Business Proposal For Nana Yaa Duodu

BUSINESS PLAN FOR SALIM FARM’S CASHEW NUT PROJECT
2014 INITIATIVE
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BUSINESS PLAN FOR SALIM FARM’S

CASHEW NUT PROJECT INITIATIVE
PREPARED FOR: MINISTRY OF FOOD AND AGRICULTURE
PREPARED BY: SALIM FARMS

PROJECT & RESEARCH COORDINATOR,
MRS NANA YAA DUODU.
NANA YAA DUODU

SALIM FARM’S COMPANY LIMITED
11/28/2014
INITIATIVE
November 28, 2014
Mr. Fiifi Fiavi Kwetey
Ministry of Food & Agriculture
P.O. Box M 37
Accra
Dear Mr. Kwetey,
I really enjoyed meeting you last Wednesday to deliberate on the possibility of venturing
into the cultivation of cashew nuts on an hundred acres of land at Kuntunse which is situated in
the eastern corridors of Ghana. As you are well aware of, the profit margins/market share on
cashew plantation have been encouraging for the past couple of years, with practically high hopes
for future gains as far as the global market is concerned.
You will concur with me that the incumbent government is quite flexible in permitting
vibrant and record-proven Agriculturist/Cash Crop Growers, specifically Agronomists to
transform more agricultural lands into useful ventures such as the cultivation of cashew nuts
(Anarcadium occidentale) via other cash crops such as Black Pepper (Piper nigrum), Sunflower
(Chrysanthemum cineraiifolium), Pineapple (Anonas squamosa) just to mention a few which has
the propensity to not only boost the economy (foreign exchange obtained through the export of
such commodities) but also put smiles on the faces of the populace frequently bedeviled with
unemployment enigma. The hundred acres of land owned by Salim Farms at the eastern part of
Kuntunse is a strategic locality for cultivation of the afore-mentioned crop due to the prevalence
of deep well-drained sandy loamy soil, low temperatures, high humidity and adequate pH range
deemed pivotal for the crop to thrive.
Salim Farms commenced operation about a decade ago in the precincts of the Mpohor
Wassa West District in the Western part of Ghana after it realized the crop in contention was
gaining grounds on the global market with respect to its profit margins, market share via
competitive advantage at the expense of other tree crops like tangerine (Citrus sp), mango
(Magnifera indica), Indian Almond (Terminalia catappa) just to mention a few. In the strict
perspective, we are on top of our game as regards creating myriads of employment for the teeming
youth of our society as well as attracting foreign exchange through the export of the commodity
in contention. We pride ourselves of the service that we deliver, and have been extremely
successful with it for the past few years. Currently, we have cultivated over 250 acres around the
plains and valleys, all with enviable turn-around time and optimum profitability in the long run.
SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 2

INITIATIVE
Please be mindful of the fact that contributing in the form of making funds available for
this initiative in the absence of the services of an experienced Agronomy outfit like Salim Farms
in this perspective could cost you a fortune in terms of time and cost overruns, per capital income
and most significantly, a chunk of the unemployed populace not getting employed which will
invariably lead to some of them getting acquainted with certain nefarious activities such as drug
addiction, vagrancy and other nefarious activities etc.
Crop husbandry is a costly, strategic, tactical and time-consuming investment. It is in lieu

of this trickiness that we come in strongly. Our experience over the years coupled with our in-
depth knowledge of tax exemptions/holidays for those engaged in crop production while utilizing
quite appreciable acres of land for cashew nut cultivation vis-à-vis our proven conformance to
quality standards as far as tree crop cultivation/business is concerned, including the strict
regulations/legislations enacted by the Ministry of Agriculture & Trade in this perspective, puts us
on a congenial platform and the best option for the cashew nut initiative in contention. To hit the
nail rightly on the head, every project on tree crop cultivation we have embarked on has been
executed and accomplished on time, which epitomizes we are on track and budget. We also boast
of our dedication, industriousness, quality standards (ISO 9000 & QS 9000) conformance and not
only our acumen to get the job done, but also getting it done right.
I have attached a project initiative proposal for you to peruse through and make your
tentative assessment. It is by no mean all inclusive, but it should give you a better idea what our
perception is for the initiative in contention as well as the costs and benefits involved.
I look forward to hearing from and meeting you again.
Sincerely,
{………………………..}
Mrs. Nana Yaa Duodu
(Project & Research Coordinator)
Salim Farms Company Limited
P.O. Box 1425
Accra-North
E-mail: nanayaa.duodu@gaslghana.com
TABLE OF CONTENTS
Cover Letter…………………………………………………………………………………..2

INITIATIVE
Table of Contents………………………………………………………………………….....4
Statement of Confidentiality & Non-Disclosure…………………………………………….8
Executive Summary………………………………………………………………………….9
1. Company Background………………………………………………………………….10
2. Identification of Needs & Opportunity………………………………………………...11
2.1 Additional Requirements……………………………………………………………….12
2.2 Assumptions…………………………………………………………………………….13
2.3 Ministry of Food & Agriculture Needs.……….………………………………………..13
2.4 Project Scope……………………………………………………………………………14
3. Proposed Strategy or Plan……………………………………………………………...14
3.1 Objectives……………………………………………………………………………….14
3.2 Strategy………………………………………………………………………………....14
3.2.1 Deliverables………………………………………………………………………...16
3.2.2 Kuntunse Cashew Nut Initiative Project Team………………………………….....16
4. Why Choose Salim Farm’s Company Limited……………………………………….16
4.1 Benefits of Our Proposed Plan………………………………………………………....16
4.2 Competitive Advantage………………………………………………………………...17
4.3 Team Qualifications……………………………………………………………………17
4.4 Success Story…………………………………………………………………………...17
5. Implementation Plan…………………………………………………………………...18
5.1 Methodology…………………………………………………………………………...18
5.2 Scheduling……………………………………………………………………………...18
5.3 Testing & Evaluation………………………………………………………………….19
5.3.1 Performance Metrics……………………………………………………………....20

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6. Costs or Budget………………………………………………………………………...20
6.1 Cost Breakdown…………………………………………………………………........20
6.2 Payment Terms………………………………………………………………………..21
6.2.1 Guarantees…………………………………………………………………………..21
7. Conclusion……………………………………………………………………………...22
Appendix A………………………………………………………………………….........23
Appendix B…………………………………………………………………………….....Nil
Appendix C………………………………………………………………………….........Nil
Appendix D………………………………………………………………………….........Nil
Appendix E………………………………………………………………………….........Nil
Appendix F…………………………………………………………………………..........24
LIST OF FIGURES

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Figure 3.1 Porter’s Five Forces Model 15
Figure 3.2 Flow Chart for Cashew Nut Cultivation 28
LIST OF TABLES

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Table 2.1 Timeline Requirements 12
Table 2.2 Cost Requirements 10
Table 5.1 Proposed Project Schedule 19
Table 6.1 Cost Breakdown for the Kuntunse Cashew Nut Project Initiative 20
STATEMENT OF CONFIDENTIALITY & NON-DISCLOSURE
This document contains proprietary and confidential information. All data submitted to the
Ministry of Food and Agriculture (MOFA) is provided in reliance upon its consent not to use or

INITIATIVE
disclose any information contained except in the context of its business dealings with Salim Farm’s
Company Limited. The recipient of this document agrees to inform present and future employees
of the Ministry of Food and Agriculture who view or have access to its client of its confidentiality.
The recipient agrees to instruct each employee that they must not disclose any information
concerning this document to others except to the extent that those such matters are generally known
to, and are available for use by, the public. The recipient also agrees not to duplicate or distribute
or permit others to duplicate any material contained herein without Salim Farm’s Company
Limited’s express written consent.
Salim Farm’s Company Limited retains all title, ownership and intellectual property rights
to the materials and trademarks contained herein, including all supporting documentation, files,
marketing materials, and multimedia.
BY ACCEPTANCE OF THIS DOCUMENT, THE RECIPIENT AGREES TO BE

BOUND BY THE AFORE-MENTIONED STATEMENT
EXECUTIVE SUMMARY
Salim Farm’s Company Limited is pleased to present the Ministry of Food and Agriculture
(MOFA) with the Business Plan for the Cashew Nut Initiative Project at Kuntunse. We understand

INITIATIVE
the dynamics and complexities surrounding the cultivation of cash crop such as cashew in the
midst of the prevailing economic hardship confronting the populace, insufficient funds allocated
by this august ministry for such a venture as well as the inability of some cash crop growers to put
funds given to them by the ministry into effective utilization with the rationale of yielding
dividends in the long run which will ultimately not only help alleviate the unemployment enigma
but also boost the economic fortunes of the populace in Ghana vis-à-vis the intense rivalry that
emanates from other sister agricultural outfits such as Regimanuel Gray Farms, Kingdom Farms,
Farm Huni Valley, Farm Vivian just to mention a few interms of soliciting for funds for the same
purpose.
We believe that the cashew nut market has been very encouraging, attractive, lucrative and
in a state of augmentation in terms of profit margins and that we are uniquely and strategically
positioned to successfully convert an hundred acres of land owned by our outfit into the cultivation
of cashew nuts deemed fit to address the teething problem associated with the lack of raw materials
for the fruit industry known to manufacture juice and the processing of the nuts for commercial
purposes.
Having duly examined the favorable conditions prevailing at the Kuntunse locality, our
unique abilities and achievements spelt out in the cover letter make us highly eligible and
invaluable candidate for assistance (funds allocations) in this perspective.
We look forward to forming a mutually rewarding relationship with you.
1. COMPANY BACKGROUND

INITIATIVE
Salim Farm’s Company Limited (SFCL) was established in June, 2004 by the SFCL Group
of Companies. SFCL (www.sfcl.com) is one of the premier cash crop growing outfits of the so-
called SFCL fraternity which is scattered across the country. Our unique blend of the inculcation
of merchantable cash crop cultivation techniques coupled with the state-of-the-art agronomic
innovations (hybrid vigor/true-to-type/high yielding cultivars, availability of marketing
opportunities) as well as the effective utilization of farm machinery and tools known for their
efficiency, high production capacity rate, robustness in terms of withstanding weather vagaries,
conformance to quality standards, Customer Satisfaction Management (CSM), Total Quality
Management (TQM), Zero Defects or Defect Reduction to the Six Sigma Level, Continuous
Improvement schemes as the strict adherence to the posits of motivational gurus like Abraham
Maslow’s Need Hierarchy, Vroom’s Expectancy Theory of Motivation, Human Relation &
Resource Models/Theories just to mention a few makes us stand tall at the expense of our
competitors in the cash crop/fruit growers industry.
We have been quite successful in cultivating 300 acres of cash crops in most of the regions
known to provide a congenial environment for the cultivation of cashew nuts in Ghana.
Salim Farm’s Company Limited currently serves 2000 clients in all the regions of the
country and employs a little over 500 people in the Greater Accra Region of Ghana. It has won
numerous awards for its corporate branding, superior quality standards, state-of-the-art
technological innovations, exceptional customer relation and satisfaction management
(CRM/CSM) as well as its current listing on the Ghana Stock Exchange (GSE).
MISSION STATEMENT
Reengineering and transforming the face of cash crop cultivation such as cashew nuts in Ghana
and beyond.
The company’s mission statement is to cultivate over 1000 acres of cashew nuts to meeting
the ever-increasing demands of the fruit industry needs via the creation of employment
opportunities for the teeming unemployed youth in our society as well as the augmentation of the
SFCL profit margins/market share by 40% within the next 5 years.
SERVICES/PRODUCTS PROVIDED
SFCL cultivates the following under-listed crops in addition to the afore-mentioned commodity
 Citrus fruits like tangerine, orange etc.

 Pineapple (Anonas squamosa)
 Hot/Sweet Pepper (Capsicum frutescens/Capsicum annum)
 Shallots/Garlic/Onions (Allium spp)
 Avocado (Persia americana)

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 Black Pepper (Piper nigrum)
OFFICE LOCATION
 Accra- Cantonments near the Italian Consulate/Embassy {Headquarters}
BRANCHES
 Kumasi near the HFC Bank and adjacent to the A & Z Shopping Mall
 Sunyani, Atebubu-Amantin near the Municipal Assembly Building
 Takoradi close to the Market Circle
 Half Assini near the Elf Filling Station and directly to the Pill Box Pharmaceutical outlet
CERTIFICATIONS/ACCREDITATIONS/MEMBERSHIPS
 Member of the Association of Cash Crop Growers in Ghana (ACCGIG)

 International Association for the Cultivation of Cash Crops (IACCC)
 Consortium of Fruit Growers in Africa (COFGIA)
AWARDS
 Malcolm Baldridge Performance Excellence Award, Washington (2010)

 Certificate of Excellence for the Best Practices in Agronomy (2011)
 Overall Best Cash Crop Production Company in Ghana (2012)
2. IDENTIFICATION OF NEEDS & OPPORTUNITIES
Salim Farm’s Company Limited (SFCL) understands the needs of the Ministry of Food &
Agriculture (MOFA) to be as such:
GENERAL REQUIREMENTS
The non-existence of record-proven cash crop growing outfits to effective utilized funds
made available to them by the ministry in contention.
TECHNICAL REQUIREMENTS
Lack of up-to-date machinery/tools and personnel’s with record-proven technical acumen

to live up to their billing as far as the total transformation of the cash crop growers in Ghana is
concerned.
REPORTING/MONITORING METHODS

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Tool that will be employed in this category include:
 Schedule Change Control System

 Performance Reports
 Activity Duration Estimates
 Progress Reporting
EVALUATION METHODS
Again, the method deemed fit as regards the activities involved in the project are listed
categorically as below:
 Analogous Estimating
 Expert Judgment
 What-If Schedule Analysis
 Variance Analysis
Table 2.1 TIMELINE REQUIREMENTS
Business Plan Supplier Project Initial Review Project

Submittal Selection Commencement Completion
th
30 Nov. 2014 22ndJan. 2015 3rd Mar. 2015 4th Jun. 2015 28th Jul 2020
Table 2.2 COST REQUIREMENTS
Monthly Budget Total Budget Budget Overrun Penalty

GHC 10,000.00 GHC6,000,000.00 25% of Monthly Budget
Deduction
2.1 ADDITIONAL REQUIREMENTS
Salim Farm’s Company Limited has identified the following requirements that should be
met in order to successfully complete this project:
 Tax Holidays for the Cashew Nut Venture

 Sufficient Funds Availability (Ministry of Food & Agriculture)
2.2 ASSUMPTIONS

INITIATIVE
The following assumptions were made when preparing the proposal:
(1) Salim Farm’s Company Limited employees will be willing to change business operations to take
advantage of the functionality offered by the state-of-the art agricultural technology and
innovations.
(2) Management will ensure that project team members are available as needed to complete project
tasks and objectives.
(3) Failure to identify changes to draft deliverables within the time specified in the project timeline will
result in project delays.
(4) Project team members will adhere to the Communications Plan that will be developed.
(5) Mid and upper management will foster support and “buy-in” of project goals and objectives.
(6) All project participants will abide by the guidelines identified within the project plan that will be
produced.
2.3 MINISTRY OF FOOD & AGRICULTURE NEEDS
The ministry of Food and Agriculture has the opportunity to augment its market share,
profit margins from the funds to be allocated for the Kuntunse Cashew Nut Initiative Project. If
successfully accomplished, our strategy can yield an increment of approximately 35% of its Return
On Investment (ROI) within the next 2 years.
After analyzing different scenarios and taking cognizance of the strengths and expertise of
both corporate entities, we envisage 2 additional potential opportunities:
 Revitalizing of our Social Corporate Responsibility in the Kuntunse locality

 Augmentation of Return On Capital Employed (ROCE)
Industry trends, notably a sharp increase in the demand for more cashew nuts and other
cash crops, have shaped our proposed strategy as described earlier. Salim Farm’s Company
Limited will be instrumental in helping the Ministry of Food and Agriculture (MOFA) reach a new
market, address its clients’ needs and stave off the threats of other players in the public sector who
are hankering for such funds intended for other developmental ventures within the economy.
2.4 PROJECT SCOPE

INITIATIVE
The project will involve over 5 Ministry of Food and Agriculture employees and require
the coordination of 4 departmental units in offices located in Kumasi, Takoradi, Koforidua and
Sunyani.
Pursuing the cultivation of cashew nuts opportunity, will dramatically effect profit margins
and ROCE.
3. PROPOSED STRATEGY OR PLAN
3.1 OBJECTIVES
We have analyzed our present market situation (market and competitor analysis) and of the
candid opinion that the under-listed objectives can be achieved:
 Increment in market share

 Enhancement in profit margins
 Augmentation of the company’s ROCE & ROI
 Congenial competitive advantage
3.2 STRATEGY
Porter’s Five Force Model will be adopted to boost SFCL’s market share, profit margins
via its competitive advantage both in the short and long term. The Porter's Five Forces tool is a
simple but powerful tool for understanding where power lies in a business situation. This is useful,
because it helps an organization understand both the strength of its current competitive position,
and the strength of a position it’s considering moving into.
With a clear understanding of where power lies, an organization can take fair advantage of
a situation of strength, improve a situation of weakness, and avoid taking wrong steps. This makes
it an integral part as far as the success of the Kuntunse Cashew Nut Project Initiative is concerned.
Five Forces analysis assumes that there are five important forces that determine competitive power
in a business situation. These are:
 Bargaining power of suppliers

 Threat of new entrants (Industry & Government Profitability)
 Intense competition and rivalry among existing competitors
 Bargaining power of buyers (clients)
 Threat of substitute product/services
The above strategy can be illustrated diagrammatically as below:

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Figure 3.1 Porter’s Five Forces Model {Source: www.mindtools.com}
By critically thinking about how each segment of the forces listed above affects SFCL
market share and profit margins, and by identifying the strength and direction of each force, SFCL
can quickly assess the strength of its position and the ability to make a sustained profit in the
Kuntunse Cashew Nut Project Initiative thereby making it possible to meet the ever increasing
demand of cashew nuts by the populace across the ranks and file of Ghana which will ultimately
put SFCL ahead of the competition (competitive advantage) as far as the Cash Crop Cultivation
business is concerned.
3.2.1 DELIVERABLES
In the course of the project, we will deliver the following:
 First constructed 10 bore holes to the Kuntunse community

 Construct 5 classroom blocks within the projects’ locality
 Intermittent medical screening exercises for the folks in that locality

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3.2.2 KUNTUNSE CASHEW NUT PROJECT INITIATIVE TEAM
This project will be overseen by Mrs. Nana Yaa Duodu, Project & Research Coordinator.
He will be in charge of coordinating activities and reassigning of resources pertaining to the project
and will make the work done by the following teams:
Team A- Manager: Wilfred Attipoe
Members: Akosua Opuni Frimpong, Project Team Member, Confidence Ahadzie, Project Team
Member & Albert Dugan, Project Expeditor
Main Tasks: Project Team: (a) Planning and executing the project.
Project Manager: (a) Ensuring that the project team completes the project.
Project Team Members: (a) Executing tasks and producing deliverables outlined in the project plan
and directed by the Project Manager, at whatever level of effort participation has been defined for
them.
Team B- Manager: Chris Kpodo, Project Manager Members: Theophilus Akoto, Project Leader,
Ama Bonsu, Project Expeditor & Philip Odartey Wellington, Functional Manager
Main Tasks: Same as those of Team A.
4. WHY CHOOSE SALIM FARM’S COMPANY LIMITED
4.1 BENEFITS OF OUR PROPOSED PLAN
When comparing our capabilities to that of competitors, the benefits of choosing SFCL
are quite enormous. Nevertheless, a few of these are categorically listed as below:
o Improvement in business model

o High ROCE/ROI, monthly cost savings
o Strong work ethics and client loyalty
o Hybrid vigor/true-to-type/resistant cultivars/early maturing crops
Low implementation cost which will invariably culminate into an enviable competitive
advantage in the midst of intense rivalry and competition from other radical players in the cash
crop cultivation fraternity.
Please kindly refer to the Appendix F to verify a few of the pictorial views of SFCL
plantations, its harvested produce and processed nuts for export/commercial purposes.
4.2 COMPETITIVE ADVANTAGE

INITIATIVE
The following are competitive advantages that differentiate Salim Farm’s Company
Limited from other cash crop grower’s outfits such as brand awareness, image, identity, industry
recognition, trust just to mention a few.
4.2.1 EXPERTISE & STABILITY
Our company prides itself of highly knowledge workforce such as skilled labor,
technological skills, power house solution, and high quality standards due to the numerous awards
it has chalked over the years.
4.2.2 TECHNOLOGY
With regards to technological advancements, we are endowed with the following under-
listed attributes: (a) Flexibility (b) Scalability (c) Reliability (d) Features & Functionality of Raw
Materials/Farm Machinery/Tools used for our agronomic operations (e) Success track records of
previous production executed by our outfit and lastly but not the least (f) Loyal client base.
4.2.3 CUSTOMER SERVICE
First class service, 24/7 Support, Excellent client recognition (Enhanced Customer
Satisfaction Management) are some of our core tenets and what we stand for as far as SFCL
activities is concerned.
4.3 TEAM QUALIFICATIONS
4.3.1 KEY TEAM MEMBERS
 Freeman Turkson, BSc. Agriculture {For resume, please refer to Appendix B}

 Joshua Agambilla Ayerigi Atariga, BSc. Food & Nutrition Technology {For resume,
please refer to Appendix B}
 Timothy Chinery Hesse, BSc. Agric Engineering {Please refer to Appendix B for resume}
 Ransford Osei Akoto-Bamfo, BSc. Natural Resources {Please refer to Appendix B for
resume}
 Abdulai Yakubu, National Diploma in Post Harvest Technology {Please refer to Appendix
B for resume}
4.4 SUCCESS STORY
Salim Farm’s Company Limited (SFCL) has worked on similar projects in the past and has
successfully cultivated 400 acres of cashew nuts. Most notable relevant experiences include the
Ashiyie Cashew Nut Development Project where we have cultivated close to 100 acres of arable
lands.

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For detail case studies and testimonials, please see Appendix C and D respectively. For our
full client list, please see Appendix E.
5. IMPLEMENTATION (OPERATION) PLAN
The implementation plan for the Kuntunse Cashew Nut Project Initiative will have the following
parameters listed as below:
 Task – List of project tasks

 Percentage Completed – Lists the percentage of each task completed
 Status – task status such as: Completed, on schedule, behind schedule, cancelled
 Day Started – Date task begun
 Day to Be Completed – Estimated date of task completion
 Actual Completion Date – Date task was completed
 Task Assignment – Name of task owner
 Priority – Task priority such as High, Medium or Low
 Milestone – Yes or No to indicate if this is a milestone task
 Notes
 Task Number
 Task Predecessors which can also be illustrated diagrammatically in grids of columns and
rows or by the effective utilization of MS Project Software.
5.1 METHODOLOGY
We have the opportunity to follow the time, scope, cost and quality management methods
of work in this proposed project. The deliverables shall be provided according to the following
methodology because of its reliability, high success rate and cost effectiveness.
5.2 SCHEDULING
In order to initiate this plan, we first need to be mindful of the milestones, task durations,
and action items (with deadlines and responsibilities) of the project. It will then be possible to
proceed with the schedule development and control which will allow us to prevent both time and
cost overruns which will eventually lead to timely completion of the project as scheduled within
the stipulated time period.
We expect to complete this project in 5 years. A proposed schedule is summarized in the

table as below:
Table 5.1 Proposed Project Schedules
Activity Activity(Short Dependency Duration Start Progress End

ID Description) (ID of Date Report or Date

INITIATIVE
related Midpoint
activity) Review
1 Activity Milestones 1825 Days 3rd April, Weekly 28th
Definition, (5 Years) 2015 April,
2 Activity Project 2020
Sequencing, schedule
3 Activity network
Resource diagram
Estimating, Resource
4 Activity breakdown
Duration structure
Estimating, Activity
5 Schedule duration
Development estimates
6 & Schedule Schedule
Control baseline
Performance
measurements
5.3 TESTING & EVALUATION
Testing phases should debut when the cultivation/implementation phase has been executed
and should ensure successful management of the following elements: (a) Cost (b) Time (c) Scope
and (d) Quality of the Project.
Evaluation will take place on weekly basis. Activity Resource Estimating which deals with
the resource requirements of the project which will be followed closely by Activity Duration
Estimating that seeks to accentuate on the estimation of the project and lastly but not the least,
Schedule Control which lays much emphasis on the schedule updates of the project.
The following reports will be produced on a weekly basis by using schedule baseline,
performance reports, progress reporting as well as performance measurement tools so as to enable
the project to stay on track as regards its triple constraint management (time, cost, scope).
5.3.1 PERFORMANCE METRICS
The following metrics will be used to measure the success of this project:
 Past results (Historical data will be used as a benchmark)

 Industry benchmarks or averages
 Set goals & requirements

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 Desired improvement in production levels, quality or cost

 Behavioral based parameters such as (a) Increases attendance (b) Number of calls
received (c) Number of complaints (d) Change in customer behavior/buying
patterns
 Cost based such as (a) Conversion rate (proportion of customers who perform a
specific function) (b) ROI (c) Production costs
 Based on brand variables like (a) Customer satisfaction level (b) Customer’s
impression of service (c) Customer loyalty level
 Hybrid (Combination of the above-mentioned factors)
6. COSTS/BUDGETS
6.1 COST BREAKDOWN
Based on our analysis of MOFA needs and the nature of our proposed plan, the total funds
required are estimated at GHC 6,000,000.00. The cost breakdown is detailed in the table below:
 Estimated Man Hours: 8 hours per day excluding Saturdays & Sundays
 Total Estimated Project Duration: 60 months
 Estimated Daily Cost: GHC 3,333.33
Table 6.1 Cost Breakdown for Kuntunse Cashew Nut Project Initiative
Cost Element Amount {GHC}

Machinery & Equipment 3,000,000.00
Raw Material 250,000.00
Production & Overheads 500,000.00
Labor: 950,000.000
(i) Project Manager
(ii) Project Coordinator
(iii) Team A
(iv) Team B
(v) Team C
Maintenance Labor 200,000.00

Intellectual Property (e.g. 50,000.00
Trademarks, domain names, patents)
Permits & Licences 100,000.00
Third Party Services 150,000.00
Training 180,000.00
Annual/Monthly Maintenance Fee 120,000.00
(5-Year Period)

INITIATIVE
Travels 150,000.00
Utilities (e.g. long distance 150,000.00
communications, fax, internet connection)
Unforeseen Emergencies (Contingency 200,000.00
Reserves)
TOTAL 6,000,000.00
6.2 PAYMENT TERMS
All equipment, production and general costs (e.g. travel expenses), and man-hours used to
complete this project will be billed. This proposal provides an estimate of total costs. All amounts
exceeding this quotation are subject to the approval of the Ministry of Food and Agriculture
(MOFA).
Payments shall be made 30 days after receipt of invoice. An initial amount of GHC
3,500,000.00 is required to start the project. All late payments will be subjected to a 2.5% monthly
deduction or charge or the maximum permitted by law. A discount of 15% shall be applied to early
payments. Payments must be remitted by cash, bank wire, certified or cheques and must be made
payable to Salim Farm’s Company Limited (SFCL) banker’s (SSB Societe Generale) and Ecobank
Limited.
6.2.1 GUARANTEES
Salim Farm’s Company Limited (SFCL) shall offer the following guarantees:
 Kuntunse Cashew Nut Project Initiative will be completed between 3rd and 4th
quarter of 2019.
 If SFCL exceeds the total cost estimate by GHC 5,000.00, it will be subject to a
penalty fee of 5% of exceeding amount.
 The Project Management Team will adhere to ISO/QS 9000 quality standards
requirements; if this is not the case, Salim Farm’s Construction Company Limited
will be subject to a penalty of 10% of the total amount required for the completion
of the project in contention.
TAKE NOTE:{PLEASE REFER TO APPENDIX A, B, C, D, E & F FOR THE

SUPPORTING DOCUMENTS DEEMED FIT FOR THIS PROPOSAL}
7. CONCLUSION

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SFCL is confident that our proposed funds will be effectively utilized for its intended
purpose of meeting the ever increasing demand for cashew nuts which will undoubtedly boost the
confidence level of the cash crop growers’ vis-à-vis assisting in the area of unemployment as well
as generating lots of foreign exchange for the economy of Ghana and beyond.
We sincerely hope that the Ministry of Food and Agriculture (MOFA) will consider us as
long time partner and allow us to enter into a mutually beneficial relationship. We are available to
answer any questions you may have and look forward to discussing this opportunity further.
After reviewing this document, the following steps should be performed in order to come
to a final agreement:
 Submission of questions/suggestions
 Counter proposal or approval by the Ministry of Food and Agriculture
 Negotiations of fees, terms, clauses and conditions
We declare this offer to be binding and free of errors or omissions. Due diligence has been
performed in order to ensure compliance with your requirements and particular situation.
We agree to hold our proposal open for acceptance until the 31th of January, 2015. Thank
you for your interest.
Sincerely,
{……………………...}
Mrs. Nana Yaa Duodu
(Project & Research Coordinator)
Salim Farm’s Company Limited
APPENDICES
 Supporting information e.g. third party studies, quotes, research or test results
 Project workflow diagrams or installation schematics
 Financial Projections or supporting calculations
 Success story: Information about similar projects completed and their results

INITIATIVE
 Testimonials from clients, letters of references, newspaper clippings, press

releases and reviews
 Accreditations/Certificates
 Employee resume
 Company milestones
 Additional terms and conditions
 Limitations of Liability
 Application Law and lastly but not the least
 Disclaimer
APPENDIX F: BELOW ARE A FEW OF SOME OF OUR PLANTATION

PICTORIAL VIEWS, FLOWCHART FOR THE CULTIVATION OF
CASHEW NUT & HARVESTED PRODUCE OF THE SALIM FARM’S
COMPANY LIMITED OUTFIT

INITIATIVE

INITIATIVE

INITIATIVE

INITIATIVE

INITIATIVE

INITIATIVE

INITIATIVE
FLOWCHART FOR THE CULTIVATION OF CASHEW NUT
Selection of Site
Soil & Water Testing
Land Preparation
Layout-Alignment, Digging of Pitch, etc.
Selection of Planting Materials from the Nursery
Planting in the Main Field
Care after Planting-Watering, Manuring, Plant Protection

etc.
Trimming & Pruning
After Care of Plantation in Inter-Cultivation
Intercropping
Cropping-Flowering & Fruiting {4th/5th Year}

INITIATIVE
Plant Protection during Flowering & Fruiting
Harvesting-Harvest Indices & Care after Harvesting
Post-Harvest Operations
Figure 3.2 Flow Chart for Cashew Nut Cultivation

Business Proposal For Nana Yaa Duodu

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BUSINESS PLAN FOR SALIM FARM’S CASHEW NUT PROJECT

BUSINESS PLAN FOR SALIM FARM’S

PREPARED FOR: MINISTRY OF FOOD AND AGRICULTURE

PREPARED BY: SALIM FARMS

NANA YAA DUODU

November 28, 2014

Mr. Fiifi Fiavi Kwetey

Ministry of Food & Agriculture

Dear Mr. Kwetey,

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 2

Crop husbandry is a costly, strategic, tactical and time-consuming investment. It is in lieu

I look forward to hearing from and meeting you again.

Mrs. Nana Yaa Duodu

(Project & Research Coordinator)

Salim Farms Company Limited

P.O. Box 1425

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 3

Statement of Confidentiality & Non-Disclosure…………………………………………….8

2. Identification of Needs & Opportunity………………………………………………...11

2.1 Additional Requirements……………………………………………………………….12

2.3 Ministry of Food & Agriculture Needs.……….………………………………………..13

2.4 Project Scope……………………………………………………………………………14

3. Proposed Strategy or Plan……………………………………………………………...14

3.2.2 Kuntunse Cashew Nut Initiative Project Team………………………………….....16

4. Why Choose Salim Farm’s Company Limited……………………………………….16

4.1 Benefits of Our Proposed Plan………………………………………………………....16

4.2 Competitive Advantage………………………………………………………………...17

4.3 Team Qualifications……………………………………………………………………17

4.4 Success Story…………………………………………………………………………...17

5.3 Testing & Evaluation………………………………………………………………….19

5.3.1 Performance Metrics……………………………………………………………....20

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 4

6.1 Cost Breakdown…………………………………………………………………........20

6.2 Payment Terms………………………………………………………………………..21

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 5

Figure 3.1 Porter’s Five Forces Model 15

Figure 3.2 Flow Chart for Cashew Nut Cultivation 28

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 6

Table 2.1 Timeline Requirements 12

Table 2.2 Cost Requirements 10

Table 5.1 Proposed Project Schedule 19

STATEMENT OF CONFIDENTIALITY & NON-DISCLOSURE

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 7

BY ACCEPTANCE OF THIS DOCUMENT, THE RECIPIENT AGREES TO BE

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 8

We look forward to forming a mutually rewarding relationship with you.

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 9

 Citrus fruits like tangerine, orange etc.

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 10

 Black Pepper (Piper nigrum)

 Accra- Cantonments near the Italian Consulate/Embassy {Headquarters}

 Member of the Association of Cash Crop Growers in Ghana (ACCGIG)

 Malcolm Baldridge Performance Excellence Award, Washington (2010)

2. IDENTIFICATION OF NEEDS & OPPORTUNITIES

Lack of up-to-date machinery/tools and personnel’s with record-proven technical acumen

SALIM FARM’S CASHEW NUT PROJECT INITIATIVE BUSINESS PLAN Page 11

Tool that will be employed in this category include:

 Schedule Change Control System

Table 2.1 TIMELINE REQUIREMENTS

Business Plan Supplier Project Initial Review Project

Table 2.2 COST REQUIREMENTS

Monthly Budget Total Budget Budget Overrun Penalty

2.1 ADDITIONAL REQUIREMENTS