If you are in the agriculture supply chain, always avoid being at the bottom of it. There’s this guy in who has a wholesale general shop that was doing well given it’s location…
An idea crossed his head,
" instead of buying eggs and reselllig… Why not keep commercial layers instead and produce my own eggs![
Ruto was a poultry farmer and now he’s our president… I might become rich and vie for MCA seat"
so he thought. Given his ambitious goals, he settled on starting out with 4000 birds. 120 trays a day each at 450 grossing 54000 daily… The numbers were impressive for sure… little did he know that the devil is always on the details!
A layer bird will cost you not less than KSH 900 before starting to lay… 4000 requires a budget of approximately 3,600,000 for 5months or 720,000 monthly on average Better still 24,000 daily…
My friend would sell 10 balaes of maze flour… Few bags of rice and send all that money to his feeds supplier… Remember this is cash from his shop… Chickens are yet to give him any returns… He started borrowing and taking loans with stupendous interest from shylocks to keep his business afloat… His general shop started running low on stock since he could not be able to procure more goods on time. Buying feeds also became a challenge and chicks started dying…He was literally haemorhaging cash!
Out of nowhere Newcastle wiped almost all his stock… I’ve never seen a mountain of d3ad chickens… That was my first time!
NEVER BE THE BOTTOM