5 Tips for agriculture business for beginners (Agribusiness Service)

The agriculture business also known as agribusiness is the aspect of agriculture that deals with monetary values. The agriculture business is very important and knowing how to navigate your way through will add more value to your farm produce.

Importance of agriculture

The importance of agriculture remains a necessity with respect to rapid human population growth globally. Agriculture has been to be the oldest occupation for a man. Agriculture does not only provide food for human survival but also serves as a full-time occupation for crop growers, animal producers, farm technicians and operators, and all other forms of services related to agriculture production.

Agriculture is capital intensive. You will need a huge sum of capital to start an agribusiness. In most places in the United States, you will have to acquire licenses to run or operate a farm. Legal protocols need to be adhered to in providing healthy and awesome food to consumers.

Agriculture business to start with zero capital

Growing up in the field of agriculture I thought everyone in agriculture needs to own a farming land, farm machinery for farm mechanization, own a working staff to work on the farm and all other inputs needed for a successful agricultural production but the narrative changed over time.

In modern agriculture, the real investors do not have any agricultural backgrounds and training. They rely on statistics on growing commodities with high-profit margins and reputable agro firms to invest their money. Investing in agriculture is a high-risk decision to take but comes with high returns provided everything works well. So, you should know who you are investing with.

If you ever had the chance to specialize in any agriculture course with an expert, you can leverage your agricultural skills in so many ways and one thing you should know is that you are working with resources that come to you because you’re running a service, therefore, you have to held accountable for every profit and loss you will make.

List of Agribusiness Services

Agriculture Consultancy

Agriculture consultancy in simple terms is the act of guiding someone who is interested in building a business in agriculture with the knowledge they need. Starting a business can be challenging when you don’t the right information. Maybe you have heard “going into food production is profitable” but trust me that is not enough research for you to start planting and producing crops without guidance from an expert.

Basically, I enjoy consulting with my team at Phoenix Agri Consult. We provide you with all the information you need to start a successful agribusiness. We provide consultancy services in pig farming, poultry farming, irrigational farming, agribusiness planning and agribusiness proposal, general livestock farming, farmers market linkage, and food processing and registration guidance.

Agribusiness planning

As mentioned above people get up and invest in agriculture production based on hearsay and later fail when things get tough. It is out of such ignorance we have a lot of individuals preaching agriculture as a risky and no-go area for investment due to the high risks involved. Most developing countries including Ghana have good resources for agriculture but fail to produce more agro-products due to poor structures in the agriculture industry.

On the hand of agriculture in these same developing countries, we have farms making it to the extent of exporting their produce to nearby countries where they have the target market. So, technically you can go global if you can leverage resources in your locality and sell to nearby countries. At Phoenix Agri Consult we help to plan your agribusiness to sell within and outside country borders.

Agribusiness finances

Another major problem rising in the agriculture industry is finances. Going into an agribusiness without a proper finance layout can bring production to a halt. Instances such as the rise in input cost and production cost are variable factors prone to changes as a result of external interactions in every economy. This however has collapsed many agro firms.

Seeing existing firms collapse or perform poorly is not encouraging for industrial growth. With good financial planning, and Agri firm will have to navigate its way in times of high-cost input and still leverage an approximate or expected output.

Agricultural marketing

How do you market your farm produce? Most farmers I came in contact with run this system of inviting middlemen to their farms to negotiate prices on the harvested produce. In states where their price standards, farmers lose much profit on farm produce. Getting a direct market can be frustrating and time waste for active farmers. The result of the middle man trap has been the order of the day.

Final Thoughts

Having a successful agribusiness is dependent on how well you plan, and the strength of finance, processing, and management planning. If you are in doubt about how to start your agribusiness, Phoenix Agri Consult is right here for you.

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