Shrimp Farm Business Plan, Marketing Plan, SWOT Analysis, How to Guide, and Funding Directory
The Shrimp Farm Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Shrimp Farm business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.
Your Business Planning Package will be immediately emailed to you after you make your purchase.
Product Specifications (please see images below):
- Bank/Investor Ready
- Complete Industry Research for the Industry
- 3 Year Excel Financial Model
- Business Plan (26 to 30 pages)
- Marketing Plan (24 to 28 pages)
- 425+ Page Funding Directory
- PowerPoint Presentation
- Loan Amortization and ROI Tools
- Three SWOT Analysis Templates
- How to Start a Business Guide
- Easy to Use Instructions
- All Documents Delivered in Word, Excel, and PowerPoint Format
- Meets SBA Requirements
With the world wide demand for seafood increasing, the numbers of farms that produce this crustacean have increased substantially. Worldwide demand for shrimp, over a five-year period, has increased by about 6% per year. As such, the demand has outpaced the amount of shrimp that can be economically removed from the ocean. As such, a number shrimp farms have come into existence in order to produce this type of food for home use, as well as for restaurants. The demand for shrimp does tend to wane during times of economic recession. However, most shrimp farms are able to generate moderately high gross margins from the sale of both fresh and frozen seafood to their customer base. Typically, the gross margins generated from the sale of shrimp – on a per pound basis – ranges anywhere from 25% to 40% depending on the type of shrimp being frozen and packaged. The barriers to entry for new shrimp farm are considered to be relatively high given the very high upfront starting costs.
Typically, a shrimp farm and packaging facility will have a starter price of anywhere from $1.5 million to $5 million depending on the initial scope of the facility. One of the most difficult aspects of this business is that there are a few risks involved as it relates to inventory spoilage as well as managing the very heart ongoing operating expenses of these businesses. Shrimp farming is a very energy intensive business, and as such it is imperative that you do or have a complete understanding of all the input pricing that is associated with this type of business. Additionally, a very large amount of procedures and protocols need to be put into place in order to ensure that inventory spoilage is kept to a minimum.
Given the very large tangible assayed asset base of these businesses – most financial institutions are willing to provide a significant amount of capital in order to get these businesses off the ground. A shrimp farm business plan is going to be required if an individual is seeking capital from a bank, investor, or similar financial institution. This business plan should include a three year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page that features industry research and information regarding the margins and anticipated profits of a shrimp farm. Foremost, it is important that the entrepreneur also mentioned in the business plan how the shrimp will be packaged and distributed. In most cases, should farms is a combination of both freshly prepared seafood as well as flash frozen shrimp in order to provide a plethora of inventories to see field food wholesalers and distributors.
Prior to the onset of operations, the owner operator of a shrimp farm should work closely with sea food wholesalers, retailers, supermarkets, restaurants, and other wholesale food distributors that will require bulk inventories from the onset of operation. Given the short shelf life for fresh and frozen shrimp – it is imperative that the business have distribution channels in place so that inventories can be divested as soon as the harvest is complete and the packaging has been done as well. As it relates to demographics, this section of the analysis can be kept somewhat on the lighter side given that from farms typically do not deal with the general public. However, some shrimp farms in order to boost their profits have developed a strong branding for themselves when they will package the seafood directly for sale to a supermarket. In this instance, a large-scale marketing plan is going to be needed in order to familiarize the general public with the brand name of the business and its shrimp offerings. Again, for a shrimp farm is simply operating in a direct wholesale and distribution capacity the marketing plan can be kept somewhat to a minimum the focus on how the business will maintain strong relationships with wholesalers and distributors.
A shrimp farm marketing plan should be produced as well. Again, this is really mostly applicable to from farms that are going to be providing their inventories directly to the general public under brand-name. In this case, it may be in the best interest of the business to hire a qualified advertising agency or marketing firm to properly develop the packaging while concurrently producing marketing messages that will position the shrimp farm within the seafood market.
Given the large start up costs associated with these businesses, many entrepreneurs will use a third-party marketing firm at the onset of operations in order to ensure that inventories can be divested to supermarkets and to the general public. A website for the business should be maintained as well showcasing the shrimp farm facilities, hours of operation, pertinent farm information, and the company’s commitment to using safe handling techniques when producing shrimp. One of the focuses that is frequently used by seafood farming businesses is to clearly showcase the company’s position as it relates to being a sustainable business. This is a significant concern for a number of consumers and as such it is important that these businesses have an understanding of how to properly communicate with their customers.
A shrimp farm SWOT analysis should be produced as well. As it relates to strengths, the moderate gross margins in very high barriers to entry can make it a very lucrative business for its owners. Additionally, once a brand-name is established for the business margins can be increased if packaging and direct distribution to the general public is applied. For weaknesses, these companies have very high ongoing operating expenses and inventory can spoil any given time if an infection gets into the farming facility. As such, these aspects of operation are very difficult to manage and must meet must be dealt with at all times. For opportunities, these businesses frequently expand by acquiring additional facilities from which to increase their shrimp output. Additionally, specialized marketing as it relates to showcasing the business to the general public and doing proprietary packaging is another way that these businesses have become successful in their expansion efforts. Pertaining to threats, outside of a major economic recession there’s really nothing that is going to impact the way that a shrimp farming business operates. This is primarily due to the fact that again worldwide demand has increased for these products as the wealth of the world has grown.
In closing, a shrimp farm can be a very strong medium-size business investment provided that the owner operator has a significant amount of experience in the aquatic and seafood market my seafood farming industry. This is an extremely difficult business to operate and as such it requires someone who has had at least 10 years of experience in this field. The return on investment as it relates to equity is very high. As such, while this is a strong business to operate and funding can be easily found – it is difficult but the results can be extremely rewarding if it is done right.