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How to Start Animal Feeds Business in Kenya.





With agriculture being Kenya's backbone, investing in agribusiness is a profitable business. Animal feeds business is the booming business in the suburbs. Many people rely on agriculture for livelihood in Kenya. Among the animals reared in Kenya include cows, goats, pigs, chickens, turkeys, ducks and rabbits. If you are planning to start an animal feeds business, we will take you through the process.



Carry out a Feasibility Study

Before venturing into the animal feeds business, you need to do a feasibility study. It will help you determine if the business is viable. It also makes it easy to write a business plan. When carrying out a feasibility study, identify the most reared animals. Then you can stock more of their feeds.
Also, consider the number of businesses that sell animal feeds within the locality. This will help you determine the level of competition in the market. It is not advisable to start a business where the competition is high.

Write Animal Feeds Business Plan



If you have carried out a feasibility study, it will help you write a business plan. Since you have all figures at hand, you only need to put them down on paper. A business plan should have startup capital, source of startup capital, business location, market segmentation, projected business revenues, business risks and strengths. Another reason why a business plan is important is that it will help your business maneuver where there is a challenge. It is because you will have foreseen challenges that the business is likely to face and found their solutions.

Find a Good Business Location



Most businesses do well in urban areas, but the animal feeds business thrives well in rural and in the suburbs. You need to set up your animal feeds business in a business location where people rear animals. You also need to stock animal feeds depending on the animals reared in the locality. For instance, if the locals rear chicken, then you need to stock more chicken feeds. In Kenya, the animal feeds business thrives well in small towns near rural areas. It is unlikely to see people in towns rearing animals.

Find Reliable and Cheap



Animal Feeds Suppliers When writing a business plan, you need to identify the best animal feeds suppliers in the market. With cheaper suppliers, your business can retain high profit margins. Consider their prices, reliability and the quality of their feeds. You can shop around and get to know the best animal feed suppliers in the market. The quality of feeds is very critical. To know the best quality feeds, make sure to talk to farmers and ask which feeds they prefer to use. When farmers know that you stock the animal feeds they prefer, they will be buying from your shop.

Animal Feeds Business Startup Capital



The animal feeds supply business does not require huge startup capital. You can start a small animal feeds business with Ksh 50,000 and expand your business with time.



The following is a breakdown of animal feeds business startup capital .

Business licenses – Ksh 5,000 annually
Store rent – Ksh 20,000 (inclusive of one month upfront)
Branding – Ksh 5,000
Dairy meal (5 bags) – Ksh 10,000
Chick mash (3 bags) – Ksh 15,000
Growers mash (2 bags) – Ksh 6,000

The good thing about the animal feeds business is that you can expand your business and open an agrovet. Alternatively, you can also start supplying animal feeds on a large scale to other retailers. This way, you can diversify your business revenues.

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