Kampala food suppliers will be the name of the organization and will have its location in TORORO Town because of its strategic locations near Kenya which the company intends to make it its biggest market because of the good currency and the high price of posho.

The director of the company is Nuhobaruga Jolly she has a master’s degree from UMI and this has given her enough knowledge and skills to be in position to manage the business.

Kampala food suppliers will need an estimated 109,700,000 shs. This will enable the organization be in position to acquire land, buildings , motor vehicles pickup and rent space among other things , this will be in position to enable the company be able to start up its production facilities.

Kampala food suppliers hopes to open branches in Kampala city specifically in the areas of Kasokoso, Kireka , Bweyogerere.

In the long run the company hopes to acquire enough land to be enable to expand and build a big milling factory so that it is able to serve a big markets and to enable the employees have enough space for packing posho and selling it to supermarkets.

Kampala food suppliers is setting up specifically to ensure that it can supply food to government organizations, schools, world food programme, retailers, exporting to other countries like south Sudan and Kenya, sell food products of posho, rice and beans and also to buy food from farmers and at a favorable price then sells it to urban areas of Kampala and juba and other Kenyan towns.

As part of the strategy of Kampala food suppliers to ensure that it is able to serve large market it is will advertise the company products in Televisions , radio stations and newspapers so that it is able to attract big clients like schools and world food programme. In the first year of its operation the company expects to earn 55,280,000 as its total profitability to be able to enable it expand and pay worker.

OBJECTIVES OF KAMPALA FOOD SUPPLIERS

To supply food to government organizations, schools, world food programme, retailers, exporting to other countries like south Sudan and Kenya.

To sell food products of posho, rice and beans.

To buy food from farmers and at a favorable price then sells it to urban areas of Kampala and juba and other Kenyan towns.

To sell chicken feeds which will be got after processing posho?

MOTTO

Quality food for good health

DIRECTOR’S DETAILS

NAME: NUHOBARUGA JOLLY

TEL: 0777404834

SHORT TERM PLANS (2017 FEBRUARY -2018 DECEMBER)

The company plans to open shops in Kampala by specifically targeting the slum areas of Kampala city, these areas will be mainly in Kasoskoso, Kiganda , Bweyogerere, Kireka , this areas are expected to provide market to the products of the company due to high their high populations.

The company also plans to sell to retailers in Kenya and south Sudan this is because of the high market demand in these areas and above the high prices associated with these countries.

The company will also have to bid for supply of food to world food programme to enable it earn good prices for its products.

The company in the short run it is going to open up its factory which will be able to add value to agricultural products in TORORO town because of the strategic location of TORORO Town closer to Kenya and have a good link to south Sudan.

The company hopes to use its pickup track for food supply to Kampala from TORORO to enable it be self independent also use the train whenever necessary to reduce on the cost of transportation.

The company hopes to acquire land in Tororo town to build its factory so that it is able to operate without pressure and be in position to make itself as the biggest food supplier in the country and possibly in the region.

The company to spend 20 million shillings in building the house and acquiring land, this will be done in TORORO Town. To enable the business enjoy more of the Kenyan market since it is the most profitable in the region.

The company will be able to sell chicken feeds to farmers at a reasonably good price , this chicken will be got from the remains of grinding maize.

MID TERM PLANS (2019 JANUARY TO 2022)

The company hopes to open up a retail Branch in Kisumu Kenya to benefit directly from the big market there.

The company also hopes to set up another retail; Branch in juba south Sudan

The company hopes to set up hotels and kindergartens this is to make sure that the organization has enough market for its products and help it diversify and latter become more profitable.

The company hopes to ensure that it is able to widen the number of staff it needs in future to enable it be profitable.

The company hopes to earn a lot of profits from the foreign markets of south Sudan.

The company hopes to pack posho in packets and sell it to supermarkets this is hoped to widen the markets of Kampala Food suppliers.

LONG TERM PLANS (2023 TO 2016)

The company hopes to ensure that it packs posho for local and foreign supermarkets; these will produce considerable profits for the organization.

The company hopes to build more grinding mills in high maize producing towns like Amuru district, Hoima district , this is to ensure that it is able to widen its market for the products of the company.

The products that will be made from Amuru district will be specifically sold to south Sudan and this will help in widening the market there.

The company is able to construct big schools and restaurant so that it is able to diversify its market and earn bigger profitability.

The company is able to ensure that most of its products are exported to neighboring countries like Rwanda, South Sudan, and Kenya.

The company will be able to sell its products to ensure that it is able to have enough of the

The company hopes to acquire large maize milling factory this is to ensure that the company is able to satisfy the big demand for posho that is there.

The company also hopes to make sure that it fully hires specialized workforce like accountants and marketers to ensure that its ever increasing market size is being catered for.

The company also hopes to advertise its products in radio stations, televisions stations and newspaper so that it is able tro attract customers.

START UP INVENTORY COST

ITEM	QUANTITY	UNIT COST	TOTAL COST
MAIZE	40,000	500	20000000
RICE	11,000	1,500	16500000
BEANS	10,000	1200	12000000
TOTAL	61,000		48,500,000

SOURCE: Developed by the project officer, (2016)

Kampala food suppliers will need an estimated 48,500,000 for the purchase of inventory mainly posho, beans and Rice to be in position to meet the demand of its customers who are going to be mainly schools, world food programme , retail suppliers , neighboring countries like Sudan, Kenya and Rwanda this is because most of these neighboring countries don’t have sufficient food for them selves therefore they look at Uganda as their food basket.

GRAPHICAL REPRESENTATION OF START UP INVENTORY

SOURCE: Developed by the project officer, (2016)

From the graph above it is evident that maize will be the largest inventory since it has the largest demand.

ESTIMATED NORMAL COST DURING PROCESSING

Item	Quantity Bought (Kgs)	Quantity Lost In Processing (Kgs)	Quantity Remained After processing (Kgs)
MAIZE	40,000	8,000	32,000
RICE	11,000	3300	7,700
Beans	10,000	0	10,000

Source: Developed by the project officer (2016)

This table shows that maize looses around 20% of its quantity during its processing , while rice is more than 30% lost during the process , however beans does not loose any weight , since it will be bought from farmers when it has already been cleaned and ready for consumption.

ESTIMATED REVENUE

Item	Quantity Salable (kgs)	Unit Price(ug.shs)	Total Revenue (ug shs.)
maize	32,000	1,800	57600000
Rice	7,700	3400	26180000
Beans	10,000	2,000	20000000
TOTAL			103,780,000

Source: Developed by the project officer (2016)

According to the table above Kampala Food Suppliers expects annual revenue of 103,780,000 from the business with the first year of its operation, which makes it a reasonable business to be invested in because the products it deals in are basic needs of life and therefore the entrepreneur expects the demand to be high due his talents in marketing and sales.

EXPECTED PROFITABILITY BEFORE TAXES AND RENT AND LABOUR COSTS

Item	Purchase Cost	Revenue Earned	Profitability
MAIZE	20,000,000	57,000,000	37,000,000
RICE	16,500,000	26,180,000	9,680,000
BEANS	12,000,000	20,000,000	8,000,000
TOTAL	48,500,000	103,180,000	54,680,000

Kampala food suppliers expects to an estimated income of 54,680,000 with in the first years of its operations however to be fully profitable as years increase the business will have to increase on its markets size and be more profitable to be in position to meet its variable costs and fixed cost.

COMPARISON BETWEEN PROFITABILITY, START UP COST AND REVENUE

ITEM	AMOUNT
PURCHASE COST	48,500,000
TOTAL REVENUE	103,780,000
TOTAL PROFITABILITY	55,280,000

The company will experience an estimated purchase cost of the inventory at 48,500,000, total revenue of 103,780,000 and total profitability of 55,280,000.

GRAPHICAL REPRESENTATION OF PROFITABILITY, REVENUES AND PURCHASE COST OF INVENTORY

BALANCE SHEET

ASSETS	AMOUNT
PICKUP MOTOR (second hand)	25,000,000
ELECTRICITY	3,000,000
BUILDING AND LAND	20,000,000
START UP INVENTORY	48500000
RENT	3,000,000
BAGS	200,000
MACHINERY
1. motor	3,000,000
2. Grinding mill	7,000,000
TOTAL	109,700,000

Source: Developed by the project officer (2016)

MANAGEMENT STRUCTURE

DIRECTORS

NAME: AKIKA OCHIENG SIMEO

TEL: 0704093981

SECRETARY

The director will choose the secretary as soon as the company begins operations