Aquaculture: Business Plan

BELLO ALIYU
08060303074
AQUACULTURE
BUSINESS
PLAN
© 2020
BELLO ALIYU (TEL: 08060303047)
Contents
BUSINESS OVERVIEW..........................................................3
EXECUTIVE SUMMARY.........................................................5
COMPANY OVERVIEW...........................................................7
BUSINESS LOCATION.........................................................7
LEGAL STRUCTURE:..........................................................7
PRODUCTS AND SERVICES................................................7
MISSION.............................................................................8
VISION................................................................................ 8
NATURE OF THE BUSINESS...............................................8
MARKET POTENTIAL.............................................................9
OUR COMPETITIVE ADVANTAGE.......................................9
KEY CHARACTERISTICS OF THE INDUSTRY....................10
BRIEF FINANCIAL HIGHLIGHTS........................................11
STRATEGIC MANAGEMENT.................................................11
SECTION I: MANAGEMENT.................................................14
INDIVIDUAL & ORGANIZATIONAL DEVELOPMENT...........14
MANAGEMENT STRATEGIES............................................15
OPERATIONS....................................................................15
WATER SUITABILITY.........................................................19
CANNIBALIZATION THREAT..............................................19
MARKETS AND CAPACITY BUILDING................................19
INSURANCE......................................................................20
TAXES................................................................................. 20
LICENSES & PERMITS.........................................................20
OPERATIONAL STRATEGIES...............................................20
SECTION II: MARKETING....................................................23
MARKET POTENTIAL........................................................23
DISTRIBUTION STRATEGY................................................24
PRODUCTS/SERVICES.....................................................27
2
COMPETITIVE ADVANTAGE..............................................27
SALES FORECASTS AND ASSUMPTIONS..........................27
MEASURES OF SUCCESS.................................................28
SECTION III: MONEY..........................................................28
BREAK EVEN ANALYSIS:..................................................28
BOOK KEEPING, RECORD-KEEPING, ACCOUNTING
SYSTEM & PROCESS........................................................28
STOCKING........................................................................30
FINANCIAL WORKSHEETS..................................................31
FINANCIAL MODEL...........................................................32
LOAN AMOUNT....................................................................34
LOAN AMORTIZATION.........................................................35
3
BUSINESS OVERVIEW
Nigeria consumes 1.2 million metric tons of fish every
year, with 85 percent representing 800,000 metric tons
imported, making It one of the world’s largest importers of
fish. Nigeria spends =N=97,000,000,000 on fish importation
every year. This shows that the market for fish in Nigeria is
huge and with population growing at 5.7% annually, the
market will continue on an upward trend.
Statistics has it that in the United States of America
alone, there are about 2,087 licensed and registered Fish and
Seafood Aquaculture company directly responsible for
employing about 10,440 employees and indirectly responsible
for employing roughly 1,339,900. The industry rakes in a
whooping sum of $1billion annually with an annual growth
rate projected at 0.3%. It is important to state that there are
no establishments with a lion share of the available market in
this industry.
If you are looking towards leveraging on the agriculture
industry to generate huge income, then one of your best bet is
4
to start a fish and seafood aquaculture business. One thing is
certain about starting fish and seafood aquaculture business,
if you are able to conduct your market research and feasibility
studies, you are more likely not going to struggle to sell your
fish and seafood because there are always food processing
companies and consumers out there who are ready to buy
from you.
The Fish and Seafood Aquaculture industry comprises of
businesses that farm aquatic animals or plants in controlled
aquatic environments. Businesses in this industry make use
of some form of intervention in the rearing process to enhance
production, such as holding in captivity and protecting from
predators, pests and disease.
Increases in the price of seafood, combined with a
healthy export market, have boosted the revenue growth in
this industry. The revenue generation from The Fish and
Seafood Aquaculture industry is projected to grow at an
annualized rate of 0.3% to $1.5 billion.
5
EXECUTIVE SUMMARY
Bello Aliyu Fish Farm is established to contribute to the
fish demand in the country. It is located at No 3 Sabon Gari
Area, Isa Local Government Area Isa Sokoto. The main
economic significant of the business is to contribute towards
narrowing down the fish demand-supply gap deficit in Nigeria
as well as the supply of proteins and micro nutrients for
feeding the teeming population of Sokoto State and Nigeria at
large.
The business is owned and managed by Bello Aliyu who
is the Chief Executive Officer of Bello Aliyu Fish Farm. He is
experienced in the field of Aquaculture and has been
managing the farm businesses for many years with significant
experience. The demand for fish in the country is growing
geometrically, the opportunity to expand is necessary because
of the growing demand for fish and due to some health
benefits attached to consumption of fish as compared to
consumption of meat. With our dominance and being that we
are establishing a pioneering fish farm in this locality, we
would flood the whole market with our fish.
6
Our fish farm is going to be involved in raising and
harvesting finfish (e.g. catfish, trout, tilapia and
minnows), and in the nearest future we look to raise and
harvest Shellfish, ornamental fish, and also engage in raising
and harvesting aquaculture species to augment or replenish
wild habitats, and raising and harvesting other aquaculture
(e.g. seaweed, alligators, frogs and turtles).
At Bello Aliyu Fish Farm, our customer’s best interest
will always come first, and everything we do will be guided by
our values and professional ethics. We will ensure that we
hold ourselves accountable to the highest standards by
meeting our client’s needs precisely and completely.
The cost benefit analysis of this plan shows that in the
startup year, with a loan of N7,825,000 and over 10,000
fingerlings in stock in the first and projected sales of an
approximate 10,000kg of fish (disregarding that some fish will
reach 2kg in weight to cover for mortalities), we would
make =N=8,000,000 cash flow and over N3,000,000 in net
profit after two years.
7
COMPANY OVERVIEW
BUSINESS LOCATION
No 3 Sabon Gari Area, Isah Local Government Area Isa Sokoto.
LEGAL STRUCTURE:
Bello Aliyu Fish Farm operates on a sole proprietorship
structure.
PRODUCTS AND SERVICES
Industry: Aquaculture; Cat Fish Aquaculture
Bello Aliyu Fish Farm is involved in Catfish Aquaculture
(heterobranchus specie), hybrid Catfish (heteroclarias)
hatching, growing, processing, packaging using machines and
best practice and marketing to Nigeria and the international
market. The size of both ponds are 20m by 32.8m. The farm is
located in Sokoto State, Nigeria. My business seeks to address
a need and demand for hunger and malnutrition eradication
in Nigeria.
MISSION
To breed and sell healthy fishes for food to my customers.
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To achieve large scale environmentally sustainable increase in
supply of fish.
To create access to fish at affordable price for poor consumers.
VISION
To set the pace in the aquaculture industry, through our
professional and quality offers.
NATURE OF THE BUSINESS
Product/service we sell
Bello Aliyu Fish Farm is into hatching, growing, processing
and sales of catfish- heterobranchus specie using machines
and best practice. The product and services are rendered to
our customers in Nigeria.
Benefit to buyer
 Large scale production of fresh grow-out table size catfish
and improved hybrid catfish (weight of between 1kg-2kg)
 Neatly smoked and dried fishes.
 Sizes and packs of different weight and flavor.
9
MARKET POTENTIAL
The market Bello Aliyu Fish Farm intends to serve includes:
Households, Restaurants, Cafeteria, Eateries, Food Vendors
(mama put), Fast Food Joints, Hotels, Retailers and
Wholesalers etc.
OUR COMPETITIVE ADVANTAGE
 Cat Fish
 Tilapia
 Crayfish
 Titus fish
KEY CHARACTERISTICS OF THE INDUSTRY
Aquaculture is the cultivation and marketing of aquatic
animals or plants in a controlled environment for all or part of
their life cycle. The aquaculture industry in Nigeria is one of
the fastest growing segments of the agriculture market today.
The growth potential for the aquaculture market is at its
strongest level ever. The demand for fish is increasing due to
the ever-increasing health consciousness of the Nigerian
consumer. Per capita consumption of fish in Nigeria has
10
increased from 6 pounds per person in 1980 to 11 pounds per
person in 2010. These increases in demand are stressing the
world’s natural fisheries, which are generally considered to be
at or near their maximum sustainable yield, thus increasing
the demand for the fish raised in aquaculture facilities. Not to
mention the increasing demand in our society for locally grown
products.
BRIEF FINANCIAL HIGHLIGHTS
Bello Aliyu Fish Farm will need to obtain the following cost as
a start-up:
=N=9,526,000 as start-up capital. We expect to be able to
sustain operations for 1 year on the requested amount.
However, after 5 (five) years, the Grand Total of Net profits will
amount to a total of =N=31,476,819.00 with a 30% expansion
rate per annum. With a Break even estimated by year 2 of
operation.
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STRATEGIC MANAGEMENT
SWOT Analysis
STRENGTHS WEAKNESSES
 Can engage in wholesaling,  High initial cost for pond
trading and processing renovation and inputs.
concurrently.  Need expert for choice of
 Medium start up and fish species appropriate
operating costs culture.
 Convenient bulk sales  Require training on fish
delivered to market rearing and pond
 Can process to smoke fish. management.
 No construction or training  Require expert evaluation
required. of local/site/water and
 Low switching costs in terms constant access for
of products of location. problem diagnosis and
solutions.
 Expensive construction
and operation costs.
OPPORTUNITIES THREATS
 Increased local government  Constrained access to
financial support. inputs.
 Ready market due to  Lack of trained extension
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government undersize fish officers.

ban.  Shortage of fingerling/fry
 Branching into input supply to stock ponds.
and/or value addition.  Low land availability.
 Change source of inputs-  Need close proximity to
purchase, rent, or hire. water.
 Can diversify into ornamental  High labor costs.
or bait fish.
13
SECTION I: MANAGEMENT
ORGANOGRAM/COMMUNICATION
Managing
Director
Farm
Supervisor
Production Accountant Veterinary

Staff Service
Marketers Contract Secretary/ Apprentice

Labour Administra s/ Trainee
tive Asst.
INDIVIDUAL & ORGANIZATIONAL DEVELOPMENT
Bello Aliyu Fish Farm will expose the management and
staff of the company to quarterly seminars, conferences;
professional training courses that will aid each individual and
the entire organization improve and develop their skills
especially in areas of Leadership, Effectiveness, Accountability
and Professionalism.
14
MANAGEMENT STRATEGIES
The manager will ensure that sound management
procedures are put in place in order to control costs, ensure
quality production, quality products used in rendering our
services and provide friendly customer service.
OPERATIONS
Location (Site Selection)
There are three factors which we considered in selecting our
site for a fish pond and Bello Aliyu Fish Farm took all 3 into
consideration when selecting a site for the fish ponds. And
they are:
 Water supply
 Soil
 Topography
Water Supply: Water Supply, soil and topography are
important, but water supply is the most important factor that
we consider. Fish depends upon water for all their needs. Fish
need water in which to breathe, to eat, and to grow and
reproduce. If our site has water available year-round, that site

15
meets its first test easily. If water is not available all the time
but there is some way to store water, in large tanks, barrels or
drums, in depressions, ponds, or wells for use when the
natural water supply is low, then we will still use the site. The
key as far as we are concerned is that water must be available
at all times and in good supply.
At Bello Aliyu Fish Farm we make use of bore hole water
as our ponds source of water supply. Bore Hole Water is the
best source of water for a fish pond. Bore Hole Water has few
contaminants and if the bore hole well is a good one, the water
is continuously available. Bore Hole Water and spring water,
however, are both often low in oxygen content. Fish need to
have oxygen in their water to live. This problem is overcome
by:
 Use of oars to stir the water to allow inflow of oxygen.
 Running of small motors to bubble the water in the pond.
 In addition, winds which are strong enough to ripple the
surface of the water in the pond help the air and water to
mix. Remember: any disturbance of the water made by
16
man or by nature helps put oxygen into (aerates) the
water.
Soil: The quantity of soil influences both productivity and
water quality in a pond. However, it must also be suitable for
dike construction. To determine soil suitability, the two most
important properties we examine are soil texture (particle size
composition) and porosity or permeability (ability to let water
pass through). The pond bottom must be able to hold water
(have a low porosity like clay) and the soil should also
contribute to the fertility of the water by providing nutrients
(soil texture consists of a lot of clay particles) so the best soil
for pond construction contains a lot of clay.
Topography: The third factor in our site selection is topography.
Topography is a word used to describe the shape of the land;
whether it is flat or hilly, upland or lowland, etc. The topography
of the land determines the kinds of ponds which can be built.
Ponds can be built in valleys or on flat grounds. They can be
square or rectangular, or uneven in shape. They can be large or
small. All of this is determined by topography of the land.
17
The most useful topography for fish ponds is that which
allows us to fill and drain ponds using gravity. Ponds built on a
slope, for example, can be drained easily. If ponds are located on
flat land, the pond must be built with a slope inside it so it can be
drained by gravity, or it will have to be drained using a pump.
Equipment
Pond site, good quality water supply, fishing nets, weighing scale,
catfish juveniles, feeds of different sizes for different age range, live
fish transport means, assorted hormones, feed production
equipment, pH meter, sechi disc, mini storage tank, water
pumping machine, large size hose etc.
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RISK MANAGEMENT
WATER SUITABILITY
The Aquaculture model introduced by Bello Aliyu Fish
Farm is a reticulation system, where water circulate runs
constantly into the pond and drain from time to time to avoid
algae and pneumonia. The filters keep the water clean
throughout the production process.
As production takes place in an enclosed environment,
foreign elements are kept out of the plant.
CANNIBALIZATION THREAT
Catfish is cannibalistic by nature, however, Bello Aliyu
Fish Farm solution provides for the keeping of the same size of
fish in the same pond. At no given point will bigger fish be
kept in the same tank with smaller fish.
MARKETS AND CAPACITY BUILDING
Catfish, due to its content of protein is the way to go for
food security in the world. Due to modern healthy living style,
catfish is forever going to be the answer in providing high
19
omega 3 and omega 6 fatty acids. The process of smoking the
fish is also underway.
INSURANCE
 Workers Health Insurance (NSITF)
 Fire or Structural Damage
 Business Liability
 Loss & Theft of Building Contents
TAXES
Federal Inland Revenue Service (FIRS), State Inland
Revenue Service (SIRS), CAC (Corporate Affairs Commission),
Catfish Farmers Association Of Nigeria (CFAN)
LICENSES & PERMITS
(EPA permit, state professional license, vehicle license,
food handler’s certification, Assumed Name Act Registration,
etc.)
20
OPERATIONAL STRATEGIES
Bello Aliyu Fish Farm is located in Sokoto State, Nigeria;
the advantage of this location is that we have access to clean
water body that is favorable for fish growing, the topography is
within the acceptable standard scale ratio 2:1 or in terms of
percentage (5%), it is close to our suppliers and customers
alike, this makes purchasing of raw materials for fish
production like: feeds, equipment etc. very easy and cheap.
Under our production process we have 2 major processes:
 Harvesting
 Processing
Harvesting: The catfish attains marketable size usually
between 5-6 months depending on the richness of the food
supply and the number of catfish/area of the pond at which
they would have attained average weight of 1-2kg. Harvesting
manually using drag net are highly labor intensive. During
harvesting the catfish is manually sorted and stored in either
concrete or fiber tanks for sale. For a recirculatory system, the
outlet is opened and the water and the catfish flow into a net
21
which allows the water to move out and the catfish retained in
the net. There is no automation such as vacuum harvesters.
Processing: After harvesting buck (about 60%) of the catfish is
sold live to market mammies (major distributors) at the farm
gate, transported to market where they are purchased by
eateries, bukas (local eateries), and individuals. Others buy to
process by means of smoking and drying using gas, briquette
or charcoal.
Below is an illustration of the processing equipment that will
be employed to smoke the fish.
500 Capacity Fish
Dryer
(Gas and Coal Powered)
22
23
SECTION II: MARKETING
MARKET POTENTIAL
S/N MARKET POTENTIAL LOW BASE HIGH
Step 1 Number of Households in a city 600 900 1,100
Step 2 Number of reachable communities 30 40 50
Step 3 Expected market penetration % 10% 20% 40%
Total Stock of Catfish and 1,800 7,200 22,000
Improved Hybrid Catfish to meet
demand
The market Bello Aliyu Fish Farm intend to serve
includes: Households, Restaurants, Canteens, Cafeterias,
Eateries, Food Vendors (Mama put), Fast Food Joints, Hotels,
Retailers and Wholesalers etc.
Our marketing Strategy includes:
 Digital Marketing
 Door-to-door marketing
 Customer Referals
 Social media marketing ( facebook, whatsapp, linkedIn,
Instagram etc.)
24
 Electronic marketing (TV, radio, jingles etc.)
 Print media marketing (newspaper, magazines,
catalogues etc.)
 Sign boards and billboards
 Printing of flyers
There are over 170 million people in Nigeria ready to access
our packaged products for food consumption, raw materials
for confectionery industry and the international market are
waiting for more supplies.
DISTRIBUTION STRATEGY
For the fresh catfish, the wholesale buyers come to the
farm gate to buy. They could sell to minor distributors who
further sell to the retailers. The individuals and retailers who
can afford transportation are also allowed to buy at the farm
gate. The major markets are located at the urban centers.
With respect to packaging, the fresh catfish are packed into
bows (30-40kg/basin), covered with jute bags and taken to the
market.
25
The smoked and dried ones are packed in cartons,
covered by non-absorbent papers, tied and transported to
major urban centers. Those processing with intention of
meeting international standard pack the dried fish in nylon.
The nylon contains 2-3kg that are further kept in cartons
which are again stored in master cartons (10-20kg)
Other distribution strategy of Bello Aliyu Fish Farm include:
 Sales to a Processing Plant of Cooperative
 Contract Sales
 Phone Sales
 Trade Shows (Licensure Required)
 Internet Sales (Licensure Required)
 Sales off the Farm (Licensure Required)
 Sales on the Farm
 Other
26
Target Market & Trade Area
Type of customer % of Business
 Processing 15%
Plant/Cooperative
 Retail Customer 40%
 Restaurant and Grocery 10%
 Organizations 30%
 Other 5%
Total 100%
27
PRODUCTS/SERVICES
Industry: Aquaculture, Catfish and Heteroclarias Farming
Bello Aliyu Fish Farm is involved in catfish Aquaculture
(heterobranchus specie), hatching, growing, processing,
packaging using machines and best practice and marketing to
Nigeria and the international market.
COMPETITIVE ADVANTAGE
 The quality of our fishes.
 Our prompt delivery service as people can order their
bulk purchase of fish and its derivative online.
 Our excellent customer care service.
SALES FORECASTS AND ASSUMPTIONS
(See the financial model section Below)
28
MEASURES OF SUCCESS
Number of paying customers, Number of customers/day or
month, expansion of trade area, product return rate etc
SECTION III: MONEY
BREAK EVEN ANALYSIS:
We have made careful economic planning as we have made a
list of all our expected income and expenses which include
feeding, fingerlings, labor, fuel, electricity, equipment, repair,
interest on borrowed money, pond construction, feed bins, etc.
Generally, we have estimated the amount of fish we will produce
and the price we will receive for them.
Based on the above and having designed a financial model
for our business, we have realized that we will be able to break
even by the 2nd year of commencing business operation.
BOOK KEEPING, RECORD-KEEPING, ACCOUNTING SYSTEM &
PROCESS
Bello Aliyu Fish Farm has designed an effective recording
keeping system that enables us to closely estimate the number of
fish and the weight of fish in every pond at any given time so as to
29
enable us successfully grow the fishes. If the weight of fish in a
pond is underestimated, not enough food will be fed, resulting in
poor growth, poor feed conversions, and increased time required to
get the fish to harvestable size. If the weight of fish in a pond is
overestimated, the result will be overfeeding, poor feed
conversions, and very likely, severe water quality problems. An
important reason for keeping good records is that many lending
institutions require good records before they will lend money. Also,
without good records you don’t know if you are making or losing
money, and you can’t identify problem areas.
There are available computer programs for catfish record
keeping. Manual forms are also effective:
1) Daily Feeding Record: We Record the amount fed daily to
each pond on this form. At the end of the week total the
amount fed for the week.
2) Weekly Pond Record: We Record date of stocking, stocking
rates and weights, amount of food fed weekly, weekly weight
gain and weight of fish harvested for each pond. Other
information concerning disease treatments, weed control etc.
can be noted in the remarks section.
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STOCKING
Fingerlings six inches or longer will be stocked into grow out
ponds with the goal of producing a market-sized fish. The number
of fish stocked at this final stage in the production cycle varies
widely. Factors we will consider in determining our stocking rate
include amount of time that the supervisor can spend with the
fish, desired fish size at harvest, maximum daily feeding limit,
availability of water and aeration equipment, and length of culture
period. With these factors in mind, stocking rates usually vary
from 1,000 to 6,000 fish per acre of water.
Annual production will range from 1,000 pounds per acre in
watershed ponds without aeration to about 8,000 pounds per acre
in levee ponds supplied with pumped Bore Hole Water and
aeration. We will grow fish crop successfully at a moderate risk
level.
Marketable food fish can range from three-fourths to two
pounds or more, depending on the customer. The production cycle
from spawning to marketable fish can range from 16 to 24 weeks.
Once most of the fish reach marketable weight, they will be
31
harvested several times during the year, grading or “topping off”
the largest, marketable sized ones.
The stocking rate will be based on the maximum safe and
economical feeding rate, the desired size of fish at harvest and the
food consumption rate.
The size of fish desired at harvest will be acceptable to
customers and economical to produce.
FINANCIAL WORKSHEETS
Financial Projections – Three (3) year projection of financial data
is suggested in most aquaculture loan requests but we will make 5
years financial projection as seen in the financial model below.
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FINANCIAL MODEL
PARTICULARS 1st Year 2nd Year 3rd Year 4th Year 5th Year Total (N)
Fingerlings 50000
10,000 10,000 10,000 10,000 10,000
0
- - - -
0
Total 50000
10,000 10,000 10,000 10,000 10,000
0
CASH FLOW
Sale of each kg at N800 ₦8,000,000.00 ₦8,000,000.00 ₦8,000,000.00 ₦8,000,000.00 ₦8,000,000.00 ₦40,000,000.00
₦ ₦ ₦ ₦ ₦ ₦
- - - - - -
TOTAL ₦8,000,000.00 ₦8,000,000.00 ₦8,000,000.00 ₦8,000,000.00 ₦8,000,000.00 ₦40,000,000.00

ASSET EXPENSES
Cost of obtaining the
fingerlings at N20 each ₦ 200,000.00 ₦ 200,000.00 ₦ 200,000.00 ₦ 200,000.00 ₦ 200,000.00 ₦ 1,000,000.00
₦ 0.00 ₦ 0.00 ₦ 0.00 ₦ 0.00 ₦ 0.00 ₦ 0.00
TOTAL ₦200,000.00 ₦200,000.00 ₦200,000.00 ₦200,000.00 ₦200,000.00 ₦1,000,000.00

FIXED/RECURRENT
EXPENSES
5 Collapsible Pond Purchase, ₦ ₦ ₦ ₦ ₦ ₦
Setup and Pipping 1,400,000.00 60,000.00 60,000.00 60,000.00 60,000.00 1,640,000.00
3 Staff Salary (30,000/head ₦ ₦ ₦ ₦ ₦ ₦
for 6 month) 540,000.00 540,000.00 540,000.00 540,000.00 540,000.00 2,700,000.00
₦ ₦ ₦ ₦ ₦ ₦
Insurance 5,000.00 5,000.00 5,000.00 5,000.00 5,000.00 25,000.00
Record
Keeping/Stationary/Comput ₦ ₦ ₦ ₦ ₦ ₦
er 120,000.00 30,000.00 30,000.00 30,000.00 30,000.00 240,000.00
₦ ₦ ₦ ₦ ₦ ₦
Security 240,000.00 240,000.00 240,000.00 240,000.00 240,000.00 1,200,000.00
Solar Water (Bore Hole and ₦ ₦ ₦ ₦ ₦ ₦

Overhead Tank) 1,770,000.00 10,000.00 10,000.00 10,000.00 10,000.00 1,810,000.00
1 units of 500 capacity fish

dryer/smoker (coal, ₦ ₦
briquette and gas) 450,000.00 - - - - 450,000.00
Feeding at 9.1 tons per ₦ ₦ ₦ ₦ ₦ ₦
10,000 fishes per season 3,000,000.00 3,000,000.00 3,000,000.00 3,000,000.00 3,000,000.00 15,000,000.00
Veterinary services and ₦ ₦ ₦ ₦ ₦ ₦
drugs 50,000.00 50,000.00 50,000.00 50,000.00 50,000.00 250,000.00
₦ ₦ ₦ ₦ ₦ ₦
Running Cost 250,000.00 150,000.00 150,000.00 150,000.00 150,000.00 850,000.00
₦ ₦ ₦ ₦ ₦ ₦
TOTAL 7,825,000.00 4,085,000.00 4,085,000.00 4,085,000.00 4,085,000.00 24,165,000.00
ANNUAL LOAN REPAYMENT ₦ ₦ ₦ ₦ ₦ ₦
34
1,565,000.00 1,565,000.00 1,565,000.00 1,565,000.00 1,565,000.00 7,825,000.00
TOTAL EXPENSES ₦8,025,000.00 ₦4,285,000.00 ₦4,285,000.00 ₦4,285,000.00 ₦4,285,000.00 ₦25,165,000.00
NET PROFITS -₦25,000.00 ₦3,715,000.00 ₦3,715,000.00 ₦3,715,000.00 ₦3,715,000.00 ₦14,835,000.00
LOAN AMOUNT
From the analysis done in the financial model above, the total estimated amount that
is required to fully establish Bello Aliyu Fish Farm Aquaculture in illustrated in details
to amount to a total of =N=7,825,000.00 (seven million, eight hundred and twenty
five naira).
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LOAN AMORTIZATION
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Monthly Monthly Monthly Monthly Monthly
ITEMS Deposit= Deposit= Deposit= Deposit= Deposit=
MONTHLY DEPOSIT ₦ ₦ ₦ ₦ ₦
AMOUNT> 136,937.50 143,784.38 150,973.59 158,522.27 166,448.39
OPENING DEBT (5% LOAN ₦ ₦ ₦ ₦ ₦

CHARGES INCLUSIVE) 8,216,250.00 6,901,650.00 5,435,049.38 3,804,534.56 1,997,380.65
₦ ₦ ₦ ₦ ₦
JANUARY 8,079,312.50 6,757,865.63 5,284,075.78 3,646,012.29 1,830,932.26
₦ ₦ ₦ ₦ ₦
FEBRUARY 7,942,375.00 6,614,081.25 5,133,102.19 3,487,490.02 1,664,483.87
₦ ₦ ₦ ₦ ₦
MARCH 7,805,437.50 6,470,296.88 4,982,128.59 3,328,967.74 1,498,035.48
₦ ₦ ₦ ₦ ₦
APRIL 7,668,500.00 6,326,512.50 4,831,155.00 3,170,445.47 1,331,587.10
₦ ₦ ₦ ₦ ₦
MAY 7,531,562.50 6,182,728.13 4,680,181.41 3,011,923.20 1,165,138.71
₦ ₦ ₦ ₦ ₦
JUNE 7,394,625.00 6,038,943.75 4,529,207.81 2,853,400.92 998,690.32
36
₦ ₦ ₦ ₦ ₦
JULY 7,257,687.50 5,895,159.38 4,378,234.22 2,694,878.65 832,241.94
₦ ₦ ₦ ₦ ₦
AUGUST 7,120,750.00 5,751,375.00 4,227,260.63 2,536,356.38 665,793.55
₦ ₦ ₦ ₦ ₦
SEPTEMBER 6,983,812.50 5,607,590.63 4,076,287.03 2,377,834.10 499,345.16
₦ ₦ ₦ ₦ ₦
OCTOBER 6,846,875.00 5,463,806.25 3,925,313.44 2,219,311.83 332,896.77
₦ ₦ ₦ ₦ ₦
NOVEMBER 6,709,937.50 5,320,021.88 3,774,339.84 2,060,789.55 166,448.39
₦ ₦ ₦ ₦ ₦
DECEMBER 6,573,000.00 5,176,237.50 3,623,366.25 1,902,267.28 -
₦ ₦ ₦ ₦ ₦
CLOSING DEBT 6,573,000.00 5,176,237.50 3,623,366.25 1,902,267.28 -
37
Assumptions:
 In the financial analysis the following was assumed.
 That feed supply will be consistent and that growth ratios
will remain intact.
 All transactions will be made on cash and delivery basis.
 Fish sales will go up by 50% every year.

List of equipment, fixtures, furniture, tools and other fixed

assets that will be covered in the miscellaneous expenses or
bought from profits generated over the years, if or when the
need arises.
Item
Description
Boat, Motor &
Trailer
Mower
Air Blower &
Hose
Cage, Cover &
Floatation
Feed Hoppers &
Blowers
Water Quality
Test Kit
Shop Equipment
Office Equipment
Live Haul Tank
Radio Com
System
Seines
39

Aquaculture: Business Plan

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Aquaculture: Business Plan

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BELLO ALIYU

Nigeria consumes 1.2 million metric tons of fish every

year, with 85 percent representing 800,000 metric tons

imported, making It one of the world’s largest importers of

fish. Nigeria spends =N=97,000,000,000 on fish importation

huge and with population growing at 5.7% annually, the

market will continue on an upward trend.

Statistics has it that in the United States of America

Seafood Aquaculture company directly responsible for

employing about 10,440 employees and indirectly responsible

for employing roughly 1,339,900. The industry rakes in a

whooping sum of $1billion annually with an annual growth

rate projected at 0.3%. It is important to state that there are

no establishments with a lion share of the available market in

If you are looking towards leveraging on the agriculture

industry to generate huge income, then one of your best bet is

to start a fish and seafood aquaculture business. One thing is

certain about starting fish and seafood aquaculture business,

if you are able to conduct your market research and feasibility

fish and seafood because there are always food processing

companies and consumers out there who are ready to buy

The Fish and Seafood Aquaculture industry comprises of

businesses that farm aquatic animals or plants in controlled

aquatic environments. Businesses in this industry make use

of some form of intervention in the rearing process to enhance

production, such as holding in captivity and protecting from

predators, pests and disease.

Increases in the price of seafood, combined with a

healthy export market, have boosted the revenue growth in

this industry. The revenue generation from The Fish and

Seafood Aquaculture industry is projected to grow at an

annualized rate of 0.3% to $1.5 billion.

Bello Aliyu Fish Farm is established to contribute to the

fish demand in the country. It is located at No 3 Sabon Gari

Area, Isa Local Government Area Isa Sokoto. The main

economic significant of the business is to contribute towards

narrowing down the fish demand-supply gap deficit in Nigeria

as well as the supply of proteins and micro nutrients for

feeding the teeming population of Sokoto State and Nigeria at

The business is owned and managed by Bello Aliyu who

is the Chief Executive Officer of Bello Aliyu Fish Farm. He is

experienced in the field of Aquaculture and has been

managing the farm businesses for many years with significant

experience. The demand for fish in the country is growing

geometrically, the opportunity to expand is necessary because

of the growing demand for fish and due to some health

benefits attached to consumption of fish as compared to

consumption of meat. With our dominance and being that we

are establishing a pioneering fish farm in this locality, we

would flood the whole market with our fish.

Our fish farm is going to be involved in raising and

harvesting finfish (e.g. catfish, trout, tilapia and

minnows), and in the nearest future we look to raise and

harvest Shellfish, ornamental fish, and also engage in raising

and harvesting aquaculture species to augment or replenish

wild habitats, and raising and harvesting other aquaculture

(e.g. seaweed, alligators, frogs and turtles).

At Bello Aliyu Fish Farm, our customer’s best interest

will always come first, and everything we do will be guided by

our values and professional ethics. We will ensure that we

hold ourselves accountable to the highest standards by

meeting our client’s needs precisely and completely.

The cost benefit analysis of this plan shows that in the