Keeping Poultry Farm Expenses Down

First Financial Bank
Are you looking to keep your poultry farm expenses down? Poultry farming can be expensive, but you can cut costs and increase your farm’s bottom line in several ways.

Poultry farming is a growing industry supporting over 500,000 jobs in America. Although there are plenty of opportunities in a growing industry, you’ll have to navigate government red tape, start-up costs, and potential hazards that can be costly.

Thankfully, there are things you can do to keep your expenses down and stay proactive and prepared. Below are five ways you can cut costs and avoid costly mistakes so your business can thrive.

1 – Reduce Your Direct Expenses

One of the first places to look for savings is in your direct expenses. Look at your building costs. If you research how much it costs to build a new chicken house, you’ll see that it depends on what materials you use and who builds it. Your houses need to meet the requirements in your agreement with your integrator. Working with an experienced contractor who can be sure your build is compliant, on budget, and within schedule can help keep costs contained.

Explore options to reduce your energy bill. Energy-saving items such as LED lights and motion sensors will make your farm more efficient and save you money over time. Optimizing your automated feeders, waterers , and other equipment can help keep them from wasting energy, too.

2 – Cut Down on Losses to Your Yield

One of the best ways to cut costs on a poultry farm is to reduce losses to your flock. A healthy and disease-free farm will generate more revenue and satisfy customers and integrators.

Decreasing the chance of virulent disease exposure starts by implementing a strict biosecurity policy. This means limiting non-essential personnel in your poultry houses, using dedicated or disposable boots, and rigorous hand washing. And don’t forget your vehicles. Just driving to and from one farm to another can inadvertently share disease. Our Poultry Lenders know this well, which is why we have our own protocols for preventing infections when we come to visit you.

Another important way to prevent disease is by keeping your poultry litter dry. According to the University of Georgia, moist litter creates the perfect environment for harmful parasites and pathogens to grow. Keeping enough floor space between each of your birds and disinfecting your litter with USDA-approved disinfectants will keep your litter dry and disease free.

Lastly, cut your flock’s exposure to disease with the right pest control. Keep rodents out by keeping entry points closed with tight-fitting seals. This includes all ventilation openings, drains, and pipes.

3 – Optimize Your Yield

Create and maintain a healthy living environment. This means setting up great ventilation and making at least four air changes every hour. Your ventilation system combined with misters and foggers, should keep air temperatures between 65 – 75°F to help your birds maintain their optimal internal body temperature. Keep in mind, these are general suggestions. It is important to follow the ventilation and lighting programs established by your integrator.

Look to take advantage of financial resources such as poultry farm loans or farm equity credit when you need extra capital to improve your farm.

4 – Minimize Personal Risk through Training

An often overlooked aspect of poultry farming is training. Having your team know how and why it is essential to do things a certain way can help avoid costly mistakes that could damage your business. This comes down to spending a little more upfront for adequate training.

The most important training is on cleanliness. It is crucial to have a team that knows what they need to know about biosecurity and the risks that come with ignoring protocols.

Also, it’s important to do adequate training that satisfies requirements from the Occupational Safety and Health Act (OSHA) and the Fair Labor Standards Act (FLSA). Poultry farms are considered high-risk work environments. Maintaining training and protocols to keep your personnel safe could save you money in the future.

According to recent studies, American small business owners paid $1,100 per employee for training. That may seem like a lot, but having a well-trained team prevents costly mistakes that can end up costing you a fortune.

5 – Leverage Your Financial Resources

Managing a poultry farm is hard work, and there are a lot of variables, such as weather, equipment prices, and personnel losses, to cover at a moment’s notice. Fortunately, there are many great options to help you get the financial support and cash flow you need.

Our poultry farm loan provides liquidity immediately for things like covering the construction of a new poultry farm, purchasing or refinancing a new poultry farm, equipment, supplies, and more. These loans have competitive rates and offer a wide range of financing options.

No matter what your business needs are, our team of experts at First Financial Bank will help you find the services you need so you can invest in your business.

Final Thoughts

Whether you’re new to the poultry industry or a seasoned veteran, looking for ethical and easy ways to cut costs is important. By cutting unnecessary spending and avoiding costly mistakes, your farm will have more capital to grow and develop a great reputation with your integrator.

Always follow cost-cutting best practices such as maintaining cleanliness and biosecurity, keeping up on training, and keeping your birds healthy. Also, look to take advantage of financial resources such as poultry farm loans or farm equity credit when you need extra capital to improve your farm.

Ultimately, cost-saving best practices will give you the peace of mind and extra resources to maintain a thriving business. Poultry farms that know how to cut unnecessary costs and invest in the future are likely to succeed in the thriving poultry industry.

Take advantage of a free consultation with a First Financial Bank Poultry Lender. Let’s chat!

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