationship with vendors and key players in the industry (agriculture farm produce merchants, seedling suppliers and transport/haulage companies, hotels, restaurants, and grocery stores et al): Completed

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Business Plan Template for Organic Farming

• Great for beginners
• Ready-to-use, fully customizable Subcategory
• Get started in seconds

Are you ready to sow the seeds of success in the organic farming industry? With ClickUp's Business Plan Template for Organic Farming, you can cultivate your dream into a thriving reality!

Crafted specifically for entrepreneurs and individuals venturing into the organic farming business, this template helps you outline your goals, strategies, and financial projections with ease. Here's what this template offers:

• A comprehensive framework to map out your business model
• A step-by-step guide to identify target markets and develop marketing strategies
• Tools to forecast expenses, revenue, and profit margins
• A platform to attract investors and secure loans for your organic farming venture

Don't let your dreams wilt away! Plant the seeds of success with ClickUp's Business Plan Template for Organic Farming today.

Business Plan Template for Organic Farming Benefits

When using the Business Plan Template for Organic Farming, you can expect the following benefits:

• Clearly define your goals, strategies, and financial projections for your organic farming business
• Attract potential investors or secure loans by presenting a well-structured and comprehensive business plan
• Identify potential challenges and risks in advance, allowing you to develop strategies to mitigate them
• Ensure that your organic farming operations are aligned with industry best practices and regulations
• Track the progress of your business and make informed decisions based on your financial projections and goals

Main Elements of Organic Farming Business Plan Template

When it comes to starting your organic farming business, ClickUp's Business Plan Template has got you covered with all the essential elements:

• Custom Statuses: Keep track of your progress with statuses like Complete, In Progress, Needs Revision, and To Do, ensuring that every step of your business plan is accounted for.
• Custom Fields: Add vital information to your plan using custom fields like Reference, Approved, and Section, so you can easily organize and analyze your data.
• Custom Views: Access multiple views such as Topics, Status, Timeline, Business Plan, and Getting Started Guide, allowing you to visualize your plan from different angles and stay on top of your goals.
• Task Management: Utilize ClickUp's task management features like due dates, assignees, comments, and attachments to collaborate with your team and ensure that every aspect of your business plan is addressed.
• Document Collaboration: Leverage ClickUp's Docs feature to create and collaborate on your business plan in real-time, ensuring that all stakeholders are on the same page and can contribute seamlessly.

With ClickUp's Business Plan Template for Organic Farming, you'll have all the tools you need to create a comprehensive and persuasive plan for your organic farming business.

How To Use Business Plan Template for Organic Farming

Crafting a business plan for your organic farming venture is crucial for success. Follow these six steps to effectively use the Business Plan Template for Organic Farming in ClickUp:

1. Define your mission and vision

Start by clearly outlining your mission and vision for your organic farming business. What is the purpose of your farm? What values do you uphold? This will help you establish a strong foundation for your business plan.

Use a Doc in ClickUp to articulate your mission and vision statement.

2. Analyze the market

Conduct thorough research on the organic farming industry and identify your target market. Who are your potential customers? What are their needs and preferences? Understanding the market will help you position your farm effectively.

Utilize the Gantt chart in ClickUp to create a timeline for your market research and analysis.

3. Develop your farm's offerings

Detail the products and services your organic farm will provide. What crops will you grow? Will you offer livestock or value-added products? Outline your pricing strategy and any unique selling points that set your farm apart.

Create tasks in ClickUp to identify and categorize your farm's offerings.

4. Create a financial plan

Develop a comprehensive financial plan that includes projected revenue, expenses, and profit margins. Consider costs such as land acquisition, equipment, labor, and marketing. This will help you understand the financial feasibility of your organic farming business.

Use custom fields in ClickUp to track and calculate your projected financial data.

5. Outline your marketing strategy

Determine how you will promote your organic farm and reach your target audience. Will you use social media, local markets, or direct sales? Outline your marketing channels, branding, and advertising strategies to ensure maximum visibility and customer engagement.

Use the Calendar view in ClickUp to schedule marketing activities and campaigns.

6. Set goals and milestones

Establish short-term and long-term goals for your organic farming business. These could include production targets, revenue milestones, or sustainability objectives. Break down these goals into actionable tasks and assign them to team members.

Utilize the Milestones feature in ClickUp to track and celebrate your progress towards achieving your goals.

By following these steps and utilizing the Business Plan Template for Organic Farming in ClickUp, you'll be well-prepared to launch and grow a successful organic farming business.

Get Started with ClickUp’s Business Plan Template for Organic Farming

Entrepreneurs or individuals interested in starting an organic farming business can use the ClickUp Business Plan Template for Organic Farming to create a comprehensive and professional business plan that will help attract investors or obtain loans.

First, hit “Add Template” to sign up for ClickUp and add the template to your Workspace. Make sure you designate which Space or location in your Workspace you’d like this template applied.

Next, invite relevant members or guests to your Workspace to start collaborating.

Now you can take advantage of the full potential of this template to create a successful organic farming business plan:

• Use the Topics View to organize your business plan into different sections, such as Executive Summary, Market Analysis, Financial Projections, etc.
• The Status View will help you track the progress of each section, with statuses like Complete, In Progress, Needs Revision, and To Do.
• Utilize the Timeline View to set deadlines and milestones for each section of your business plan.
• The Business Plan View will give you a comprehensive overview of your entire plan, allowing you to easily navigate and make edits.
• Use the Getting Started Guide View to access helpful resources and tips on how to create a successful organic farming business plan.
• Customize the custom fields, such as Reference, Approved, and Section, to add additional information and categorize your business plan.
• Monitor and analyze your business plan to ensure it is comprehensive, well-structured, and ready to present to investors or lenders.
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An official website of the United States government Here’s how you know

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Find your state/county's agriculture data and USDA resources on your farmers.gov Local Dashboard !

Organic Farmers

Organic agriculture uses cultural, biological and mechanical practices that foster cycling of resources, promote ecological balance and conserve biodiversity. Synthetic fertilizers, sewage sludge, irradiation and genetic engineering may not be used. Whether you’re an established organic operation or thinking about transitioning to organic, USDA has available programs and services.

On This Page

Organic standards.

Agricultural Marketing Service manages the National Organic Program and sets and enforces the national standards that protect the integrity of the USDA Organic Seal . They also list the Certification status of all organic farms and businesses in the U.S. Learn how to get certified , locate a certifier or even how to become a certifier .

Need Help Transitioning to Organic?

The Organic Transition Initiative is a new suite of multi-agency programs to support farmers transitioning to organic production, including: 

• Transition to Organic Partnership Program , providing field-based assistance, workshops, field days, access to resources and peer-to-peer mentoring for transitioning farmers.
• Direct Support through conservation assistance and crop insurance premium assistance for transitioning and existing organic farmers.
• Improving Organic Supply Chain Security in targeted markets to ensure transitioned products have access to processing, storage, distribution, and consumer markets.

Need Help with Organic Certification Fees?

The Organic Certification Cost Share Program (OCCSP) covers 75% or up to $750 per category of certification costs. Categories include: 

• Processing/handling
• State organic program fees (California only)

OCCSP covers expenses incurred from Oct. 1, 2023, to Sept. 30, 2024. FSA will issue payments as applications are received and approved. 

To apply, producers and handlers should contact the FSA at their local USDA Service Center or their participating state department of agriculture. As part of completing the OCCSP applications, producers and handlers will need to provide documentation of their organic certification and eligible expenses. 

Sign-up begins on May 15, 2024, and runs through Oct. 31, 2024.  

Learn More About OCCSP

USDA Data, Research, and Support

Learn about Organic Economic and Market Information , Organic Trade, and Organic Production Surveys .

Through Organic Research, Education, and Extension Programs , USDA funds extension efforts with land-grant universities across the country, as well as research to support the continued growth of the organic sector.

Participate in USDA Extension’s eOrganic community of practice .

Learn More At USDA Organic

Why Work with USDA

Conservation.

For conservation assistance – from high tunnels to biodiversity and composting facilities – check out NRCS Assistance for Organics . We can help you comply with organic regulations and develop a conservation plan based on your goals and priorities for your land. In some cases, your conservation plan can be used as a part of your organic system plan when you apply for certification. Sometimes, we can also help you pay for the costs of conservation practices.

Through USDA's Organic Transition Initiative , launched in 2022, NRCS is investing $75 million in additional funds to help transitioning producers with conservation . 

Access to Land and Capital

Organic farmers can apply for the same loans and programs as conventional farmers. Farm loans can help you buy or lease land, buy equipment, build or upgrade storage facilities, and help with other operating costs. To access an interactive online, step-by-step guide through the farm loan process, visit the Farm Loan Assistance Tool .

Learn more about access to land and capital .

Insurance and Disaster Assistance

Agriculture is an inherently risky business. It’s important to plan for everyday business risks and those brought on by natural disasters. Federal crop insurance and the Noninsured Crop Disaster Assistance Program are good options for managing risk.

As part of the Organic Transition Initiative, the Risk Management Agency has the Transitional Organic Grower Assistance Program (TOGA). This program offers premium assistance to agricultural producer who have purchased crop insurance coverage on crops in transition to organic or a certified organic grain or feed crop.

TOGA reduces a producer's overall crop insurance premium bill and helps them continue to use organic agricultural systems.

We also offer disaster assistance to help your farm recover.

How to Work with USDA

Underlined header service centers.

Your first step should be to contact your USDA Service Center and make an appointment. Be sure to ask what documents you’ll need. Also consider -- what is your vision for your land and farm? What are your challenges?

If you need information in a language other than English, we can offer free translation services .

Find your Local USDA Service Center

Underlined Header Farmer Coordinators

Beginning Farmer and Rancher Coordinators are USDA team members that can help you understand the USDA process and find the right assistance for your operation. We have coordinators across the country, and some states also have organic champions.

View Beginning Farmer and Rancher Coordinators

Underlined Header Self-Service Options

Learn how to sign up for a farmers.gov account. You can view loan information and manage conservation business online here.

We also have a number of tools to help you: find the right loan ; learn about recovery options after natural disasters; or discover conservation options .

Learn More About Farmers.gov Accounts

Underlined Header RMA Specialty Crop Liaisons

RMA Specialty Crop Liaisons are located in each of the 10 regional offices throughout the US. The liaisons identify risk management needs for local specialty crop producers, which includes many organic producers.

Producers are encouraged to reach out to their local crop liaison with questions and to request additional information about crop insurance coverage for specialty crops. 

Find Your Local Specialty Crop Liaison

Get Involved

In addition to our farm programs, there are many leadership opportunities for beginning farmers to contribute their voices and experience. Through USDA, you can take advantage of several key opportunities like committee elections, research and promotion programs, and federal advisory committees.

Connect With Your Agricultural Community

Additional Resources

Training resources.

• Download the webinar presentation .
• Read the webinar blog post (June 6, 2023).
• Learn about training available through the Organic Transition Initiative .
• Find online training through the Organic Integrity Learning Center . The Learning Center supports the professional development and continuing education of professionals working to protect organic integrity including certifiers, inspectors, reviewers, and compliance specialists in organic businesses.

Resources for Historically Underserved Farmers and Ranchers

We offer help for the unique concerns of producers who meet the USDA definition of “historically underserved” -- beginning, socially disadvantaged, limited resource, and military veterans . In addition, women in agriculture are helping to pave the way for a better future. Use this tool to determine if you’re a limited resource producer.

Resources for Urban Growers

Learn about the resources available for Urban Growers and then about Urban Farming Grants and Cooperative Agreements available from USDA’s Office of Urban Agriculture and Innovative Production.

Latest News

• May 15, 2024: USDA Easing Producers’ Transition to Organic Production with New Programs and Partnerships, Announces Investments to Create and Expand Organic Markets
• Oct. 25, 2023:  USDA Publishes New Standards for Organic Livestock and Poultry Production, Promotes More Competitive Organic Market
• Sept. 20, 2023: USDA Provides $5 Million in Second Round of Payments to Help Organic Dairy Producers Cover Increased Costs
• USDA CARES Partner Portal  – Resources for underserved farmers, ranchers, and landowners and partners who work with them
• July 21, 2023: USDA Extends Deadline for Organic Dairy Marketing Assistance Until August 11
• June 6, 2023: Webinar: Growing Organic with USDA
• May 19, 2023:  USDA Offers Assistance to Help Organic Dairy Producers Cover Increased Costs
• May 10, 2023:  USDA Announces New Steps to Enhance Organic Markets and Support Producers
• April 10, 2023:  NRCS Announces $75 Million to Assist Producers Transitioning to Organic as Part of USDA’s Organic Transition Initiative

Find Your Local Service Center

USDA Service Centers are locations where you can connect with Farm Service Agency, Natural Resources Conservation Service, or Rural Development employees for your business needs. Enter your state and county below to find your local service center and agency offices. If this locator does not work in your browser, please visit offices.usda.gov.

Learn more about our Urban Service Centers . Visit the Risk Management Agency website to find a regional or compliance office  or to find an insurance agent near you.

Farm Business Planning

Farm Business Planning is key to beginning farmer success.

It helps beginning farmers :

• Plan for the economic sustainability of a new farm enterprise.
• Obtain funding to purchase land, equipment and other resources from lending institutions, investors and/or grant making agencies.
• Articulate what their farm will look like.

On this page, we compiled free farm business planning resources to help you understand what a formal business plan is, and how to start planning your farm business. Sections include:

• Developing a Farm Business Plan
• Enterprise Budgeting

Enterprise budget resources are included on the farm business planning page because such tools are usually essential in helping you to develop your business plan.

Planning your farm business involves more than is outlined on this page alone. You’ll probably also be interested in funding (loans/grants) , farm incorporation , and risk management . Our  starting a farm page is worth visiting first. Also, you might find the following article helpful, because it touches on many farm business planning topics: Farm Products, What to Charge: Marketing, Price, Calculating Costs, Strategy and Much More .

1. Developing a Farm Business Plan

A  business plan  is a decision making tool that takes the form of a formal document. It states your business goals, why you think you can achieve them, and lays out your plan for doing so. Farm business planning is also a process, not an end product. A business plan is a work in progress, which farm business owners or operators will want to revisit regularly. 

Planning and Funding Your Farm Business  from the Cornell University Small Farms Project has lots of important and useful farm business planning resources.

Rural Businesses  is a web and print publication from the Minnesota institute for Sustainable Agriculture (MISA).

Building a Business Plan for Your Farm: Important First Steps  is a 20 page farm business planning publication that discusses the initial steps to help you move toward writing a formal business plan.

The Center for Agroecology has a Small Farm Business Planning publication that goes over many of the basics in a step by step format.

Building a Sustainable Business: A Guide to Developing a Business Plan for Farms and Rural Businesses is a farm business planning publication available from SARE.

Do I need a Business Plan for my Farm? is a web resource from the New England Small Farm Institute. It’s a great place to get started.

AgPlan  from the University of Minnesota helps rural business owners develop a business plan for free, while also offering sample business plans for ideas, and a way to print or download your plan.

Developing a Farm Business Plan includes several helpful resources from the USDA National Agricultural Library’s Rural Information Center.

Organic Farm Business Planning Page  from North Carolina State University features a number of publications and links related to financial planing for organic farmers.

Agricultural Business Planning Templates and Resources   is an ATTRA publication most relevant to smaller-scale or alternative agricultural entrepreneurs.

Beginning Farmer and Rancher Resources offers comprehensive resources on Bookkeeping and Other Basics ; Cash Flow Budgeting and Managing Debt ; Small Farm and Ranch Income Taxes , and more.

Purdue University’s Center for Food and Agricultural Business  has educational resources to explore, such as the New Ventures in Food and Agriculture in Indiana , which offers business planning assistance.

Purdue University Cooperative Extension offers strategic farm business planning tools for commercial farm producers.

Penn State University College of Agricultural Sciences has many Business Planning tools and information.  Penn State Cooperative Extension has a Developing a Business Plan page. Penn State also has a Farm Business Plan Template that allows you to plug in your information and create a basic business plan.

The U.S. Small Business Administration  works with local partners to counsel, mentor and train small businesses. It is worth getting to know their programs and connect with your local office.

The Martindale Center Reference Desk has an extensive  compilation of links to calculators, applets, spreadsheets, courses, manuals, handbooks, simulations, animations, videos and more. Martindale’s Agriculture Center can be of great use to farmers making business plans.

2. Enterprise Budgets

Enterprise budgets project costs and returns for a particular farm production practice. You can use enterprise budgets to make smart business management decisions, and to help you develop a viable business plan.

Enterprise Budgeting Tools of all sorts from the Agricultural Marketing Resource Center, including organic crop budgeting tools, many vegetable budgeting tools, the crop conversion tool for side-by-side crop comparisons, specialty crop and livestock budgets, hydroponics budgets, wind calculators, composting calculators, manure calculators, distillers grain budgets, biomass calculators and specialty foods calculators.

Introduction to Farm Planning Budgets for New and Beginning Farmers (Virginia Tech)

Importance and Use of Enterprise Budgets in Agriculture   (University of Nevada)

Enterprise Budgeting (Kerr Center)

Organic Specific Enterprise Budgets

• Enterprise Budgets and Production Costs for Organic Production (ATTRA)
• Organic Crop Production Enterprise Budgets and Information   (Iowa State)
• Organic Enterprise Budget (Kansas Rural Center)

More Enterprise Budget Pages and Information

• Enterprise Budgets List (Virginia Cooperative Extension)
• Dairy Sheep Enterprise Budget (Center for Integrated Ag Systems, UW-Madison)
• Crop Budgets (University of Maryland)
• Farm Management Enterprise Budgets (Ohio State)
• Alabama Enterprise Budget Summaries (Alabama A&M and Auburn) 
• Start developing your business plan with the resources at   https://www.beginningfarmers.org/farm-business-planning/
• You can find more gr eat farming resources at   https://www.beginningfarmers.org/additional-farming-resources/

Free Agriculture Sample Business Plan PDF + How to Write

Elon Glucklich

6 min. read

Updated February 7, 2024

Free Download:  Agriculture Business Plan Template

As a farmer, you’re in the business of putting food on the table. Agriculture is one of the world’s oldest professions.

Today it accounts for over 5% of U.S. Gross Domestic Product, and 1 in 10 American workers are in agriculture, food, and related industries.

But starting a new agriculture business requires intensive planning and upfront preparation. If you’re looking for a free, downloadable agriculture sample business plan PDF to help you create a business plan of your own, look no further.

Keep in mind that you don’t need to find a sample business plan that exactly matches your farm. Whether you’re launching a larger agricultural business outside a bustling city or a smaller organic operation, the details will be different, but the foundation of the plan will be the same. 

Are you writing a business plan for your farm because you’re seeking a loan? Is your primary concern outlining a clear path for sales growth? Either way, you’re going to want to edit and customize it so it fits your particular farm. 

No two agriculture farming businesses are alike.

For example, your strategy will be very different if you’re a dairy operation instead of a soybean farm. So take the time to create your own financial forecasts and do enough market research for your specific type of agriculture so you have a solid plan for success. 

• What should you include in an agriculture farm business plan?

Your agriculture business plan doesn’t need to be hundreds of pages—keep it as short and focused as you can. You’ll probably want to include each of these sections: 

1. Executive summary

An overview of your agriculture business, with a brief description of your products or services, your legal structure, and a snapshot of your future plans. While it’s the first part of the plan, it’s often easier to write your executive summary last.

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2. Business summary and funding needs

Details about your farming operation, including how much capital you will need and the types of funding you’re considering. Include your business history, your current state, and your future projections. It should also cover your business location, the equipment and facilities needed, and the kinds of crops or livestock you plan to raise.

3. Products and services

Provide details on the types of crops, farming methods, and any value-added products you plan to offer, such as finished goods or even  agritourism offerings .

4. Marketing plan

Compile your market research findings, including the demand for your products or services, your target customers , and your competitors. It should also outline your marketing strategy—how you plan to attract and retain customers. 

5. Financial plan

Your revenue projections, cost estimates, and break-even analysis. Your financial plan and forecasts should demonstrate that your business has a path to profitability.

• Building on your farm business plan sample

With a free agriculture business plan template as your starting point, you can start chipping away at the unique elements of your business plan.

As the business owner, only you can speak to aspects of your agriculture operation like your mission and core values.

You’re putting in the long hours to start a thriving farm business, so aspects of your mission – like a commitment to sustainable farming practices – will be best explained in your own words. Authenticity will help you connect with a growing market of consumers who value transparency and environmental stewardship in their food sources.

As for more conventional aspects of business planning , you will want to take on things like your marketing and financial plans one at a time. Here are a few specific areas to focus on when writing your business plan.

Invest time in market research

Starting an agriculture operation requires significant startup costs. When you throw in the unique land use considerations involved, it’s crucial to conduct thorough market research before investing hundreds of thousands – or even millions – of dollars into a farm business.

Start by researching the types of farms operating in your locality and wider region, and the specific crops or livestock they specialize in. You will need to understand seasonal trends, including crop yields and livestock productivity.

Note the demographics of the local community to understand their buying habits and preference for local produce. Also, be aware of the competitive landscape and how your farm can differentiate itself from others. All of this information will inform your service, pricing, marketing, and partnership strategy.

From there, you can outline how you plan to reach your target market and promote your farm’s offerings.

Craft your agriculture go-to-market strategy

One of the things that makes an agriculture farm business plan different from some service-based business plans is that you might decide to work only with one or two businesses that purchase your goods.  

You may offer different tiers of products to different types of buyers, such as produce for an organic farmers market, and corn for another farm’s animal feed. If that’s the case, make sure you include ideas like setting aside land for organic growth and maintenance.

Discuss your advertising and promotional strategies, emphasizing channels relevant to your target market. Also, consider how partnerships with local businesses, farmers’ markets, and other industry stakeholders can enhance your visibility.

Include your pricing strategy and any special promotions or loyalty programs. Also, consider public relations and media outreach efforts that can raise awareness about your farm and its sustainable practices.

Prepare for unique farming challenges

Running an agricultural business comes with its own set of challenges, including weather-related disruptions and market volatility. Your business plan should identify these potential risks and present contingency plans to address them.

Include a plan to mitigate weather-related risks, such as crop diversification, employing weather-resistant farming practices, investing in appropriate infrastructure like greenhouses or drainage systems, or taking out insurance to cover weather-related losses.

Detail the operational aspects of your business , including land ownership, employee status, farm maintenance, and safety requirements. Also, illustrate your strategies for managing crop production, livestock care, land stewardship, and regulatory compliance.

Plan for the future

Contingency planning is important in all businesses.

But the unique challenges in agriculture of changing market dynamics, regulatory changes, and climate impacts make it especially necessary to plan for the future. Detail how you’ll measure success, and how you will be prepared to adapt your offerings if you need to change the focus of the business due to factors outside your control.

Also, be ready to discuss opportunities for scaling your business over time, such as introducing new crops, expanding farm operations, or opening additional locations.

• Get started with your farm business plan sample

There are obviously plenty of reasons farm owners can benefit from writing a business plan — for example, you’ll need one if you’re seeking a loan or investment. Even if you’re not seeking funding, the process of thinking through every aspect of your business will help you make sure you’re not overlooking anything critical as you grow.

Download this  agriculture farm sample business plan PDF  for free right now, or visit  Bplans’ gallery of more than 550 sample business plans  if you’re looking for more options.

See why 1.2 million entrepreneurs have written their business plans with LivePlan

Elon is a marketing specialist at Palo Alto Software, working with consultants, accountants, business instructors and others who use LivePlan at scale. He has a bachelor's degree in journalism and an MBA from the University of Oregon.

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Small Business Trends

34 organic agriculture business ideas.

You already know how many great agriculture business opportunities are out there. But there’s a narrower, and potentially more lucrative, niche for entrepreneurs to consider — organic agriculture. Here are some organic agriculture business ideas for you to consider.

Why You Should Start an Organic Agriculture Business

The organic agricultural movement isn’t just a fleeting trend; it’s a testament to a more conscious and sustainable approach to farming that holds immense promise for the future.

As our global community continues to prioritize health, sustainability, and environmental responsibility, diving into the organic agriculture sector can be both a profitable and noble venture.

Below are compelling reasons to consider starting your own organic agriculture business.

• Consumer Demand is on the Rise : With increasing awareness about the benefits of organic foods, more consumers are turning towards organic products. This growing demand presents a lucrative market opportunity for new entrants in the organic farming sector.
• Environmental Benefits : Organic farming practices aim to maintain soil health, conserve water, and reduce pollution by foregoing chemical pesticides and fertilizers. By starting an organic agriculture business, you actively contribute to a healthier planet.
• Higher Profit Margins : Often, organic produce fetches a higher market price than conventionally grown items due to its perceived health benefits and quality. This can lead to greater profitability, especially as consumers are often willing to pay a premium for organic products.
• Builds Soil Health and Biodiversity : Organic farming practices enrich the soil with essential nutrients, fostering a healthier ecosystem. Over time, this enhances soil fertility, making it more productive and less reliant on artificial interventions. Additionally, it supports a diverse range of flora and fauna, promoting a balanced ecosystem.
• Aligns with Ethical and Health-Conscious Values : For many, organic farming isn’t just a business – it’s a way of life. If you’re passionate about promoting a healthier lifestyle and making a positive impact on the environment, then an organic agriculture business perfectly aligns with these values.

Our Methodology for Selecting Organic Agriculture Business Ideas that Can Benefit Small Business Owners

When it comes to choosing the right organic agriculture business idea, there are several key criteria to consider. We’ll rate these criteria on a scale of 1 to 5, with 5 being the highest importance and 1 being the lowest:

• Sustainability and Eco-friendliness (Rating: 5) : Prioritize sustainability and eco-friendly practices in your organic agriculture business, as they align with the core values of organic farming.
• Market Demand (Rating: 5) : Assess the demand for organic products in your chosen niche or industry. Strong demand is crucial for a successful organic agriculture business.
• Organic Certification (Rating: 4) : Determine the requirements and process for obtaining organic certification, as it enhances the credibility of your products.
• Soil Health and Quality (Rating: 4) : Evaluate the health and quality of the soil in your chosen location, as it is fundamental to organic farming success.
• Crop Selection (Rating: 4) : Carefully select the crops or products you intend to cultivate, considering factors like climate suitability and market demand.
• Budget and Investment (Rating: 3) : Determine the budget required to start and run your organic agriculture business, including costs for organic inputs and equipment.
• Market Research (Rating: 3) : Conduct thorough market research to understand the preferences and buying behavior of consumers in the organic market.
• Pest and Disease Management (Rating: 3) : Plan for effective pest and disease management strategies that comply with organic farming principles.
• Local and Sustainable Distribution (Rating: 2) : Consider local and sustainable distribution channels to reduce environmental impact and support the community.
• Marketing and Branding (Rating: 2) : Develop effective marketing strategies and branding that resonate with consumers seeking organic products, emphasizing transparency and quality.

Organic Agriculture Business Ideas

And that means there are still plenty of opportunities for U.S. agriculture businesses to profit from the organic agriculture market. If you’re interested in getting involved with this growing niche industry, here are some organic agriculture business ideas to consider.

Organic Produce Farm

One of the most popular ways you can get into the organic agriculture business is to grow organic produce. This is similar to regular produce farming, just without the chemical pesticides and fertilizers used by conventional farms.

Organic Dairy Farm

Similarly, you can start a dairy farm where you use natural processes and organic feed for the cows.

Organic Livestock Farm

Or you could start a livestock farm where you also use natural materials and processes to raise your livestock.

Organic Fish Farm

There’s some debate about how organic farmed fish can really be. But you can stay away from pesticides and follow the guidelines from the USDA for organic seafood.

Organic Grocery Wholesaler

Whether you grow one type of organic food item or have a whole farm, one option for selling those items is to be a wholesaler for large chains like Whole Foods or Walmart.

Organic Market

You could also open up your own organic food market where you sell organic items directly to consumers.

Niche Organic Store

Another retail type option would be to open up a small shop that focuses on a specific niche like an organic tea and coffee shop or a health food store that sells Mediterranean inspired options.

Roadside Farm Stand

If you have a small farm, you could also sell your products directly to consumers with a roadside farm stand that you can set up during busy seasons.

Farmers Market Vending

There are also plenty of farmers markets around the country that you can rent space from to sell your organic foods.

Organic Farmers Market

Or you could actually organize your very own farmers market and just work with organic farmers.

Organic Feed for Livestock

Since organic livestock farmers need to use organic animal feed, there’s another opportunity for agriculture business to provide that product to farming customers.

Herb Growing

If you have a smaller space to work with, you can also grow herbs to package for sale to consumers or retail outlets.

Organic Bath and Body Products

You can also grow various plants like lavender and aloe to use in bath and body products that you can then sell.

Organic Canning

If you grow fruits or vegetables organically, you could create jams, salsas or other products that you can package in cans or jars to sell online or in stores.

Organic Baby Food Sales

You can also use organic produce and turn it into packaged baby food to sell to health conscious parents.

Organic Dog Food Sales

It’s also possible to use some organic food items to make dog or cat food or treats to sell in specialty pet stores or even online.

Supplement Production

You could also grow certain plants like turmeric or beets that you can turn into organic supplements to package for sale.

Organic Plant-Based Dyes

Some plants like indigo, madder, or marigold can be used to make organic dyes. You can grow these plants and produce dyes for textiles, arts, and crafts.

Organic Mushroom Farming

Mushrooms have seen a rise in demand, both for culinary and medicinal uses. Cultivate organic mushrooms like shiitake, oyster, or reishi and offer them to restaurants, health stores, or directly to consumers.

Organic Agro-Tourism

Turn your organic farm into an experience. Offer tours, workshops, or farm stays for those interested in learning about organic farming practices or just wanting to connect with nature.

Organic Pest Control Solutions

With a focus on avoiding chemicals, there’s a need for organic pest control solutions. You can produce natural repellents or predators like ladybugs or nematodes and offer them to organic farmers or gardeners.

Organic Tea or Coffee Plantation You can grow organic tea leaves or coffee beans and offer them as premium products to consumers. With a growing demand for clean and sustainable produce, organic teas and coffees have a sizable market.

Organic Microgreens Farming

Microgreens like arugula, radish, or sunflower shoots are packed with nutrition and have a concentrated flavor. They can be grown indoors or in small spaces, making them perfect for urban settings. Sell them to health-conscious consumers, restaurants, or health food stores.

Natural Cleaning Products

You can even use some organic items like lemon juice or olive oil to create natural cleaning products that appeal to health and eco-conscious families.

Organic Restaurant Wholesaler

For businesses that want to sell organic foods on a wholesale basis, you could actually sell right to restaurants rather than retail stores.

Farm to Table Restaurant

Another option would be for you to grow food on a rooftop or nearby farm and then use those organic items in a farm to table restaurant menu.

Organic Juice Bar

You can also use a variety of organic produce in juices and smoothies that you can sell at a specialty juice bar.

Organic Gardening Service

If you’re looking to start a service business, you could offer gardening services to people who want to grow their own vegetables or other plants without the use of unnatural materials.

Organic Compost Sales

You can also collect materials for composting and then sell organic compost to farmers or gardeners that want to only use natural materials.

Urban Rooftop Garden

You no longer need tons of space to start a farm or grow food items. You could start an urban garden on a rooftop or in a small lot and then sell those items to visitors or nearby businesses.

Organic Farm Consultant

Or if you have lots of organic farming expertise, you can start a business as a consultant where you help other agriculture businesses looking to go organic.

Organic Seed Supplier

If you have knowledge and resources in seed cultivation, you can produce and supply organic seeds to farmers and gardeners. These seeds are non-GMO and haven’t been treated with synthetic pesticides or chemicals.

Organic Herb-infused Oils

You can grow a variety of herbs and use them to produce organic herb-infused oils, which can be used in cooking or as aromatic products. Think of rosemary-infused olive oil or basil-infused grapeseed oil.

Organic Edible Flower Farm

With a surge in culinary creativity, edible flowers are becoming more popular in gourmet dishes. You can grow a variety of organic edible flowers like pansies, calendula, or nasturtium and sell them to restaurants or at farmers markets.

Organic Beekeeping

Venture into beekeeping using organic practices. You can sell the honey as a premium product and also use beeswax for candles or skincare products.

Types of Organic Agriculture Business Ideas

Related reading: 51 Business Ideas for 2020

Photo via Shutterstock

It is about finding that business concept that is unique and will stand out. And agricultural businesses will always be in. The only difference is that there should be some advancements in technology.

I will like to start organic farming business. I have a small agric company which is registered and have partnership deeds but we are all youths. So no support.

Very helpful for everyone who wants to start a new small business related to organic products. Thank you for sharing this list of agriculture business to all.

this article is very helpful for me because I want to start this business

thanks a lot

hi looking for a suggestion of what kind of organic farming is beneficial for us ( new entrepreneur who don’t have an idea of farming).with a small limited area of land.

ThankYou so much. This article really help so much. Helpful material, thankyiu ..

Yes you are right. But i think organic food delivery is really hot selling in these days. I’ve read the article on this website about organic food https://dinnerrestaurantsnearme.com/why-is-organic-food-delivery-a-hot-selling-business-these-days/ . and really i changed my mind.

You can also order and see the list of best restaurants near you :p Thank me later 😀

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• Best Products

How To Start An Organic Farming Business – Complete Guide

• February 23, 2024
• by Next What Business Research Team

Organic farming has grown in popularity in recent years as people become more concerned with their health and the environment. With rising demand for organic goods, establishing an organic farming business in India might be a profitable investment. This detailed guide will coach you through the necessary procedures for establishing and operating a profitable organic farming business in India.

Organic farming was normally done on small, family-run farms. However since the demand for organically grown food products is now increasing, more and more people in India are investing in land for organic farming.

Organic farming is friendlier to the environment and is more sustainable compared to newer farming techniques. So, not only you can make huge profits from organic farming, but it also helps to protect the environment and the planet as a whole.

With the increase in awareness of the multiple health risks of foods grown with chemicals, more and more people are turning away from food products grown with fertilizers and other chemicals toward organically grown food.

What is Organic Farming?

Organic farming is an agricultural method that focuses on cultivating crops and raising livestock in a manner that emphasizes environmental sustainability, biodiversity, and the use of natural inputs. It aims to produce food in harmony with nature, avoiding synthetic chemicals, pesticides, genetically modified organisms (GMOs), and artificial additives.

Read:   How to Start an Organic Food Store Business

Some of the important practices of organic farming are listed below:

⇒ Natural Inputs

Organic farmers rely on natural sources of nutrients and inputs, such as compost, animal manure, crop rotation, green manure, and beneficial insects, to nourish the soil and plants.

⇒ Soil Health

Soil health is prioritized through practices like crop rotation, cover cropping, and minimal tillage to improve soil structure, fertility, and microbial activity.

⇒ Pest and Disease Management

Organic farmers employ methods such as companion planting, biological pest control, trap cropping, and natural predators to manage pests and diseases without the use of synthetic pesticides.

⇒ Biodiversity

Organic farming encourages biodiversity by preserving native plants, supporting natural habitats for wildlife, and maintaining diverse crop varieties to enhance ecosystem resilience and reduce dependence on chemical inputs.

⇒ Animal Welfare

In organic livestock farming, animals are raised in conditions that prioritize their well-being, including access to outdoor grazing, organic feed, clean water, and humane treatment.

⇒ Certification

Organic farming practices are regulated and certified by authorized agencies to ensure compliance with organic standards and regulations. Organic certification verifies that the farm follows established organic principles and guidelines.

11 Steps to Start an Organic Farming Business 

1. learn more about the organic farming business.

Your first step toward starting an organic farm is to find out more about the business to have a better understanding of how things work. Running a small farm in your yard is different from running a bigger organic farm. So, you need to understand the extra input required to farm organically on a commercial scale.

A good way to start is to contact the owner or manager of an established organic farm. Tell them about your intent to start your own organic farm and greenhouse business. Then ask important questions about the business, starting from questions on how to get started to those on how to manage the business successfully after launch.

Learning more about the business will help you understand and avoid the pitfalls and challenges you are likely to encounter as you start your own organic farm business.

2. Determine the Type of Crops to Grow

Chances are that you don’t have enough land to grow a wide range of crops. Even if you do, you still need to specify the type of crops you will grow on your farm. These could be flowers, vegetables, food crops, herbs, or other plants.

Don’t just choose any crop or produce out of personal preference. Conduct market research to learn what produce is popular in your area. That is, figure out what farm produce sells well. You don’t want to invest your time, energy, and effort into growing produce that nobody in your locality wants to buy.

Find out what other farmers in your locality are growing on their farms. This will give you an idea of what consumers in your locality are buying. Defining which specific farm produce you will grow will also help you better prepare your land for it.

3. Conduct Market Research

Before diving into organic farming, conduct thorough market research to understand the demand for organic products in your target market. Identify potential customers, distribution channels, and competitors in the organic farming sector.

4. Develop a Business Plan

A business plan may not necessarily guarantee the success of your organic farm and greenhouse business, but it will significantly boost its chances of success. Your business plan will serve as a step-by-step guide to setting up your business successfully and running it effectively afterwards. It will also help you understand if there’s a market in your locality for organic food products.

You need to outline your business goals, target market, production techniques, marketing strategies, and financial projections in a well-defined business plan. A comprehensive business plan will serve as a roadmap for your organic farming venture and help secure funding from investors or financial institutions.

5. Choose the Right Location

Select a suitable location for your organic farm based on factors such as soil quality, climate, water availability, and proximity to markets. Ensure that the land is free from chemical contamination and has sufficient access to sunlight and water sources.

6. Obtain Necessary Licenses and Permits

Acquire the required licenses and permits for organic farming from relevant government authorities. These may include organic certification from accredited agencies, agricultural land lease or ownership documents, and permits for water usage and land development.

7. Arrange Funds

Securing adequate funding is crucial for launching and sustaining your organic farming business. Consider the following options to arrange funds for your venture:

• Bank Loans: Approach banks and financial institutions for agricultural loans or credit facilities specifically designed for organic farming initiatives. Provide a detailed business plan and collateral to secure the loan.
• Government Schemes: Explore government-sponsored schemes and organic farm subsidies available for organic farming in India. Many state and central government programs offer financial assistance, subsidies on organic inputs, and grants for organic certification.
• Investors and Partnerships: Seek investment from private investors, venture capitalists, or angel investors interested in sustainable agriculture and organic food production. Consider forming partnerships with like-minded individuals or organizations to share resources and expertise.
• Crowdfunding: Launch a crowdfunding campaign on online platforms to raise funds from individuals passionate about organic farming and sustainable agriculture. Offer rewards or incentives to attract donors to your cause.

Read :  Organic Farming Subsidy For Indian Entrepreneurs

8. Get Organic Certifications

Obtain organic certification for your farm from recognized certification bodies such as the National Programme for Organic Production (NPOP) or Participatory Guarantee System (PGS). Organic certification assures customers that your products meet stringent organic standards and command premium prices in the market.

9. Marketing and Distribution

Develop a marketing strategy to promote your organic products through various channels such as farmer’s markets, organic food stores, online platforms, and direct sales to consumers. Highlight the health and environmental benefits of organic farming to attract conscious consumers.

10. Build Partnerships

Collaborate with local organic farming associations, cooperatives, and retailers to expand your market reach and access to distribution networks. Establish partnerships with restaurants, cafes, and health food stores to supply organic produce directly to consumers.

11. Financial Management

Maintain meticulous records of your organic farming operations, including expenses, revenues, and yields. Monitor your financial performance regularly and identify areas for cost optimization and revenue enhancement. Explore government subsidies and financial assistance schemes available for organic farming initiatives in India.

Frequently Asked Questions

What is the cost of starting an organic farming business.

The investment will depend on the level of equipment and automation you employ on the farm. However, you should be prepared with an investment in the range of 1 Lac to 3 Lac Rupees per acre of organic farming land. In addition, there will be the cost of distribution and marketing of the produce.

Is organic farming profitable in India?

Organic farming can be profitable in India, especially with increasing consumer awareness and demand for organic products. However, profitability depends on factors such as crop selection, market demand, input costs, yield potential, and effective marketing strategies.

Why should I start an organic farming business?

Starting an organic farming business allows you to produce food in harmony with nature, promote environmental sustainability, provide healthier food options, contribute to biodiversity conservation, and meet the growing demand for organic products.

What types of crops can I grow in organic farming?

You can grow a wide range of crops organically, including fruits, vegetables, grains, pulses, herbs, spices, and medicinal plants. The choice of crops depends on factors such as soil type, climate, market demand, and your preferences.

Do I need special training or certification to start an organic farming business?

While formal training in organic farming practices is beneficial, it’s not mandatory. However, obtaining organic certification from authorized agencies is essential if you plan to sell your products as certified organic. Certification ensures compliance with organic standards and regulations.

How do I arrange funds to start an organic farming business?

You can explore various funding options such as personal savings, loans from banks or financial institutions, government schemes and subsidies for organic farming, grants from agricultural organizations, crowdfunding, and partnerships with investors or stakeholders.

What are the challenges of organic farming in India?

Challenges of organic farming in India include limited access to organic inputs and resources, pest and disease management without synthetic pesticides, higher labour requirements for weed control and soil management, marketing and distribution challenges, and certification costs.

How do I market organic products from my farm?

You can market your organic products through various channels such as local farmers’ markets, organic food stores, online platforms, community-supported agriculture (CSA) programs, direct sales to restaurants and retailers, and participation in organic trade fairs and exhibitions. Developing a strong brand identity and communicating your farm’s organic practices can also help attract customers.

Are there government schemes or subsidies available for organic farming in India?

Yes, the Indian government offers several schemes and subsidies to promote organic farming, including financial assistance for organic certification, organic farming training programs, subsidies on organic inputs, infrastructure development, and marketing support through organic farming clusters and cooperatives.

• Organic Farm Business Plan

Article Index:

2.0 Company Description

3.0 products, 4.0 market analysis, 5.0 marketing strategy and implementation, 6.0 organization and management, 7.0 financial plan, 1.0 executive summary.

Once the humble family vegetable garden, Franks Organic Farm is today a one acre working farm with over 30 varieties of vegetables. When Frank Burns was laid off from his corporate position three years ago, he first he turned to the vegetable garden for money saving / economic reasons. But with the uncertainty of recent events in the Middle East, the energy crisis, the long term effects of reliance on fossil fuels, and his personal philosophies on conservation, Frank Burns and his wife Kathy, turned this family vegetable patch into a thriving certified organic produce business.

Franks Organic Farm is based on the sound principles of conserving natural resources, limiting the carbon footprint, growing, hiring and eating locally grown and prepared foods, and making the world a better place to live in. This unique perspective clearly shows in the quality of the produce, the well cared for gardens, and natural friendliness and ease of its owners.

Franks Organic Farm was created to meet the growing needs of a community that shares these same views and is concerned about what they eat and feed their children. This is a community that is tired of ‘fresh’ tomatoes bought at the local grocery store. When more than likely the “fresh” tomatoes were picked while still unripe, shipped 3,000 miles over several days/weeks, and then artificially “ripened” using ethylene gas, thus robbing it of practically all of its nutritional value.

Franks Organic Farm is a Community Supported Agriculture (“CSA”) Business entity. CSA is both a marketing strategy and a philosophy. The farmers sell shares (subscriptions) in the next season’s produce, usually before the season begins. Each week of the season, the member receives a ‘share’ of produce from the farm. In some cases the members are involved in decision-making of all aspects of the operation; in others the farmer makes all the decisions. Each CSA is as unique to the farmer and the community it serves. Members may pick up their boxes at the farm, at delivery sites, or home delivery may be offered.

The purpose of this business plan is to provide a blueprint for near term and long term goals. The business plan will be utilized as a tool to gauge how well the farm is doing in the future compared to their initial goals and keep them on target. The business plan is also a tool for lenders, explaining the need for initial financing, the source and use of funds, and debt repayment capabilities.

1.1 Business Objectives

Franks Organic Farm has simple objectives: provide healthy and delicious tasting vegetables while simultaneously leaving a minimal carbon footprint. In order to accomplish this, the farm plans to:

• Sell 60 shares by Year 2 and have full-time income or 90 shares sold by Year 3.
• In Year 4, Franks Organic Farm plans to purchase an additional 9 acres for a total of 12 acres. The initial 3 years of operations will provide the excellent credit history and track record necessary for this large purchase.

1.2 Mission Statement

Franks Organic Farm’s mission is to raise the best tasting and finest quality fruits and vegetables for the local community. Franks Organic Farm uses only natural and sustainable farming methods, free from pesticides or fertilizers. Natural foods and natural farming methods leaves a smaller carbon footprint while simultaneously improves the health of its customers and its local community.

1.3 Guiding Principles

Franks Organic Farm’s slogan is simple: “Live life simply and simply live”. The owners also believe in contributing to their community and the planet by:

1. Local Franks Organic Farm believes that in order for the survival of the planet, we must rely on local resources. Buying from local farmers supports the local economy.

2. Sustainable Living By reducing reliance on energy is better for the planet and conserves our natural resources.

3. Satisfied Customers Happy members ensure repeat business and their referrals grow the business.

1.4 Keys to Success

Below are a Franks Organic Farm’s Keys to Success:

• Superlative Communication  – Franks Organic Farm keeps its members current on all aspects of the farm – through its weekly newsletters and blog updates on what is happening during the winter months such as new and exciting vegetable offerings being planted in the greenhouse. Additionally, Franks Organic Farm encourages member feedback and input and has its members complete surveys and questionnaires regarding how the farm is doing and what can be done to improve operations.
• Healthier Food Choices  – All vegetables are USDA certified organic. The vegetables are pesticide free and chemical free and no preservatives are used.
• Support the Local Economy – Statistically more than 70 percent of the local food supply is grown outside the state. Buying from Franks Organic Farm ensures that its members buy locally and creates jobs that support the local market.
• Offer Personalized Selections  – Franks Organic Farm strives to be the leading CSA farm supplier of choice by providing customized offerings to its members. If, say a member wants a cucuzzi fruit – Franks Organic Farm will grow this item if the soil and temperatures can accommodate this item. By providing foods the customers want (and will actually eat) cuts down on waste and makes the planet a better place for everyone.
• Home Delivery  – Franks Organic Farm will establish weekly delivery times that are convenient for its customers. This saves customers time and gas money – making everyone happy. Alternatively customers will also have the option to pick up directly at the farm.

Frank and Kathy Burns run, manage, and operate Franks Organic Farm. The company initially sold farm to market then quickly began supporting local restaurants with surplus (waste) sold at the local farmers market. Frank and Kathy are operating the business as a CSA, a business for the first time this year.

The Burns selected the CSA model, in which both the farmer and the members have a mutual interest in the crop. And because the shares are essentially presold prior to planting, the ‘waste’ factor (or excess crops risk) are eliminated. Based on their success at the farmer’s market and local restaurants, the Burns have already sold 100 percent of their 30 shares.

Franks Organic Farm is located on one of three acres located at the Burns’ primary residence in Plymouth, Wisconsin. During the off season, the owners of Franks Organic Farm will actively target and market new members, engage in public speaking events, and complete their forthcoming E Books.

2.1 Ownership

Franks Organic Farm is a C-Corporation formed in the State of Wisconsin and is wholly owned by Frank and Kathy Burns.

Frank Burns, a former Human Resources Director at Sargento Cheese, was recently downsized. Not desiring to re-enter corporate America, and concerned about the environment, global issues and the state of the economy, Frank began expanding his family garden. What began as a way for the family to save some money and reduce the carbon foot print, today has grown from its small ¼ acre plot to over 1+ acre with plans for expansion to 12+ acres. A shrewd businessman and well known in the community, Frank initially approached colleagues and friends in the local restaurant community. These connections marked the beginning of business for the startup farm and as word of mouth spread, Franks Organic Farm attracted ten other additional restaurants. All surplus was sold at the local farmer’s market.

Kathy Burns is an elementary school teacher for the Sheboygan Area School District. A graduate of Marquette University in Milwaukee, Kathy has been teaching fifth grade Science for over ten years. Raised on a family dairy farm, Kathy’s family also had a small fruit and vegetable farm and she loved helping the family grow and harvest the crop. Mrs. Burn’s summer schedule is flexible and helps the family maintain the garden during the busy summer growth season.

2.2 Legal Form

Franks Organic Farm is C-Corporation formed in the State of Wisconsin. The entity is wholly owned by Frank and Kathy Burns.

2.3 Start-Up Summary

The Burns have been managing the family farm successfully for the last fifteen years. Recently the owners installed a greenhouse with warming lights for early starts. They also invested in a pickup truck (2005 Ford F150) for delivering vegetables to the members. Most recently they purchased a tractor and borrowed their neighbor’s attachments as needed for harvest.

Last year, Franks Organic Farm passed the stringent requirements needed to qualify as certified organic as deemed by the USDA. This allows them to market all produce as organic and can also bring higher margins when surplus produce is sold outside the CSA or to restaurants or market stands. The Burns realized that although consumers may not understand all the requirements associated with the organic label (such as pesticide control and fertilizers), the consumer is comfortable with the label. This, is one of the keys, they believe which will set Franks Organic Farm apart from its peers.

All pre-harvest and harvest supplies have been paid for out-of-pocket. The owners have already spent in excess of $40,000 to start their farm business.

When the owners announced they were becoming a CSA, the news traveled fast and demand for their products was so great that they have already presold 100 percent of their shares for the upcoming growing season. In order to meet these demands and meet the opportunity for growth, the owners are seeking an operating loan from the USDA’s Farm Service Agency, Insurance Company or private investor.

The credit facility will be used to meet operating and cash flow needs for the pre harvest and harvest season. The $14,500 credit facility will be secured by a first lien position on the 3 acre plot of land, all buildings and improvements (a greenhouse). The land is valued at $30,000 and is currently owned free and clear by the Burns. The land is adjacent to the Burn’s primary residence.

2.4 Location and Facilities

Franks Organic Farm is located in Plymouth, Wisconsin, located in Sheboygan County Wisconsin. Sheboygan County is located in east-central Wisconsin. Sheboygan County is a one-hour drive to Milwaukee and Green Bay, and less than a 3 hour trip Chicago. Interstate 43 and State Highways 23 and 57 make are the main highways.

Sheboygan County’s population is 117,566. It has grown 4.4 percent between 2000 and 2009. The County is expected to continue to grow by a similar rate until 2015 when it reaches a population of 123,209. Major employers include: Kohler Company, Bemis Manufacturing, Aurora Health Care, Johnsonville Sausage, Rockline Industries, and Sargento Foods. The City of Plymouth is located in west-central Sheboygan County along State Highways 23, 57, and 67. It is the second largest municipality in Sheboygan County and one of the fastest growing in the County. (Sheboygan County Economic Development Corporation).

3.1 Products/Services Descriptions

Franks Organic Farm’s growing season will start in early May and end in October with the goal of 20 weeks. Shares will be comprised approximately 10-15 different crops every 8 weeks of in-season produce. Here is an example of types of produce throughout the season:

Spring: Beets, Broccoli, Cabbage, Carrots, Garlic, Green Onions, Kale, Lettuce (several varieties), Radishes, Peas, Spinach.

Summer: Beans, Carrots, Cucumbers, Eggplant, Green Onions, Leeks, Melons, Onions, Sweet Peppers, Summer Squash, Tomatoes, Zucchini.

Fall: Beans, Beets, Broccoli, Cauliflower, Cucumbers, Chard, Lettuce (several varieties), Potatoes, Red Onions, Spinach, Winter Squash.

All share sales are sold in advance.

A Full Share will provide a family of four vegetables for a week. (estimate). Likewise, a Half Share provides a week of vegetables for two people. Full Shares are $750 and Half Shares are $375 for the season. (The owners are currently only considering the sale of Full Shares at this time).

The Burns will utilize a detailed planting schedule which historically has helped immensely especially in the hectic summer planting season. The detailed guide begins with the plantings that tolerate the coldest spring and these are started in their greenhouse. Summer crops will be shaded with cloths if necessary (like spinach for instance). The farmers will plant many tomatoes (which are very popular) and only some eggplant which is less popular. Other considerations that are detailed in the planting calendar will be the amount of produce that is needed. One way to plant more is to plant smaller amounts more often. Examples include broccoli, carrots, scallions, and summer squash. The Burns have learned that planting these items two or three times during the growing season yields more crop and the surplus can readily be sold at the farmers market. Picking peas is difficult at harvest time, so the Burns always plan to plant surplus to make harvest time worthwhile. It is expected that any surplus can be sold at the farmers market.

3.2 Competitive Comparison

Plymouth, Wisconsin, reports six CSA entities, of which three represent direct competition for the subject.

3.3 Product/Service Sourcing

All produce will be grown on Franks Organic Farm. Frank and Kathy Burns will both actively work and manage the farm.

Distribution At Franks Organic Farm, members have the option for home delivery or to travel to the farm on the scheduled pickup day.

The home delivery choice is what most members prefer and allows the Burns to deliver the farm fresh produce directly. This distribution method has the least carbon footprint, with one driver and one truck. It is obviously the most intensive for the Burns and with busy summer season, this can be too time consuming for them. Items are delivered in reusable boxes. This distribution method represents any easy way to deal with any shortfalls in produce the Burns will simply ‘mix and match’ items for the members.

Alternatively, the members have the option to pick up the produce directly at the farm. The Burns enjoy this option especially during the busy season, because it frees up some of their time. This option requires that the driveway be easily accessible to the members and that the farm appears in good condition at all times. This onsite setup allows members to view firsthand what is growing, the condition of the plants and soil. The members will also be aware of any draught issues for example, and what remediation efforts the farmers are taking to care for the crops. On pickup day, the Burns have setup a stand and a ‘buffet-style’ layout in which members can pick and choose up to a specific limit of produce for that week. This option creates a ‘festive’ environment on the farm in which members can interact with each other, the farmers, and exchange recipes. If any shortfalls exist, this mix and match buffet style provides the solution. Just like home delivery, members are given a one box to fill and refill weekly with their selections for the duration of the growing season.

3.4 Inventory Management

N/A. The CSA farm concept is all about freshness. The produce is delivered immediately from the farm to the (member’s) table.

3.5 Warehousing and Fulfillment

3.6 future products/services.

• The owners of the farm have plans to introduce honey bees the following season and offer honey as another organic product.
• On occasion, Franks Organic Farm partners with its neighboring dairy farm and an organic bakery in town. From time to time members will find fresh cheeses and organic breads in their weekly selection boxes. Franks Organic Farm owners are currently considering joining forces with a local orchard company as well. The orchard will supply apple butter and jams.
• Within one year, Franks Organic Farm plans to utilize an additional acre and add 30 more families to their growing share program. They plan to add 30 more families (shares) by Year Three.
• Franks Organic Farm has long term plans to purchase an additional 9 acres or a total of 360 shares. To support the farm, they will hire apprentice farmers, part-time delivery drivers and a bookkeeper. The Burns would then be able to focus their efforts on crop research, marketing trends and their members. Part of the focus of organic growing is returning back to the community. All employees will earn fair wages for work performed.
• Other future plans include accessing the internet to increase awareness and the importance of local and community farming. Kathy Burns is compiling a recipe E-book which will supplement cash flow during non-productive months. In his spare time, Frank Burns is also compiling an E-Book to sell on Franks Organic Farm website. The book will focus on modern organic farming techniques for the novice farmer. A second book is forthcoming dealing with environmental concerns and social responsibility.
• Additionally, Franks Organic Farm will publish a weekly newsletter to be included in the member’s box as well as the website. The newsletter will identify what is in the weekly box, what is happening on the farm and recipes. The newsletter will educate members to seasonal eating and sustainable principles.
• Franks Organic Farm has future plans for constructing a vegetable processing area with electricity and water. The facility will have a walk in cooler, a washing and grading area, stainless steel tables and two scales. Additional capital expenditures will be for the purchase of a newer (used) pickup truck and attachments for their tractor. (Currently they borrow their neighbor’s).

Sheboygan County’s cost of living is lower than the national average and housing costs are much lower than the national average. At the same time, Sheboygan County personal income is greater than the national average. In other words, this community not only has a high demand for organic items, but it can afford them as well.

4.1 Industry Analysis

This analysis is based on the North American Industry Classification System (“NAICS”) 111998: Agriculture – All Other Miscellaneous Crop Farming. The US crop production industry includes about 1 million farms with combined annual revenue of about $205 billion. Major companies include Dole Food Company, Chiquita Brands International, and Sunkist Growers. Crop farming is the growing and harvesting of field crops such as grain, oilseeds, tobacco, dry beans, potatoes, vegetables and melons, fruits and nuts, and floriculture.

Global crop production revenue exceeds $1 trillion. The US and China are among the top crop producers. Large companies outside the US include Fresh Del Monte Produce (headquartered in Cayman Islands); Total Produce (Ireland); and Amaggi Exportação e Importação (Brazil).

Demand is driven by federal agricultural policy programs, food consumption trends, and the grain and oilseed export market. The profitability of individual companies depends on maximizing crop yield and minimizing disease risk. Large companies have advantages in highly automated technologies and access to the latest in seed and crop technologies. Small operations can compete effectively by harvesting heirloom, non-genetically modified (GM), or specialty products. The industry is capital-intensive: average annual revenue per employee is about $390,000. (First Research)

The CSA makes the following generalizations/guidelines regarding its industry:

• New entrants should practice farming 2 years prior to making a commitment to the challenge of CSA farming
• In general, 20-30 shares per acre is possible
• 30 shares per farmer or laborer is possible
• To earn full time income 80-100 shares may be necessary
• The share price ranges from $300-$800 per share annually ($15-$40 per share weekly) (CSA – Michigan 2012)

4.1.1 Market Size

The US crop production industry includes about 1 million farms with combined annual revenue of about $205 billion. (First Research)

Although the USDA does not have official statistics on U.S. organic retail sales, information is available from industry sources. U.S. sales of organic products were $21.1 billion in 2008–over 3 percent of total food sales and were expected to reach $23.0 billion in 2009. (Nutrition Business Journal)

4.1.2 Industry Participants

Major participants include Dole Food Company, Chiquita Brands International, and Sunkist Growers. (First Research)

4.1.3 Main Competitors

Plymouth, Wisconsin reports six CSA entities, of which three represent direct competition for the subject.

Backyard Bounty W4873 County Hwy U Plymouth, WI 53073 http://ljcomerford.wordpress.com/

This is a 22 acre family owned farm and has been operating as a CSA for several years. In addition to its offerings of organic fruits and vegetables this farm also sells organic poultry and eggs. The farm had mixed reviews by its members.

Eilert’s Acres N5575 County Road ZZ Plymouth, WI 53073 http://www.eilertsacres.com/

Owned by Edward and Kay Eilert, this farm began business as a CSA in 2011. The farm provides many of the same vegetables as the subject as well as providing farm to door delivery service.

Springdale Farms W7065 Silver Spring Lane Plymouth, WI 53073 http://www.springdalefarmcsa.org/

This CSA farm is the most established in the direct market and has been in existence 20+ years. Springdale Farm has various pick up sites in the greater Sheboygan MSA. Based on the farm’s website, members are not given the option to select specialty vegetables and instead members are encouraged to ‘trade-in’ any unwanted produce back to the community to share and thus avoid waste. This has not proven to be a deterrent for the farm’s following. For the most recent growing season, the farm has a waiting list.

The following are CSA businesses that compete indirectly with the subject:

Old Plank Farm W6028 County Road C Plymouth, WI 53073 http://www.oldplankfarm.com/

This entity only sells its goods at a local farm stand; it does not sell shares. In addition, this indirect competitor sells organic eggs at its farm stand. Based on its limited selection and differing offerings, this indirect competitor attracts individuals who are only seeking small, specialty quantities of produce, but do not want to commit to purchasing shares for a full season.

Log Cabin Orchard N4797 County Rd E Plymouth, WI 53073 www.logcabinorchard.com

This indirect competitor is a fruit orchard selling apples, pears, plums, honey, apple and maple syrup, fresh apple cider and apple butter. In the fall, this CSA generally offers U-Pick apples options. Due its differing selection of products, this entity is not a direct competitor.

Red Twig Farm http://redtwigfarm.wordpress.com/

This entity only sells to Goodside Co-op and Trust Local Foods; because this CSA farm differs in its target client, it is does not represent a direct competitor for the subject.

4.1.4 Market Segments

2008, Sheboygan County’s median household in-come was $51,681 and the mean household income was estimated to be $61,889.

Nearly 72 percent of Sheboygan County’s housing units are owner-occupied. The median housing value in Sheboygan County is estimated to be $149,700, which is $43,000 less than the United States estimated median home value. At the same time, Sheboygan County income is higher than the national average, which is the reason for high home ownership rates.

Franks Organic Farm is targeting the households with incomes above $50,000. The target market represents approximately 51.5 percent of the total population, which should easily absorb Franks Organic Farm’s entrance.

Sheboygan County’s population is 117,566. It grew 4.4 percent between 2000 and 2009. The County is expected to continue to grow by a similar rate until 2015 when it reaches a population of 123,209.

4.2 Market Tests

While selling produce to local restaurants, Mr. Burns realized that the CSA option could potentially come to fruition. Historically the restaurant patrons always asked the source of the beautiful and delicate lettuces and quality tomatoes. Realizing the popularity of his produce, Mr. Burns, while continuing on a quest for global carbon footprint reduction, began researching the possibility of beginning a CSA effort. With the help of his restaurant partners, Mr. Burns posted fliers and brochures in their lobbies. By the end of the summer, Franks Organic Farm had presold 100 percent of the shares for the upcoming growing season.

4.3 Target Market Segment Strategy

Franks Organic Farm is targeting households with earnings in excess of $50,000 in the greater Sheboygan County. Approximately 51 percent of the population resides in this category. Other farmers have missed this target by focusing on traditional farming methods while Franks Organic Farm has obtained the Certified Organic stamp of approval. Additionally, Franks Organic Farm will focus its energies primarily on its members and provide services exceeding expectations by offering farm to door delivery service, providing supplemental local organic products and by providing a festive like atmosphere at the farm – especially on harvest day and other special occasions.

The following chart depicts the target market:

4.3.1 Market Needs

According to a USDA survey of market managers (Organic Produce, Price Premiums, and Eco-Labeling in U.S. Farmers’ Markets, April 2004) found that demand for organic products was strong or moderate in most of the farmers’ markets surveyed around the country, and that the managers felt more organic farmers were needed to meet consumer demand in many states. (USDA updated 06/19/12)

As demonstrated on the national map Sheboygan County represents a strong demand for organic produce.

“Organically” grown’ is the key. The term “organic” is now legally defined and can only be used to describe produce that is grown in accordance with the USDA rules and is certified as such by an independent agency.

4.3.2 Market Trends

While consumers may not understand all the requirements associated with being certified organic, they are comfortable with the label. Which is why Franks Organic Farm sought the services of the independent certification agency and has earned the distinction to be labeled an organic farm. Comparatively their CSA counterparts that continue to operate by traditional farming methods, Franks Organic Farm holds itself to a higher standard, which in time, they believe will attract and keep new members.

4.3.3 Market Growth

U.S. sales of organic products were $21.1 billion in 2008 – over 3 percent of total food sales- and were expected to reach $23.0 billion in 2009 (Nutrition Business Journal).

4.4 Positioning

Franks Organic Farm is aware that its members are crucial to its survival and growth. The owners will make certain each member feels that Franks Organic Farm is indeed his/her farm! After all, they do own a portion of the farm! The Burns will encourage its members to stop by to see operations. In addition the owners will host an open house at harvest time to celebrate the season’s bounty.

To further ensure its members are satisfied and encourage retention, the owners will use surveys and questionnaires as tools to gauge member satisfaction. The surveys/questionnaires will allow members to express feedback and also represent additional opportunities to communicate with Franks Organic Farm.

Franks Organic Farm is targeting households with earnings in excess of $50,000 in the greater Sheboygan County. Other farmers have missed this target by focusing on traditional farming methods while Franks Organic Farm has obtained the Certified Organic stamp of approval. Additionally, Franks Organic Farm will focus its energies primarily on its members and provide services exceeding expectations by offering farm to door delivery service, providing supplemental local organic products and by providing a festive like atmosphere at the farm – especially on harvest day and other special occasions.

5.1 SWOT Analysis

SWOT stands for strengths, weaknesses, opportunities and threats. The following is the SWOT analysis for Franks Organic Farm.

5.1.1 Strengths

• Franks Organic Farm receives share proceeds prior to start of the season which helps to pay for seeds, supplies and inputs
• During the off-season the owners of Franks Organic Farm can market and recruit new members and complete their E Books
• Franks Organic Farm will establish long term relationships with its members lasting at least one season
• Members share in the financial risks of the farm
• Low capital requirements, relatively inexpensive startup business

5.1.2 Weaknesses

• As many as 30 or more different crops must be grown to provide diversity to members throughout the season
• Location-if the farm is not close to its customers, it becomes burdensome for the farmer to make deliveries
• Labor intensive – during the season, crops are continually being planted, harvested, cleaned, sorted and packed – leaving little extra time for the farmer
• Member retention is key – if the member is not happy the likelihood of returning next season or providing a good recommendation is not good.

5.1.3 Opportunities

• The greater Sheboygan County is a prime location for organic produce with an historically high demand.
• Because many farmers still utilize traditional farming methods (pesticide and herbicide applications) Franks Organic Farm stands out from the crowd with its Certified Organic stamp of approval

5.1.4 Threats

• New entrants to the market pose a threat. Partially mitigating this risk is the recommended 2-3 year trial farming period – which would give Franks Organic Farm the necessary ‘heads-up’ to go against (said) competitors.
• Weather, storms, pests – can damage or even destroy crops.
• The farm is economically tied, and in inflationary times, consumers could revert back to traditional methods of buying fruits and vegetables at the local grocery store.

5.2 Strategy Pyramid

Strategy Create awareness that Franks Organic Farm delivers a wide variety of quality wholesome and healthy vegetables on a consistent basis.

Tactics Create a specific, detailed planting guide, planting several times over the growing season.

Programs Post fliers and brochures at local restaurants, and locally owned and operated organic/natural item stores in town.

Strategy Create a community of awareness to think globally, act locally.

Tactics Constant communication with members will foster the awareness who in turn will relate these ideals to the local community.

Programs Host open house events at Franks Organic Farm for special events such as Harvest Time and Earth Day.

5.3 Unique Selling Proposition (USP)

Kathy and Frank Burns stand out from the competition: They are experienced operators and have demonstrated ability to grow large quantities of many different vegetables. They have demonstrated their ability to manage the crops, harvest, pack and deliver to their customers. They are doing business as a CSA. And unlike their conventional farming peers, Franks Organic Farm has met the stringent requirements to be designated Certified Organic.

5.4 Competitive Edge

CSA farming differs greatly from traditional farming due to the fact that members have ownership shares in the farm. Bearing this in mind, Franks Organic Farm will wholeheartedly focus on this vital aspect to retain members. The owners will constantly stay in touch with their members and encourage them to come and visit ‘their’ farm.

Unlike its traditional farm stand competitors, Franks Organic Farm will offer a variety of selections – up to 30 different types of produce during season. It should be noted that variety is a double edged sword: Many members will join a CSA because of the variety of offerings. It is important to have plenty of the basics like green beans, tomatoes and carrots. Conversely, too little a selection will be disappointing. To meet this balance, the Burns have created a questionnaire asking members what they prefer.

The Burns also provide weekly recipes and meal planning tips to coincide with the weekly boxes. Customers like the convenience of knowing how to prepare the items they are picking up from ‘their’ farm.

5.5 Marketing Strategy and Positioning

Franks Organic Farm will utilize product differentiation to stand apart from the competition. By growing wholesome organic produce, offering farm to door service, and actively engaging with its members, Franks Organic Farm will go above and beyond to maintain and grow its member base.

5.5.1 Positioning Statement

Franks Organic Farm will be the premier organic CSA in the greater Sheboygan County by offering at least 30 of the most delicious and mouth watering organic vegetables available in the local growing area and by providing exceptional relationships with its members, its community and the planet.

5.5.2 Pricing Strategy

Franks Organic Farm will utilize a fair price for a fair value. Some research suggests that the CSA farm is usually lower in price than organically grown food from local markets and is often less than foods from the supermarket. This could be a selling point for attracting new members, however, it also important to note this in not about cheap food.

5.5.3 Promotion and Advertising Strategy

The best strategy is word of mouth advertising. When people are happy with their shares they tell friends.

Franks Organic Farm will place brochures with other CSA businesses such as the local organic bakery and neighboring dairy farm.

Franks Organic Farm’s website will provide additional marketing information. In addition to its map and location, Franks Organic Farm will be listed with other CSA organizations such as national CSA and the USDA.

In the off season, the Frank Burns will provide lectures to civic and environmental groups.

During harvest time, the farm will be open to the public to browse and purchase surplus from the harvest bounty. They will also host special events such as Earth Day.

5.5.4 Website

Franks Organic Farm’s website will be a vital key in marketing. In addition to providing its history, location and contact information, the site will also have links to its CSA affiliations, the USDA website and current organic industry topics. The website will also have links to the current weekly newsletter (during season) and off season the owners will maintain a blog of what items are currently going to seedlings in the greenhouse and what new and exciting produce will be available in the upcoming season.

Additionally, the site will have links to Kathy and Frank’s forthcoming E-books which will provide additional cash flow during the non-production months.

The site will also take advantage of social media and have a Facebook link as well.

5.5.5 Marketing Programs

Franks Organic Farm will actively work to engage its members and local community by:

• Creating fliers and brochures and posting in community gathering places such as churches, community centers, farmers markets and other environmentally centric business.
• Franks Organic Farm’s website with emphasis on its USDA Certified Organic stamp of approval; the website will also have links to the USDA website and the national CSA website.
• Word of Mouth will play an important role

5.6 Sales Strategy

Franks Organic Farm has already sold all 30 of its shares for the upcoming season with future plans to sell 60 shares in Year Two and 90 shares in Year Three. In order to meet these goals, the farmers will continue to rely on advertising fliers, its online presence and most importantly word of mouth. The word of mouth recommendation from a satisfied member not only generates an opportunity for repeat business, but also is beneficial in recruiting new members.

5.6.1 Sales Forecast

The following table represents the annual sales forecast for the initial three years of operations:

Table 5.6.1 Annual Sales Forecast

5.6.2 Sales Programs

Franks Organic Farm’s primary sales program is the sale of shares. Additional sales programs will come from the sale of their forthcoming books. Honey production is expected to come online by Year Three.

During the slow winter months, both Frank and Kathy Burns will actively market their Franks Organic Farm, by providing speaking engagements at local events, becoming involved in the local community primarily its environmental issues, and writing and publishing papers supporting locally grown businesses. This slower time will also be utilized to create the weekly newsletter templates which coincide with the weekly deliveries. Historically the members love the newsletters – which facilitate additional contact between farmer and member. The weekly newsletter summarizes what is included in the weekly delivery, offers recipes and cooking suggestions, and summarizes what activities are transpiring at the farm. (This will be helpful especially during the busy summer months when there is little time available to write the weekly newsletters).

Franks Organic Farm is a C-Corporation doing business in the State of Wisconsin.

5.8 Milestones

The following chart depicts the Milestones Franks Organic Farm anticipates achieving:

Table 5.8 Milestones

5.9 Exit Strategy

In the event that Franks Organic Farm will cease operations, all assets (farm equipment, tools, scales) will be sold at auction. Proceeds from the sale will be first be used to pay off the financial obligation to the operating capital loan and the remaining proceeds will be paid to the members (if any obligations remain).

6.1 Organizational Structure

Franks Organic Farm will be wholly owned and operated by Frank and Kathy Burns. Mr. Burns will perform all office and accounting functions such as calculating the initial garden costs, seed costs and planting times. Both owners will harvest the crop. Franks Organic Farm will hire one apprentice farmer for each additional acre that is cultivated. Over time, they have plans to hire part-time delivery drivers as well as bookkeeper.

6.2 Management Team

Frank Burns, will actively manage the farm. Farm management duties will include the creation of a detailed planting guide and building a living soil. Only sustainable and organic farming methods will be used with no reliance on off-farm inputs and chemical pesticides/fertilizers. Growing methods include crop rotation, planting cover crops, applying finished compost and mulches, and encouraging beneficial insects, weed management, irrigation and harvesting. Mr. Burns will also be responsibility for preparing detailed accounting records for their tax accountant.

Kathy Burns will also actively participate in managing the crop during the busy summer months. During the slower winter months, both will work to complete their E-books which will be sold on line and supplement revenue. They will also actively market Franks Organic Farm by speaking to local civic groups, providing tours of the farm, and drafting the weekly newsletters.

6.3 Management Team Gaps

Franks Organic Farm will rely on its Tax Accountant to assist with tax reporting.

6.4 Personnel Plan

The following is a summary of Franks Organic Farm’s Personnel Plan.

Table 6.4 Personnel Plan

6.5 Board of Directors

The financial plan will cover the following:

• Required Cost of Start-Up
• Profit and Loss
• Balance Sheet
• Financial Ratios

7.1 Important Assumptions

• Revenues increase 50% Year One and 33% Year Two
• The following variable expenses are tied to volumes and will increase the same amount as revenue: salaries, fuel charges, postage, repairs and maintenance and supplies
• The loan example is based on traditional lending – with a collateralized working capital loan, fully amortizing with a three year pay down.
• The loan interest rate is based on the Prime Lending Rate plus 4.00%; Wall Street Journal Prime at this writing is 3.25%

7.2 Start-Up Costs

The following chart summarizes start-up expenses:

Table 7.2 Start-Up Costs

7.3 Source and Use of Funds

To date, the owners have come out of pocket approximately $40,600 or 74 percent of the project’s total costs. The following chart summarizes the source and use of funds:

7.4 Break-Even Analysis

Total fixed costs are estimated to be $18,437. The variable costs (salaries, fuel charges, postage, repairs and maintenance, and supplies) are estimated to be $109.74 per unit (full share). Units are considered full shares for analysis purposes and do not consider half shares. Based on the assumption of $750 as the average share price, the breakeven revenue then is $21,597 or 4 units (shares). This is further depicted in the Table Below and the Graph that follows:

7.5 Projections

7.5.1 projected profit and loss.

Franks Organic Farm’s estimated profit and loss for the initial three years of operations is reflected below:

Table 7.5.1 Pro Forma Profit and Loss

7.5.2 Projected Cash Flow

The statement of cash flow shows the incoming and outgoing cash of Franks Organic Farm:

Table 7.5.2 Pro Forma Cash Flow

7.5.3 Projected Balance Sheet

The following chart depicts the proforma balance sheet:

7.6 Business Ratios

The following ratios are based on the North American Industry Classification System (NAICS) code 111998– All Other Miscellaneous Crop Farming. The ratio analysis compares the subject to industry peers based on similar asset size and revenues.

Table 7.6 Ratio Analysis

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Organic Farming Business Plan, Profitability, Schemes

Table of contents, importance of organic farming, the site is a key factor for business plan for organic farming, organic farm industry overview, government schemes for promoting organic farming, opportunities in organic farming business, organic farming market analysis business plan, organic agriculture business ideas, financing your organic farming business, the profitability of organic farming in india, advantages of organic farming, key characteristics of the organic farming business.

Business plan for organic farming: Organic farming mainly involves the cultivation of plants and rearing of animals in natural ways. Organic farming relies on ecologically balanced agricultural principles such as crop rotation, green manure, organic waste, biological pest control, organic fertilizers, and rock additives. A successful organic farming business always includes a good business plan. It is the system of production that is capable of avoiding or majorly block the use of pesticide, synthetically compounded fertilizers, livestock feed additives, and growth regulators. The flexible organic farming system relies upon crop residues, green manure, weeds, crop rotations, legumes, aspects of biological pest control, animal manures, and etc. Methods of organic farming are used in developing countries, majorly because of economics and fewer resource of chemicals.

A guide to organic farming business plan

Different organic farming methods

Organic farming is to release nutrients to the crops for increased sustainability in a pollution-free environment. It aims to produce a crop with nutritional value. There are different methods by which organic farming is practiced are as follows;

Fertilizers

Applying organic fertilizers without prior knowledge of their properties may cause crop yield decline under low application or pollute the environment. The application of organic fertilizers to ponds mainly depends on the fertilizer form and moisture content. Organic matter could be applied through the application of manure, compost, and animal by-products, such as feather meal or blood meal.

Crop diversity

Crop diversity is an aim of organic agriculture system, and a number of advantages can be obtained by the use of crop diversity such as improved crop yield, and reduced weed, diseases, and pests. However, a legal and logistic problem counteracts the diversification of crops.

Soil management

After the cultivation of crops, the soil loses its nutrients and quality depletes. Organic agriculture initiates the use of natural methods to increase the health of the soil. Soil management focuses on the use of bacteria that is present in animal waste helps in making the soil nutrients more productive to enhance the soil.

Pest control

Organic pesticides are derived from naturally occurring sources. These contain living organisms such as the bacteria Bacillus thuringiensis, used to control caterpillar pests or plant derivatives such as pyrethrins or neem oil. Mineral-based inorganic pesticides such as sulfur and copper are allowed.

In addition to pesticides, organic pest control integrates biological, cultural, and also genetic controls to minimize pest damage. Biological control utilizes the natural enemies of pests, that are predatory insects (e.g., ladybugs) or parasitoids (e.g., certain wasps) to attack insect pests. Pest cycles can be disrupted with cultural controls, of which crop rotation is widely used. The use of such varieties and the planting of genetically diverse crops provide genetic control against pests and plant diseases.

Crop rotation

In this organic farming, farmers do not grow the same crops on the same section of land year after year. If you are thinking about why there are numerous advantages associated with this practice, this technique naturally replenishes the soil as diverse plants donate nutrients to the soil. And, disrupting the habitat of weeds and insect pests helps control them.

Weed management

Weed is the unwanted plant and that grows in agricultural fields.  Organic agriculture farming focuses on lowering weed and not removing it completely. The most widely used weed management techniques are;

Mulching – Mulching is a process where we use plastic films or plant residue on the surface of the soil to block the growth of weed.

Mowing or Cutting – Mowing is the removal of weeds’ top growth.

• The environment benefits as natural habitat sources are less threatened.
• And it provides healthier food for people.

You should not miss the Poultry Farm Subsidy, NABARD Schemes .

The site plays an essential role in any venture to be successful. An organic farm’s location generally determines how the venture will turn out.

The organic farm site must be near a clean water source – water is a non-negotiable resource for crop growth and health. If the water source is far, it is more difficult to manage the irrigation process. This is a tedious consideration to make but is crucial for the success of the venture.

The proximity of the farm to the marketplace plays a big role in the sustainability of the farm. The farm’s closeness to the market allows for the easy transport of creating for selling. And, this helps save costs when transporting materials to the farm. However, site selection should be aligned with the purpose of the organic farm. The purpose of the farm determines its size.

The organic farm industry includes farms that mainly cultivate organic fruit, vegetables, grains, and other crops or livestock. It is very important to categorically state that organic farming does not involve the use of artificial chemicals, pesticides, and fertilizers, or genetically modified organisms.

The organic farming industry provides a variety of farm produce including beef, fruit, vegetables and also poultry. These farm products are free from artificial chemicals, pesticides, fertilizers, or genetically modified organisms. The organic farming business has been one of the economy’s best performing industries over the last half a decade. Global demand for the organic farm is rising due to increasing health concerns about food.

The Indian government will offer capital investment subsidy for organic farmers. It is offered through the National Centre of Organic Farming (NCOF) under the Department of Agriculture and Cooperation with the National Bank for Agriculture & Rural Development (NABARD). The prime objective is to readily obtainable organic resources for improving farm productivity without letting soil health.

Incentives are obtainable for reducing dependence on chemical aids and promote the conversion of organic wastes into nutrition sources for plants. Credit linked and back-ended subsidies are obtainable.

Under organic farming, there are a number of categories and you can select any one of them and specialize in that particular category.

If you have a proper financial background that can withstand loss at times, you can concentrate on the production of organic fruits and organic vegetables. The term loss was indicated due to the perishable nature of fruits and also vegetables. In this business category, its either success or loss.

Organic medicines are another group of products that will create more income. The shift is not to organic food alone, medicines are taken when it is organically produced.

You may also check the Aquaculture Subsidy, Loan, Eligibility, License .

Organic farming is a newly emerging concept with huge success and used to increase your profits. In an organic business view, the demand for these products increases when the supply is less. So, prices can be higher than the normal prices and this will not affect your sales. From reports, it is said that there are fewer outlets for buying organic products and there is a mismatch in supply and demand.

Market trends

One of the regular trends in the commercial organic farming line of business is that most players in the industry are no longer concentrating only on organic crop farming . They now find it easier to run organic crop cultivation and organic livestock farming . The fact those organic foods are expensive, the sale for organic food is on the increase and it is indeed profitable.

Organic farmers are known to pay attention to one or more organic products depending on farm location and types of farms suitable to the local climate. Market trends can influence farmers’ choices of more profitable crops or produce. Organic vegetables and organic fruits are the most established products provided by the industry. They have the highest demand as they are considered susceptible to chemical residues. Lastly, with the recent advancement in technology, organic farmers can now comfortably produce a variety of crops in a country where such crops can hardly survive and in places where there are few farmlands.

Organic Produce Farm – One of the popular ways you can get into the organic agriculture business is to grow organic produce. This is similar to regular produce farming, just without the chemical pesticides and fertilizers mainly used by conventional farms.

Organic Dairy Farming  – You can start a dairy farm where you use natural processes and organic feed for the cows.

Organic Livestock Farming – Or you could start a livestock farm where you use natural materials and processes to raise your livestock. Organic livestock farmers want to use organic animal feed.

Organic Fish Farming – There is some debate about how organic farmed fish can really be.

Organic Market – You could open up own organic food market where you sell organic items directly to consumers.

Farmers Market Vending – There are plenty of farmers’ markets around the country that you can rent space from to sell your organic foods.

Organic Farmers Market – Or you could actually organize very own farmers market and just work with organic farmers.

Orgnic Herb Growing – If you have a smaller space, then you can grow herbs to package for sale to consumers or retail outlets.

There are not several companies that have sufficient working capital on their own to completely finance their business by themselves.

A producer organization will need capital for the below purposes;

• Investments such as buildings, trucks, motorbikes, furniture, computers, and processing equipment, etc.
• Working capital such as payment of personnel, running cost of the business, and inputs
• Trade finance for buying of harvest
• Capital to overcome start-up losses

If the right market can be accessed then organic farming in India is profitable. Profit increases in mostly two ways;

• The cost of farm input reduces by using crop and also animal residue, organic waste as bio-fertilizer.
• Market value and demand for an organic product is high compared to traditionally developed farm produces.

There is a very good export potential of organic produces but organic farming methods should be strictly followed and along with organic certification from the authorizing body.

• Farmers can reduce their production costs as they do not need to buy expensive chemicals and also fertilizers.
• In the long term, organic farms save energy and also protect the environment.
• And the pollution of groundwater is stopped.
• Organic crops are structurally and also metabolically superior to other crops. Such crops are less vulnerable to rotting or molding and stored for a protracted period.
• Input costs are considerably lower compared to conventional farming.
• Organic plants can tolerate drought better and can grow even in areas with meager irrigation system facilities.
• Organic produces are tastier as the sugar content in them is richer due to better quality nutrients absorbed by crops.
• Plant diseases, weeds, and pests are naturally repelled through scientific crop rotation and other methods.
• Yields from the same piece of land are higher.
• Security of income and rich returns on investment assured.

The key characteristics of organic farming include;

• Providing crop nutrients indirectly using relatively insoluble nutrient sources which are made obtainable to the plant by the action of soil micro-organisms.
• Nitrogen self-sufficiency through the use of biological nitrogen fixation and efficient recycling of organic materials.
• Protecting soil quality using organic material and also encouraging biological activity.
• Indirect provision of plant nutrients using soil microorganisms.
• Nitrogen fixation in soils using legumes.
• Rearing of livestock, taking care of housing management, nutrition, health, rearing, and breeding.
• Care for the larger environment and also the conservation of natural habitats and wildlife.

Incase if you like this: Organic Hydroponic Gardening .

I am looking to work on my passion of food with a sustainable organic farming business startup…have few ideas that I need to work on with some established industry professional and organization to take it forward…

interested in organic vegetable farming

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How to Create an Agricultural Business Plan

Blog > how to create an agricultural business plan, table of content, introduction, executive summary, company description, market analysis, product/service description, marketing and sales strategies, operational plan, swot analysis, financial projections, funding and investment, risk management, sustainability and environmental impact, legal and regulatory compliance, timeline and milestones, our other categories.

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Business plan 101.

Starting an agricultural venture is an exciting and rewarding journey, but it requires careful planning and a well-crafted agricultural business plan. This document serves as a roadmap for your agricultural business, outlining your goals, strategies, and financial projections. In this comprehensive guide, we will walk you through each step of creating a robust agricultural business plan to set your venture up for success. Whether you’re planning to start a small family farm or a large-scale agricultural operation, this guide will help you make informed decisions and navigate the challenges of the agricultural industry.

The executive summary is the first section of your agricultural business plan, but it is typically written last. This section provides a concise overview of your entire plan and should capture the reader’s attention. Include the following elements in your executive summary:

• Example: ABC Farms is a sustainable agriculture venture committed to providing organic, locally sourced produce to health-conscious consumers in the region. Our mission is to promote eco-friendly farming practices and support local communities while delivering premium-quality products.

Stellar Business Tips: Keep your executive summary clear, compelling, and focused. Highlight the unique selling points of your agricultural business and how it addresses market demands.

In this section, provide a comprehensive description of your agricultural business. Include the following details:

• Example: ABC Farms was founded in 2010 by John and Jane Smith, who have a combined experience of over 20 years in sustainable agriculture. The business started as a small family farm and has since expanded to a 50-acre organic farm with a diverse range of crops, including vegetables, fruits, and herbs.

Stellar Business Tips: Share your business’s background, founders’ expertise, and growth trajectory. Emphasize your passion for agriculture and commitment to environmental and social responsibility.

Conduct a thorough market analysis to gain insights into the agricultural industry, market trends, and potential opportunities. Consider the following factors:

• Example: The organic produce market has been steadily growing at a rate of 10% per year, driven by increasing consumer awareness of health benefits and environmental concerns. Local restaurants and grocery stores are eager to source fresh, organic produce from nearby farms.

Stellar Business Tips: Use data and statistics to support your market analysis. Identify target customers and potential gaps in the market that your agricultural business can address.

Detail the agricultural products or services your business offers. If you are into crop farming, describe the crops you plan to grow, their varieties, and their uses. If you are into livestock rearing, specify the types of animals and breeds you’ll raise. If you offer agricultural services, describe them in detail.

• Example: ABC Farms specializes in heirloom vegetables, such as tomatoes, peppers, and cucumbers, renowned for their exceptional flavor and nutritional value. We also raise heritage-breed livestock, including free-range chickens and pasture-raised pigs, to provide ethically sourced meat products.

Stellar Business Tips: Highlight the uniqueness and quality of your agricultural products or services. Emphasize your commitment to sustainability and responsible animal husbandry if applicable.

Outline your marketing and sales strategies to reach and attract your target customers. Consider the following aspects:

• Example: ABC Farms utilizes social media platforms to showcase our farm-to-table journey and engage with customers. We actively participate in farmers’ markets and local food events to promote our brand and build personal connections with consumers.

Stellar Business Tips: Utilize digital marketing tools, such as social media and email marketing, to create brand awareness and engage with customers directly. Explore partnerships with local businesses to expand your reach.

The operational plan outlines how your agricultural business will function on a day-to-day basis. It includes the following details:

• Example: ABC Farms employs a team of experienced farmers who follow sustainable farming practices, including crop rotation and integrated pest management, to ensure soil health and minimize environmental impact. We have invested in modern irrigation systems and machinery to optimize productivity and reduce labor costs.

Stellar Business Tips: Detail the specific practices and technologies you’ll use to enhance efficiency and sustainability. Showcase your commitment to ethical and responsible farm management.

Conduct a SWOT analysis to evaluate your agricultural business’s internal strengths and weaknesses, as well as external opportunities and threats. Use this analysis to make informed decisions and develop effective strategies.

• Example: Strengths: ABC Farms has established a strong reputation for premium-quality produce, garnering repeat customers and positive reviews. Weaknesses: We currently face limited storage facilities for harvested crops, which may affect our ability to meet peak demands.

Stellar Business Tips: Be honest about your agricultural business’s strengths and weaknesses. Address how you plan to capitalize on opportunities and mitigate potential risks.

The financial projections section provides a detailed forecast of your agricultural business’s financial performance over the next 3-5 years. Include the following financial statements:

• Example: Sales Forecast: We anticipate steady growth in sales, with a projected increase of 15% annually due to expanding customer base and diversified product offerings.

Stellar Business Tips: Use realistic and data-driven estimates for your financial projections. Include contingency plans for unforeseen financial challenges.

If your agricultural business requires funding or investment, outline your funding requirements and sources of financing. This section should include:

• Example: Funding Requirements: ABC Farms seeks a capital investment of $200,000 to expand farmland, install greenhouses, and upgrade equipment to meet the growing demand for our organic products.

Stellar Business Tips: Clearly explain how the investment will be used to drive the growth and success of your agricultural business.

Identify potential risks and challenges that your agricultural business may face and develop risk management strategies to mitigate their impact. Consider the following risk categories:

• Example: Market Risks: Fluctuations in commodity prices and changes in consumer preferences may impact our sales revenue. To address this, we will diversify our product offerings and explore new markets.

Stellar Business Tips: Demonstrate your proactive approach to risk management. Provide solutions for handling potential challenges to reassure stakeholders.

As the importance of sustainable farming practices grows, customers and investors increasingly value agricultural businesses that prioritize environmental stewardship and social responsibility. In this section, highlight your commitment to sustainability:

• Example: ABC Farms is committed to regenerative agriculture practices, including cover cropping and no-till farming, to enhance soil health and sequester carbon. We actively participate in local conservation programs to protect natural habitats and biodiversity.

Stellar Business Tips: Showcase your efforts to contribute positively to the environment and local community. Share success stories of how your sustainable practices have made a difference.

The agricultural industry is subject to various laws and regulations, such as agricultural zoning laws, environmental regulations, labor laws, and food safety standards. In this section, address the legal and regulatory aspects of your agricultural business:

• Example: ABC Farms complies with all local, state, and federal regulations for organic certification and food safety. We conduct regular inspections and maintain accurate records to ensure full compliance.

Stellar Business Tips: Emphasize your commitment to adhering to legal requirements and ensuring transparency in your agricultural operations.

Develop a timeline for your agricultural business’s key milestones and achievements. This section should include:

• Example: Milestone Timeline: Year 1 – Acquire additional farmland; Year 2 – Expand greenhouse production; Year 3 – Launch an online farm-to-table store.

Stellar Business Tips: Set realistic timelines for achieving your milestones. This will help you track progress and stay on course.

In conclusion, creating a well-structured and comprehensive agricultural business plan is crucial for your venture’s success. It provides a roadmap to guide your agricultural business towards its goals, while also attracting investors and other stakeholders. Remember that the agricultural industry is dynamic and continually evolving, so your business plan should be flexible enough to adapt to changing market conditions and opportunities.

By following the steps outlined in this guide and incorporating sustainable practices, your agricultural business can thrive in an increasingly competitive landscape. At Stellar Business Plans , we are dedicated to supporting the success of agricultural entrepreneurs like you. Our team of experts can assist you in crafting a tailored business plan that aligns with your vision and values. Let’s cultivate growth together and create a sustainable future for agriculture!

Remember, agricultural business success is not only about financial gains but also about nurturing the land, supporting local communities, and providing consumers with nutritious and ethically sourced products. Let your passion for agriculture and dedication to sustainability shine through every aspect of your business. Together, we can sow the seeds of a thriving agricultural future.

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Business Plan for setting up An Organic Farm

The business development plan is intended for establishing a new venture as an entrepreneur. Every new venture requires a detailed business proposal plan. A business plan is a formal written document containing business goals, the methods on how these goals can be attained, and the time frame within which these goals need to be achieved. It also describes the nature of the business, background information on the organization, the organization's financial projections, and the strategies it intends to implement to achieve the stated targets. In its entirety, this document serves as a road map that provides direction to the business. The evolving universal prospects for organic farm produce and the realization of long-lasting damages caused to soils by chemical fertilizers and pesticides have impelled a shift to organic farming methods both in developed and developing countries. Worldwide, about 130 countries produce certified organic products on a large commercial scale. There are various reasons for increasing the demand for organic products. This document demonstrations a proposed business plan, with a financial model, for setting up and functioning an organic farm company in Bangladesh.

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Syllabus para el curso "Derecho procesal general" de la Universidad de Piura (2017-1).

Structures carved in the rock for purposes of war or refuge are known all over the world and in every age. Cappadocia, in the middle of Turkey, is one of the places where such structures are most widespread and articulated, facilitated by very favourable geological and morphological conditions. The historical events that may have pushed the populations resident in this territory to dig this type of structures are numerous and distributed over a very large period of time. However, in view of a compelling set of clues listed here, the period that most justifies the expansion of a system of underground shelters is that of the Arab raids that afflicted the Byzantine territory between the middle of the 7th and early 11th centuries AD. The organization of all the shelters in Cappadocia seems to comply with a common design, then varied according to local needs. Each project includes a basic unit consisting of a residential or utilitarian part, and a composite set of devices for the defence of a more internal area in which are preponderant heavy stone doors in the shape of a millstone. The set of units can form well organized systems, which sometimes extend even for kilometres, corresponding to surface villages, or integrated in ancient rock-cut dwellings. Currently, these structures are locally called "underground cities", regardless of their size and their actual function, but it would be appropriate to identify them as "underground shelters" ", or more generically as "underground settlements".

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Organic Fertilizer Business Plan Example

Published Jun.20, 2014

Updated Apr.23, 2024

By: Cynthia Turner

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Table of Content

1. Organic fertilizer production business plan for starting your own organic fertilizer business

The agriculture industry is a vast industry and investing in it brings good fortune. This bio-organic fertilizer business plan sample will help you take the best steps for initiating your own business. Firstly you can decide which product you want to produce. For this, you can get an idea through market research and analysis. Secondly, you will work on market strategies in order to penetrate the market and get the maximum business share.

Thirdly, budgeting is a mandatory part of the organic farm business plan and this plan helps you make an excellent financial plan to map out all the transactions. Lastly, you can obtain a profitable market plan to confidently enter the agriculture market. You can find more samples too like Garlic Farm Business Plan.

2. Executive Summary

The business.

The Greenpro Organic Fertilizer is starting a fertilizer business for producing organic fertilizer through the process of daily food waste recycling. This idea reduces the utilization of chemical fertilizers ultimately protecting the ecosystem from the harmful impact of toxic chemicals.

Organic fertilizers, produced by Greenpro Organic Fertilizer, not only make the environment clean but also resolve problems aroused by food waste produced by our daily consumption and food industries.

Technically, our raw material source is food waste for producing organic fertilizers. So our business will be producing cash practically from the trash. It significantly decreases the material production cost.

Business Target

The development of an Agriculture Farm Business Plan for organic animal feed and organic fertilizer manufacturing will serve a multitude of markets such as small-scale to large-scale farm producers, farming cooperatives, gardeners, and institutional agricultural departments.

The plantation and agriculture sectors are the major clients who require huge amounts of fertilizers to boost their productivity. We will also put our efforts into educating farmers as well as household individuals to expend organic fertilizers for the purposes of plantation and all houseplants.

The Greenpro Organic Fertilizer’s financial projections show a viable business having the potential of generating significant profit in the upcoming years.

3. Company Summary

The Greenpro Organic Fertilizer will be established as a manufacturer for transforming food waste into organic fertilizers through the fermentation method. We ensured our business location in an accessible area that enables us to grow and offer better services than existing similar businesses.

We will always go the extra mile to make our customers satisfied with our services and products. We will promote our business by conducting seminars, conferences, TVC ads, and distributing pamphlets and advertising boards all across the country.

Our IT department will maintain our website with all the necessary information available on it. We will strengthen our presence on Social media channels such as Facebook, Instagram, Twitter, and LinkedIn.

Company Owner

Greenpro Organic Fertilizer is owned and managed by Mr. Alex Mag. He holds a Masters’s degree in agriculture as well as Masters’s degree in Business Management. He has worked for almost 18 years in the field of agriculture with different companies.

Why the fertilizer business is being started

Mr. Alex Mag, based on his interest and extensive experience, took the initiative of starting his own business organic fertilizer. He has a good understanding of how to start a manure business or organic fertilizer business, and how it can contribute to making our environment safe for humankind.

How the fertilizer company will be started

This organic fertilizer production project will be started as an environment-friendly business to provide chemical-free organic products to clients & educate people about organic fertilizer significance.

The company hierarchy outlines all employees such as the General manager, Production Manager, Operations Manager, Engineering head, and workers. They will be responsible for the production of high-quality organic fertilizers meeting customer needs.

IT and Marketing department will promote our business and products through online or print media, Word of mouth & seminars, to attract a huge number of clients.

The finance department will maintain all startup costs, budgets, marketing expenses, and profits. This organic fertilizer business plan template includes all the details to successfully initiate a business.

4. Services of Fertilizer Company

This sample business plan for organic fertilizer highlights various services offered by the Greenpro Organic Fertilizer.

• Bulk and Bagged Fertilizer Blending and Delivery: Providing custom blended fertilizer and soil amendment mixes to meet customer needs, delivered in bulk or in bags, to farms, turf and landscape, nurseries, and commercial sites.
• Soil Analysis, Recommendation and production: Conduct soil tests and recommend the best fertilizers, soil amendments, and cultural practices for each site and crop and production of organic manure.
• Plant Tissue Analysis: Taking and analyzing plant samples to determine nutrient deficiencies and other problems and recommending corrective action.
• Nutrient Management Planning: Develop nutrient management plans to meet the specific needs of each crop and site.
• Nutrient and Weed Control: Recommending and supplying the most appropriate fertilizers and herbicides for each crop and site.
• Fertilizer Application: Applying fertilizer to crops, turf, and landscape sites.
• Custom Blending: Creating custom fertilizer blends for specific crops, soils, and sites.
• Fertilizer Mixing: Mixing and blending different fertilizer products to create a custom mix.
• Soil Conditioning: Applying soil amendments to improve soil structure, fertility, and drainage.
• Organic Fertilizers and Amendments: Supplying organic fertilizers and amendments to meet customer needs.
• Environmental Protection: Ensuring safe and responsible use of fertilizers and other products to protect the environment.

5. Marketing Analysis

Marketing analysis discovers the needs of the people, the trend of the market, and tells how to make commercial organic fertilizer, the target market & segments, competition strategy, and pricing trend.

Marketing analysis is an important part of the marketing plan for organic fertilizer that gives insights into how many customers can be attracted at a time and how our products can compete with the market-leading brands.

Market Trends

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Organic products and organic fertilizer is rising day by day. The focus of nutritionists on organic food has sparked the fortune of organic fertilizer industries. Organic fertilizers have a huge importance for organic crop cultivation.

Marketing Segmentation

Our Greenpro Organic Fertilizer has categorized the targetted customers of organic fertilizers into four segments organic farmers, inorganic farmers, estate owners and retailers. Estate owners are selected because of the huge plantation and they need fertilizers in bulk.

The organic fertilizer market is undoubtedly huge as it has uses in various segments. Based on our market research we will be providing organic fertilizers to organic and non-organic crop farmers and estate owners through retailers and wholesalers.  This is because the major business chunk lies here.

Product Pricing

Like other markets, the pricing trend also keeps on changing in the organic fertilizer industry. Greenpro Organic Fertilizer has also designated the prices based on the sizes and packages.

We will be following the penetration pricing strategy initially for at least 12 months. This will lower our profit margins but it will greatly help us to maintain shelf level in the market.

6. Marketing Strategy of Fertilizer Company

The marketing strategy for how to sell fertilizer to farmers, gardeners, and other related customers is derived from marketing analysis. Marketing strategy helps to gain our desired results by properly focusing on the set targets.

Competitive Analysis

The organic fertilizer commercial industry has become notably competitive. You must come up with an innovation in order to gain a good share of the market. Moreover, keep a constant eye on the competition so that they will not engage your customers.

Sales Strategy

Sales Strategy includes selling our products into properly packaged fertilizer bags such as 10kg, 25kg,50kg, and above based on targeted customers.  These will be sold to different retail stores/wholesalers of organic fertilizers. Furthermore, engage customers through social media accounts. A compensation plan can be offered to attract more clients such as bonus on bulk purchases.

Sales Monthly

Targeted Monthly sales should be maintained as follows;

Sales Yearly

Targeted yearly sales should be maintained as follows;

Sales Forecast

Following is the sales forecast

7. Personnel Plan of Fertilizer Company

Company staff.

Based on Greenpro Organic Fertilizer’s hierarchy all the professional staff will be hired based on their competency and experience.  Based on the sample business plan for biofertilizer company following employees will be hired.

• Director Operations
• Director of Sales & Marketing
• Plant Director
• Plant Manager
• Head of HR & Administration
• Head of IT department
• Financial Analyst

OTher supporting staff includes

• Accounting clerks
• Marketing Managers
• Receptionist
• Office Assistants
• HR managers/officers
• IT managers/officers
• Admin officers and experts
• Janitorial Staff

Moreover, there must be a field staff of the company as follows;

• Project Managers
• External Auditors

This hierarchy can be used for multiple businesses such as State Farm Agent Business Plan.

Average Salary of Employees

The average salary for sports agency employees is $60,000. The salary is based on the average salary of all employees, including those in administration, marketing, and sales.

8. Financial Plan for Fertilizer Company

Financials of the organic fertilizer production business plan should be calculated carefully in order to correctly estimate the costs, expenses, and profits. Financial reports should be regularly generated to keep proper records. CEO will monitor the financial statements on monthly basis to check all transactions.

Important Assumptions

An organic fertilizer company’s financial plan is based on the following assumptions:

It is expected that variances will be kept to levels that will not negatively impact the organic fertilizer company’s major financial goals.

Brake-even Analysis

The following is a breakdown of the iorganic fertilizer company’s fixed and variable costs:

A monthly break-even analysis of an organic fertilizer company is shown in the following table.

Projected Profit and Loss

A fertilizer made from organic materials will make the following profits and losses.

Profit Monthly

Profit yearly, gross margin monthly, gross margin yearly, projected cash flow.

Below is a chart showing cash flow projections.

An organic fertilizer company’s pro forma cash flow is shown in the following table. General assumptions are included in the cash flow statement.

Projected Balance Sheet

As shown in the following balance sheet, the pro forma balance sheet of the anorganic fertilizer company shows the total assets, total liabilities, current subtotal liabilities, total capital, and total liabilities.

Business Ratios

An organic fertilizer company’s business ratios, ratio analysis, and total assets are shown in the following table.

• Is the organic fertilizer business profitable? Yes, organic fertilizer businesses can be very profitable. The increasing demand for organic fertilizer due to its environmental benefits and the availability of government grants and incentives to promote organic agriculture make this a potentially lucrative business opportunity. Additionally, organic fertilizer businesses typically have high margins and benefit from repeat customers.
• What raw materials are used to make fertilizer? The raw materials used to make fertilizer vary depending on the type of fertilizer being made. Generally, fertilizer is made from various forms of nitrogen, phosphorus, and potassium, which can be derived from both organic and synthetic sources. Organic sources of these nutrients may include animal manure, compost, bone meal, blood meal, and seaweed. Synthetic sources may include ammonium nitrate, urea, and potassium chloride. Other raw materials may include limestone, magnesium, and sulfur.

Download Organic Fertilizer Business Plan Sample in pdf

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• Agriculture

Livestock Farming

Aquaculture

Poultry Farming

• Environment-friendly process : Natural pesticides can be used for organic farming such as neem, compost tea, chamomile oil, etc. which are environment-friendly and non-toxic in nature. This increases the crop defence system. And also these substances help in decreasing the rate of occurrence of a disease in the plants.
• Enhances soil sustenance: Soil management is effectively addressed by organic farming methods. The crop rotation can help in regaining the nutrition of the soil and prevent the soil from erosion. The microbes work effectively in the soil and provide nourishment to it.
• Resistance to pests and diseases: guaranteed crop quality can be given by the practices such as hand-weeding, soil enhancement with mulch, corn gluten meal, garlic and clove oil sprays.
• Increased drought Tolerance: Drought can be tolerated by the organically grown plants. The slats can be added for the fertilization of the plants and they can maintain sufficient water levels. Water-logging can result in the death of the plants. Even over salts can also result in the death of plants.
• Diminished growing cost: Organic farming is less economic, efficient, provides increased profits as the water use is reduced, low expenditure on pesticides and fertilizers. Organic produce has added value in the market, which makes organic farming a profitable option for farmers.

DISADVANTAGES OF ORGANIC FARMING:

• Time-consuming: In organic farming, a significant amount of time should be spent on the farm for executing the detailed methods and techniques that should be implemented. Failure with any of these methods does not guarantee the certification for the produce.
• Requires-skill : A farmer who is farming to produce organic products should have a greater understanding of the skills of the crop production. He should also understand the importance and use of the natural pesticides and insecticides.
• Lower productivity: Unlike the conventional farm, the organic farm cannot give much yield. As per the studies and survey conducted in the year of 2008 by UN ENVIRONMENTAL PROGRAM which says the organic method of farming gives a small yield when compared to conventional farming techniques.

Organic Farming Business Plan – MANAGEMENT IN ORGANIC FARMING:

The concept of organic farming involves and revolves around the concepts of healthy living soil, crop residue management, proper crop patterns, and effective crop rotation. The crop is ensured without any loss of fertility to the soil. Also the farming respects the natural ecology such as weather, flora and fauna of certain place. The basic step in organic farming is to acquire the primary requirements.

Some specific challenges faced by the organic farmers in India are:

• High costly inputs as opposed to low returns.
• Water supply at a reduced level.
• High increase in the temperature.
• Due to the loss of organic matter and soil microbes the health of the soil is poor.

For a productive, sustainable and cost-effective system to address the above issues there has to be a protocol.

• Conservation of Rain water: The most important step in organic farming is the rain water conservation, which is the only natural way of irrigation and the sources are seasonal rains, lakes, wells, and local ponds. For flow of water to the farms and storage percolation tanks in the farms are dug and the cultivation is practiced in the bunds and contours.
• Enrichment of soil: The soil loses its fertility and nutrients after the cultivation of the crop and the quality of the soil also depletes. The animal waste which is used as the manure to the crop consist of nutrients, making agents that help the soil for more productive cultivation if the crop.
• Temperature management: Due to the effects of global warming the temperature is increasing day by day. In organic farming the crop must be covered from the heat. The bunds should be completely planted with the bushes and trees. For the protection of the crop from excessive heat.
• Optimal use of solar energy and all other renewable energy: The energy can be generated naturally through biogas and solar systems, both of which are Eco friendly and are renewable sources. The crop plantation should be scheduled effectively using the crop rotation concept throughout the year.
• Natural habitation: The natural habitation should be minted without destroying or disturbing it by using the chemical pesticides and fertilizers.
• Animal integration: The animals are most important part of the organic farming as their droppings are used as the manure for fertilizing the land and the crop. The raw materials that are good for the crops are the cow dung and the poultry droppings.
• Other unique techniques: S ome of the techniques which are useful to the crop are developing own seed varieties, vermicomposting, farm composting, production using all the botanical extracts and liquid manure.

Organic Farming Business Plan – ORGANIC FARMING PROCEDURE:

For setting an organic farm and to get it certified there are some requirements to be followed. They are enlisted as:

Conversion Period : If the farm is not fully organic and the farmers are practicing the conventional method, then there should be a plan for the conversion method. The conversion period is the beginning of organic operation till the certification. The quality of the land decided the conversion period. The fields like organic and inorganic must be maintained and clearly marked. The livestock is introduced into the entire farm over a period of time. The time period of the conversion method is 3 years for the perennials and for annuals 2 years.

Mixed farming: It is a mixed practice of different farming structures like sericulture, aquaculture, Pisciculture, animal husbandry and poultry management, etc. All these processes done in a combination is known as the mixed farming. This farming method ensures good soil fertility and crop yield.

Cropping patterns: By practicing effective crop rotations and patterns can help in the maintenance of the soil, which is the most essential component of the organic farming. The repetition of same crop cultivation may affect the soil and its fertility level. The intercropping which is a cultural practice helps maintain the soil fertility and its vitality. The crops which are used for intercropping are turmeric, ginger, sweet potato, etc. The crop of mango is often used in the intercropping with elephant foot yam, sweet potato, cassava. The maize is intercropped with vegetables like cabbage, radish or cucumber. The plants grown together most often are onion and pepper. The intercropping also gives a benefit of managing the insect pests and diseases.

Planting in organic farming: The specifications such as climate, weather and soil of the plants that are most suitable should be known to the farmer. The crop species and other varieties must be chosen properly such that they can adapt well to the soil conditions. The cultivation like pollen seeds, tissue seeds transgenic plants, genetically modified seeds are not allowed in the organic farming.

Manure Requirements: The fertility of the land can be maintained by planting leguminous crops, green manure crops, etc. Biodegradable materials can be used as manures. Crop and animal residues must be recycled back into the soil directly or indirectly. The manures like sheep penning, vermicompost and farmyard manure (FYM) are allowed for the fertilization of crops but not chemicals. These products are approved for organic fertilization, but can be used under emergency:

• Sodium chloride, calcium chloride, chalks etc.
• Vermicompost
• Magnesium rocks
• Mulches, crop residues and farmyard manure.
• Bio dynamic compounds
• Bio- fertilizers like Rhizobium, Azospirillum etc.
• Sawdust and wood shavings from untreated wood.

The factors like nutritional imbalance, contamination, depletion of natural resources must be calculated while considering organic farming.

Disease and pest management: Diseases and pests can’t be controlled with fungicides, weedicides and pesticides as they are prohibited in the organic farm land. The natural enemies are grown for the protection of crop from the pests. An example for protecting the crop is planting a tree in the farm or constructing a bird nest which encourages the influx of birds and helps prevent the insects. The pests should be removed using pheromone traps and chromatic traps. To control the diseases and pests using genetically processed organisms is also prohibited. Natural manual weeding is mostly preferred. For the control of weeds, diseases and pests the below products can be used under necessary circumstances.

• Bordeaux minerals
• Mineral oils – kerosene
• Plant and animal residues.

Organic Farming Business Plan – HOW TO START ORGANIC FARMING:

• Initial research:

When you take a decision to undertake organic farming it should have a commendable number of people who are turning away from the chemically fertilized farm products to the organic farmed products. You need to know all the facilities and discuss about the requirements that you need with the concerned people. The focus is made on learning about resource mobilization to start the business and maintain it.

• Determine crop’s agreement with current conditions:

We need to assess the type of product we want to cultivate in the organic farming process and the attributing factors like soil, climatic conditions, irrigation and popularity in local markets, etc. The soil should be tested by the local government agency for its pH, alkalinity, water retention, porosity levels and nutrition. Personal preference over the market’s demand can bring loss.

• Crafting a comprehensive business proposal:

For securing a loan for your venture, you need to have some detailed business plan indicating your aim, focus on the type of organic crop, targeted market, present competition, finance, scope in the business area etc. These all are roadmaps for organic production.

• Ready your firm and mobilization resources:

You should be prepared financially for planting the crop. And the irrigation facility must be ensured with available sources. The chemicals that harm the plants should not be used and the plant should receive sufficient amount of sunlight. We should never neglect the finances required for the modern equipment during farming for the organic products. Aeration of the soil is extremely important.

Organic Farming Business Plan GOVERNMENT SCHEMES FOR PROMOTING THE ORGANIC FARMING:

Organic farmers get subsidy from the Indian government on capital investment into organic farming with the help of two different organizations. The primary object is to improve the resources for organic farming and increases the productivity without disturbing the soil and natural ecosystem.

The reduced dependence on chemical aids and converting organic wastes into plant nutrition sources is provided extra incentives.

The subsidy is given to the organic farmer @ 25% of the net project cost (INR 40 Lakhs maximum limit) for bio-fertilizer and pesticides units, and 33% of fruit and vegetable compost units (INR 60 Lakhs maximum).

The period of time for organic farming should materialize within 15 months with the grace period of 3 additional months.

Organic Farming Business Plan – FUTURE OF ORGANIC FARMING:

India has a promising future in the organic agriculture industry. Reasons for this organic demand is due to health awareness among the masses, stringent governmental rules for pollution control and greenhouse gas reduction, subsidies, export law relaxation etc. after the launch of GST the bio input now have 18% tax which increase the production cost. The higher the price of domestic organic produce the weaker it stands in the international markets.

Organic Farming Business Plan – PROFITABILITY OF ORGANIC FARMING IN INDIA:

The organic farming in India can be prosperous only if it is able to reach the right market. Profits can be increased by:

• Certifying the organic produce give higher market value.
• Reducing the farm input by using animal residue, bio-fertilizers etc.

The organic farming methods must be strictly followed to produce high quality products which can be easily certified and marketed.

Organic Farming Business Plan – CONCLUSION:

The organic farming is preferred as a sustainable source of farming as it preserves the biodiversity and improves the ecological balance. It is a safe mode of farming, but needs time for being functional and produce results. The certification of the organic products can be obtained by keeping away the chemical and genetic contaminants away throughout the process of production, storage, handling and harvest sale. Organic farming has a high growth rate owing to its importance in the entire world.

Read Raising Free Range Chicken .

Read microgreens farming ..

Very informative for new entrants to organic farming. Thanks.

Very informative Thank you

Thank you very much. My doubts cleared about this subject.

Thank you Mr.Reddyy, well written doc, sweet and short.

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• USDA Announces Funding Focused on Organic Production

USDA has announced new programs, partnerships, grant awards and an additional $10 million in funding to expand the markets for organic products and help producers transition to organic production . This announcement included $24.8 million awarded to 23 grant projects through the Organic Market Development Grant (OMDG) program, which supports the development of new and existing organic markets to increase the consumption of domestic organic agricultural products. Also, USDA announced that an additional $10 million will be available through the OMDG program. Awards for this funding will be selected from the existing applicants. In addition, USDA Natural Resources Conservation Service (NRCS) is awarding $5 million to Oregon Tilth and Organic Farming Research Foundation in a five-year effort to strengthen organic expertise for conservation program assistance and expand relationships among producers wanting to transition to organic. USDA will also extend the Organic Certification Cost Share Program, to cover up to 75% of organic certification costs at a maximum of $750 per certification category.

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• farmers.gov
• State Offices
• Wildlife Habitat
• Invasive Species and Pests
• State Technical Committees Every state has an NRCS State Technical Committee. The State Technical Committee advises the State Conservationist on technical guidelines necessary to implement the conservation provisions of the Farm Bill.
• Conservation by State Learn about the conservation needs and latest updates in your state, and access needed resources.
• State Offices Find contact information for your state office location and employees.

Soil Science

NRCS delivers science-based soil information to help farmers, ranchers, foresters, and other land managers effectively manage, conserve, and appraise their most valuable investment — the soil.

• Conservation Technical Assistance Helps producers identify conservation objectives and a roadmap for conservation on their operation.
• Conservation Concerns Tool Use this tool to learn about natural resource concerns that may impact your ag operation (farmers.gov).
• Engineering NRCS applies sound engineering tools and principles to plan, design, and implement conservation practices and systems through delegated approval authority.
• Technical Service Providers Technical service providers offer planning, design, and implementation services to agricultural producers on behalf of NRCS.
• Act Now Enables states to pre-approve applications when they meet or exceed a state's pre-determined minimum ranking score.
• Applications and Forms Find more information on how to apply for NRCS conservation programs.
• Conservation Compliance: Wetlands and Highly Erodible Land Provisions To maintain eligibility for most USDA programs, producers must comply with wetland conservation provisions.
• How to Apply Follow our step-by-step process to get started making improvements on your land with our one-on-one conservation assistance.
• Payment Schedules Review the amount and availability of financial assistance for selected conservation practices in your state.
• Ranking Dates Applications for NRCS conservation programs are ranked and funded at key times throughout the year.
• Cultural Resources NRCS programs are administered following the National Historic Preservation Act and other laws.
• Environmental Compliance NRCS programs are administered following the National Environmental Policy Act.
• Disaster Recovery NRCS can help ag producers and communities recover when natural disasters strike.
• Underserved Communities Farm Bill special provisions provide incentives and address unique circumstances of historically underserved producers.
• Nutrient Management This practice helps producers reduce input costs, maximize yields, and efficiently manage nutrients.
• Organic Agriculture Conservation and organics go hand-in-hand, and NRCS offers tools for organic farmers to improve their operations.
• Urban Agriculture Conservation assistance is available for urban farmers, including high tunnels, soil health practices, composting and irrigation.

Conservation Technical Assistance

Conservation Technical Assistance (CTA)  provides our nation’s farmers, ranchers and forestland owners with the knowledge and tools they need to conserve, maintain and restore the natural resources on their lands and improve the health of their operations for the future.

• Environmental Quality Incentives Program Provides assistance to agricultural producers to address natural resource concerns.
• Regional Conservation Partnership Program Brings together partners to expand the reach of NRCS conservation programs.
• Conservation Innovation Grants Brings together partners to innovate on conservation approaches and technologies.
• Conservation Stewardship Program Helps agricultural producers take their conservation efforts to the next level.
• Voluntary Public Access and Habitat Incentive Program Helps state and tribal governments improve public access to private lands for recreation.
• Agricultural Management Assistance Helps agricultural producers manage financial risk through diversification, marketing or natural resource conservation practices.
• Wetland Mitigation Banking Program Offers competitive grants to support wetland mitigation banks for ag producers.
• Conservation Reserve Program The Conservation Reserve Program (CRP) provides a yearly rental payment to farmers who remove environmentally sensitive land from agricultural production and plant species that will improve environmental health and quality.
• Agricultural Conservation Easement Program Helps producers protect wetlands, grasslands and farmlands for future generations.
• Wetland Reserve Easements Helps private and tribal landowners protect, restore, and enhance wetlands degraded by agricultural uses.
• Wetland Reserve Enhancement Partnership Brings together partners and producers to protect wetlands.
• Healthy Forests Reserve Program Helps landowners restore, enhance, and protect forestland resources on private and tribal lands and aids the recovery of endangered and threatened species.
• Agricultural Land Easements Helps private and tribal landowners, land trusts, and other entities protect croplands and grasslands on working farms and ranches.
• Emergency Watershed Protection Assists communities recovering from natural disasters.
• Watershed and Flood Prevention Operation Offers assistance to communities to address watershed resource concerns.
• Watershed Rehabilitation Rehabilitates NRCS dams to comply with design safety performance standards.
• Landscape Conservation Initiatives Accelerates conservation benefits through targeted efforts for water quality, water quantity and wildlife.
• Grazing Lands Conservation Initiative Nationwide collaborative process working to maintain and improve the management, productivity, and health of privately owned grazing land.
• High Tunnel Provides targeted assistance to promote use of high tunnels, which offer many benefits including longer growing season.
• On-Farm Energy Initiative Assistance to inventory and analyze farm systems that use energy and identify ways to improve efficiency through an Agricultural Energy Management Plan.
• Sentinel Landscapes Initiative The Sentinel Landscapes Partnership is a coalition of federal agencies, state and local governments, and nongovernmental organizations that work with private landowners.

Regional Conservation Partnership Program

The Regional Conservation Partnership Program (RCPP) is a partner-driven approach to conservation that funds solutions to natural resource challenges on agricultural land. 

• Field Office Technical Guides
• Conservation Practice Standards
• How to Get a DUNS Number
• National Soil Survey Handbook
• Keys to Soil Taxonomy
• Soil Survey Manual
• Soil Taxonomy
• Technical Soil Services Handbook
• Web Soil Survey
• PLANTS Database
• RCA Dataviewer
• Soil Texture Calculator
• Official Soil Series Descriptions
• SSURGO/STATSGO2 Metadata
• Conservation Effects Assessment Project (CEAP)
• What is Soil?
• State Soils
• Soil Colors
• Soil Formation and Classification
• WIN-PST WIN-PST is an environmental risk screening tool for pesticides.
• WinTR-20 Download WinTR-20 Tool
• WinTR-55 Download WinTR-55 Tool

Field Office Technical Guide (FOTG)

Technical guides are the primary scientific references for NRCS. They contain technical information about the conservation of soil, water, air, and related plant and animal resources.

USDA Seeks Members for Federal Advisory Committee for Urban Agriculture and Innovative Pr...

USDA Conservation Efforts Support Pollinators, Agricultural Production Nationwide

• Find a Service Center Access local services provided by the Farm Service Agency, Natural Resources Conservation Service, and the Rural Development agencies.
• Find An Employee Looking for a particular employee of NRCS? Find them in the USDA Employee Directory.
• State Office Contacts Our State Offices Directory provides contact information for NRCS State Office Representatives.
• National Information and Centers Find information about NRCS National Programs and Centers.

USDA Easing Producers’ Transition to Organic Production with New Programs and Partnerships, Announces Investments to Create and Expand Organic Markets  

Agriculture Secretary Tom Vilsack today announced new programs, partnerships, grant awards and an additional $10 million in funding to expand the markets for organic products and help producers transition to organic production.

WASHINGTON, May 15, 2024  – Agriculture Secretary Tom Vilsack today announced new programs, partnerships, grant awards and an additional $10 million in funding to expand the markets for organic products and help producers transition to organic production. These programs will support the development of new and better markets for domestic organic products, provide hands-on training to producers transitioning to organic production and ease the financial burden of obtaining organic certification. 

“Offsetting the costs for organic transition helps more farmers realize higher margins sooner while giving consumers more access to high-demand organic products,” Secretary Vilsack said. “The partnerships and technical support we offer will ease the transition for producers, and the investments in grant projects we are announcing today will reduce the organic industry’s reliance on imports, lower cost barriers for businesses transitioning to organic, and address crucial infrastructure needs. Together, these resources ensure small and mid-sized producers can gain access to new, profitable markets and further our commitment to maximize American farmers’ share of the food dollar.”

Today’s announcements build on USDA’s comprehensive approach to supporting local and regional food systems, expanding access to markets to more producers, and increasing the affordable food supply for more Americans while promoting climate-smart agriculture and ensuring equity for all producers. USDA recognizes that smaller and mid-sized food and farm businesses are essential to a strengthened food supply chain. Launched in 2022, the Organic Transition Initiative (OTI) offers a suite of programs and resources to help existing organic farmers and those transitioning to organic production and processing. Other efforts under OTI include AMS’ National Organic Program’s (NOP) Transition to Organic Partnership Program (TOPP). TOPP builds mentorship relationships between transitioning and existing organic farmers to provide technical assistance and wrap-around support in six U.S. regions. Additionally, USDA’s Risk Management Agency administers federal crop insurance products, including Whole Farm Revenue Protection  and Micro Farm , which may be good options for organic producers.   

Supporting the development of new and better markets for domestic organic producers 

USDA’s Agricultural Marketing Service (AMS) today awarded approximately $24.8 million for 23 grant projects through the Organic Market Development Grant (OMDG) program. These projects will support the development of new and existing organic markets to increase the consumption of domestic organic agricultural products. The projects funded through this program so far, are anticipated to benefit more than 49,000 producers and over 118 million consumers by increasing organic market opportunities.

With today’s announcement, AMS has awarded a total of $75.2 million to 93 projects across the nation through the Organic Market Development Grant program to increase the availability and demand for domestically produced organic agricultural products and to address the need for additional market paths. AMS previously announced awards through this program in January and March 2024.

USDA has made an additional $10 million available through the program. Awards for this funding will be selected from the existing applicants and will be announced this summer. This round of awards is for the market development and promotion, simplified equipment-only, and processing capacity expansion project types and is funded by the Commodity Credit Corporation.

Recipients of this funding include:

• North Country Smokehouse, in Claremont, N.H., will introduce two new innovative organic pork products to the domestic organic market. Using OMDG funds, North Country Smokehouse will procure and install new processing equipment, develop distinctive packaging designs, and coordinate retail merchandising to optimize product visibility. The project is expected to increase production capacity by 175,000 pounds of organic meat annually.
• The DeLong Co, Inc., in Clinton, Wis., will invest in critical infrastructure, equipment, and transportation capabilities to address the barriers of limited storage capacity, inadequate quality control measures and transportation constraints. The project is expected to create demand for over 36 million pounds of organic corn by increasing current storage capacity by 140,000 bushels, implementing proper equipment to segregate organic corn from conventional corn, and adding railcars.
• Wai’anae Community Re-Development Corporation, in Waianae, Hawaii, will maximize processing capabilities within MA’O Organic Farms’ newly constructed wash-pack facility by introducing product inventory management and food safety technologies, supporting MA’O’s ability to handle 10 times more products while maintaining and eventually increasing product inventory and throughput of organic produce to ensure products are distributed to a greater diversity of market segments.

A full list of awarded projects is available on the OMDG webpage .

AMS gave priority consideration to projects addressing specific pinpointed market needs for organic grains and livestock feed, organic dairy, organic fibers, organic legumes and other rotational crops, and organic ingredients currently unavailable in organic form.

Providing hands-on training to producers transitioning to organic 

The U.S. Department of Agriculture’s (USDA) Natural Resources Conservation Service (NRCS) is awarding $5 million to Oregon Tilth and Organic Farming Research Foundation to strengthen organic expertise for conservation program assistance and expand relationships among producers wanting to transition to organic. The Foundation will disseminate the latest in organic research and national training to NRCS staff and Oregon Tilth will establish six organic specialists who will support producers through regional networks and hands-on organic training, and support NRCS staff who assist farmers transitioning to organic. The organic specialist positions will be filled by staff from Oregon Tilth working with organic partners including Marbleseed, California Certified Organic Farmers Foundation, and Organic Agronomy Training Service.  These five-year partnerships with the Oregon Tilth and Organic Farming Research Foundation are part of NRCS’s Organic Transition Initiative (OTI), a Department- wide effort to support agricultural producers interested in transitioning to organic. Additionally, NRCS encourages all organic and transitioning producers to apply for assistance through its conservation programs that currently have boosted funding from the OTI as well as the Inflation Reduction Act. Assistance includes a new organic management standard, which was introduced last year, to allow producers flexibility to get assistance and education, such as attending workshops or requesting help from experts or mentors.  In 2023, NRCS allocated $12 million in 22 states, signing 112 contracts with transitioning producers. To apply, producers should contact NRCS at their local USDA Service Center . 

Easing the financial burden of obtaining organic certification 

Through the Organic Certification Cost Share Program  (OCCSP), USDA’s Farm Service Agency (FSA) will cover up to 75% of organic certification costs at a maximum of $750 per certification category.    OCCSP provides cost-share assistance to producers and handlers of organic agricultural commodities for expenses incurred obtaining or maintaining organic certification under USDA’s National Organic Program . Eligible OCCSP applicants include any certified organic producers or handlers who have paid organic certification fees to a USDA-accredited certifying agent.      Cost share assistance covers expenses including application fees, inspection costs, fees related to equivalency agreement and arrangement requirements, inspector travel expenses, user fees, sales assessments and postage. OCCSP pays a maximum of $750 per certification category for crops, wild crops, livestock, processing/handling, and state organic program fees (California only).     Organic producers and handlers should apply for OCCSP by the Oct. 31, 2024, deadline for eligible expenses incurred from Oct. 1, 2023, to Sept. 30, 2024. FSA will issue payments as applications are received and approved. To apply, producers and handlers should contact FSA at their local USDA Service Center and be prepared to provide documentation of organic certification and eligible expenses. OCCSP applications can be submitted to USDA or through participating state departments of agriculture, but not both.  For more information, visit the OCCSP webpage.  

FSA also is accepting applications from state departments of agriculture to administer OCCSP. FSA posted a funding opportunity summary on grants.gov and will electronically mail the Notice of Funding Opportunity to all eligible state departments of agriculture. Applications from state departments are due July 12, 2024.  

Organic producers and handlers should apply for OCCSP by the Oct. 31, 2024, deadline for eligible expenses incurred from Oct. 1, 2023, to Sept. 30, 2024. FSA will issue payments as applications are received and approved.     To apply, producers and handlers should contact FSA at their local USDA Service Center and be prepared to provide documentation of organic certification and eligible expenses. OCCSP applications can be submitted to USDA or through participating state departments of agriculture, but not both.  For more information, visit the OCCSP webpage.        For more information, visit  farmers.gov/organic .      USDA touches the lives of all Americans each day in so many positive ways. Under the Biden-Harris administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit usda.gov .    

WASHINGTON, May 15, 2024  – Agriculture Secretary Tom Vilsack today announced new programs, partnerships, grant awards and an additional $10 million in funding t o expand the markets for organic products and help producers transition to organic production. These programs will support the development of new and better markets for domestic organic products, provide hands-on training to producers transitioning to organic production and ease the financial burden of obtaining organic certification.  

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USDA Easing Producers’ Transition to Organic Production with New Programs and Partnerships, Announces Investments to Create and Expand Organic Markets

1400 Independence Ave. SW Washington, DC 20250 [email protected] WASHINGTON, May 15, 2024  – Agriculture Secretary Tom Vilsack today announced new programs, partnerships, grant awards and an additional $10 million in funding to expand the markets for organic products and help producers transition to organic production. These programs will support the development of new and better markets for domestic organic products, provide hands-on training to producers transitioning to organic production and ease the financial burden of obtaining organic certification.   

“Offsetting the costs for organic transition helps more farmers realize higher margins sooner while giving consumers more access to high-demand organic products,” Secretary Vilsack said. “The partnerships and technical support we offer will ease the transition for producers, and the investments in grant projects we are announcing today will reduce the organic industry’s reliance on imports, lower cost barriers for businesses transitioning to organic, and address crucial infrastructure needs. Together, these resources ensure small and mid-sized producers can gain access to new, profitable markets and further our commitment to maximize American farmers’ share of the food dollar.”  

Today’s announcements build on USDA’s comprehensive approach to supporting local and regional food systems, expanding access to markets to more producers, and increasing the affordable food supply for more Americans while promoting climate-smart agriculture and ensuring equity for all producers. USDA recognizes that smaller and mid-sized food and farm businesses are essential to a strengthened food supply chain. Launched in 2022, the Organic Transition Initiative (OTI) offers a suite of programs and resources to help existing organic farmers and those transitioning to organic production and processing. Other efforts under OTI include AMS’ National Organic Program’s (NOP) Transition to Organic Partnership Program (TOPP).  TOPP builds mentorship relationships between transitioning and existing organic farmers to provide technical assistance and wrap-around support in six U.S. regions. Additionally, USDA’s Risk Management Agency administers federal crop insurance products, including Whole Farm Revenue Protection  and Micro Farm , which may be good options for organic producers.    

Supporting the development of new and better markets for domestic organic producers  

USDA’s Agricultural Marketing Service (AMS) today awarded approximately $24.8 million for 23 grant projects through the Organic Market Development Grant (OMDG) program. These projects will support the development of new and existing organic markets to increase the consumption of domestic organic agricultural products. The projects funded through this program so far, are anticipated to benefit more than 49,000 producers and over 118 million consumers by increasing organic market opportunities.

With today’s announcement, AMS has awarded a total of $75.2 million to 93 projects across the nation through the Organic Market Development Grant program to increase the availability and demand for domestically produced organic agricultural products and to address the need for additional market paths. AMS previously announced awards through this program in  January  and  March  2024.

USDA has made an additional $10 million available through the program. Awards for this funding will be selected from the existing applicants and will be announced this summer.

This round of awards is for the market development and promotion, simplified equipment-only, and processing capacity expansion project types and is funded by the Commodity Credit Corporation.

Recipients of this funding include:

• North Country Smokehouse, in Claremont, N.H., will introduce two new innovative organic pork products to the domestic organic market. Using OMDG funds, North Country Smokehouse will procure and install new processing equipment, develop distinctive packaging designs, and coordinate retail merchandising to optimize product visibility. The project is expected to increase production capacity by 175,000 pounds of organic meat annually.
• The DeLong Co, Inc., in Clinton, Wis., will invest in critical infrastructure, equipment, and transportation capabilities to address the barriers of limited storage capacity, inadequate quality control measures and transportation constraints. The project is expected to create demand for over 36 million pounds of organic corn by increasing current storage capacity by 140,000 bushels, implementing proper equipment to segregate organic corn from conventional corn, and adding railcars.
• Wai’anae Community Re-Development Corporation, in Waianae, Hawaii, will maximize processing capabilities within MA’O Organic Farms’ newly constructed wash-pack facility by introducing product inventory management and food safety technologies, supporting MA’O’s ability to handle 10 times more products while maintaining and eventually increasing product inventory and throughput of organic produce to ensure products are distributed to a greater diversity of market segments.  

A full list of awarded projects is available on the OMDG webpage .  

AMS gave priority consideration to projects addressing specific pinpointed market needs for organic grains and livestock feed, organic dairy, organic fibers, organic legumes and other rotational crops, and organic ingredients currently unavailable in organic form.   

Providing hands-on training to producers transitioning to organic      

The U.S. Department of Agriculture’s (USDA) Natural Resources Conservation Service (NRCS) is awarding $5 million to Oregon Tilth and Organic Farming Research Foundation to strengthen organic expertise for conservation program assistance and expand relationships among producers wanting to transition to organic. The Foundation will disseminate the latest in organic research and national training to NRCS staff and Oregon Tilth will establish six organic specialists who will support producers through regional networks and hands-on organic training, and support NRCS staff who assist farmers transitioning to organic. The organic specialist positions will be filled by staff from Oregon Tilth working with organic partners including Marbleseed, California Certified Organic Farmers Foundation, and Organic Agronomy Training Service.  

These five-year partnerships with the Oregon Tilth and Organic Farming Research Foundation are part of NRCS’s Organic Transition Initiative (OTI) , a Department-wide effort to support agricultural producers interested in transitioning to organic. Additionally, NRCS encourages all organic and transitioning producers to apply for assistance through its conservation programs that currently have boosted funding from the OTI as well as the Inflation Reduction Act. Assistance includes a new organic management standard, which was introduced last year, to allow producers flexibility to get assistance and education, such as attending workshops or requesting help from experts or mentors.  

In 2023, NRCS allocated $12 million in 22 states, signing 112 contracts with transitioning producers. To apply, producers should contact NRCS at their local USDA Service Center . 

Easing the financial burden of obtaining organic certification   

Through the Organic Certification Cost Share Program  (OCCSP), USDA’s Farm Service Agency (FSA) will cover up to 75% of organic certification costs at a maximum of $750 per certification category.   

OCCSP provides cost-share assistance to producers and handlers of organic agricultural commodities for expenses incurred obtaining or maintaining organic certification under USDA’s National Organic Program.  Eligible OCCSP applicants include any certified organic producers or handlers who have paid organic certification fees to a USDA-accredited certifying agent.     

Cost share assistance covers expenses including application fees, inspection costs, fees related to equivalency agreement and arrangement requirements, inspector travel expenses, user fees, sales assessments and postage. OCCSP pays a maximum of $750 per certification category for crops, wild crops, livestock, processing/handling, and state organic program fees (California only).    

Organic producers and handlers should apply for OCCSP by the Oct. 31, 2024, deadline for eligible expenses incurred from Oct. 1, 2023, to Sept. 30, 2024. FSA will issue payments as applications are received and approved. To apply, producers and handlers should contact FSA at their local USDA Service Center and be prepared to provide documentation of organic certification and eligible expenses. OCCSP applications can be submitted to USDA or through participating state departments of agriculture, but not both.  For more information, visit the OCCSP webpage.    

FSA also is accepting applications from state departments of agriculture to administer OCCSP. FSA posted a funding opportunity summary on grants.gov and will electronically mail the Notice of Funding Opportunity to all eligible state departments of agriculture. Applications from state departments are due July 12, 2024.  

Organic producers and handlers should apply for OCCSP by the Oct. 31, 2024, deadline for eligible expenses incurred from Oct. 1, 2023, to Sept. 30, 2024. FSA will issue payments as applications are received and approved.    

To apply, producers and handlers should contact FSA at their local USDA Service Center and be prepared to provide documentation of organic certification and eligible expenses. OCCSP applications can be submitted to USDA or through participating state departments of agriculture, but not both.  For more information, visit the OCCSP webpage.       

For more information, visit  farmers.gov/organic .     

USDA touches the lives of all Americans each day in so many positive ways. Under the Biden-Harris administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit usda.gov .    

USDA is an equal opportunity provider, employer and lender.

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Recent news, usda announces 2024 wool and mohair marketing assistance loan rates.

WASHINGTON, Dec. 27, 2023 – The U.S. Department of Agriculture (USDA) Commodity Credit Corporation today announced Marketing Assistance Loan rates for 2024-crop graded wool by micron class. Loan rates for ungraded wool and mohair are unchanged and remained the same from the prior crop year.

USDA Appoints New Members to the Federal Advisory Committee for Urban Agriculture and Innovative Production

Agriculture risk coverage and price loss coverage programs receive 2018 farm bill one year extension, farmers can now enroll for the 2024 crop year.