Agricultural Investment Proposal Template

To: Charlie Jackson
ABC Investment Company

From:  John Smith
XYZ
Agricultural Development Inc.

Date:  
16th December 20XX

Dear Mr. Jackson,

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We are an agricultural development company in the state of Virginia and have been in this business for the past 10 years. Our expertise lies in developing, selling, and buying agricultural lands in all the promising locations. Completing projects on time is our pride and we assure you that you will not be disappointed.

Our proposal details are attached to this letter. If you give acceptance to our proposal, we can start working on the details right away. We are known for our extraordinary professional services at reasonable prices.

We want you to take a look at our proposal and let us know if you have any queries.

Thank you for your consideration.

Regards,

John Smith

Agricultural Investment Proposal for [ABC]

Company Introduction

For the past 10 years, XYZ has been providing excellent agricultural services without compromising on the quality of our products. We aim to introduce the latest technologies of the modern world in the world of agriculture. Our mission is to actively contribute to the sustainable development of the state of Virginia by working together with companies and providing exceptional services and products for consumers. Our team of experts works hard to reach the best results by getting higher production volumes by utilizing the maximum potential of the unit area.

Problem Statement

XYZ is looking to grow the business and ABC has been investing in businesses to provide them with this opportunity with flexibility and guidance. We have a team with all the relative experience in the field. We want your company to invest in this project and we will be providing professional help and a dedicated team to organize and maintain all the agricultural needs of the land. It is quite a vast land and we want your esteem company to be an investor. We suppose that this project will broaden our horizons and give a substantial financial benefit to both the companies.

Situation Analysis

Virginia is an agricultural state and its major crops are maize and cotton. Recently the main focus of the state has been on the development of small businesses. We want to cultivate and grow crops on a vast land by introducing the latest agricultural techniques which currently lack in the region. A lot of foreign companies are also interested to set up business in Virginia and soon the competition will get very aggressive. This is the right time to invest in such an area with so many prospects. We aim to provide all the agricultural needs to our partners with an experience of over a decade, without them having to go through all the trouble.

Objective

We want XYZ to be one of the top companies, producing a variety of fresh organic agricultural products meeting international quality standards. Also, we want:

  • To extend the 25% market share of maize at the end of two fiscal years.
  • To upgrade agricultural practices with new farming technologies.

Land Location

The land is located on the south-west of XYZ and is near XYZ Bridge. It is 900 ha of land. Our main emphasis will be on the development of this agricultural land for the production of crops. There is a river near the property and this can be our main source of water supply in the field. We are planning to irrigate maize and cotton.

Timeline

Our proposal is to complete the project within two years. As you see the area is vast and is currently a virgin, we would have to prepare the soil before irrigation. A cautious timeline is provided below:

0-6 Months: Focus on the infrastructural development

6-12 Months: Focus on land development and crop production

Year 2: Continue land development and cultivation

Year 3: Focus on the project working beyond capacity

Phases

This project will be completed in 5 phases. The details of the phases are provided below:

Phase 1:

Our team will inspect the land and compile a report regarding the status of the soil.

Phase 2:

Next, we will start the landscaping phase. We will test the soil and prepare it for cultivation.

Phase 3:

We will add fertilizer to the soil and use pesticides to prevent them from damaging the land.

Phase 4:

Harvesting is the next phase in which we harvest and cultivate.

Phase 5:

Later, when the crop is ready, it will be packaged and made ready to be transported.

Investment

The property currently belongs to Mr. XYZ and he is willing to sell it. The asking price is approximately $25,000. There is a need to build the infrastructure on the land as well. The whole process and project will require an investment of:

Capital Investment: $110,000

Total Investment:  $111,500

Cost

The details of the project cost are provided below:

Capital Investment

Description Time(years) Cost
Property 1 $25,000
Infrastructure 1 $10,000
System for irrigation 2 $50,000
Machinery 1 $14,000
Miscellaneous 1 $1,000

 

Total Investment

Description Time(years) Cost
Cost Variable 1 $10,000
Cost Fixed 1 $1,000
Overheads 1 $500
Total Investment requirement $111,500

 

Approval

The commencement of the project depends on your approval and we will start working on the terms and conditions.

Contact Us

Phone: 344-56565444

E-mail: [email]

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Agricultural Investment Proposal Template

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