A flower farm business is an economic venture involving the exchange of cultivated flowers for money. The main objective of starting a flower farm business is to make profits and increase revenues while meeting the demands of customers. Before investing thousands of dollars in flower farm business, careful considerations must be put in place to ensure that the business attains its main goals. The following is a guide on how to start a flower farm business:
- Step 1: Come up with a business plan
- Step 2: Choose the flowers carefully
- Step 3: Fill in the voids in the flower farm business industry
- Step 4: Build and maintain a customer base
- Step 5: Production and other overhead costs
- Step 6: Set prices for the flowers and put a face to your business
- Step 7: Hire workers and get started
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Step 1: Come up with a business plan
A business plan is a detailed statement containing the main goals of venturing into a flower farm business and how these goals can be attained. This is the most important first step which gives the overall picture of what will be done and how to overcome any challenges setting in. since there are people who have ventured in the same business before, consult with them and have them review it thoroughly. Take note of all the recommendations that they make as this is what will help you in overcoming the challenges they have faced before. Never underestimate any of their recommendations as this will be the basis for your downfall.
Step 2: Choose the flowers carefully
As an entrepreneur, be ready and willing to grow those flowers that have a ready market. You are not growing these flowers for yourself but for the market (customer is king for that matter). You may not like a certain type of flowers but if the market demands them, this is what you will grow as the main focus is business and eventually profits. Analyze the amount of labor that you will require and also understand the big and small issues in the flower farm business.
Step 3: Fill in the voids in the flower farm business industry
As stated above (step 2) it is important that you understand the market where you will be selling your flowers. Find a niche market for your flowers by analyzing what others offer and what is missing but demanded highly by customers. This is the void as a flower farm business man or woman that you must endeavor to fill as it is the area that will boost your business. Be strategic as much as possible in deciding what to grow and sell as this is what will ensure success and longevity of the business. Some flowers are taxing and harder to grow but these are the flowers that fetch a lot in the market as opposed to those flowers that are easy to grow.
Step 4: Build and maintain a customer base
There are several ways of building and maintaining a reliable customer base for your flowers. The first approach is through business directories. In these directories, there are advertisements of various flower farm businesses, go through and get in touch with some of them to get further insights on where they have come from in regard to building their customer bases. In focus should be the prices for their flowers in the market mix. Secondly, get relevant information from other farmers markets on how to develop and maintain a customer base as they also started at some point like you. With this information, come up with relevant strategies on pricing as this will guarantee you customers throughout. This will sustain the flower farm business even in times of crisis when buyers may not be willing to buy.
Step 5: Production and other overhead costs
As a flower farm business, you must do costs benefits analysis by estimating the costs that you will incur in setting up the farm, overhead costs and the benefits that you will earn. The total benefits must be more than the total costs at all times as this will give the business the much needed net profit. Cut the costs as much as it is practically possible. Use best farming practices also such as crop rotation and organic farming as this will be a plus to your business.
Step 6: Set prices for the flowers and put a face to your business
After producing and getting the market for the flowers, coming up with the price a times is a challenge. You may decide to go for price penetration or price skimming depending on the nature of the target group. Come up with prices whereby you will be able to break even quickly. Have good relations with your customers by returning phone calls, answer their questions adequately as this will keep you in business.
Step 7: Hire workers and get started
Get the right people to work for you from the farm, production right to the market. Competent staff is a milestone in achieving the goals of a flower farm business.