Livestock farming is an investment which most of us venture in because we have seen and heard how successful other farmers are doing. I have seen and heard of many prospective farmers who have obtained loans to start livestock enterprises but have ended up defaulting on loan payments because it turned out not to be what they expected. All businesses look excellent on paper, and numbers are very attractive for people to invest. However, this does not mean that things are all rosy in livestock farming business. Like any business, livestock farming has risks, which must be considered when conducting an investment appraisal of respective livestock enterprises. Testimonies from livestock farmers, especially on social media platforms, mostly show the good side of livestock farming and rarely mention the risks, challenges or difficulties involved. Livestock farming is a business, and it must be treated likewise with proper planning, cash flow projections, risk assessment and mitigation. Bus
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