Agribusiness Assistance

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Ever considered taking an old family recipe and producing it on a commercial scale? Or maybe you are a small farmer with dairy cows, and you want to start selling cheese products?

If you currently have, or are considering starting, your own small farm-based agribusiness or food specialty business, the SBDCs can help your business grow and succeed.

• Alert: USDA announces loans for rural businesses

Services

The SBDCs offer one-on-one consulting specific to agricultural enterprises and specialty food businesses. Through partnerships with the USDA, agricultural extension agents, research entities, product testing labs, and the Pennsylvania Technical Assistance Program (PennTAP), the SBDCs can easily address the needs of companies who wish to take their food product to market.

Educational programs, presentations, and speakers, including ServSafe training for food handlers, are offered throughout the SBDC 18-center network.

The SBDCs offer standard business services to agribusinesses along with specialized assistance for entrepreneurs looking to commercialize new food products.

If you are considering an agri-based business, the SBDC can help you find information and build your comprehensive business plan.

• Start-up issues (what you need to have, or do, in order to begin)
• Marketing (where, how, to whom etc.)
• Pricing
• Regulatory issues
• Profitability analysis
• Financial projections

Review our startup checklist

The Six Phases

A consultant at SBDC can help you to commercialize your product by following your progress along six phases, from idea development to product commercialization:

• Idea Development: analyze product need, profitability, market. Assist with referrals for prototype development.
• Taste Panel and Consumer Sampling: evaluate product color, texture, flavor; linkage to outside consultants, PennTAP and other expertise.
• Shelf-Life: contract with independent consultants/labs for shelf-life testing.
• Packaging/Labeling: research packaging models and proper ingredient labeling.
• Production and Test Marketing: select manufacturing process; introduce product to limited target area.
• Commercialization Process: wider product distribution and manufacturing.

Agricultural Enterprises

At the SBDC, we are seeing growth in the category of small farms, often geared toward what is termed “alternative agriculture”.  These small farm businesses tend to sell either directly to the consumer via farmer’s markets or CSA’s (community supported agriculture entities, usually by subscription) or to food stores, restaurants or other outlets that emphasize locally grown or produced items. 

Some examples of these types of small farm/agricultural businesses are:

• Produce (sweet corn, blueberries, vegetables etc.)
• Livestock-based (meat, dairy, breeding stock etc.)
• Value-added farm businesses (cheese, cider, soap, wine etc.)
• Farm-based enterprises (Christmas trees, firewood, farm vacations, corn mazes, bed & breakfast etc.)

Complying With Regulations

The following websites provide information on the common regulations that affect small farmers/growers:

• Pennsylvania Department of Agriculture
• Farmer’s Market Inspection Guidelines
• Fresh Products Audit Verification Program (GAP/GHP)
• Marketing Meat Animals Directly to Consumers

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The Agribusiness and Food Specialty Center can be reached at the following locations in Northeastern PA:

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Success Stories

Learn about some of the companies that have received assistance with their agribusinesses from the SBDCs by reading the stories below.

Inn to the Seasons Specialties	Mystic Springs Organic Farm	Pag-Omar Farms Market
Grandview Dairy Farm	Endless Mountains Farm Fresh

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Helpful Links & Publications

Links

• Agribusiness Industry Resources from the Penn State Business Library (http://www.libraries.psu.edu/psul/business/industry_guides/agribusiness.html)
• PASA (Pennsylvania Association for Sustainable Agriculture) (www.pasafarming.org)
• Pennsylvania Ag Connection (www.pennsylvaniaagconnection.com)
• Pennsylvania Farm Bureau Business Services (www.pfb.com/member-services/financial-business/msc-business-services)
• Manure Trader (www.manuretrader.org)
• Agricultural Entrepreneurship: Tools for Growing Farm-based Businesses (farmmanagement.aers.psu.edu)
• Food Entrepreneur Resources (foodsafety.psu.edu/processor/resources.htm)
• Pennsylvania Department of Agriculture (www.agriculture.state.pa.us) – statistics, directories, facts, and service descriptions.
• U.S. Department of Agriculture (www.usda.gov) – provides statistics, news, and reports.
• U.S. Food Marketing System (www.ers.usda.gov) – provides a detailed overview of the structure and performance of the food industry.
• BizTradeShows (http://www.biztradeshows.com/agriculture-food/) – a comprehensive database pertaining to around 400 Agriculture, Food & Marine related expos

Publications

• Agribusiness Planning: Providing Direction for Agricultural Firms
• The Scope of Agribusiness in the Commonwealth of Pennsylvania
• Your Agritourism Business in Pennsylvania: A Resource Handbook
• OECD Agricultural Outlook 2006-2015 (www.oecd.org) – provides projections and historical statistics for agriculture markets in many countries.
• Penn State Ag Extension publications (agalternatives.aers.psu.edu)
• Selling Food Products: A Business From Your Home
• Attra Publications (www.attra.org)

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