North West Egg Sales Business Plan — Farm Infrastructure and Capital Expenditure
Land, three layer houses, equipment, packhouse and services — 77% of the R52.9m funding requirement.
Section 15 of 31
Farm Infrastructure and Capital Expenditure
Jump to section
- 0. Executive Summary
- 1. Investment Thesis
- 2. Company Overview
- 3. Location
- 4. Problem and Value Proposition
- 5. Products and Pricing
- 6. Industry Analysis
- 7. Market Sizing
- 8. Customers and Channels
- 9. Competitive Landscape
- 10. Competitive Positioning
- 11. Business Model and Unit Economics
- 12. Go-to-Market Strategy
- 13. Operating Model
- 14. Farm Infrastructure and Capital Expenditure
- 15. Biosecurity and Animal Health
- 16. Management and Organisation
- 17. Strategic Plan
- 18. SWOT Analysis
- 19. Risk Analysis
- 20. ESG and Sustainability
- 21. Implementation Roadmap
- 22. Financial Plan: Key Assumptions
- 23. Financial Plan: Revenue Build
- 24. Financial Plan: Projected Income Statement
- 25. Financial Plan: Projected Cash Flow
- 26. Financial Plan: Projected Balance Sheet
- 27. Funding Requirement and Structure
- 28. Debt Serviceability and Break-Even
- 29. Returns, Scenarios and Sensitivity
- 30. Investment Case and Next Steps
A R44.6m build, half of it houses and cages, de-risked by turnkey contracts and contingency
| Capital item | R m | Life (yrs) |
|---|---|---|
| Land (28 ha smallholding, Vyfhoek / N12 corridor) | 3.40 | n/a |
| Layer house 1 – structure & civils | 3.35 | 25 |
| Layer house 2 – structure & civils | 3.35 | 25 |
| Layer house 3 – structure & civils | 3.35 | 25 |
| Cage systems, feeding, egg belts, climate control (3 houses) | 12.90 | 12 |
| Packhouse, grading machine & cold room | 4.15 | 12 |
| Bulk services: borehole, water treatment, roads, fencing, biosecurity gate | 2.45 | 20 |
| Feed silos & manure handling | 1.38 | 15 |
| Solar PV 180 kWp & standby generator | 2.65 | 15 |
| Delivery vehicles (2 x 8-t, 1 x 1-t) & forklift | 2.98 | 6 |
| Office, staff facilities, IT & farm software | 0.76 | 8 |
| Professional fees, EIA/approvals & pre-operating costs | 1.45 | 10 |
| Contingency (7.5% of construction & equipment) | 2.48 | 15 |
| Total capital expenditure | 44.65 |
Design choices
Tunnel-ventilated houses with evaporative cooling, automatic feeding, nipple drinkers, egg belts and manure belts
Houses 25 m apart; packhouse at the clean-side entrance
180 kWp solar with generator back-up covers daytime fans and grading through load-shedding
Borehole with treatment and 3 days of storage
Platform sized for a fourth house
About R744 per hen place all-in, of which R383 is house and cage equipment. Straight-line depreciation from commissioning: R3.1m in Year 2.
