Sheep farming is a very lucrative business to start. Sheep farming business involves breeding, raising sheep and selling wool, lamb and mutton. A sheep farming business can thrive in various environments. This is because sheep are a hardy flock that adapts easily to varied conditions and are generally easy to handle. These reasons coupled with the increasing demand for sheep products have turned sheep farming into a lucrative business.  An increased number of farmers are starting this agricultural venture. This article will outline how to start the mutton & wool sheep farming business, and the sheep farming business plan – PDF, Word and Excel.

Sheep farming is a lucrative business, providing income for millions of people, but there are some essential things you need to do before you venture into the mutton & wool sheep production business. You have to decide on the size of your sheep farming project i.e. the size of your sheep flock; location of the mutton & wool sheep farming business, and your target market. These choices will be affected by the amount of capital you have, and the size of your target market.

If you do not have a lot of capital, you can always start small and grow your sheep breeding project overtime. You also need to carry out market research (Who are you going to sell the sheep and wool to? At what price?) and write a mutton & wool sheep farming business plan before you start the  project.

NB: This article and business plan is about sheep for both meat & wool production. We also have an article and business plan for only meat production: Mutton Sheep Farming Business

What you need

Land for Sheep Farming

An ideal land for a sheep farming business consists of rich pastures and a readily available water source. The productivity of the land should be evaluated before practising sheep farming. This basically involves estimating the pasture that can possibly be produced on a hectare, and measuring it in tones. The available grass land should be able to produce enough pasture for the current season and more that can be stored for later use, particularly during the dry season.  Water is of the essence in sheep dietary plans and so plenty of fresh, clean water should be availed. Land that does not have enough pasture and water demands a high initial investment which negatively affects the profitability of the sheep farming business. Other factors include availability of already made infrastructure like sheds, buildings, as constructing new working facilities and buildings on a sheep farm is expensive. Your wool & mutton sheep farming business plan should take into account the cost of purchasing or renting the land.

Housing And Equipment for the Sheep Farming Business

The sheep farm should provide proper housing facilities for the flock; the type of housing varies according to climate, season(s) of lambing, and management preferences. Sheep can be housed in open grasslands where they have ample space to move around. However, due to harsh climates or severe losses due to predation, farmers may confine sheep in doors. The sheep housing can be barns, sheds or similar structures.  Indoor housing facilities should provide animals with adequate space. Sheep do not tolerate mud well, infestations tend to appear therefore housing facilities should be kept clean and dry at all times. Outdoor housing is common in arid and semi-arid tropics as there are favourable weather conditions. In times of extreme heat, sheep can find shed under trees. Outdoor housing facilities should have a fence that keeps sheep within the farm and protects them for predators. A fence can also be used to demarcate pastures for effective rotational grazing. In addition, fencing helps to divide and handle the flock when necessary so as to conduct operations such as disease treatment, shearing and lambing. The equipment required for your sheep farming project include feeders and drinkers for feed and water for the sheep. Your mutton & wool sheep farming business plan should outline the costs of housing and equipment needed for your sheep farming project. 

Breeding Stock for Sheep Farming

Breeding is one of the most important thing in a sheep farming business. This is an opportunity for sheep farmers to have some form of influence over the productivity of their flock. Selecting breeding stocks should be done carefully as it is key in shaping the characteristics of the flock. The breeding stock consists of male sheep which are known as rams, and female sheep which are known as ewes. Crossbreeding is a common practise in the sheep farming business. It basically involves selecting sheep from different breeds with desirable traits in order to produce highly productive breeds. Ideally, farmers ought to choose sheep that are healthy, more tolerant to diseases and fertile. Depending on the type of sheep farming business, sheep chosen must either be fast growing and of large stature, or have a long fine coat that produces wool of superior quality. Rams selected for breeding should be neither too skinny nor too large. In addition, they should be free from deformities and diseases. The same applies for ewes. Also, make sure that ewes have a history of an excellent previous lambing performance. It is important to make sure that ewes selected for mating have enough teeth to allow them sufficient feeding during the pregnancy. Ewes with molar problems face challenges when eating thus are unable to hold a sufficient body condition to sustain a pregnancy. Any errors in the selection of the breeding stock will cost the sheep farming business a lot of money. The sheep farming business plan should take into consideration the cost of buying the breeding stock.

Breeds of Sheep

The selection of sheep breeds is of the essence in a sheep farming business as it determines the productivity of the agricultural venture. Sheep selected should be well adapted to the climatic conditions of the area and have some form of resistance towards the prevalent parasites and diseases. In addition, they should be highly productive in either wool or meat production, or both,  depending on the targeted end products. For example, sheep for meat tend to be quite larger in stature and fast growing whereas those for wool are known for their fine wool grades and uniform fleeces. Wool sheep breeds possess superior maternal and wool traits. Examples of wool sheep breeds include the Merino, Debouillet,  Panama, Rambouillet, Perendale and Coopworth. On the other hand, meat sheep breeds grow faster than wool sheep. Meat Sheep breeds include the Dorper, Romanov, Royal White, Dorset, Ile de France and Hampshire.  Some breeds are kept for both meat and wool production. They are also know as dual purpose sheep breeds. These possess admirable traits found in both meat and wool breeds. They are able to grow long fine coat; they are also fast growing and have a big stature. Examples of dual purpose sheep breeds include the Merino, Corriedale, Finnsheep, Hampshire, Suffolk and the Southdown.

Feed and Nutrition for Sheep

Health of livestock should be at the core of every sheep farming business. The primary source of feed for sheep should be pasture. However supplementary feed should also be provided to the sheep to supplement the pasture, and during seasons of inadequate pasture. Sheep should be provided with a feed rich in energy (fat and carbohydrates), protein, vitamins, minerals, water, fibre as well as clean, fresh water. Pumpkins, soybean hull, grain, hay and silage are a good source of nutrients for sheep. Adequate water should also be provided to the sheep. The nutrient requirements of sheep varies according to their production cycle. Ewes, rams, lambs and replacement ewe-lambs all have varying nutritional needs. Mineral supplementation is crucial when ewes are lactating thus should also be adequately provided.

Capital for a Commercial Sheep Farming Business

Starting a sheep farming business requires capital. The capital is required for constructing the sheep housings, purchasing the breeding stock, purchasing supplementary feeds and other costs associated with running a sheep rearing business. The amount of capital you need for your wool & meat sheep farming business will depend on the size of your mutton & wool sheep farming project.  Your mutton & wool sheep farming business plan should clearly outline the amount of money required to start and operate a sheep farming business.

You can get a loan from the bank, or funding from investors, to use as capital to start your sheep rearing business. If you plan to raise capital from investors and a loan from the bank, you need a good sheep farming business plan. If you don’t have access to investors and bank loan, you can use your personal savings and start small, and grow your business overtime. Sheep farming is very profitable, so if you reinvest the profits you get, you can quickly grow. Even if you are not planning to get a loan, you should still get a sheep farming business plan to guide you in starting and operating the business. It is essential for you to have a sheep farming business plan before you venture into the sheep farming business, so that you know all the costs involved and you make an informed decision.

Management And Labour for a Sheep Farm

The number of employees you require for your sheep rearing project will depend on the size of your sheep farming project. You will need sheep keepers who will be responsible for feeding the sheep,  cleaning and disinfecting the sheep housings, shearing the wool, and other duties. There may also be need for finance and marketing team, depending on the size of your sheep production business. Your sheep farming business plan should take into account the salary costs for all the people you are going to employ. 


mutton wool sheep farming business plan

Slaughtered Sheep Carcass

The primary products produced by a sheep farming business are meat and wool. The meat is normally graded into two, namely mutton meat and lamb meat. Lamb meat is that from a sheep which is less than 1 year old. Mutton meat is derived from mature sheep that are over a year old. The market for lamb & mutton is very huge and is ever increasing. You can supply sheep meat to abattoirs, local butcher shops, retailers, hotels, supermarkets, restaurants, wholesalers and individual consumers.  The market for wool is also huge. Wool is widely used in the production of clothing, garment products, blankets and carpets. The mutton & wool sheep production business plan ought to include a proper marketing plan to use in your sheep business.

Pre-Written Sheep Farming Business Plan (PDF, Word And Excel): Comprehensive Version, Short Funding/Bank Loan Version and Automated Financial Statements

For an in-depth analysis of the meat & wool sheep farming business, we encourage you to purchase our well-researched and comprehensive sheep business plan. We introduced the business plans after discovering that many were venturing into the mutton & wool sheep production business without enough knowledge and understanding of how to run the sheep business, how to keep the sheep, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.

The StartupBiz Global sheep farming business plan will make it easier for you to launch and run your meat & wool sheep production business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the sheep farming business.

Uses of the Mutton & Wool Sheep Farming Business Plan (PDF, Word And Excel)

The sheep farming business plan can be used for many purposes including:

  • Raising capital from investors/friends/relatives
  • Applying for a bank loan
  • Start-up guide to launch your mutton & wool sheep production business
  • As a sheep farming business proposal
  • Assessing profitability of the sheep production business
  • Finding a business partner
  • Assessing the initial start-up costs so that you know how much to save
  • Manual for current business owners to help in business and strategy formulation

Contents of the Sheep Farming Business Plan (PDF, Word And Excel)

The sheep farming business plan include, but not limited to:

  • Marketing Strategy
  • Financial Statements (monthly cash flow projections, income statements, cash flow statements, balance sheets, break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization)
  • Risk Analysis
  • Industry Analysis
  • Market Analysis
  • SWOT & PEST Analysis
  • Operational Requirements (Including technical aspects of how to keep and rear the sheep, feed requirements etc)
  • Operational Strategy
  • Why some people in the sheep farming business fail, so that you can avoid their mistakes
  • Ways to raise capital to start your sheep farming business

The Pre-written sheep farming (wool & mutton) business plan package consist of 4 files

  1. Sheep Farming Business Plan – PDF file (Comprehensive Version – 103 Pages)
  2. Sheep Farming Business Plan – Editable Word File (Comprehensive Version – 103 Pages)
  3. Sheep Farming Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying for a loan/funding – 42 pages)
  4. Sheep Farming Business Plan Automated Financial Statements – (Editable Excel File)

The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the number of sheep, selling price of  the sheep etc, and all the other financial statements will automatically adjust to reflect the change.

Click below to download the Contents Page of the Sheep Production Business Plan (PDF)

sheep farming business plan pdf

Get the Sheep Farming Business Plan (PDF, Word And Excel)

Click Buy Now below to purchase using Paypal, Credit Card, or Debit Card. After you have purchased, you will see the download link for the business plan package on the screen. We will also email you the download link.

The Pre-written business plan package (PDF, Word, and Excel) costs $30 only!

Sheep Farming Business Plan Download

If you want to purchase multiple business plans at once then click here: Business Plans Store.

The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on and we will assist you.

We wish you the best in your sheep farming business! Check out our collection of business plans , and more business ideas.