How to Start a Poultry Farm Business and Secure Financing for It

Starting a poultry farm in India can be a practical business idea if you plan it the right way. It offers income opportunities in both urban and rural areas. However, like any business, you need a poultry farm business plan with clear steps, from choosing the right farm type to getting licences and funding.

Starting a poultry farm requires basic planning and a clear understanding of what you want to achieve. Here’s how you can begin:

1. Decide the Type of Poultry Farming

Choose whether you want to rear broilers (for meat), layers (for eggs), or both. You could also explore options like hatcheries or breeding farms.

2. Choose a Suitable Location

Pick a place that is away from residential areas but has access to clean water, electricity, and transport. Make sure the land is affordable and not prone to flooding.

3. Build the Poultry Shed

Design the shed with proper ventilation, lighting, and space for the birds. The structure should protect them from heat, rain, and predators.

4. Arrange Equipment and Supplies

Get feeding trays, waterers, brooders, heaters, and storage units. Ensure you have proper drainage and waste disposal systems in place.

5. Select Healthy Chicks

Buy chicks from a trusted hatchery or supplier. Ensure they are vaccinated and disease-free to avoid early losses.

6. Feed and Health Management

Provide a balanced diet at every stage. Set up a regular vaccination schedule. Monitor the birds for signs of illness or poor growth.

7. Hire Skilled Staff

Hire caretakers who understand poultry management. If the farm is large, you may also need a veterinary consultant.

8. Maintain Records

Track expenses, feed usage, egg or meat production, and mortality rates. This helps in planning and cost management.

9. Market Your Produce

Sell your produce directly to local markets, retailers, or online. You may also tie up with wholesalers or cold storage providers.

To run your poultry farm legally, you need to follow some basic registration and licensing steps as a part of the poultry farming business plan. 

These may vary by state, but here’s a general guide:

Register Your Business

You can register your farm as a sole proprietorship, partnership, or private limited company. Choose a structure that suits your scale and goals.

Get Local Permissions

Approach your local Gram Panchayat or Municipality. They may require details of your farm location, size, and waste management practices.

Pollution Control Consent

For larger farms, apply for a ‘Consent to Establish’ and ‘Consent to Operate’ from your State Pollution Control Board.

Animal Husbandry Registration

In some states, poultry farms must register with the Animal Husbandry Department for livestock health monitoring and disease control.

Food Safety and FSSAI Licence

If you process or package meat or eggs for sale, apply for a licence from the Food Safety and Standards Authority of India (FSSAI).

Shops and Establishment Act

If you hire staff, you may need to register under the Shops and Establishment Act applicable in your state.

GST Registration

If your turnover crosses the threshold limit, apply for Goods and Services Tax (GST) registration to manage your tax filings.

Running a poultry farm needs proper financial planning. You must consider both one-time and recurring expenses. These include building the shed, buying equipment, feed costs, hiring staff, and healthcare for the birds. You also need funds for marketing and transporting your produce.

If you do not have enough savings, you can apply for a business loan to cover these costs. Before you do, create a basic plan. Estimate how much money you need, and when. This will help you avoid overborrowing or running short later.

You can apply for a poultry farm loan from banks, NBFCs, or small finance institutions. Make sure you compare interest rates, loan tenure, and repayment options before choosing one.

You can use a loan to cover various costs involved in setting up and running your poultry farm. Here are some common uses:

• Constructing poultry sheds and storage units

• Buying feeding trays, drinkers, brooders, and cages

• Purchasing healthy chicks from approved hatcheries

• Arranging regular feed supply and water systems

• Setting up biosecurity measures and veterinary care

• Hiring trained caretakers and labour staff

• Managing power backup and water supply facilities

• Promoting and transporting your produce to the market

You can find and compare business loan options from multiple lenders on Bajaj Markets. Each lender offers different interest rates, eligibility conditions, and repayment terms. This allows you to evaluate and choose a loan that aligns with your financial needs—whether it’s for short-term support or long-term planning.

Here are some lenders that offer business loans through Bajaj Markets:

Here’s a quick comparison to help you find the right lender on Bajaj Markets based on interest rates and flexible repayment options:

Disclaimer: The mentioned rates are subject to change at the lender’s discretion.

Before applying for a business loan, you must meet certain basic conditions set by lenders. These help assess your ability to repay the loan and the stability of your business. Here’s what you typically need to qualify:

• You must be a citizen of India

• A good CIBIL score is required

• You should be self-employed, either as a professional (e.g. doctor or chartered accountant) or a non-professional (e.g. trader or manufacturer)

• Your age must be between 21 and 60 years

• Your business must be registered as a partnership, limited liability partnership, or private limited company

• Your business should have been operating for at least 1 year

• Your business must have a minimum annual turnover of ₹1.5 Lakhs, as reported in your ITR

Once you confirm your eligibility, you should also prepare the necessary documents. These are required during the application process:

• Identity Proof

PAN card, Aadhaar card, passport, driving licence, or Voter ID

• Address Proof

Aadhaar card, passport, utility bills, or a registered lease agreement

• Income Proof

Latest 6-month bank statements, ITR filings, and certified financial documents. These may include a profit and loss statement, income computation, and balance sheet for the last 2 years

• Business Proof

Depending on your business structure, you may need to submit a Sole Proprietorship Declaration, a verified copy of your Partnership Deed, or a certified Memorandum and Articles of Association

Applying for a business loan on Bajaj Markets is quick and entirely digital. You can get started in just a few simple steps:

1. Click on the ‘Check Offers’ tab available on this page

2. Fill in your basic personal details in the online application form

3. Enter the desired loan amount and select your preferred repayment tenure

4. Submit the form and wait for the verification process to begin

Once verified, you can view offers from various lenders and proceed with the one that suits your requirements best.

If you run a poultry farm as a small or medium enterprise, you may be eligible for support under government-backed MSME schemes. These schemes are designed to make credit more accessible and reduce the financial burden on small businesses like yours.

Here are a few popular options:

Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)

This scheme offers collateral-free loans to eligible MSMEs. If you meet the criteria, the government provides a credit guarantee to the lender, reducing the risk of default.

Pradhan Mantri Mudra Yojana (PMMY)

Under this scheme, you can apply for a Mudra loan of up to ₹10 Lakhs. These loans are offered under 3 categories – Shishu, Kishor, and Tarun – based on your funding requirement and business stage.

Stand-Up India Scheme

This scheme supports women entrepreneurs and those from SC/ST communities. It provides bank loans ranging from ₹10 Lakhs to ₹1 Crore to help set up greenfield enterprises, including poultry farming businesses.

PMEGP (Prime Minister’s Employment Generation Programme)

PMEGP supports individuals who want to set up new micro-enterprises. You may get a subsidy on the loan amount, provided you meet the eligibility norms.

Interest Subvention Schemes

Some state governments offer interest subsidies for loans taken by MSMEs in sectors like agriculture and food production. Check your state’s official portal to know if poultry farms are covered.

Starting a poultry farm business in India requires careful planning, the right approvals, and steady financial support. By following the proper steps, arranging required licences, and securing funding through loans or government schemes, you can build a farm that runs efficiently and grows sustainably.

Whether you're just starting or looking to expand, keeping your finances in check and making informed choices will go a long way in shaping the success of your poultry venture.