Money

Farming: where to start and how to succeed. Subsidies for the development of farms

Finding a job in the countryside is much more difficult than in the city. The government hopes that the Russian countryside will be brought back to life by farms, and is trying to support this type of small business in the countryside.

What is a peasant farm (KFH)

Peasant farming (KFH) is formed by representatives of one family who are personally engaged in animal husbandry and crop production. Husbands-wives, parents or grandparents, children or grandchildren, brothers-sisters and their spouses and children are considered relatives. The age when you can become a member of the KFH is over 16 years old. No more than 5 outsiders are allowed to work.

Video is an example of the successful development of farming in the Kaluga region:

KFH operates as an individual entrepreneur, and is considered a commercial organization. Without a power of attorney, a KFH can be represented by its head, who is responsible for all legal, financial, and accounting issues of the enterprise. For debts, the farmer, like an individual entrepreneur, is liable with all his property.

Legislation regulating the activities of KFH

Federal Law “On Peasant (Farm) Economy” dated 04.12.2006 No. 201-FZ. Describes how to set up a farm and what rights and obligations the farm members have.
Federal Law "On the development of agriculture" dated December 29, 2006 No. 264-FZ. He tells what kind of state support agricultural producers can count on.
Land Code, Federal Law "On the turnover of agricultural land". Regulate the acquisition of land and establish the reasons why land can be taken away.
Federal Law "On the quality and safety of food products", "On environmental protection", etc. They determine the parameters that the farmer's management must comply with (ecology, product quality).
Tax Code of the Russian Federation; Federal Law "On state support in the field of agricultural insurance" and so on. Manage financial matters.

The legislation regulating the activities of the KFH is often reviewed and edited.

How to get land for farming

The easiest and cheapest way is to rent a plot of land. In some cases, for example, for an apiary, land can only be rented. However, in most situations, in the future, it is possible to buy out the used plot at a price not exceeding 15% of the cadastral value, having a pre-emptive right to purchase.

If you own a property, remember that it must be used. If the field is empty for more than 3 years, it can be taken away. Also, agricultural land should be treated with care - environmental violations can also cause the withdrawal of the site.

How to start a farm from scratch - how to register a peasant farm

To get into the register of peasant farms, it is required to draw up an agreement signed by all its members. The agreement indicates all the important points of activity: who is the head and members, what they can and should do, how property (land, buildings, equipment, animals) is used, how income is distributed.

Farms are registered with the tax service in a separate register. At the same time, an application is filled out and an agreement is provided with the attachment of documents confirming kinship (marriage, birth certificates).

As a rule, employees of the Federal Tax Service of the Russian Federation provide all the necessary clarifications and assist in submitting an application.

Is it profitable to do this

Agricultural activities

When organizing a peasant farm, it should be understood that you will have to work in agriculture personally. The head of the farm is not a director, he, like everyone else, plows, removes manure, and so on. It may not be the easiest way for a city dweller to earn a living, but for a peasant accustomed to such work, a farm can be a worthy alternative to other employment options.

When choosing a direction, it is worth considering that animal husbandry is less dependent on the season, but it pays off longer than crop production. The best place to start is growing vegetables.

Most of the territory of Russia belongs to the zone of risky farming. That is why it is difficult to compete with European, Chinese and other foreign manufacturers. Fortunately, for several years now it has been possible to insure agricultural risks, including death from drought, the occurrence of epizootics in which it is necessary to slaughter livestock, etc.

You can download a ready-made farming business plan.

Nobody canceled the problems with the implementation for farmers. Trade is increasingly moving to networks, and they are interested in volumes that exceed the capabilities of farms. The way out is the cooperation of farms and the promotion of products through their own channel.

Additional branches of management

Peasant farms can process grown products (for example, wash potatoes, sauerkraut or make cheese), transport them, as well as feed, fuels and lubricants, etc., store their goods, and sell them directly to consumers.

In addition, it is possible, for example, to sell manure, provide equipment, organize a cafe, etc. But it is possible to maintain the status of an agricultural producer with all subsidies and benefits only if the share of income from animal husbandry and / or crop production in the total income is more than 70%. The same manure applies to chemical production, not agriculture.

State support for peasant farms

What can you count on

In terms of agricultural production, peasant farms can, for example, receive subsidies for the purchase of fuel and lubricants, a special tax regime with a 5-year vacation, government orders, regulation of prices and tariffs, antitrust measures, information and consulting support, participation of representatives from farmers in policy formation.
Subsidies are possible through small businesses and directly to peasant farms, as a rule, from the regions, in particular, payment for leasing for special equipment or subsidies for the implementation of priority projects for the region (construction of greenhouses, cultivation of certain species, etc.).
In terms of rural support, there are programs to build housing, attract young professionals (teachers, doctors, veterinarians - an important infrastructure for the life of a farm family), schools, sports complexes, etc.

Successful farmers can receive grants from the state even for 5 million rubles, but beginners are given much less.

What does it take to get

To receive state support, it is necessary to meet the conditions of the selected programs, collect a package of documents and write an application to the structural unit of the administration of the subject of the Russian Federation or its district, responsible for agriculture.

Video report about an optimistic farmer:

The conditions and documents in different programs are different - you can find out their lists through legal systems on the Internet or at consultations provided by state information centers for agricultural producers or small businesses.

Usually documents are required confirming compliance with the conditions of the program, for example, that at least 70% of income is received from the production of agricultural products. Also, the deadlines for submitting applications can be quite short (2-3 weeks), and it is better to apply among the first, otherwise the budget may not be enough for everyone.

Agro-franchises, associations and others

An interesting option for your own farm is an agro-franchise. The base farm, usually also a farm, teaches technology, provides specific equipment, varieties, etc. Sometimes it can buy finished products at predetermined prices, which is important for beginning farmers. Most often they offer and.

To withstand competition from large manufacturers, it is beneficial to unite in unions and associations. They allow you to organize a slaughterhouse, an elevator, a distribution channel, legal protection, and consultations. Sometimes membership in at least some union is a condition for receiving state support.

Farmer assistance centers, usually regional and municipal, in addition to consulting on any issues: from growing technologies to taxation, can help with the preparation of documents. Small business support centers sometimes offer microfinance, i.e. loans up to 1 million rubles, which are difficult to obtain from banks. Farming schools, forums, seminars, often free of charge, allow you to learn how to farm.

Farming is a good choice for a peasant, especially from a remote village. In fact, it is necessary to do everything that is already done in a peasant family, but there is an opportunity to update machinery and equipment, find new buyers, and insure risks on favorable terms.

Video - about one of the peasant farms near Moscow:

In the context of economic sanctions and the instability of the world economy, the priority task for the state is the development of individual industries. These include animal husbandry, horticulture and agriculture. In order to support these industries and attract businessmen to them, the state has developed a whole system of measures. One of these measures is the provision of subsidies to peasant farms (PFH).

How to get a

The amount of the subsidy directly depends on the region in which the registration of the peasant farm takes place. Every year the amount of subsidies increases, and the geography expands.

The distribution of the total amount allocated by the state to support farms does not occur in equal shares between regions. The amount of subsidies for each region is influenced by many factors:

damage from sanctions in the region;
favorable climatic conditions;
development of agriculture in the region as a whole.

In order to receive assistance from the state in the form of subsidies, a novice businessman and his farm must meet a number of requirements.

It is necessary to register the form of ownership of the future enterprise.
You must have your own funds in the amount of at least 100 thousand rubles.
A business plan should be drawn up showing the costs and future projected profits.
A businessman must have worked for at least three years.
If the farm is collectively owned, they must have been operating for at least a year by the time they apply for the subsidy.

In general, it should be noted that although subsidies are intended for beginners, those who have been working for a long time can apply for it.

In this case, the subsidy is allocated for the development and expansion of the enterprise. This assistance can be used to pay off the previously taken loan.

Form of ownership

In order to register a KFH, you do not need to have any special qualifications. But this does not mean that you do not need to have knowledge in the field of agriculture.

Both citizens of the Russian Federation and stateless persons and foreigners can become a member of a peasant farm. In order to form a peasant farm, the head of the farm must first register as an individual entrepreneur.

People who choose to join the farming business must be at least 16 years old. Members of no more than three families can be members of a KFH, while there are no restrictions on the number of these families.

Peasant farming (KFH) is usually organized by family kinship. This form of business organization is a commercial organization that produces agricultural products for sale. A farm is a business that earns 70% of its profits from the sale of agricultural products. KFH should be located on a plot owned by farmers or received from the state. The state implements programs designed to support and develop farms. There are tax incentives for farmers. Such support makes farming a very promising type of business in Russia. In the article, we will consider how to open a farm from scratch.

General legal features of opening a KFH

The Law “On the Peasant (Farm) Economy” is the main document containing information on the procedure for the formation of the property of a farm. According to Article 3.1 of the Law on KFH, any capable citizen of the Russian Federation, as well as a foreigner or a stateless person, can open and register a peasant farm. In addition to the law "On the Peasant (Farm) Economy", the activities of the KFH are regulated by: the Civil Code of the Russian Federation, the Land Code and the law "On State Registration of Legal. individuals and individual entrepreneurs.

According to article 3.2 of the law on peasant farms, the organization may include:

One person (similar to an individual entrepreneur);
Close relatives of the KFH organizer: spouses, parents, grandparents, sisters, children, brothers, grandchildren (up to 3 families can be part of the KFH). Grandchildren, children, sisters, brothers, upon reaching the 16th, can become members of the farm;
People not related to the organizer of the peasant farm (up to 5 people + it is necessary to conclude an agreement on joint activities in accordance with article 4 of the law on peasant farm).

The sectors covered by the activities of the KFH are as follows:

animal husbandry: goats, pigs, cows, horses, sheep, rabbits;
poultry farming: ducks, broilers, laying hens, turkeys, ostriches, geese, pheasants;
fish farming: carp, trout, sturgeon, silver carp, carp, catfish, pike;
beekeeping, etc.

The area of activity of the KFH includes: breeding, cultivation, production, transportation and sale of agricultural products of this site. You can grow the following types of crops common in Russia:

berries and fruits: melons, watermelons, pears, apricots, strawberries, apples, cherries, cherries, plums, prunes;
vegetables: tomatoes, eggplant, cabbage, cucumbers, potatoes, pumpkin, peppers, carrots;
greens: dill, onion, parsley, garlic;
grain crops: oats, wheat, rye, millet, corn, barley, buckwheat, sunflower, etc.

One of the most common types of agricultural business is the cultivation of green onions: →» «, →» «, →» «.

Additional activities

The benefits of farming include the possibility of additional income, which may exceed the main one. Examples of additional activities:

if the main activity is the cultivation of vegetables and fruits, then engage in the production of frozen fruits and vegetables;
when breeding pigs or cows, establish the production of sausages, stews and other meat delicacies; if you breed cows, make a profit from the sale of dairy products: sour cream, milk, cheese, cottage cheese, etc .;
when growing crops, organize the production of cereals, flour, open a bakery and sell bakery products.

How to open a farm: step by step instructions

Stage #1. Registration of KFH: paperwork

Registration of a peasant farm is carried out in the same manner as for an individual entrepreneur (IP). The procedure for registering a farm is described in Article 5 of the Law on Peasant Farms. Below are the registration instructions:

Agreement on the establishment of a peasant farm. (required if additional partners are involved).
Receipt of payment of the state duty (cost 800 rubles);
Certified statement of state registration of a peasant farm with a notary in the form No. Р21001;
Application for the transition to special taxation regimes: ESHN, STS (otherwise it will be OSNO by default);
Copy of all pages of the passport.

It is recommended that when registering a peasant farm, immediately switch to special taxation regimes: ESHN or STS - this will save on tax payments and simplify the procedure for paying taxes. If, during the registration of a peasant farm, an application is not submitted for the transition to preferential regimes, then it will be possible to re-apply only by the end of the calendar year (no later than December 31 of the year of the previous year) and taxes will be calculated according to the general taxation regime.

Taxation system- single agricultural tax (ESHN)

tax rate — 6%

The unified agricultural tax is canceled if the share of agricultural production is less than 70% and the OSNO (general taxation system) is applied to the producer.

The video presents the features of the unified agricultural tax (ESNKh).

If the system of taxation of the simplified tax system is chosen, then it is necessary to choose a method for calculating tax rates.

by gross income (tax rate 6%);
on income minus expenses (tax rate 15%).

It should be noted that if a loss was received under the simplified tax system (on income minus expenses), then it is still necessary to pay the minimum established contribution in the amount of 1% of the income received.

Initially, bookkeeping can be outsourced to an accounting company.

Stage #2. Registration of KFH

Registration of a peasant farm can be carried out personally by submitting documents to the tax office (you must take the original passport), via the Internet using the online service of the Federal Tax Service or by mail. Sending documents by mail is the most difficult and time-consuming option. If the documents are submitted by an authorized person, then a notarized power of attorney for all submitted documents is required.

Comparison of peasant farms and other organizational and legal forms of agribusiness

The figure below shows a comparison of peasant farms with other forms of doing business: individual entrepreneurs and private household plots (personal subsidiary plots).

Features of marketing and sales of agricultural products

For the profitability of doing business, it is necessary to agree with possible consumers before the production of products: processing and trading organizations. There may be an oversupply of similar imported products on the market, forcing farmers to sell products at reduced prices. Building a distribution network is a key factor in the success of a farming business.

State support for agricultural business

The state provides a loan for the development of agricultural business only to farms included in the program for the development of the agro-industrial complex. To obtain a loan, a large number of guarantors is needed, which complicates its obtaining. You can apply to the employment service by writing an application for inclusion in the self-employment program, and receive a subsidy of 50,000-60,000 rubles from the state. to open a sole proprietorship in the agricultural field.

The reality of the modern market of rural products cannot yet do without state support. How to get a subsidy for the development of agriculture in the Russian Federation, when there is “outside” pressure on the agrarian security of Russia, this question is asked by many novice businessmen.

Financial support for agricultural business is always a priority in solving government problems. There are many targeted regional programs for subsidizing farming business, and there is also subsidizing at the federal level of agricultural enterprises in order to develop activities. Consider how this happens in an accessible language for novice businessmen.

In the realities of the current situation, the Russian government has worked out tools to help agriculture. How to get a subsidy for the development of agriculture, novice businessmen? Now a unique opportunity has been created to develop our own economy with state support, this year alone more than 3 billion rubles have been allocated to support farms.

State aid is distributed according to the following parameters::

Family-type farms with livestock activities can receive up to 1.5 billion rubles.

Farms that register land ownership can count on 50-60 million rubles.

The state is ready to help novice farmers for 2 billion rubles to set up a type of activity.

In 2018, assistance is provided in more than 80 regions of the country, as well as in Crimea. A farmer can spend government aid to solve problems, namely:

farm development, livestock increase;

for the acquisition of the necessary equipment, which is necessary in the development of the economy;

purchase of planting material, feed for livestock, fertilizers;

for the acquisition of land plots in order to see agricultural activities on them.

State assistance on the territory of the Russian Federation is distributed as needed, in other words, regions that are more affected by external pressure are allocated large amounts of subsidies. In 2018, the Stavropol Territory and Dagestan will receive the most assistance.

A start-up entrepreneur in a farm organization receives assistance under the federal program when he meets the required conditions, this:

the activity must be registered as an individual entrepreneur or LLC;

own financing of at least 100,000 rubles;

have a justified business plan that clearly shows the profitability of the farm and can convince the commission to issue a subsidy.

The money received can only be used for the intended purpose. The expenditure of funds by an agricultural enterprise is carried out at all stages, according to the business plan. At a set time interval, the commission for the issuance of subsidies will check the correct spending of money. The discovery of facts of non-targeted use of funds means the return of subsidies to the state by the entrepreneur.

During the period of use of subsidies, the farmer must always keep documents confirming the right money spent, these can be: checks, invoices for the purchase of materials, feed supply contracts, receipts for the purchase of equipment, other supporting documents.

In addition to the correctness of the funds spent, the commission considers the issue of the effectiveness of their use, these are: resolved with the help of the state. assistance, the necessary tasks, whether the goals of the farmer's business plan have been achieved, how much the profitability of the farm has risen.

How do regional authorities influence the allocation of subsidies?

The receipt of subsidies for farms in the regions takes place in different ways, since the priorities of the region's activities are taken into account. A novice farmer can apply for subsidies in his region upon presentation of a complete set of necessary documents: an application, a business plan that shows the profitability of the activity. Subsidies are distributed through the CZN, which indicates priority areas, as well as confirming the status of the unemployed at the time of receiving assistance.

Marketing consultants probed the issue of providing assistance to farming under the state program in different regions. The influence of officials on the decision to allocate subsidies is great, according to experts, the main thing is to gain confidence in them, since they consider almost every novice farmer a “rogue” who wants to take money from the state and then “dissolve”.

According to experts, those who are already engaged in agricultural activities are more likely to receive subsidies. The commission can go to the specified address and examine the farm, followed by a check for the correct use of money.

Each region of Russia provides assistance to those farms that are involved in the safety of the region's food program. For example, we can focus on dairy products, when a region needs 2,000 tons of milk to meet its needs, and the farmer wants to deal not with dairy livestock, but with meat, to increase the amount of meat supplies. Naturally, officials in the region will not give permission to receive a subsidy, since their own food security is more important.

Today, more than ever, agriculture needs government assistance. It is no secret that many areas for rural work are becoming unusable, the prestige of working on the land is decreasing, and obtaining the expected profit is becoming a difficult issue due to the complexity of selling the crop.

The state, represented by appointed officials, understands the importance of solving agricultural issues; for this, programs have been created that should correct the situation. Now grants and assistance are being allocated for work on the ground.

What are the priorities in state aid

Subsidies to farms in this and subsequent years are issued on the basis of a state aid program that plans the development of agriculture and a planned market for the sale of products.

Each government program has priorities that solve their own problems, these are:

The economic area of activity ─ should solve the issue of profitability of farms.

Institutional area ─ increase in cooperation among rural households, development of food complexes, creation of an agricultural cluster.

For these purposes, there are various tools to help, these are:

issuance of subsidies to farms by regional authorities;

target grants by regions;

competitive programs;

consulting help.

Annual programs can be supplemented, modified as needed by the needs of regional authorities. At the beginning of the year, it appears in development, then local needs are taken into account, and only by spring can it be available for review.

What criteria should rural entrepreneurship meet?

How to get a subsidy for agricultural development when you don't know if your farm meets the criteria? It is important, according to experts, to understand whether your farm is considered a start-up event for working on the land, does it meet the conditions of a micro-enterprise?

Consider the legal aspect of this issue:

any citizen of the country not of retirement age can be a farmer in Russia;

he must have a specialized secondary or higher education in the agricultural field;

a person can take special training courses to work on a farm;

have their own long-term experience in agriculture;

have the status of an individual entrepreneur or LLC.

NKKH (beginning peasant economy) must be in accordance with the requirements for small businesses, which are reflected in Article No. 4 of the Federal Law, which refers to the development of this type of business and entrepreneurial activity in the Russian Federation.

The main parameters of compliance with the requirements of the NSC are:

the share of participation of third parties in the business activities of small rural enterprises should not exceed 25%;

the number of employees per year should not exceed 100 people for small farms and no more than 15 people for NCH, as micro-enterprises, when the profit received is not more than the limit values \u200b\u200bset by the government.

In state assistance programs, households that meet the condition can be accepted:

registration of activities before applying for assistance from the state for at least three years;

the sale of finished products is not less than 30 thousand rubles every year.

Such farms include: a subsidiary farm, which can be re-registered as a peasant farm. Its leader must have Russian citizenship, live in a village in the region where he expects to receive subsidies. Each region of the Russian Federation has its own commissions that consider the right to receive state assistance to a novice farmer. The Commission usually consists of the following representatives:

governing bodies of the agro-industrial complex (agro-industrial complex) of the region;

members of AKKOR (Association of Peasant Farms and Cooperatives of Russia) in the region.

The presented commission in order to support working farms annually holds competitions for state aid.

Receiving subsidies for agricultural development include: grants, competitions, special programs. For start-up entrepreneurs working on the land, there is an interesting subprogram, this is "Assistance to small forms of management." In other words, MFH ─ peasant farms, individual entrepreneurs operating on the land, subsidiary farms, cooperatives operating in agriculture, micro-enterprises working with the production of rural products.

The program provides support to entrepreneurs producing rural products, for this purpose:

grants for the organization of a peasant or farm enterprise;

payment by state banking investment;

gratuitous assistance to novice farmers in the arrangement of the economy;

partial payment of leasing agreements for the purchase of equipment for working on the land, equipment for the development of the economy and the purchase of new breeds of livestock;

holding competitions in the niche of farms with monetary rewards;

assistance in the development of family farms for breeding livestock.

Getting grants

Provision of gratuitous financial assistance in the organization of a peasant economy ─ organization of a farm:

carrying out a set of measures for modernization;

improving the quality of life by connecting to central engineering networks;

development of promising development projects, and estimates for implementation;

construction of agricultural facilities.

A novice agricultural entrepreneur (farmer) can receive gratuitous assistance (grant) from the state only once for: organizing his farm, expanding an existing farm enterprise. After carrying out all the actions, the businessman submits a report on the spending of money received under the grant.

Every year, regional authorities arrange a competition for gratuitous aid. By the end of January, the conditions of this competition should be published in the local press. Farms wishing to take part in the competition submit an application to the relevant state commission. The number of participants determines the limit of regional assistance to agriculture.

How is the interest rate repaid with the help of the state

How to get a subsidy for the development of agriculture, when a bank loan is paid for with interest from state assistance ─ the purchase of new breeds of cattle, the purchase of new machines for working on the land (tractors, combines, other equipment), an increase in the working capital of the farm.

A novice farmer, according to the laws of the Russian Federation, can take a loan in the amount of about 5 million rubles, with a repayment period of 15 years, and the grace period is 5 years from the date of receipt of financing. Peasant farms can receive subsidies to pay off interest on bank investments, for this they need to apply to the commission and take part in the selection. Winners of competitive selections, their number depends on the regional funding of the assistance program.

Farm life improvement

The purpose of this subsidy is to provide one-time financial assistance to novice farmers for the construction of living conditions in an agricultural enterprise (farm). An entrepreneur can use the received cash allowance for the purchase of furniture for the house, for the construction of utility rooms, for the needs of arranging a farm.

These funds cannot:

buy real estate;

purchase apartments on the second-hand real estate market.

This type of assistance involves the construction of a farmhouse in the countryside. Each region of Russia has its own conditions for receiving this assistance from the state, you need to find out about them in the relevant commissions.

State compensation for leasing for farmers

This type of assistance to agriculture is designed to open up the possibility of acquiring equipment and machinery for an agricultural enterprise through leasing. If an entrepreneur who has just opened his own farm leases equipment or cattle, then the state can pay the first installment in the amount of a fifteenth part of all costs.

This type of assistance can be obtained by a farmer upon an application submitted to the commission in the region of operation, the type of application has a prescribed format. Based on the number of applications submitted, winners are identified who can receive financial assistance, which is then transferred to equipment and machinery leasing companies.

best farmer

On a competitive basis, the selection of winners in the contest "The Best Farmer of the Region" is carried out. In addition to providing monetary rewards, the objective of this event is to transfer agricultural experience to novice farmers. This type of assistance is held every year, the beginning of this event since 2012.

family farms

How to get a subsidy for the development of agriculture when there is a desire to organize a family farm? The goal of the state assistance program is to have the necessary impact in the development of animal husbandry, its stimulation through family farms. This type of assistance can offset the start-up costs of a dairy or beef farm business by up to 60 percent.

Usually, experts advise to cover the remaining 40 percent as follows:

ten percent of their funds;

thirty percent bank investment.

The application for this type of assistance is considered by the regional commission. Once a household's eligibility for assistance has been determined, the farmer must make ongoing, systematic reports of earmarked funds spent and subsidies required. This program clearly states that the farm is connected to the engineering networks at the expense of the region, and the authorities should also organize the marketing of their products.

Help to expand farming activities

─ Namely, a working farm? Support for working producers of rural products by the state is provided on the condition that the experience of farming is from three years. Assistance is provided in paying off the interest rate on a bank loan.

To receive a development grant and repay the interest rate at 100 percent, may qualify:

cooperatives of agricultural products (type of procurement activity, supply functions, sales of products, processing of raw materials and its processing);

peasant farms;

individual entrepreneurs working in the production of agricultural products;

citizens of the Russian Federation with a subsidiary farm.

This type of subsidy can be issued for different purposes and for different periods, the largest loan amount is forty million rubles. allotted for 8 years. The decision is made depending on the goals set and on the legal form of the applicant.

State assistance works in every region of the country, it is determined by the limits of the development of the region. The Ministry of Agriculture and Development of Assistance to Entrepreneurs transferred most of the functions to the regional budgets. Advisory assistance to entrepreneurs is constantly working.

Liked the article? Share with friends on social. networks:

The opening of modern farms is an alternative to the already existing large-scale collective farms in terms of supplying agricultural products to cities.

This article will discuss the nuances of doing such a business.

Business pros and cons

This activity as a branch of business occupies one of the leading positions among the types of entrepreneurial activity and has certain prospects in the future. This is due to specific benefits - they are associated with a widespread passion for healthy eating and eating only natural products, which creates an increased demand for them among all consumer groups: from mothers with babies to retirees.

It may seem to inexperienced entrepreneurs that opening a new farm is not only promising, but also more than simple. However, in practice, such an event is associated not only with the requirement to have experience in doing business in a similar area, but also with significant difficulties that may arise in the development of the economy.

In addition, this type of business is associated with some risks that may arise in the process of its development. These include:

seasonality of activity;
lack or instability of demand for products;
high competition;
decrease in income of potential consumers;
increase in prices for the supply of raw materials and materials;
increase in the cost of renting large agricultural machinery.

Therefore, in order to reduce the likelihood of these risks, as well as the successful development of the business, it is necessary to draw up a business plan. It will gradually plan activities for opening the farm, list ways to reduce risks, as well as calculate and analyze the main economic indicators of the project - revenue, start-up capital and payback periods.

What do you need to open a farm?

When writing a business plan, the first step it is necessary to determine the direction of business development. Modern farms can operate in various directions, among which the following industries are most popular:

Breeding of domestic animals and birds. In this case, the products of production can be not only meat and offal, but also wool, skin, feathers, eggs, milk, and so on.
Cultivation of agricultural crops (cereals, technical, melons and others).
Growing vegetables and fruits.
Other activities, including beekeeping, fishing, mushroom cultivation, greenery cultivation and so on.

Most farms are created on the basis of existing households located in rural areas. This circumstance makes it possible to significantly reduce the amount of initial investments for the arrangement of the farm, since initially such formations were built taking into account the chosen direction of development.

In addition, many households own (own or lease) land that has been developed for agricultural purposes. Newly established farms can use such land to grow crops or to develop pastures for livestock grazing.

When creating a farm, it must be registered, for which the legal form must be selected.

She is most often elected peasant farm (KFH). Its features are the absence of the need to form a legal entity, as well as the possibility of including all family members in the farm. At the same time, it is necessary to elect the head of the farm, which can be any person from the family who has reached the age of majority.

Next, it is necessary to resolve taxation issues, for which the peasant farm should be registered with the tax authorities. You should know that farms are paid single agricultural tax.

An individual entrepreneur - the head of a peasant farm must be registered with the Pension Fund, and also receive a letter from Rosstat on the assignment of statistics codes. In addition, the farm must have its own current account opened with the selected bank.

To open a farm, you need to have start-up capital. In this case, part of the funds can be taken on a loan basis from the bank. To do this, you must provide a well-written business plan with transparent tracking of financial flows. It is advisable to contact banks or private financial institutions focused on issuing loans specifically to agricultural-type organizations, since other banks simply may not understand the specifics of organizing activities set out in the business plan.

Some farms may apply for financial support for business from the state, but only farms whose activities are included in the agro-industrial complex development program can use such assistance.

Chicken breeding

Chicken meat is one of the most popular all over the world, not only due to its high taste characteristics, but also due to its lower cost compared to pork, beef and other types of meat. And the popularity of chicken eggs can not even be mentioned, since they are part of almost all modern dishes. That is why breeding chickens is a business that can bring a stable tangible income.

The most successful placement of such a business is the territory of a country house, preferably owned by an entrepreneur. When opening a chicken farm, you need to rely on the following key points for organizing this business:

Choice of bird breed. According to the modern classification, breeds of chickens are divided into egg (bred specifically for laying eggs), meat (grown for the purpose of obtaining meat) and meat-and-egg (bred for complex production of products).
Choosing a specific breed, an entrepreneur should be guided by the presence of his own experience and goals. When choosing a specific breed, it is necessary to find out all the features of keeping birds, including indicators such as air temperature in the chicken coop and light levels.
Number of chickens kept on the farm. This indicator affects other conditions for organizing a business - the volume of purchases of feed, the number of farm workers, the size of the chicken coop, the area for walking, and so on.
Chicken coop equipment. It is naive to believe that a chicken farm involves the construction of only a chicken coop. In addition, it must be equipped with various equipment and installations - trays with food, drinkers, meters for air humidity, temperature, and so on.
Careful bird monitoring. Careful monitoring of appearance, plumage condition, shedding rate and beak pallor is required to prevent the risk of falling hens after acquisition.
bird walking. The place and time of walking chickens should be carefully thought out, while walking should be carried out mainly in the warm season and daylight hours. Since chickens look for food during the walk, it must be provided in the form of worms, compound feed and corn.

The estimated payback period for such a business is about 8 months, which characterizes the direction as highly profitable.

Pig breeding

Raising pigs is one of the most profitable livestock business activities. In doing business in this direction, special attention should be paid to the sale of breeding young animals. In order for the initial investment to pay off, it is necessary to sell 2-3 generations of animals. The choice of pig feeding method (dry or liquid) depends on the breeder's preferences.

The conditions of the premises in which the animals will be kept also affect their healthy development. Building a building from scratch is quite costly and unprofitable for starting a new business. Therefore, it is recommended to find an empty farm with its subsequent rent or purchase. After that, repairs should be made in the room, all the required networks - ventilation, electricity and water supply - should be connected.

It should be remembered that the better the premises are equipped, and the entire process of raising animals is automated, the less it will be necessary to hire workers who monitor the keeping of pigs. However, such vacancies as livestock specialist, veterinarian, manager-administrator and accountant simply cannot be dispensed with.

In this direction profitability is estimated at 25%, respectively, the initial investment can pay off in about 4-5 years.

Sheep breeding

Developing a business related to sheep breeding has certain advantages. They are not only a stable income, but also a constant demand for farm products. At the same time, the products are not only meat, but also wool, as well as sheep cheese.

The direction has the advantage that the business can be started literally with the acquisition of several heads, and in the future, as the farm develops and improves, the livestock can be increased.

It will be quite problematic to engage in sheep breeding within the city, so the vast majority of such farms are located in rural areas. It is also a plus that any room, even unheated, is suitable for keeping animals. It is necessary to acquire an area for walking sheep, taking into account the further increase in livestock.

Despite the fact that the profitability of the business associated with sheep breeding, is only 10-15%, with a competent approach to business and the preparation of a clearly structured business plan, the farm can pay off in 1-1.5 years.

Growing crops

Among the variety of activities, crops are rapidly gaining popularity. Moreover, not only traditional varieties (rye and wheat) are actively grown, but also modern crops bred with the help of selective selection.

According to the latest statistics, the volume of harvested grain is increasing every year, which characterizes this area of agricultural business as quite promising. An important advantage is the significant support from the state, which largely solves the problem of finding start-up capital.

However, it can be difficult for a newly established farm to grow crops in a highly competitive environment. That is why it is required to draw up a competent business plan that takes into account all the features of this activity.

When planning a business, first of all, it is necessary to determine the specific crop that is supposed to be grown. Further, further planning of the entire technological process will be based on this choice, including such aspects as:

features of soil cultivation;
methods of sowing seeds;
terms and technology of harvesting;
types of fertilizers used;
ways to protect plants from harmful insects and diseases, etc.

Subject to a well-written business plan, rational use of funds received from the state and full adherence to the planned plan in commercial activities, the grain growing business can pay off less than 18 months.

Growing vegetables / fruits

Opening an agricultural farm for growing vegetables or fruits is also one of the promising areas for business development due to the widespread craze for eating only natural products. And, since potential consumers do not fully trust the quality of agricultural products grown by state collective farms, the opening of private farms may well become a promising business that brings a stable income. Moreover, according to experts, prices for these products will only rise in the future, while demand will not only not decrease, but, possibly, increase.

Like any other direction of business development, this activity requires the preparation of a competent business plan that takes into account all the features and capabilities of the entrepreneur himself. First of all, the business plan should determine what kind of crop is supposed to be grown, taking into account the regional characteristics of the territory where the farm will be opened. That is, you need to decide which crops are suitable for growing in the climate of a particular region, and which are not.

Also, one of the two ways of growing vegetables / fruits must be chosen without fail, namely cultivation in greenhouses or in the open field. Methods should be chosen to protect the crop from the undesirable effects of insects and crop diseases.

It should be remembered that the automation of the growing process has a positive effect on the yield of the farm, thereby increasing the profitability of the business.

When opening a farm for growing vegetables or fruits, one should remember to obtain quality certificates for products, which has a positive effect on success in finding distribution channels and forming regular customers for products. With skillful business management, investments in opening a farm can pay off in less than a year.

Sales markets

Establishing stable marketing channels for grown products is essential for successful farming. To search for channels, an analysis of the situation on the local market for agricultural products must first be made. In the course of this analysis, the development of a business in a given region is assessed, the level of competition is determined and the level of demand for products is calculated.

At the same time, it is important to determine the direction of the search for distribution channels, they can be:

Organizations working in the field of catering - cafes, restaurants, canteens at factories and industrial enterprises, places of public catering at educational, office and other organizations.
Organizations directly involved in the food industry - meat and bakery plants, enterprises for the production of pasta and cereals, organizations for the manufacture of confectionery products, etc.
Trade enterprises of wholesale and retail type.

It should be remembered that one of the most important conditions for a successful search for marketing channels is the competitiveness of the farm products, as well as the appropriate level of quality at reasonable prices for it.

If the farm products meet the requirements, then it can also be sold by self-selling in food markets (both retail and wholesale).

Costs and payback periods

The amount of costs associated with the organization of a peasant farm depends largely on the initial conditions of the business. For example, if a peasant farm is created on the basis of an already existing household, then the size of the initial investment will be much less, since land and outbuildings will already be available.

Another situation develops if the farm is created from scratch. At the same time, the amount of start-up capital may also differ depending on the chosen direction of business development, the cost of renting a site, the price of acquiring animals or plants, and other things.

If we take the average figures, then in total it will take about 5-6 million rubles to open a peasant farm.

The payback of the business also depends on which direction of the farm was chosen. For example, if the farm is planned to be developed in the field of pig breeding, then the initial investment will pay off in about 4-5 years. If the farm works in the direction of breeding chickens, then the business will begin to make a profit after 8 months due to the high demand for products.

Thus, when planning the opening of a farm, first of all, it is necessary to determine the direction for its development, find out the features of farming in this area and draw up a structured business plan that determines the entire further organization of the business, taking into account the maximum reduction in the likelihood of risks.

Video about the organization of farms

The video discusses the question of how to start a business in this direction: