Coco Seedling Business Plan
Coco Seedling Business Plan
PRODUCTION
OF
QUALITY COCONUT
PLANTING MATERIAL
Johnmark L. Gulles
III- BSA
SUMMARY
The goals of the business include producing high-yielding and disease and insect
pest resistant varieties of coconut. This business also wants to help farmers to purchase
recommended varieties of coconut planting material. Through establishing coconut
nursery, it helps heighten the coconut industry in the country.
The product of this business is coconut seedling. Customers can choose varieties
such as Tagnanan Tall, Baybay Tall, Java Tall and Tacunan Green Dwarf. Varieties
being produced must have longer productive life, high yielding and has high resistance
in disease and insect pests. The customers are the coconut growers and other walk-in
farmers. Customers will buy coconut seedlings from the business for they will produce
good quality and PCA-recommended and NSIC-registered varieties.
Coconut seedlings have the following prices: Tagnanan Tall- 25.00php; Baybay
Tall- 35.00php; Java Tall- 35.00php; and Tacunan Green Dwarf- 35.00php. Customers
are able to buy up to 1,000 seedlings or 25,000php to 35,000php.
The nursery is located within the area of AADC Darong Ranch Employees Multi-
Purpose Cooperative at Darong Sta. Cruz, Davao del Sur. The area is accessible for any
vehicle. Seedlings will be easily transported and it avoids damages. Suppliers of seed
nuts are from farmers within the cooperative and in PCA Seed Farm. Customers are
from both neighboring farms and provinces. It is said that good products will sell its
self. By establishing a good name through quality products, business will attract more
customers. Putting signboards and streamers, telling people that there is available
coconut seedlings in your farm will also help.
Customers might be men or women as long as they are interested on coconut
farming and are willing to buy coconut seedlings. They are mostly of legal age and able
to plant and manage a coconut farm. They should be treated as the most important
element and the boss of the business.
There might be many other coconut nurseries in other places which are not
known, whether they are getting bigger or smaller. Even customers who are going to
our competitors are not known as well. The important thing is that you focus on
producing quality seedling and to build good relationship with the customers you have.
And to attract more customers, promotion of coconut farming on potential places will be
held.
Comparing their products with the products of their competitors, the price might
be the same but the quality of our variety is better. In terms of accessibility, our
business is also accessible. Therefore, this business doesn’t need to be changed, yet it
only needs to be improved. Improvements may include hiring of skilled workers
especially on maintenance and monitoring. Arrangement of seedlings according to
varieties should be made as well as proper spacing for the convenience of the workers
to attain quality production of coconut seedlings.
THE WORK PLAN
Seasonal Requirements Work Plan for 6 months of Coconut Seedling Production (Labor)
START-UP CAPITAL
Projected Sales
A. Prices
Product Price per Seedling
Tagnanan Tall 25.00php
Baybay Tall 35.00php
Java Tall 35.00php
Tacunan Green Dwarf 35.00php
A. First Harvest
Break Even Point Sales Level
Indirect Costs
Rent for Land 2,000.00
Water 1,800.00
Owner’s Salary 3,000.00
Stationary 20,140.00
Furniture and Building 10,380.00
Depreciation 988.00
Others 1,000.00
Total Indirect Cost 39,308.00
Total Yield
= Number of Products Produced in Their Units of Measurement
e.g. kg.
Total Yield= 16,000pcs. (seedlings)
B. Second Harvest
Indirect Costs
Rent for Land ―
Water 1,800.00
Owner’s Salary 3,000.00
Stationary 20,140.00
Furniture and Building ―
Depreciation 988.00
Others 1,000.00
Total Indirect Cost 26,928.00
Total Yield
= Number of Products Produced in Their Units of Measurement
e.g. kg.
Total Yield= 15,500pcs. (seedlings)
ASSETS
Current Assets Pesos
1. Cash (Total Net Income of Two Harvests) 179,174.00
Total Current Assets 179,174.00
Fixed Assets
1. Buildings 3,000.00
2. Tools 7,380.00
Total Fixed Assets 10,380.00
Total Assets (Total Current + Total Fixed) 189,554.00
LIABILITIES
Current Liabilities Pesos
1. None 0
Total Current Liabilities= 0
Long Term Liabilities 0
Total Long Term Liability 0
Total Liability (Total Current + Total Long Term) 0
A. First Harvest
TOTAL SALES 473,080.00
Less Direct Material Costs 320,695.00
Less Direct Labor Costs 21,740.00
Gross Profit 130,645.00
B. Second Harvest
Seed Nuts
Variety No. of Pieces Price per Piece Total Cost
Tagnanan Tall 11,945 10.00 119,450.00
Baybay Tall 3,315 15.00 49,725.00
Java Tall 3,200 15.00 48,100.00
Tacunan Green 1,540 15.00 23,100.00
Dwarf
Total Amount for Seed Nuts= 240,275.00