1. Secure and contract

1 to 9

Secure the site and confirm industrial zoning and abattoir consent use; confirm municipal water supply and trade effluent capacity; obtain abattoir registration and grading in principle from the provincial executive officer; contract 10 to 15 growers covering 70% of Year 1 throughput

Registration in principle; effluent capacity confirmed; supply contracted

2. Build and commission

9 to 22

Civils, food-grade finishes, hygiene barriers and cold store; install processing line, chillers, effluent plant and standby generation; commission the line and verify dressed yield

Dressed yield above 71% at commissioning; registration granted

3. Fill one shift

22 to 34

Open on one shift and build the own-account customer base; fill the line with contract slaughter while customers are won; obtain retail and food-service audit certification

Above 6 000 birds a day; certification achieved

4. Reach capacity

Year 3

Reach single-shift capacity of 8 000 birds a day; commence principal repayment after the moratorium; contract incremental volume for the second shift

Second-shift volume contracted; cover above 1.30x

5. Second shift

Years 4 to 5

Commission the second shift and recruit the additional crew; ramp to 14 000 birds a day; extend the facility as debtors grow

14 000 birds a day; cover above 3.0x

Abattoir registration and grading

Any slaughter at all

Granted by the provincial executive officer under the Meat Safety Act. A plant that cannot be registered has almost no alternative use

Trade effluent capacity and water supply

Whether the site can process

High-strength effluent; municipal rejection stops production. Confirmed before the site is committed, not after

Industrial zoning with abattoir consent use

The site itself

Site-specific and cannot be appealed into existence

Contracted live bird supply

Throughput from day one

Growers plan flocks on a cycle. Supply contracted at month 9 delivers birds at month 22, not before

Dressed yield at commissioning

The economics for the life of the plant

Two points of yield is worth R3 071 016 a year and cannot be recovered by operating discipline once the line is accepted

Retail and food-service certification

The product mix and price assumption

Audits assess a system in operation; certification cannot precede trading

Two-year capital moratorium

Surviving to Year 3

Cover is negative in Year 1 and 0.91 times in Year 2. The term must be agreed at the outset

Working capital facility committed at drawdown

Trading through the ramp

Growers are paid in 7 days and customers pay in 38. The facility is fully drawn by Year 4