Agro-processing business is one very profitable business any entrepreneur can go into.

If you intend
starting a rice mill production business, then you must be sure of making a huge loads of money within a
very short period of time. This is because rice is one of the most popular foods today in the world; this is
why this business would be very profitable for you. Below is a sample rice mill production business plan
for your use;A Sample Rice Processing Mill Business Plan Template

Table of Content

1 Industry Overview

2 Executive Summary

3 Our Products and Services

4 Our Mission and Vision Statement

5 Job Roles and Responsibilities

6 SWOT Analysis

7 MARKET ANALYSIS

8 Our Target Market

9 Our Competitive Advantage

10 SALES AND MARKETING STRATEGY

11 Sales Forecast

12 Publicity and Advertising Strategy

13 Startup Expenditure (Budget)

14 Sustainability and Expansion Strategy

Industry Overview

Rice milling is a very important process in post-production, as this is when the husk and bran layers are
removed to then produce edible white rice that free of impurities. However, milling of the rice is usually
dependent on the preference of the customers, which would invariably affect how many milling
processes the rice would have to go through.
Rice milling businesses have grown over the years in the united states of America and this is due to the
fact that rice is the staple food of most countries of the world, and is eaten almost every day and
especially during special occasions. Fortunately, since there hasn’t been any alternative to rice, this is a
business that would continue to boom for a long time.

Even though most of the rice consumed in some countries is imported, however in the United States of
America, it is a different ball game. There is large rice farms where rice is harvested locally, thereby
ensuring that the rice can be milled locally.

The milling production is one that can help in employing several hands that would help boost the
economy and also help increase the per capita income of those employed as well as their dependants.
Even though this is a profitable business to go into, it is also very competitive as more entrepreneurs are
seeing the benefit this sort of business poses as a worthwhile investment.

Executive Summary

Trice Rice Mill Production is a business that is legally registered and licensed operating in Idaho. We
were duly registered in the United States of America and have also carried out all the local requirements
needed from us here in Idaho.

The services offered by our company include milling of rice depending on the specification of the
individual client. We cater largely to producers and sometimes wholesalers because they know what the
market needs are. Other products and services that are offered by us include the sale of the rice hull,
bran layers, rice germ as well as fine broken which are all by products gotten from milling the rice. We
also provide storage facilities as well.

Due to the fact that the market is not only profitable but competitive as well, we strive to always give
quality service to our customers, this we do by listening to their requirements and also passing along
advices and tips that might best make them become better, while also listening for suggestions to
improve our business as well.
Our rice mill production business premises are in a location that is convenient for our customers to get
to as well as our employees as well.

We constantly seek for ways, by which our services can be improved, from our milling machines and
storage facilities to our customer services and even our price rates. We also do not compromise on
integrity as we adhere strictly to the company’s corporate culture at Trice Rice Mill Production Ltd.

In increasing our customer retention, we are fully aware of the importance of loyal customers and how
they help grow the bottom line of a business. We have several strategies in place for our loyal customers
especially those who help refer new customers to Trice Rice Milling Production Ltd.

Our customers will also be constantly informed of changes carried out as well as receive tips from us as
we plan on seriously engaging them through our website and social media platforms, even as we intend
to deploy customer management software that will help ensure that our customer database is up to
standard.

Trice Rice Mill Production Ltd is owned and managed by two people, Mr. Godwin Kublo and Mr. Bull
John with vast knowledge in this industry and who are partners in the business. Financing the business
will be done by the two partners, with loans sourced from lending institutions and private investors.
Both partners will be actively involved in the day to day running of the business.

While Mr. Godwin Kublo has a Masters’ Degree in Business and a Project Management Certification; Mr.
Bull John has a degree in Agricultural Economics and an MBA. Both have a cumulative business
experience that spans over 25 years in the industry, and this will help bring the needed experience
required to run this business.

Our Products and Services

Trice Rice Mill Production Ltd is a company that has a standard license and is also fully registered, and
like every other business out there its aim is to minimize cost while maximizing profit and output.
Asides, rice milling, it will also seek to engage in other services.
The products and services that will be made available to customers include;

Milling Rice

Sale of Milled Rice By-products

Storage Facilities

Transport Facilities

Our Mission and Vision Statement

Our vision is to become the foremost rice milling production plant in states that have rice farms.

Our mission is to ensure that we deploy the best milling machines in ensuring that our customers get the
best service from us.

We also intend to provide the best customer service so that our customers not only come back, but
refer new clients to us as well, thereby giving us an edge over our competitors.

Our Business Structure

Trice Rice Mill Production Ltd intends to become a well known brand nationally, which means we not
only intend to be well known in Idaho State but also beyond the environs of the state. This will be
achieved through our various strategies aimed at ensuring we achieve that claim.

We know how important our customers are, and so while we develop other important strategies aimed
at moving the company forward, we will put our customers first by ensuring that we provide a quality
customer service that is second to none. Aside from promptly attending to the complaints and enquiries
of our customers, we intend to use the best CRM software that will help in providing this quality service.

While treating our external customers is topmost, we intend to also give a high priority to our internal
customers, such as our employees and stakeholders, for we know how important having dedicated
employees with the right attitude is.

We intend to ensure that our employees in all our locations understand our corporate culture as well as
our vision and objectives. We intend to employ those with the right skill set and understanding of our
policies into these positions;
Managing Directors

Rice Mill Production Manager

Floor Supervisor

Accountant/Cashier

Admin and Human Resource Manager

Quality Inspector

Machine Operators

Store Manager

Machine Maintenance Workers

Truck Driver

Security Guard

Job Roles and Responsibilities

Managing Directors (Owners):

See to the day-to-day management of the business, which includes direction, supervision and human
resource issues; while carefully contributing to the interest of the business.

Responsible for ensuring that contracts with business partners and clients are negotiated in favor of the
business.

Ensuring that the agreements and obligations of the duly monitored and fulfilled according to the
practice of the business

Responsible in ensuring that bills, payroll taxes and salaries are paid accordingly

Responsible in ensuring the company remains afloat with a healthy bottom line

Investment of cash assets that are short-term in nature with low credit loss risk

Responsible in ensuring that the financial affairs as well as the accounts of the company are up-to-date
and accurate.
Responsible for the creation of company policies, structure, vision, goals and objectives as well as
company culture

Draft strategies that would move the company forward and also remove or modify strategies that aren’t
working well

Rice Mill Production Manager:

Oversees the staff and ensure that they follow company guidelines and policies

Responsible for leaves and vacations

Responsible for resolving complaints and issuing off queries

Reports directly to the managing directors especially in matters that are above his jurisdiction

Responsible for ensuring that the mill runs efficiently

Comprehends directives from the Managing Directors and translate them to those below him as well as
staff

Evaluate employees based on their performance and progress from time to time and now those bound
for promotion

Ensure that quality control is maintained

Ensure that the services are meeting up to customer needs and requirements

Floor Supervisor:

Responsible for maintaining the production areas

Coordination of daily operations on the floor of the mill by allocating tasks

Supervises mill workers and also responsible for their performance.

Ensures that the mill production machines are in good working conditions, and reporting maintenance
issue to the appropriate department

Ensures that production operations are performed in accordance with laid down standard of the
company

Assists Manager with training requirements

Complies with the mill security, as well as ensure that all regulations such as fire and health are strictly
adhered to

Accountant/Cashier:

Responsible for ensuring that invoices are booked into the right account

Responsible for reconciliation of both cash and bank statements by month end

Ensures on-time payment of all invoices

Ensures that cash is kept in a safe place and know the minimum and maximum level

Carries out accounting operations that relate to cash handling

Ensures that the correct taxes are deducted and paid

Admin and Human Resource Manager:

Responsible for the recruitment, selection, training and development of employee

Carries out regular performance appraisals on employees

Responsible for employee welfare

Responsible for employee retention and so drafts strategies that would ensure that retention is high
while also working hand in hand with the Manager

Ensure that employees remain motivated by influencing internal and external incentives

Maintain proper and accurate personnel files

Quality Inspector:

Responsible for final inspection

Corrects whatever faults are found during the milling process and ensuring that the customer has a
better finished product according to the stated requirements

Works with manager and floor supervisor to ensure that the customers are satisfied always

Machine Operators:
Prepares the machine before each procedure

Runs the machine according to standard production procedures

Responsible for trouble shooting light tasks such as machine breakdown that might occur during
production

Responsible for cleaning the machines and ensuring that they are recalibrated for the next task

Ensures optimum efficiency of machine by monitoring the machine during procedure

Ensures that regular maintenance is carried out

Provides relevant information regarding machine to floor supervisor

Store Manager:

Carries out store operational requirements

Responsible for store staff by disciplining, coaching, monitoring as well as appraising work ethics

Works hand in hand with the Manager

Ensures that store is well ventilated and clean

Machine Maintenance Workers:

Carries out thorough cleaning of machines and its parts

Dismantles machines for effective repairs

Reassemble machine after repair work has been carried out

Works hand in hand with floor supervisor

Replace or change machine parts

Truck Driver:

Responsible for loading and unloading of truck

Ensures truck is kept clean at all times

Carries out light maintenance work on truck routinely

Works hand in hand with Manager especially when enroute a location

Security Guard:

Ensures the facility is secure at all times

Scrutinizes incoming and outgoing vehicles

Submits security report regularly

SWOT Analysis

A rice mill production business is a capital and labor intensive business, and so would require huge sums
to start up. Our awareness of this fact has created in us a resolve to ensure that the business becomes
profitable and breaks even in its second or third year. This is where our experience comes to bear and
separates us from newbie entrepreneurs that have no knowledge of the business.

We know how necessary carrying out a SWOT analysis is for any business and while we would attempt
to do these ourselves, we also have gotten input from an expert consultant on certain trends. The SWOT
analysis that we conducted with input from an external consultant for our Trice Rice Mill Business in
Idaho is as follows;

Strength:

Trice Rice Mill Production Ltd is strategically located close to several large rice farms in Idaho, State; the
location is regarded as strength because of the convenience to several strategic customers.

Other strengths of Trice Rice Mill Production Ltd include the offering of additional but related services
such as storage facilities, sale of milled rice by-products as well as transport facilities for customers. We
also consider our excellent and prompt customer service to be a strength as it offers us a competitive
advantage.

Weakness:

Our perceived weakness stems from the fact that we seem to be operating regionally, as it could take a
while for us to be seen as a national business instead of a regional business.
Opportunities:

Without an iota of doubt there are loads of opportunities in Idaho. The market is a very big one and we
would also have the opportunity to market our good to other parts of the United States of America as
well as other parts of the world. Our nearness to the big market will be of great advantage while also
work critically at converting potential consumers to actual clients.

Threat:

There are several threats that face every business and this is the downturn of the economy as well as
the arrival of close competitors to the market.

MARKET ANALYSIS

Market Trends

The fact that more rice farms are springing up locally has seen more rice mills spring up all over the
country to be able to meet the demands of the rice farm owners. This has made the business become
more competitive as rice mills strive to leverage on every competitive advantage chief of which is
offering additional but related services as well as continually improving on its customer service.

Another trend is to open more storage facilities across different locations, this way customers that are
far from the mills do not have to worry about having their products stored so far away. This is a
competitive edge over most rice mill production businesses.

Our Target Market

In carrying out a thorough research, we were able to site our business in Idaho due to the various rice
farms in the state. The location also brings us in close proximity to other states within the region where
there are several rice farms as well.

The location will be of immense benefit to rice farm owners as well as wholesalers who get their
unmilled rice from other regions; thereby allowing them to quickly cater to the teeming customers that
abide.

Our Competitive Advantage

From thorough research and due to the profit viability of this business, several rice mill production
businesses have sprung up not only in Idaho but in other regions that are close to offer a stiff
competition as well. Idaho has various rice milling production plants as well as several others in other
states that are close to it.

Our research did not however look into what sort of completion we were likely to have but also what
their weaknesses were so that we could come up with strategies that would ensure we have
competitive advantage over them and become the go-to rice mill production plant for our target
customers.

One of our competitive advantages is in ensuring that we are strategically located. Our production plant
is not only located close to good roads, making it easier for our customers to reach us, but our storage
facilities which are spread all over also located in strategic points enabling us to not only attract but
retain customers as well.

Another competitive advantage we have is the vast combined experience of the owners who have not
only brought this in to bear on the business but have also given them an edge in being proactive in the
market by ensuring that unique solutions are given for every challenge and obstacle that arise during the
course of running the business.

Asides, from offering additional but related services; we tend to employ the only the best hands to help
run the business, but also employees that understand the vision and philosophies of our business and
know how this translates to offering the best service to our customers. We intend to ensure that the
working conditions for our employees are the envy of other employees from our competitors.

SALES AND MARKETING STRATEGY

Marketing Strategy and Sales Strategy

Our marketing strategy would be hinged on providing standard milling production services as well as
additional but related services to our customers. We intend to cultivate a loyal customer base where we
not only increase our customer retention but also attract new customers to patronize our services.

We intend to use our loyal customers to get new customers by deploying a referral system that would
see the customer get a discount or recognition in return for referring new customers to us.
Other strategies we intend to adopt is in ensuring that we engage existing and potential customers on
our social media platforms, and also from time to time give out tips and suggestions that will ensure that
the businesses of our clients improve.

We also intend to engage in massive publicity through our website as well as other forums that are agro
related so as to garner more customers. Some of the marketing and sales strategies that we will adopt
include;

Introduce our business officially to rice farmers and large dealers in the rice business both in Idaho and
the immediate environs by meeting personally with them and telling them of the benefits they stand to
gain in using our services

Ensure we open as many storage facilities as possible spread across several strategic locations

Make use of our official website in promoting our rice mill by deploying SEO to ensure that it tops the
online search for potential customers

Make use of our social media platforms such as LinkedIn, Facebook and Twitter to promote our brand

Ensure that our rice mill is advertised on radio, television and even in local and national newspapers

Meeting and exceeding the expectations of our clients and through this improving the performance of
our brand.

Ensuring there is a consistency in customer experience in all our locations

Use attractive billboards and banners to ensure that potential customers are aware of our services

Create awareness by passing out handbills and fliers and pasting same in strategic areas

Ensure that we deploy the direct marketing approach

Make use of word of mouth marketing to increase awareness of our existence and invariably our
products and services

Sources of Income

Like every other business, Trice Rice Mill Production was established with the intention of making profit,
in the agro-allied industry. This means that generation of income via several sources is our top priority,
and this would be done via our main service as well as other additional but related services that we
would be offering as well.

We intend to generate income by offering the following services listed below;

Rice Milling

Sale of milled rice by-products such as rice hull, bran layers, rice germ and fine broken

Transport facilities

Storage facilities

Sales Forecast

The forecast for our sales will largely be hinged on where we are located and this we intend to achieve
by being located in an area that is centrally located and easily accessible so as to easily attract more
customers especially potential ones. We know that having more customers translates to an increase in
generation of revenue.

Asides having a good location, we intend to ensure that our machines and other facilities especially that
of storage is not only up to standard but also continually reviewed and inspected by our internal
inspectors so that our customers can continue to have faith in our business.

In critically analyzing the agro-allied and processing industry, and after several researches and feasibility
study, we have confidently come up with a sales forecast that we feel isn’t extravagant and will
moderately serve as a model for us and our stakeholders.

Our several years of experience were brought to bear in the sales projection as we were entitled to
several information that is not necessarily available to greenhorn entrepreneurs. Below are the sales
projection for Trice Rice Mill Production limited that is based on several factors that relates to small and
medium scale enterprises in major countries in the world;

First Fiscal Year-: $240,000 Dollars

Second Fiscal Year-: $450,000 Dollars

Third Fiscal Year-: $750,000 Dollars

The projection done above is strictly based on all factors being equal such as stable economic growth
and lack of strong competitors offering same services and products with same location. Our sales
forecast is averagely moderate and stakeholders must be warned that depending on how factors
change, projections might increase or decrease.

Publicity and Advertising Strategy

We know how important publicity is for any serious business that intends to not only make profit but
become a well known brand in the industry as well. To this effect, we have several strategies in place
that is aimed at increasing the awareness of our rice mill production company in the minds of our
customers.

We intend to use conventional and non-conventional means of promoting Trice Rice Mill Production Ltd.
We know how important it is for our immediate customers to accept our rice mill and then ensure it is
the preferred go-to mill for their rice products.

We know that a good standing in the location where we are based, will invariably affect our other
branches that will be in other regions positively.

While we intend to carry out some of the publicity strategies ourselves, we realize that to be able to
fully put in our best efforts into the business, we would likely hire a consultant that would help us come
up with and deploy the strategies that have been deemed effective.

Some of the publicity and advertising strategies that we intend to deploy for our Trice Rice Mill
Production Ltd include;

Create awareness amongst rice farmers by visiting rice farms

Using our social media platforms – such as Facebook, LinkedIn and other agro forums – to educate the
public on the benefit of milled rice and the various stages involved

Engage in community related programs especially those that would target the youths

Distribute our fliers in target areas and paste our handbills in conspicuous strategic locations
Place adverts in local and national newspapers, radio stations, and also on television

Make use of bulk messaging platform to create awareness

Carry out Facebook targeted advert so that we are able to reach the right customers

Ensure that we place billboards in and around strategic points in Onitsha

Our Pricing Strategy

We know our important getting the right pricing structure is at Trice Rice Mill Production Ltd. We intend
to ensure that there are several pricing packages based on the requirements of our customers and their
budget as well.

Our pricing rates will not be done in isolation, as we would check what is being offered by our nearest
competitors and ensure that we peg our prices around what is obtainable especially if the pricing is fair,
this way we would not unnecessarily create a price war.

Finally, our pricing will also take into account what our cost of production as well as overhead is; this is
so that we do not run the business at a loss. We however, would strive to ensure that we minimize cost
to the lowest level.

Payment Options

We intend to adopt a payment policy that will cater to all the classes of customers that will patronize us
at Trice Rice Mill Production Ltd. We intend to make sure that our payment options abide by all the
financial rules and regulations of the county where we would be operating from.

Listed below are the payment options that Trice Rice Mill Production Ltd will make available to its
customers;

Cash payment

Point of Sale (POS) Machine payment option

Payment via bank transfer

Payment via check

Payment via online bank transfer

The banks with whom we have partnered with for our rice mill production business is one that will
ensure that customers have a smooth time during payment without unnecessary stress. Our bank
accounts will be available on request.

Those that wish to make payments online will need to fill out a contact form that will specify their
request and invariably what they would need to pay. Those who would pay offline would need to
physically visit our location to obtain a payment voucher which is based on what the requirements of
the customer are, as payment differs according to the needs of the customer.

Startup Expenditure (Budget)

The cost in starting up any business is usually dependent on the size and scale of the business in
question. If you intend to start up a small scale business whose size is small in terms of employees and
size of facility, your start-up expenditure cannot then be compared to those who intend to start on a
large scale, having a large facility and several machines and also employing several hands.

This invariably means that your start-up budget will depend exactly on what you intend to achieve with
your business and the vision you had in mind as regards the business.

Even though the standard milling machine used in rice milling production businesses is basically the
same, having more than one of the machine will see your cost tripling. However, costs of the machine
and tools to be used are usually the same with few cost difference in-between which would depend on
where the machine would be coming in from (foreign country) or locally.

This does not mean that you cannot get the machine for fairly used from other rice mill production
plants; however, ensure that the machine is in a good condition so that you don’t end up spending more
to fix it up. Regardless of all the above listed factors, there are several basic requirements that you
would need to fulfill if you intend to start your own rice mill production business;

Business registration and incorporation fees – $750 Dollars

Obtaining licenses and permits – $1,300 Dollars

Insurance (equipment, vehicle, and workers’ compensation as well as general liability) – $105,600
Dollars

Marketing, promotion and publicity expenses for at least six months – $70,000 Dollars

Rent and renovation of facility for operation and storage facilities for at least one year – $200,000

Cost of hiring a publicity consultant – $2500 Dollars

Operational cost for the first three months which would include employee salaries and payment of bills
– $10,000 Dollars

Start-up inventory – $13,750 Dollars

Other start-up expenses (POS Machines, utilities, and stationeries) – $10,000 Dollars

Purchase of truck for use in operation – $50,000

Purchase of furniture and gadgets (computers, printers, photocopiers) for administrative section –
$25,000 Dollars

Cost of store equipment (security, ventilation, racks) – $600 Dollars

Cost of launching a secure website – $7,000 Dollars

Miscellaneous (signage, business cards) – $10,000 Dollars

From the above requirements, an estimate of $305,900 Dollars would be needed in order to successfully
set up a standard rice mill production plant in Idaho State. The amount includes the salaries of all
employees for the first three months of operations.

Generating Funding / Startup Capital for Trice Rice Mills

We have the sufficient experience to know how important finance is to any business either profit or non
profit. Without finance, an idea remains an idea, and every entrepreneur worth his salt knows that to
make an idea become a reality, funds have to be sourced for.

Trice Rice Mill Production Limited is a business owned by two partners with several years of cognate
business experience and while it might seem ideal to use funds from their pockets, they would rather
intend to lend a huge amount of the equity instead.
Some of the major areas where they intend to source for loans include;

Generating a certain amount from personal savings

Applying for loan from a commercial bank

Approaching willing investors

Part of the equity that has been generated by us for the rice mill production business, amounts to
200,000 Dollars- and 100,000 each gotten from our personal savings. We intend to source the
remaining 200, 000 Dollars from commercial banks or from any willing investor.

Sustainability and Expansion Strategy

We do not intend to start a company that will die off anytime soon, and so we have several
sustainability strategies in place to ensure that our business lasts as long as we want it to. Our
sustainability strategy is in ensuring that the right corporate structure and foundation are in place as this
will provide a guide to what we intend to achieve.

We know that happy employees lead to more growth and productivity of any business and so we will
ensure that the welfare of our employees remain paramount. We intend to ensure that employees are
rewarded based on performance and we also intend to share a certain amount of profit with our
management team.

We also intend to ensure that our customer retention strategy is high as we know that our bottom line
can only remain healthy if our loyal customers are retained at a 90% rate. Asides, our customers, we also
intend to ensure we invest in the business continually, and moderate our expansion so that we do not
grow and spiral out of control.

Once the above factors are put in place, we are sure to be able to not only sustain and grow our
business effortlessly but also expand the business as at when due.

Check List / Milestone

Business Name Availability Check: Completed

Business Registration: Completed

Opening of Corporate Bank Accounts: Completed

Securing Point of Sales (POS) Machines: Completed

Opening Mobile Money Accounts: Completed

Opening Online Payment Platforms: Completed

Application and Obtaining Tax Payer’s ID: In Progress

Application for business license and permit: Completed

Purchase of Insurance for the Business: Completed

Leasing of a facility and renovating the facility as well: In Progress

Conducting Feasibility Studies: Completed

Generating capital from family members: Completed

Applications for Loan from the bank: In Progress

Writing of Business Plan: Completed

Drafting of Employee’s Handbook: Completed

Drafting of Contract Documents and other relevant Legal Documents: In Progress

Design of The Company’s Logo: Completed

Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress

Recruitment of employees: In Progress

Purchase of the Needed furniture, racks, shelves, computers, electronic appliances, office appliances
and CCTV: In progress

Creating Official Website for the Company: In Progress

Creating Awareness for the business both online and around the community: In Progress

Health and Safety and Fire Safety Arrangement (License): Secured

Opening party / launching party planning: In Progress

Establishing business relationship with vendors – wholesale suppliers / merchants of cooking gas: In
Progress

Purchase of delivery truck: Completed