business plan for agritourism

Creating an Agritourism Business Plan

Written by Dan Moore, AIANTA’s Agritourism Consultant 

Previously, we highlighted key obstacles to overcome and pitfalls to avoid when building an agritourism program. In this article, we will go a bit deeper into the importance and practice of building out a business plan.

No matter how great the prospective market, available resources, or the people in your community, without a comprehensive and nimble business plan, the most effective and efficient path to creating a successful agritourism business can be hard to find. While most agritourism programs are diversifications of existing businesses, it is still necessary to create a separate plan for the agritourism venture. Building out a solid business plan upon inception will ensure that you start on the correct path and “cross bridges” early on while you still have the opportunity to turn back without too much loss. Potential hidden costs and other obstacles will also become more apparent when planning.

When writing your business plan, consider the following:

Always Start with the Story

Gather together everyone you plan to work with on building your business – your family, business partner(s), community. First, define who you are; what is your story? What is your core purpose, or mission? Who do you want to serve? Then determine what success looks like. What do you hope to accomplish by opening this business? Identify a clear understanding of your goals and how you expect to achieve them. Work to refine these down to one statement that you keep handy and refer to for both marketing and operations. This statement will help keep you on track, and serve as a guide to achieve your long-term goals & objectives.

Capture the Overview of Your Business and Business Needs

To create an overview of your business, first concisely describe your agritourism idea including the products and / or services you will be offering. Then, write a description of your operation with more specifics. What is the size and location of the operation(s)? What activities will take place on the land? What facilities will be used? Do you currently have enough acreage to carry out your vision, or will you need to acquire more land? Then match up your current and needed assets with your financial resources. Will you have the money needed to open your business right away or will you need to borrow money? You will also need to determine your time and labor needs. Building a new business takes a lot of work, and it likely will require learning new skills and multitasking. Finally, at this stage, it will be important to examine safety, legal and accessibility concerns. For example, are their dangerous areas to which you will need to restrict access? How do you plan to address sanitation needs (restrooms, hand-washing, etc.)? What are the local regulations in relation to the activities you plan to offer? Do you need special permits or licenses? Is what you want to offer legal? What insurance do you need to obtain? It is your responsibility to address these issues prior to opening up your property to visitors.

Goals and Objectives

Goals and objectives allow you to define your vision further. When considering this vision, think of goals as broad accomplishments you hope to achieve; and objectives as the measurable steps you need to take to achieve those goals.

Here’s a simple tribal agritourism example:

Goal: To develop an agritourism program that builds local interest in learning how to harvest traditional foods that will be incorporated in the menus of local restaurants.

Objective: By August have 10 youth sign up and participate in a foraging club that will gather traditional foods.

In the example above, the goal is a bigger picture outcome. It helps guide our program development. The objective on the other hand is measurable – 10 youth signed up by August harvesting traditional foods. The outcome of your objective should give you a clear idea of your successes. Keep in mind that your goals and objectives need to be attainable. Saying you will have your entire program up and running in six months is unlikely, while completing stage one in six months is doable. Setting goals and objectives will help you determine what those stages are.

Conduct a Market Analysis

You are not the first to start an agritourism business. It is important to learn about who else is out there, and what you can learn from their experience. What businesses are doing well and why? What trends in the industry are you responding to with your business and how will you differentiate? Researching other agritourism businesses in your area is important in getting to know your competition, and also to find potential partners. Note, your “competition” could actually be potential partners, as you both have a similar objective of attracting customers to your area. Competition is actually a good thing if you offer complimentary services. You can team up with other businesses to market to a larger customer base and create an attraction that inspires people to travel from further away and to stay longer.

Build out an Operation and Management Plan

After you determine what your business or program is, and you define what success looks like, it is now a good time to create a plan for how you will run, or operate, this business. In creating this plan, consider the following questions: What is the legal structure of the enterprise? Will you need additional insurance than what you currently have? Who do you plan to hire and for which positions will you hire them? What are the skills and responsibilities required for the personnel involved in the operation? How will you find and attract these people? It is important at this stage to consider how the business might scale. You may not need as many people to assist you when you first begin, but in the middle of a growth phase you will not want to go back and rewrite your operation plan.

Identify Your Marketing Strategy

Your marketing strategy is where you harness the story you outlined in step one, and determine how you are going to disseminate this story to prospective customers. The first step here is to determine who your desired customer will be. Will they be from nearby towns or cities, or will they be coming from out of state? Will they be traveling with families, or are you hoping to attract only adults? Once you know what kind of traveler you are seeking you can delve into determining this customer’s general needs and interests, and make sure what you are offering meets these needs and interests. Next, determine how you plan to reach this traveler. There are plenty of paths to take: online, print, travel agents (resellers), media. Not all channels are going to work for all demographics, and choosing incorrectly can be a costly mistake. One way to reduce this cost is to collaborate with other local businesses that offer a similar or complimentary experience. It can also be useful to be a part of marketing efforts carried out by DMO’s (Destination Marketing Organizations) or associations (Chambers of Commerce, trade groups). This strategy will provide the blueprint for a Marketing Plan, which you (and your marketing team) will create prior to getting your business off the ground.  Here’s a helpful resource for creating your agritourism marketing plan: https://www.uvm.edu/~snrvtdc/agritourism/agchecklists/AgritourismMarketing.pdf . The U.S. Small Business Administration (SBA) also offers a helpful guide and sample template for when you are ready to create your marketing plan ( https://www.sba.gov/business-guide/manage/marketing-sales-plan-payment#section-header-0 ).

Develop Your Financial Strategy

Your financial strategy is basic to making management decisions and obtaining financing. In this section, you will identify sources of existing debt and financing needs. You will also develop financial statements including a profit-loss statement, a balance sheet and a cash flow projection that includes sales projections. It is important to understand what your costs will be, and have a projection for where your break-even point is. To get up and running there will likely be some upfront costs. How do you plan to finance the operation? If you do not have the cash on hand are there sources that you could seek funding from – loans, grants, assets? For example, USDA offers value-add grants as well as loans. If your program has community development aspects (job training, youth employment, sustainability, cultural perpetuation) consider researching foundations with programs in these areas. You could also reach out to your current financial institution to see what kind of assistance they could provide.

This section especially highlights the diverse knowledge required and might seem more foreign to those without a business background. While extremely important, the learning curve is quite attainable, compared to the much more difficult task of coming up with a great idea to base your business on. There are plenty of resources available to get you up to speed on these terms and concepts.

First Nations has an Indian Agriculture Curriculum that might be helpful.  The first four Modules of the Participant Workbook provide a useful guide ( http://www.firstnations.org/knowledge-center/foods-health/biz-of-indian-ag ).

Create an Executive Summary

At the completion of all the components of your business plan, create a one page summary of your venture that includes the business description; mission statement; the market and it’s potential; an overview of your management team; and your financial analysis. This summary will be useful when seeking investors / funders, partners, employees, etc., who may be less likely to read your entire report.

A successful agritourism program has great potential to positively impact your community while also providing you with financial benefits. Few to none of these outcomes will be achieved if there is not a solid business plan to back up the program. Answering these questions early will save a lot of time and energy by avoiding foreseeable issues, and offering the time to develop a successful and valuable product.

This project was funded by the Food and Farm Communications Fund

Bureau of Indian Affairs

Juan Bautista de Anza National Historic Trail

Native American Agriculture Fund

Lewis & Clark National Historic Trail

Bureau of Land Management

National Endowment of the Arts

National Park Service

United States Forest Service

• Sample Business Plans
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Agritourism Business Plan

If you are very much grounded with nature and want diverse income in a rural area, then starting an agritourism business is one of the best ideas.

Anyone can start a new business, but you need a detailed business plan when it comes to raising funding, applying for loans, and scaling it like a pro!

Need help writing a business plan for your agritourism business? You’re at the right place. Our agritourism business plan template will help you get started.

Free Business Plan Template

Download our free agritourism business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!

• Fill in the blanks – Outline
• Financial Tables

How to Write an Agritourism Business Plan?

Writing an agritourism business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.

Here are a few key components to include in your executive summary:

• Introduce your Business: Start your executive summary by briefly introducing your business to your readers.
• This section may include the name of your agritourism business, its location, when it was founded, the type of agritourism business (E.g., farm tours & farm stays, u-pick farms, farm-to-table restaurants, wine or brewery tours), etc.
• Market Opportunity: Summarize your market research, including market size, growth potential, and marketing trends. Highlight the opportunities in the market and how your business will fit in to fill the gap.
• Products and Services: Highlight the agritourism products & services you offer your clients. The USPs and differentiators you offer are always a plus.
• For instance, you may include farm tours, agricultural workshops & classes, farm products & crafts, etc as some of your products & services.
• Marketing & Sales Strategies: Outline your sales and marketing strategies—what marketing platforms you use, how you plan on acquiring customers, etc.
• Financial Highlights: Briefly summarize your financial projections for the initial years of business operations. Include any capital or investment requirements, associated startup costs, projected revenues, and profit forecasts.
• Call to action: Summarize your executive summary section with a clear CTA, for example, inviting angel investors to discuss the potential business investment.

Ensure your executive summary is clear, concise, easy to understand, and jargon-free.

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2. Business Overview

The business overview section of your business plan offers detailed information about your business. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:

• Business Description: Describe your business in this section by providing all the basic information:
• Farm tours & farm stays
• Farm-to-table restaurants
• Wine or brewery tours
• Educational workshops and classes
• Rural accommodation
• Nature & adventure activities
• Explain where your business is located and why you selected the place.
• Owners: List the names of your agritourism business’s founders or owners. Describe what shares they own and their responsibilities for efficiently managing the business.
• Mission Statement: Summarize your business’ objective, core principles, and values in your mission statement. This statement needs to be memorable, clear, and brief.
• Business History: If you’re an established agritourism service provider, briefly describe your business history, like—when it was founded, how it evolved over time, etc.
• Additionally, If you have received any awards or recognition for excellent work, describe them.
• Future Goals: It’s crucial to convey your aspirations and vision. Mention your short-term and long-term goals; they can be specific targets for revenue, market share, or expanding your services.

This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.

3. Market Analysis

The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.

• Target market: Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.
• For instance, families & children, nature & outdoor enthusiasts, tourists & travelers, or school groups & educational institutes would be an ideal target audience for an agritourism business.
• Market size and growth potential: Describe your market size and growth potential and whether you will target a niche or a much broader market.
• For instance, the agritourism industry was valued at USD 5.95 in 2021, so it is crucial to define the segment of your target market and its growth potential.
• Competitive Analysis: Identify and analyze your direct and indirect competitors. Identify their strengths and weaknesses, and describe what differentiates your agritourism services from them. Point out how you have a competitive edge in the market.
• Market Trends: Analyze emerging trends in the industry, such as technology disruptions, changes in customer behavior or preferences, etc. Explain how your business will cope with all the trends.
• For instance, the focus on farm-to-table & local experiences is increasing day by day; explain how you plan on dealing with this potential growth opportunity.
• Regulatory Environment: List regulations and licensing requirements that may affect your agritourism business, such as zoning & land use regulations, business licenses & permits, health & food safety regulations, liability & insurance, etc.

Here are a few tips for writing the market analysis section of your agritourism farm business plan:

• Conduct market research, industry reports, and surveys to gather data.
• Provide specific and detailed information whenever possible.
• Illustrate your points with charts and graphs.
• Write your business plan keeping your target audience in mind.

4. Products And Services

The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:

• Farm activities
• Workshops & Classes
• Farm-to-table experiences
• Accommodation
• Special events
• Organic farm products
• Describe each service: Provide a detailed description of each service you provide:
• For instance, for farm activities – describe the different interactive activities that guests can take part in, such as gathering fruit and vegetables, feeding animals, milking cows, riding horses or tractors, or helping out on the farm.
• Additional Services: Mention if your agritourism business offers any additional services. You may include services like farm markets, nature trails or outdoor recreational activities, community engagement, etc.

In short, this section of your agritourism plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

• Unique Selling Proposition (USP): Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.
• For example, the size & diversity of your farm or exclusive partnership with local artisans or food producers could be some of the great USPs for a professional agritourism business.
• Pricing Strategy: Describe your pricing strategy—how you plan to price your products & services and stay competitive in the local market. You can mention any discounts you plan on offering to attract new customers.
• Marketing Strategies: Discuss your marketing strategies to market your services. You may include some of these marketing strategies in your business plan—social media marketing, Google ads, brochures, content marketing, and print marketing.
• Sales Strategies: Outline the strategies you’ll implement to maximize your sales. Your sales strategies may include partnering with other businesses, offering referral programs, etc.
• Customer Retention: Describe your customer retention strategies and how you plan to execute them. For instance, introducing loyalty programs, discounts & offers, personalized service, etc.

Overall, this section of your agritourism business plan should focus on customer acquisition and retention.

Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your agritourism business, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.

6. Operations Plan

The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:

• Staffing & Training: Mention your business’s staffing requirements, including the number of employees, chefs, or other staff needed. Include their qualifications, the training required, and the duties they will perform.
• Operational process: Outline the processes and procedures you will use to run your agritourism business. Your operational processes may include visitor reservations & bookings, farm activity management, hospitality management, food service & retail management, etc.
• Equipment & Machinery: Include the list of equipment and machinery required for agritourism, such as farm vehicles, farm implements, livestock equipment, kitchen equipment, workshop equipment, safety equipment, etc.
• Explain how these technologies help you maintain quality standards and improve the efficiency of your business operations.

Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.

7. Management Team

The management team section provides an overview of your agritourism business’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.

• Founders/CEO: Mention the founders and CEO of your agritourism business, and describe their roles and responsibilities in successfully running the business.
• Key managers: Introduce your management and key members of your team, and explain their roles and responsibilities.
• It should include, senior management, and other department managers (e.g. operations manager, hospitality manager, customer services manager.) involved in the agritourism business operations, including their education, professional background, and any relevant experience in the industry.
• Organizational structure: Explain the organizational structure of your management team. Include the reporting line and decision-making hierarchy.
• Compensation plan: Describe your compensation plan for the management and staff. Include their salaries, incentives, and other benefits.
• Advisors/Consultants: Mentioning advisors or consultants in your business plans adds credibility to your business idea.
• So, if you have any advisors or consultants, include them with their names and brief information consisting of roles and years of experience.

This section should describe the key personnel for your agritourism business, highlighting how you have the perfect team to succeed.

8. Financial Plan

Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:

• Profit & loss statement: Describe details such as projected revenue, operational costs, and service costs in your projected profit and loss statement. Make sure to include your business’s expected net profit or loss.
• Cash flow statement: The cash flow for the first few years of your operation should be estimated and described in this section. This may include billing invoices, payment receipts, loan payments, and any other cash flow statements.
• Balance sheet: Create a projected balance sheet documenting your agritourism business’s assets, liabilities, and equity.
• Break-even point: Determine and mention your business’s break-even point—the point at which your business costs and revenue will be equal.
• This exercise will help you understand how much revenue you need to generate to sustain or be profitable.
• Financing needs: Calculate costs associated with starting an agritourism business, and estimate your financing needs and how much capital you need to raise to operate your business. Be specific about your short-term and long-term financing requirements, such as investment capital or loans.

Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.

9. Appendix

The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.

• Add a table of contents for the appendix section to help readers easily find specific information or sections.
• In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
• Provide data derived from market research, including stats about the industry, user demographics, and industry trends.
• Include any legal documents such as permits, licenses, and contracts.
• Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.

Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.

Remember, the appendix section of your agritourism business plan should only include relevant and important information supporting your plan’s main content.

The Quickest Way to turn a Business Idea into a Business Plan

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This sample agritourism business plan will provide an idea for writing a successful agritourism plan, including all the essential components of your business.

After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our agritourism business plan pdf .

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Frequently asked questions, why do you need an agritourism business plan.

A business plan is an essential tool for anyone looking to start or run a successful agritourism business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your agritourism business.

Where to find business plan writers for your agritourism business?

There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your agritourism business plan and outline your vision as you have in your mind.

What is the easiest way to write your agritourism business plan?

A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any agritourism business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software .

How do I write a good market analysis in an agritourism business plan?

Market analysis is one of the key components of your business plan that requires deep research and a thorough understanding of your industry.

We can categorize the process of writing a good market analysis section into the following steps:

• Stating the objective of your market analysis—e.g., investor funding.
• Industry study—market size, growth potential, market trends, etc.
• Identifying target market—based on user behavior and demographics.
• Analyzing direct and indirect competitors.
• Calculating market share—understanding TAM, SAM, and SOM.
• Knowing regulations and restrictions
• Organizing data and writing the first draft.

Writing a marketing analysis section can be overwhelming, but using ChatGPT for market research can make things easier.

Can a good agritourism business plan help me secure funding?

Indeed. A well-crafted agritourism business plan will help your investors better understand your business domain, market trends, strategies, business financials, and growth potential—helping them make better financial decisions.

So, if you have a profitable and investable business, a comprehensive business plan can certainly help you secure your business funding.

What's the importance of a marketing strategy in an agritourism business plan?

Marketing strategy is a key component of your agritourism business plan. Whether it is about achieving certain business goals or helping your investors understand your plan to maximize their return on investment—an impactful marketing strategy is the way to do it!

Here are a few pointers to help you understand the importance of having an impactful marketing strategy:

• It provides your business an edge over your competitors.
• It helps investors better understand your business and growth potential.
• It helps you develop products with the best profit potential.
• It helps you set accurate pricing for your products or services.

About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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Starting Up a Agritourism Business

Every farm has a story to tell..

What is agritourism? Starting up a agritourism business can be unpredictable. Start your agritourism dreams off right with these tips from an expert.

I was in the audience the day a farmer was describing a school field trip on his farm. He told of how he reached under a hen in front of the group and pulled out an egg. A young voice rang out with, “Who put that there?” The tour continued to the milking barn. As he squeezed a handful of milk from one of the cows, another question was posed: “What will they think of next?” The question wouldn’t have been quite so disturbing, except it came from the teacher.

That day, I decided to take my farm public and educate the masses. Maybe you have a similar goal, in which case, I’m here to offer advice from my experiences.

What Is Agritourism?

When you start researching the term “agritourism,” it seems there’s a different definition for every individual operation. This is great, because it means agritourism is customizable to your farm.

After traveling the country and touring many different types and styles of operations, my definition is simple: inviting people to experience your farm dream.

I’ve seen some operations charge people to come onto the farm; others make enough money growing crops or as a working cattle ranch that they don’t charge anything; some take donations. As a hybrid, a few allow special groups to come out for free while charging the masses.

Determine Your Personal Plan

Honesty with yourself is key to being successful in agritourism. This honesty will help drive the design of your operation. Asking yourself specific questions up-front, especially hard questions, is better than being blindsided or worse: losing everything you’ve worked to build.

Each size of operation has its ups and downs, with extra labor needed the larger you get. Agritourism is no different. You’ll need to set realistic expectations. If you enjoy a 9-to-5 work schedule, then agritourism may not be for you. Even if you host only one annual event, there will be year-round tasks that need to happen for that event to succeed.

Figure out Personal Gifts and Interests

One factor of being successful is knowing your dreams and how big of an operation you eventually want to own. For example, if you simply want to teach a few people each year about backyard chickens, then a few hens could get you where you want to be.

You can’t imitate another operation and truly be successful. It doesn’t matter how prosperous the other farm appears to be. Your passions and strengths will help you build your personal success.

I once tried to copy a local operation and almost lost the farm. It was simple; they had a pumpkin patch, and I never had one. I thought I could just add pumpkins and everything would be great. This was flawed thinking. The weather turned and my pasture roads were flooded. I couldn’t open for pumpkin season that year. So, I had to wholesale my load of pumpkins to my neighbor who was located on higher ground. It wasn’t a break-even situation, but I learned a lesson: Mother Nature rules.

Are you a People Person?

Do you want to live in the middle of your property and not see anybody? If your answer is “yes,” then agritourism might not be for you. You can carefully design your operation if you’re not the most outgoing person, but you’ll still need some desire to connect with people.

One way to test your people skills is to imagine yourself striking up a conversation at the grocery store if you see someone buying carrots and you’re a carrot farmer. This can give you some insight into how comfortable you are with people on your homestead.

For the Love and Joy of Farming

No one should work as hard as a farmer or rancher unless they absolutely love what they do. This includes managing an agritourism business. But if you love what you do – whether raising crops, working with animals in extreme temperatures, or fixing fences  – it isn’t work. The endless hours we put in need to be fulfilling to us as individuals or we’ll burn out.

Look for Community

Agritourism can be lonely. Not everybody will understand your business. You don’t have to be alone; there are others who understand what you want to accomplish and want you to be successful. You’ll need a support system of people with experience in agritourism to call on when you need help.

Sometimes, just knowing another person understands your dream will be enough to get you through a bad day. But on the really tough issues, being able to call an ag-friend could save the farm. Our operations may be miles or oceans apart, but we can stay connected. I consult with people all over, and there are more similarities than differences when it comes to agritourism operations.

Remain Adaptable and Resilient

In business, and especially in agritourism, you have to remain adaptable. Things won’t always go as planned, and you’ll need to expect it, be okay with it, and be able to adjust to reach the best possible outcome.

Along with being adaptable, being a resilient, lifelong learner will help you stay on track. A constant research mode will keep you studying new ideas, new trends, and better ways of operating. This mindset will also help you figure out what people are looking for and what experiences you can give them on your farm.

Develop Your Agritourism Business Plan

A business plan is a road map for you to control the direction and destination of where you’re headed. Planning your business means you’ll be planning your work. To keep you on the path to success, business plans need to be written down as a living document, containing all the essential materials to help keep you on the side of success. Start small and grow from what works, learn from what doesn’t, and don’t add to your operation too fast. Using a business plan will outline what’s reality and what’s your hope for the future.

Risk is associated with being in business, and a proper plan will help you weigh the risk – especially when you plan to leverage anything. Taking out a loan or borrowing in any form needs to be extensively evaluated. It’s not advised to leverage against an agriculture venture. Markets change constantly, and this could put your farm at risk.

In a proper business plan, there’ll be a strength and weakness analysis, including your interest or aptitude to know which tasks you should do and which you should hire out. You’ll need to be a jack-of-all-trades, from growing plants and raising animals to managing employees, keeping the books, and creating a marketing plan.

Determine Your Target Market

In developing an accurate plan, you’ll want a clear vision of your customer so your marketing message will speak to them. Narrow down who you’ll focus on to sell your land’s bounty, and don’t be vague. “Everyone who eats meat” is too broad of a category.

Knowing your target audience will lead you to what they want and are willing to pay to experience. And with each experience, identify the potential add-ons or upsells your patrons may like or not even know you offer, such as how-to classes, fresh eggs, healthful produce , or bicycle tours.

For the reverse – getting the product to the customer – consider transportation costs, which is part of your overhead. Is your location close enough to allow your target audience to drive to you, or can you afford to transport the goods to the people? Don’t expect to meet every possible scenario, but be diversified to accommodate different tastes.

Are There Food and Beverage Requirements?

Besides acquiring the wholesale items required to serve food and drinks , what kinds of licenses and permits do you need? Every branch of agritourism has its own set of regulations, industry standards, and specific safety guidelines. Some of these rules and guidelines change annually, so keep up to date with your specific industry, or industries if your operations overlap.

What Buildings Will You Need?

If you have a location or are planning to acquire one, analyze your needs for infrastructure: food, water, shelter, and energy. Are temporary tents a possibility? Will you need to renovate an existing structure? Is it time for a new construction project? Where’s the energy or power coming from? And once people decide to visit your farm, how are they going to access your property? Don’t expect people to come back if they get stuck on a muddy field road. How are you going to let everyone go to the bathroom? Is your septic system large enough to handle public use, or are you going to bring in portable restrooms?

Examine Overhead and Finances

Overhead is the cost of doing business and needs to be considered for each venture of your agribusiness enterprise. In any enterprise, finances should be at the top of your list for discussion with your business partners or spouse.

Whether you’re open year-round or seasonally, you’ll have proportional costs associated with how long your gates are open, and you’ll have to generate enough revenue to cover the added infrastructure. The extra open hours will add to the wear and tear on your farm, and things will need to be maintained, including access to your farm.

Even if you have operating hours posted, people will show up at all times, and if the gate is open, they’ll come through. An open gate or unlocked gate policy could cost you time, energy, and money to deal with folks who don’t know better.

Evaluate your resources; think about your time, available capital, land, equipment, and all the assets you bring to the venture.

Insurance is another cost to consider. If your insurance costs $600 a month and you gross $200 per weekend (an average four-weekend month), then you’ll only make $200 to cover all other expenses.

Define Your Success

We must know our personal definition of success to discover when we’ve accomplished our mission. Without it, we may get lost. You might want to provide for your family and make a difference in your neighborhood. You might consider your efforts worthy if they make a positive impact in your city.

I believe all farm dreams can succeed and all farms need agritourism. And this is why: We all have a story to tell. We all can educate people who experience our operations. You can bring people onto your farm and teach them about your passion, whether it’s wool, tomatoes, or the natural history of your area.

Agritourism Adventures

A Manual for Diversifying Your Farm Income

Avoid the pitfalls that most agritourism rookies experience and set yourself up for a successful foray into the agritourism world with topic expert Matt Stephens. In this one-of-a-kind resource, Stephens talks with six other agritourism farmers and examines the realities and hard work involved in adding an agritourism component to your farm. With the guidance provided by Stephens and his cohorts, you’ll understand what it takes and how to get started, the various types of agritourism available and which one will work best for your situation, and how to successfully manage the business side of the farm.

Matt Stephens was born and raised on a central Texas hobby farm. He’s an agritourism consultant and has spoken at events around the country, inspiring people to chase their farm dreams.

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How To Create a Winning Agritourism Business Plan

By henry sheykin, agritourism experience provider bundle.

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Welcome to our blog post on how to write a business plan for an agritourism experience provider. The travel and farming industry is experiencing a significant growth in recent years, with the demand for unique and immersive experiences on the rise. According to recent statistics, the global agritourism market is projected to reach $XX billion by 2025, growing at a CAGR of XX% . This presents a tremendous opportunity for entrepreneurs looking to venture into this exciting industry.

To successfully establish an agritourism business, it is essential to follow a systematic approach. In this article, we will provide you with a comprehensive checklist of 9 steps to help you write a business plan for your agritourism experience provider. By following these steps, you will be able to identify your target audience, assess market demand, define your unique selling proposition, set goals and objectives, analyze financial feasibility, develop a marketing strategy, and create an operational plan that will ensure the success of your business.

So, if you're ready to turn your love for agriculture and travel into a thriving business, let's dive right into the process of writing a business plan for your agritourism experience provider. Let's begin by identifying your target audience and assessing market demand.

Identify The Target Audience And Market Demand

Before diving into the details of your agritourism business plan, it is crucial to identify your target audience and understand the market demand for your offerings. This step will lay the foundation for your entire business strategy and marketing efforts.

Your target audience will consist of the individuals or groups who are most likely to be interested in participating in agritourism experiences. Consider demographics such as age, income, location, and interests when defining your target audience. Are you catering to families with young children who want to engage in educational activities? Or are you targeting millennials seeking a unique and sustainable travel experience?

Market research will play a key role in identifying the target audience for your agritourism business. Conduct surveys, interviews, and focus groups to gather insights into the preferences, needs, and desires of potential customers. This research will help you segment your target audience and create targeted marketing campaigns.

Tips for Identifying the Target Audience:

• Consider partnering with local tourism boards or organizations to access market research data.
• Attend agritourism industry events and network with professionals to gain insights into the target audience.
• Analyze online platforms and social media groups where individuals interested in agritourism activities gather.
• Engage with potential customers through surveys or feedback forms to gather specific preferences and expectations.

Understanding the market demand is equally important for the success of your agritourism business. Evaluate the demand for agritourism experiences in your target market by analyzing industry reports, tourism trends, and competitor offerings. Look for gaps or opportunities where your agritourism business can provide unique and in-demand experiences.

By identifying the target audience and market demand, you will be able to tailor your agritourism experiences to meet the needs and desires of your potential customers. This strategic approach will increase the chances of attracting and retaining loyal customers, setting your agritourism business up for success.

Conduct Market Research And Competitive Analysis

In order to successfully launch and grow an agritourism experience provider, it is crucial to conduct comprehensive market research and competitive analysis. This step will provide valuable insights into the demand for agritourism experiences, the preferences and needs of the target audience, and the competitive landscape in the industry.

Market research involves gathering and analyzing data about the market size, trends, and potential customers. This can be done through various methods, such as surveys, interviews, and online research. It is important to collect both quantitative and qualitative data to get a holistic understanding of the market.

When conducting market research, consider the following:

• Identify the target audience: Determine who your potential customers are, their demographics, interests, and motivations for seeking agritourism experiences. This will help tailor your offerings to their needs and preferences.
• Assess market demand: Understand the level of demand for agritourism experiences in your target market. Look for trends, such as the increasing interest in sustainable farming and local food, which can drive demand for your offerings.
• Analyze competitors: Research and analyze other agritourism providers in your area or those offering similar experiences. Identify their strengths, weaknesses, pricing, marketing strategies, and customer reviews. This will help you differentiate your business and identify opportunities for improvement.
• Utilize online surveys or questionnaires to gather feedback from potential customers and understand their preferences.
• Visit and participate in other agritourism experiences to gain first-hand knowledge of what works and what can be improved.
• Stay updated with industry news, publications, and forums to identify emerging trends and opportunities in agritourism.

By conducting market research and competitive analysis, you will have a solid foundation of knowledge to make informed decisions about your business strategy, target audience, pricing, and marketing efforts. This step is essential to ensuring the success and profitability of your agritourism experience provider.

Define The Unique Selling Proposition And Competitive Advantage

In order to differentiate your agritourism business from others in the market, it is important to define a unique selling proposition (USP) that sets you apart and gives you a competitive advantage. This is what will attract customers and convince them to choose your experiences over those of your competitors.

A USP embodies the unique aspects of your business that cannot be easily replicated or imitated by others. It should encapsulate what makes your agritourism experiences special and why customers should choose you over alternative options.

When defining your USP, consider the following key factors:

• Unique Experiences: Identify the specific farm activities and immersive experiences that you offer, ensuring they are distinctive and not commonly found elsewhere. This could include behind-the-scenes tours, interactive workshops, or exclusive access to certain farming processes.
• Expertise: Highlight the knowledge, skills, and qualifications of your team and local farmers. Emphasize their expertise in sustainable farming practices, agricultural education, or their involvement in the local community.
• Authenticity: Emphasize the focus on providing an authentic and genuine experience for customers. Describe how you partner with local farmers to create an immersive and educational journey that showcases the realities of farming life.
• Connection to Nature: Showcase the natural beauty of your farm and the surrounding environment. Emphasize the opportunity for customers to connect with nature, learn about environmental conservation, and witness the impact of sustainable farming firsthand.

Tips for Defining Your Unique Selling Proposition:

• Research your competitors to identify any gaps in the market and opportunities to differentiate yourself.
• Conduct surveys or gather feedback from potential customers to understand their preferences and expectations.
• Focus on the key strengths and advantages of your agritourism experience, rather than trying to cater to every possible customer desire.
• Consider the emotions and aspirations of your target audience. What unique value can you provide that aligns with their interests and desires?

Defining a clear and compelling unique selling proposition will help you establish a strong position in the market, attract your target customers, and differentiate yourself from competitors in the agritourism industry.

Define The Goals And Objectives Of The Agritourism Experience

Defining the goals and objectives of your agritourism experience is crucial for setting a clear direction and purpose for your business. This will help you align your actions and initiatives towards achieving specific outcomes. Here are some key points to consider when defining your goals and objectives:

• Identify your vision and mission: Start by clearly defining your vision statement, which outlines the long-term aspirations and ultimate purpose of your agritourism experience. Next, develop a mission statement that encapsulates the core values and guiding principles of your business.
• Set SMART goals: Your goals should be Specific, Measurable, Achievable, Relevant, and Time-bound. Consider what you aim to accomplish within a defined timeframe, such as increasing customer satisfaction, expanding the range of farm activities, or achieving a certain revenue target.
• Align goals with your target audience: Understand the needs and preferences of your target audience and align your goals with their expectations. For example, if your target audience is families with young children, one of your goals might be to provide educational and interactive activities for kids.
• Focus on sustainability and education: As an agritourism experience provider, a key objective should be to promote sustainable farming practices and educate the public about the importance of agriculture. Include goals related to environmental conservation, resource management, and community engagement.
• Involve your team in goal-setting process to ensure buy-in and collaboration.
• Regularly review and update your goals and objectives based on market trends and customer feedback.
• Ensure your goals are realistic and attainable, considering the available resources and market conditions.

Assess The Required Resources, Such As Land, Facilities, And Equipment

In order to establish and operate a successful agritourism experience provider, it is crucial to thoroughly assess and secure the necessary resources. This includes identifying and acquiring the right land, facilities, and equipment . Here are some key factors to consider:

• Land: Evaluate the size and location of the land needed to support your agritourism activities. Determine if you will require additional space for parking, accommodations, or farming operations. Consider the accessibility, proximity to target markets, and zoning regulations.
• Facilities: Determine the type and condition of facilities required to deliver your agritourism experiences. This may include barns, pavilions, classrooms, kitchens, restrooms, storage areas, and accommodations. Assess the existing infrastructure and decide if any renovations or additions are necessary.
• Equipment: Identify the specific equipment needed to support your agritourism operations. This may include farming tools, machinery, vehicles, food processing equipment, and audiovisual equipment for presentations or demonstrations. Evaluate the cost, availability, and maintenance requirements of each item.
• Consider leasing land or facilities if purchasing is not feasible initially.
• Collaborate with local farmers or landowners to share resources and reduce costs.
• Factor in the potential need for future expansions or upgrades when assessing land and facilities.
• Ensure compliance with local zoning, building, and safety regulations for land and facilities.
• Invest in quality equipment to ensure smooth operations and minimize maintenance and repair costs.

By thoroughly assessing and securing the necessary resources, you will be well-prepared to provide exceptional agritourism experiences and meet the needs of your target audience. This step is crucial to the overall success and sustainability of your business.

Determine The Legal And Regulatory Requirements

When starting an agritourism experience provider, it is crucial to understand and comply with the legal and regulatory requirements that govern the industry. Failing to do so can result in fines, penalties, and potentially the closure of your business. Here are some important considerations:

• Research local and national regulations: Begin by researching the legal requirements for agritourism businesses in your specific location. This includes understanding zoning laws, permits, licenses, and any other applicable regulations. Contact local authorities or consult with a legal professional to ensure you have accurate and up-to-date information.
• Review health and safety regulations: The safety and well-being of your customers should be a top priority. Familiarize yourself with health and safety regulations related to agritourism activities, such as proper handling of animals, food safety protocols, and emergency preparedness.
• Obtain necessary permits and licenses: Depending on your location and the specific activities you plan to offer, you may need to obtain various permits and licenses. This could include permits for events, serving food, or operating certain equipment. Research the requirements and begin the application process well in advance to avoid any delays.
• Consider liability insurance: Agritourism experiences can involve inherent risks, so it's essential to protect your business from potential liability issues. Consult an insurance agent specializing in agritourism or business insurance to determine the appropriate coverage for your specific needs.
• Be aware of labor laws: If you plan to hire employees or work with contractors, familiarize yourself with labor laws and regulations that apply to your business. This includes minimum wage requirements, working hours, and any other employment-related obligations.
• Ensure compliance with environmental regulations: Sustainable farming practices are a key component of agritourism. Be aware of any environmental regulations that govern your operations, such as waste management, water usage, and conservation practices.
• Regularly review and stay updated on any changes in the legal and regulatory landscape that may impact your agritourism business.
• Seek legal advice if you are unsure about any specific legal requirements or obligations.
• Maintain thorough documentation of permits, licenses, and compliance efforts to ensure your business is operating within the law.

By understanding and adhering to the legal and regulatory requirements, you can build a strong foundation for your agritourism experience provider and operate with confidence, while also ensuring the safety and satisfaction of your customers.

Analyze The Financial Feasibility And Create A Budget

One of the crucial steps in developing a successful agritourism business is to analyze the financial feasibility and create a budget. This process allows you to determine whether your business idea is viable and sustainable in the long run.

To begin with, it is essential to assess the initial investment required for your agritourism experience. This includes costs for acquiring or leasing land, constructing or renovating facilities, purchasing equipment and supplies, and obtaining any necessary permits or licenses. Conducting a thorough analysis of these upfront expenses will help you determine the feasibility of your business idea.

Furthermore, creating a budget is essential for understanding the ongoing operational costs and revenue projections. This includes estimating expenses for utilities, maintenance, staff salaries, marketing, insurance, and other overhead costs. Developing a comprehensive and realistic budget will enable you to monitor and manage your finances effectively.

Here are some important factors to consider when analyzing the financial feasibility and creating a budget for your agritourism business:

Research industry benchmarks:

Forecast revenue streams:, project expenses realistically:, consider seasonal variations:, create a contingency plan:.

By analyzing the financial feasibility and creating a budget, you will have a clear understanding of the financial requirements for your agritourism experience. This knowledge will not only help you secure funding from potential investors or financial institutions but also enable you to make informed decisions for the success and sustainability of your business.

Develop A Marketing And Promotional Strategy

Once you have defined your unique selling proposition and competitive advantage, it's time to develop a marketing and promotional strategy to attract your target audience and create awareness about your agritourism experience. This step is crucial in ensuring the success and visibility of your business.

The first step in developing your marketing strategy is to identify your target audience and understand their preferences, interests, and behavior. This will help you tailor your marketing efforts to effectively reach and engage with them. Conduct market research, surveys, and analyze customer data to gain insights into their needs and expectations.

With the knowledge of your target audience, you can now create a strong brand presence and identity. Develop a visually appealing and memorable brand logo, website, and marketing materials that reflect the unique experience you offer. Your brand should convey the values of sustainability, education, and the connection to local farming.

Incorporate digital marketing into your strategy by establishing a strong online presence through a well-designed website, search engine optimization (SEO), and social media channels. Utilize platforms like Facebook, Instagram, and Twitter to showcase enticing visuals, engage with your audience through behind-the-scenes content, and share customer testimonials to build trust and credibility.

Offer special promotions and packages to attract new visitors and encourage repeat customers. Consider partnering with local accommodations, tour operators, or travel agencies to expand your reach and create mutually beneficial deals. Additionally, implement a referral program to incentivize your existing customers to bring in new attendees.

Collaborate with other local businesses and organizations to cross-promote and reach a wider audience. This can include partnering with farm-to-table restaurants, farmer's markets, or environmental organizations. By working together, you can leverage each other's networks and strengthen your marketing efforts.

Tips for a successful marketing and promotional strategy:

• Consistently update your website and social media platforms with fresh content, offers, and upcoming events, keeping your audience engaged and interested.
• Develop partnerships with influential bloggers or vloggers in the travel and food industry to create compelling content and amplify your reach.
• Utilize email marketing campaigns to keep your audience informed about new experiences, seasonal offerings, and exclusive discounts.
• Regularly monitor and analyze the performance of your marketing efforts through website analytics, social media insights, and customer feedback. Adjust your strategy accordingly to optimize results.

A well-developed marketing and promotional strategy will help you effectively reach and engage your target audience, drive foot traffic to your agritourism experience, and establish a strong brand presence in the market. Continuous evaluation and adjustment of your marketing efforts will ensure long-term success and the growth of your business.

Create A Comprehensive Operational Plan

Once you have defined your goals and objectives and assessed the required resources, it is essential to create a comprehensive operational plan for your agritourism experience provider. This plan will outline the day-to-day activities and processes involved in running your business smoothly. Here are some important considerations when developing your operational plan:

• Staffing and Training: Clearly define the roles and responsibilities of your staff members, including farm guides, workshop instructors, and kitchen staff. Ensure that they receive appropriate training and have a deep understanding of your agritourism experiences and sustainable farming practices.
• Inventory and Supplies: Establish a system to manage your inventory and ensure you have sufficient supplies for farm tours, workshops, and farm-to-table dining experiences. Keep track of the ingredients required for your meals and coordinate with local farmers for a steady supply of fresh produce.
• Facility Management: Maintain your facilities, including barns, workshops, and dining areas, to ensure they are safe, clean, and welcoming for your customers. Regularly inspect equipment, conduct maintenance checks, and address any repairs or upgrades necessary to provide a smooth and enjoyable experience.
• Scheduling and Reservations: Implement a system for managing bookings and reservations for your agritourism experiences. This can be done manually or through an online booking platform. Ensure that your operational plan includes protocols for handling cancellations, rescheduling, and customer inquiries.
• Health and Safety: Prioritize the health and safety of both your staff and customers. Develop protocols for maintaining proper hygiene, handling animals, and educating visitors about safety precautions on the farm. Conduct regular assessments and update your operational plan accordingly to mitigate risks.

Tips for Creating an Effective Operational Plan:

• Regularly review and update your operational plan to adapt to changing circumstances or emerging trends in the agritourism industry.
• Consider conducting trial runs or test experiences to identify and address any operational challenges before launching your business.
• Establish partnerships with local service providers, such as transportation companies or accommodation providers, to streamline logistics for your customers.
• Implement a feedback system to gather input from your customers and staff, allowing you to continuously improve your operations.

A comprehensive operational plan not only ensures the smooth functioning of your agritourism experiences but also helps you maintain a high level of customer satisfaction. By carefully considering all aspects of your operations, you can provide a memorable and enriching experience for travelers while promoting sustainable farming practices and supporting local farmers.

In conclusion, creating a business plan for an agritourism experience provider requires careful consideration of various factors. By identifying the target audience, conducting market research, and defining the unique selling proposition, you can better understand the market demand and how to differentiate your business. Additionally, defining goals and objectives, assessing required resources, and analyzing financial feasibility are crucial steps in planning for success.

Moreover, understanding the legal and regulatory requirements, developing a marketing and promotional strategy, and creating a comprehensive operational plan will ensure the smooth operation of your agritourism business. By following these nine steps, you can lay a solid foundation for your venture and provide unique and immersive experiences for travelers while promoting sustainable farming practices and supporting local farmers.

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How to Start an Agrotourism Business in 14 Steps (In-Depth Guide)

Updated:   February 22, 2024

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The agrotourism industry has reached $4,290.62 million in 2022. With urban populations seeking authentic rural experiences, the sector is estimated to grow at a CAGR of 8.09% from 2022 to 2028. Agrotourism offers city slickers a taste of the farming lifestyle.

As rewarding as the role of farm owner can be, the prospect of pivoting to hospitality can feel daunting for long-time producers. Building this new branch requires strategic planning, investment, and learning the ropes of the tourism industry.

The following guide breaks down everything you need to learn how to start an agrotourism business. Explore how to register an EIN, set up accounting, market your brand, and provide top-notch customer service when opening your farm doors to the public.

1. Conduct Agrotourism Market Research

Jumping into community-supported agriculture requires careful examination of your regional visitor demographics and tourism infrastructure. Market research will help you develop a thorough marketing plan and business plan.

Start by identifying key visitor segments drawn to agritourism. Data shows the top brackets include families with young kids, baby boomers, and millennial foodies. Geotourism studies reveal that 60% of travelers now seek authentic cultural experiences while vacationing.

When assessing your local area visitor profiles, also consider accessibility from metro hubs and proximity to national parks, wineries, hiking trails, or other complementary activities. Farms strategically located near existing tourism infrastructure and attractions tend to fare better with agritourism (e.g. lavender farms are a highly popular agrotourism choice that you could benefit from).

Next, conduct an inventory of agritourism offerings in your region. Research direct competitors, but also hospitality providers catering to the same target demographics. This could include dude ranches, food tours, cooking classes, harvest festivals, farmers markets, and more.

In particular, look for gaps in accessibility and inclusion. Data shows that 71% of travelers believe it’s important destinations offer accessible options for disabled guests. Consider building this into your market research criteria as you assess area competition.

Consumer surveys can provide additional insight into visitor interests. Reach out to tourism boards, hotels, and tour operators to see if existing local data is available. If not, create a short questionnaire for your informal focus group research.

2. Analyze the Competition

Getting a clear picture of local agritourism businesses establishes key strategic advantages as you build out new offerings. Start by identifying farms in the region providing comparable hospitality and experiential programming. Document their offerings, pricing, property attributes, volumes, and visitor profiles.

Pay attention to the stories competitors tell through their branding and marketing materials. Note their communication channels, value propositions, and any apparent specialties. Then scrutinize reviews on Google , Yelp , and TripAdvisor to gauge customer satisfaction levels.

Look beyond the farm level to evaluate broader tourism players as well. For example, analyze what sets vineyards, B&Bs, and glamping tents apart if targeting the luxury bracket. For budget-focused families, balance your positioning relative to campgrounds, state parks, music festivals, and seasonal events instead.

Factor in barriers to entry created by complicated regulatory requirements, resident attitudes towards tourism, zoning implications, or other political dynamics specific to agriculture and hospitality. These structural issues influence market competition significantly.

A thorough online presence analysis is essential too. Research how other agritourism providers rank in local Google search results and claim placement on travel review and booking platforms. Study competitor website optimization and functionality.

3. Costs to Start an Agrotourism Business

Launching an agritourism venture requires careful financial planning and the establishment of ample operating capital. Between land preparation, facilities, staffing, and insurance, costs add up quickly. Weigh these major expenditure categories as you craft your budget.

Startup Costs

For existing farms adding agritourism components, dedicate $15,000-$30,000 upfront for any necessary property enhancements. Key investments may include:

• Safety and accessibility-focused projects – $5,000-$10,000
• Bathroom and septic upgrades – $5,000-$15,000
• Paths, signage and parking – $2,000-$5,000
• Barn, cabin, or kitchen remodels – $3,000+

If purchasing or leasing a separate agritourism-specific property, land and construction costs inflate exponentially based on the buildings required. Budget minimum of $50,000 for raw land acquisition alone.

Ongoing Costs

Staff will likely represent your largest ongoing operational expenditure. Determine essential full-time, part-time, and seasonal hiring needs based on projected visitor volumes and service offerings.

At a minimum, plan for:

• 1 dedicated general manager – $45,000-$65,000/year salary
• 5 seasonal agriculture and hospitality workers – $15/hour

This totals nearly $170,000 annually for baseline staffing. Fluctuate up as visitation expands.

Protect yourself and your patrons with ample commercial general liability coverage. Expect to invest $4,000-$8,000 annually at minimum. Review policy terms to ensure adequate coverage for common hospitality mishaps like guest injuries, food-borne illnesses, or property damage.

Allocate 5-15% of total operating costs for marketing strategy efforts like social campaigns, travel trade partnerships, and local tourism advertising. This equates to $10,000-$50,000 annually for small to mid-sized operations.

Additional overheads like bookkeeping, direct sales commissions from online booking platforms, and website hosting tallies between $300-$1000 monthly.

4. Form a Legal Business Entity

When establishing an agritourism operation, you must form a legal structure. There are four main business entities to choose from when starting an agritourism business, including:

Sole proprietorship

Sole proprietorships offer ease of setup but no personal asset protection or special tax considerations. Any lawsuits or debts tied directly to the business become your responsibility. Sole proprietorships are best suited for a single owner or a married couple.

Partnership

Partnerships allow you to share ownership with others, yet still expose owners’ home values, retirement savings, and more to court judgments. Partnerships are a good option for a family business, but still leave your assets vulnerable.

Limited Liability Company (LLC)

Registering an official LLC costs between $50-$500 depending on your state filing fees. It limits legal vulnerability by separating your farm’s financials and obligations from your own. This appeals greatly to lenders if you need to take out loans for additional agritourism development as well.

LLCs also provide tax flexibility not offered by traditional corporations. You can file taxes as a pass-through organization with income and losses reported directly on your returns. This makes an LLC ideal for a working farm and other businesses working with agricultural products.

Corporation

A corporation is the most advanced and protective form of entity to create. While it protects your assets much like an LLC, it is more complex and expensive to form. For a small business, a corporation entity doesn’t usually make sense.

5. Register Your Business For Taxes

With any commercial enterprise, formally registering with state and federal tax authorities ensures full compliance from Day 1 while unlocking key financial perks. An employer identification number (EIN) functions like a Social Security number for your business specifically.

The EIN allows you to open dedicated checking accounts, process payroll, apply for pertinent licenses and permits, build company credit, and complete other administrative functions. The IRS requires all LLCs, corporations, partnerships, and nonprofits to obtain one regardless of staff size.

Sole proprietors without employees can use their personal Social Security number instead. But again, opting for an official EIN better segments personal and professional finances while protecting assets in lawsuits.

The entire application process occurs online through the IRS website and only takes minutes to complete. Simply:

• Visit IRS.gov and navigate to the EIN Assistant.
• Answer a short questionnaire about your entity type, ownership structure, and reason for applying.
• Provide key details about your farm operation and its activities.
• Obtain EIN immediately upon submitting your details.

You’ll also need to register with your Secretary of State for the collection of state sales tax applied to goods and services sold on-site to visitors. State filing officers then share this data with the IRS too. Filing frequency and thresholds for remittances vary based on location and income levels.

Research specifics based on the structures, products, and experiences outlined in your agritourism offerings. State departments of revenue also typically require tourism businesses to complete separate one-time registrations outlining hospitality activities happening on agricultural land.

6. Setup Your Accounting

Meticulous financial tracking provides the foundation for agritourism success. Investing in organizational accounting habits from the outset shields you from painful IRS audits, penalties, and reporting mishaps down the road.

Accounting Software

User-friendly platforms like QuickBooks simplify otherwise complex accounting processes. Connect your business bank and credit card accounts so transactions automatically download into preset categories. QuickBooks even invoices customers and facilitates payroll should you choose to activate those features.

Hire an Accountant

Supplement with an accountant well-versed in agritourism’s unique tax considerations across hospitality services, farm production activities, and applicable tourism incentives. Expect to invest around $1,000 annually for an advisor to optimize financial tracking accuracy, prepare and file annual tax paperwork, and ensure full regulatory alignment.

Open a Business Bank Account and Credit Card

Opening a dedicated business checking account and credit card also streamlines accounting. Never commingle professional and personal finances. A separate business credit card earns rewards points on necessary farm purchases while keeping expenses easily traceable.

7. Obtain Licenses and Permits

With the flurry of agritourism development nationwide, states race to install regulatory frameworks protecting visitors on private farmlands. Find federal license information through the U.S. Small Business Administration . The SBA also offers a local search tool for state and city requirements.

Determine if your state or county requires specific agritourism operator licensing above typical business registration. These programs commonly mandate liability insurance minimums, safety protocol training, and community engagement promises before approving a conditional use permit.

For example, Vermont’s Rooms and Meals Tax program categorizes farm stays and tourism activities to collect occupancy surcharges akin to hotels. Beyond validating your legitimate operations, enrollment often makes proprietors eligible for regional promotion assistance and specialty “farm-friendly” highway signs too.

Any meals, snacks, or beverages served on-site require county health department inspections and consumables provider licensing regardless of free or paid status. Again, fees fluctuate but expect $100-$250 annually.

Common forms include Temporary Food Service permits for one-off events or seasonal concessions and Commercial Kitchen registrations for year-round hospitality from a dedicated agritourism kitchen. Inspections verify proper build-outs, appliances, sanitation procedures, and storage.

8. Get Business Insurance

Opening private land to public hospitality exponentially increases liability risk. Business insurance delivers financial protection if a visitor is injured falling off a hayride, develops a foodborne illness during dinner, or otherwise experiences harm on the premises.

Imagine the financial devastation if:

• A child sustains third-degree burns attempting to make s’mores at an unsecured fire pit then sues for $250,000 in medical bills.
• Salmonella sickens a family who purchased cheese samples from your creamery and then reports symptoms to the health department.
• An elderly couple slips on loose gravel and breaks both hips necessitating permanent at-home care costing $75,000 annually.

Now envision paying legal fees and court judgments completely out of pocket. Business insurance defends against and covers what often amounts to millions in liability claims over an agritourism operation’s lifespan.

• General Liability – Covers third-party bodily injury and property damage
• Product Liability – Protects against flaws in food products or farm goods
• Professional Liability – Shields advice given during workshops/classes
• Umbrella – Extra coverage for massive incidents
• Workers Comp – Protects staff injuries/incidents

Obtain quotes through an independent insurance broker . Expect to pay $5000+ depending on your policy stipulations, cover limit preferences, staff size, risk level, and deductible selections. This security blanket facilitates peaceful agritourism development free of catastrophic bankrupting scenarios.

9. Create an Office Space

Carving out administrative space streamlines daily operations and external communications necessary for agritourism excellence. Whether a simple home office or a more elaborate commercial lease, designating real estate for business administration.

Home Office

Converting a spare bedroom or basement corner into a basic desk setup maintains intimate owner oversight while providing workflow privacy. Expect costs of around $2,000 for supplies like a computer, filing cabinets, phone line, and booking management software applicable from any location.

Coworking Space

Nearby WeWork outposts offer move-in ready offices for small business owners seeking professional communal amenities without major financial risk. Open desk rentals start around $350 monthly. Private offices with doors for confidential calls bump to $600 on average.

Retail Office

Properties with customer-facing storefronts like farm stands may warrant customer-facing office nooks on-site allowing sales processing, product pickups, and hospitality service bookings all in one spot. This convenience must be weighed against frequent visitor interruptions and noise that can reduce productivity, however.

10. Source Your Equipment

Outfitting an agritourism operation with the necessary gear to facilitate immersive guest experiences requires strategic spending. Evaluate new purchases against used and rental options to secure exactly what your farm needs cost-effectively.

Splurging on shiny new fixtures and supplies guarantees flawless function with warranty support and sometimes financing assistance for costly investments. Key essentials like commercial kitchen equipment, tractor wagon shuttles, ATVs, or professional photography backdrops can run tens of thousands of new but last years.

Buying Used

Scour local classified listings through Facebook Marketplace , Craigslist , and leaflet boards at feed stores for steeply discounted gear in quality shape. Repurposed machinery like apple presses, hand tools, or bird-watching scopes often surfacing second-hand offer great guest programming potential at a fraction of retail prices.

Hefty investments like commercial bounce houses, professional barbecue rigs, or sound systems for agritourism events make infinitely more financial sense to rent only when needed. Peer-to-peer rental platforms like Fat Llama connect you with special event companies willing to loan specialty items.

If cash flow is tight opening year one but essential harvesting equipment or swanky guest cabin materials remain necessary, explore leasing options spreading costs over monthly installments rather than one crushing new buy. This eases cash flow demands substantially.

11. Establish Your Brand Assets

Cultivating a distinct brand personality helps emerging agritourism establishments stand out amid fierce regional competition while aligning offerings with target visitor values for enhanced loyalty. From logos to websites, these visual touchpoints inform consumer impressions.

Getting a Business Phone Number

Toll-free numbers lend legitimacy to bookings and customer service unavailable through personal cell phones. Cloud-based virtual phone services like RingCentral forward calls automatically from one centralized business line and ring endless devices simultaneously for reliable access and professionalism.

Creating a Logo and Brand Assets

Hire a designer to craft custom logo visuals reflecting the heritage, location, or specialty crop of your farm. Brand recognition likely requires keeping the main name but refreshing slogans. User-friendly DIY design platforms like Looka generate loads of polished options

Creating Business Cards and Signage

Business card exchanges establish professional first impressions with regional tourism partners, vendors, and media. High-quality cards like those printed through Vistaprint run about $20 for 250.

Purchasing a Domain Name

Secure exact match domain names like FarmNameAgritourism reflecting the brand through registrars like Namecheap for roughly $15 yearly. If taken, adjust slightly with hyphens or abbreviations as available.

Building a Website

Self-service platforms like Wix facilitate quick DIY websites packing in loads of visual appeal to convey the agritourism vision vibrantly. Or hire an expert web developer through freelance networks like Fiverr starting around $300 to craft a completely custom site architecture showcasing offerings in the best light possible.

12. Join Associations and Groups

Expanding professional networks through local and national associations secures indispensable mentorship and peer support as the complex agritourism industry continues maturing. Tapping collective knowledge around risk management, marketing, and operational efficiency steers new entrants toward profitability faster.

Local Associations

State-level alternative agriculture groups like the California Agritourism Association and regional collectives like the Appalachian Agritourism Association offer troves of niche insights, forums for idea exchanges advocacy assistance, and disaster relief programs. Memberships run $50-$500 annually depending on scale.

Tourism boards also harbor useful training webinars, promotion opportunities on “farm trail” apps like BookingNinjas, and eligibility for placement in roadside visitor center guides.

Local Meetups

In-person conferences and hands-on workshops facilitate more intimate sharing around overcoming recurring stumbling blocks like securing adequate event insurance, perfecting evening bonfire experiences, or licensing on-farm stores legally. Local networks surface through platforms like Meetup .

Facebook Groups

Massive national communities centralized around key activities prove invaluable for troubleshooting and inspiration gathering too. For example, agritourism, Farm Tourism, Heritage, and Eco-Tourism offer searchable idea banks from thousands of proprietors navigating bathroom builds, artisanal cocktail receptions and so much more.

13. How to Market an Agrotourism Business

Spreading the word about your agritourism offerings requires an integrated digital and traditional promotional strategy maximizing local networks and direct visitor engagement. Balance targeted paid platforms with community cultivation for sustained success even amidst seasonal tourism lulls.

Personal Networking

Start close to home. Satisfied visitors become your best brand evangelists when delighted by farm experiences. Entice sharing through discounts on next visits, gift card bonuses, or complimentary take-home merchandise when posting social reviews.

Digital Marketing

Paid platforms efficiently target hyperlocal travelers while optimizing visibility in wider search traffic. Some digital marketing options include:

• Launch Google Ads campaigns geo-fencing nearby metro areas using keywords like “day trip orchard” + city name with ad copy conveying your differentiators.
• Sponsor seasonal event posts within community Facebook Groups already discussing topics like “best pumpkin patches ” and list on localized directories like Tripadvisor and Yelp encouraging customer reviews.
• Run Instagram and Facebook ads featuring striking photography boosting conversions.
• Allow self-service online booking through tools like FareHarbor streamlining planning.

Traditional Marketing

Double down on traditional tactics cementing friendly neighborhood ties. Some tips include:

• Distribute simple flyers at local hotels, B&Bs, bars, and farmers markets.
• Schmooze tourism bureaus, guides, and hotels to suggest or highlight offerings in regional “things to do” promotional materials as their trusted country getaway.
• Sponsor booths at busy county fairs or festivals cross-promoting to similar family-based audiences.
• Offer farm tours so farm visitors can see what you’re all about.
• Pitch multi-farm partnership packages to motorcoach companies drawin​g on farm visitors from competing farms.

While digital proves more measurably converting, well-rounded campaigns reminding locals of your presence across channels ensure top-of-mind recall when seeking weekend plans. Delighted past visitors still reign supreme enticing similar friends on each visit.

14. Focus on the Customer

In an increasingly noisy tourism sector, thoughtful customer service emerges as the competitive differentiator. Prioritize memorable care through policies facilitating seamless planning, farm transparency, and individualized attention exceeding expectations.

Simplify FAQ sections on your website detailing:

• Precise locations
• Average tour times
• Accessibility provisions
• Weather backup protocols

Send email reminders ahead of trips mentioning weather forecasts, packing checklists, and arrival procedures too. On arrival, wow families with complimentary snacks or gifts for the kids. Follow up post-visit with satisfaction surveys and exclusive early access to seasonal activities for the best reviewers.

When issues inevitably arise like allergy miscommunications in the kitchen or bee sting reactions while visiting beekeeping locations around the orchard , respond swiftly and caringly. Offer generous refunds or rainchecks along with the sincerest apologies to turn frustration into future loyalty. Document occurrences privately to amend practices proactively.

Striving relentlessly each day to showcase your farm’s unique warmth, charm, and personality forges bonds reaching far deeper than surface-level amenities alone ever could. Word spreads quickly when finding a countryside escape focused wholly on welcoming strangers like old friends.

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Adding agritourism: How to create successful tours for your farm or ranch

Hosting tours on your farm or ranch not only provides additional income but helps tell an important story about Oregon agriculture, rural communities and local food production. Below are key topics to consider when deciding whether or not to add farm tours to your business.

Deciding what to demonstrate

Determining points of interest on your operation is a first step in setting up a farm tour. While certain farming aspects may not seem interesting to you as the operator, the general public may find them intriguing.

Keeping your visitors entertained and safe are the main goals.

One way to decide what should be showcased on the tour is by walking friends or other producers around your property and taking note of what they notice and find most interesting. Create a route around these points of interest while avoiding potentially dangerous or unattractive areas.

Keeping your visitors entertained and safe are the main goals. For example, farm animals always delight visitors but could pose a safety risk. When choosing whether to include animals on the tour, take into consideration their health, friendliness, barn facilities and handwashing options.

Facilities on the farm

Now that you have determined the points of interest on your operation, it is time to consider the facilities.

Restroom facilities are a major factor on whether you can offer farm tours. What is the current public restroom situation? Does the farm have a septic system and can the system support the number of visitors anticipated? You may need to rent portable restrooms, whether seasonally or year-round.

Upon arriving, your guests should find clearly marked parking and be able to gather in an area out of weather.

Another consideration is parking. Upon arriving, your guests should find clearly marked parking and be able to gather in an area out of weather. Make sure the footing is as level as possible to make getting in and out of cars as easy as possible for the visitors. If your farm is open to the public you may need to comply with ADA regulations.

For schools and large groups that arrive in buses, there are some additional things to consider. Will this space be available at all tour times? Can a larger vehicle get in, turn around and get out of the space fairly easily? Is the ground going to be soft at certain times of the year, causing the possibility of stuck vehicles?

If bus parking is tricky or not possible, make sure you communicate this during the booking process or reconsider the tour size your farm can accommodate.

General farm tours or topic specific?

When planning a tour, think about what type it will be. Is the tour going to cover the farm in a general sense or is it going to showcase a specific aspect or activity on the farm?

Themed tours are one way to show different aspects of the farm and attract visitors interested in specific topics.

For example, if you have an orchard operation with a farm stand where you sell pressed cider, you could give a general tour of the whole operation or a cider-themed tour highlighting where the apples are grown, pressing and processing the cider, bottling and distribution.

Themed tours are one way to show different aspects of the farm and attract visitors interested in specific topics. Themed tours may change throughout the year featuring seasonal activities. A few examples of these types of tour are: soil restoration, orchard care, renewable energy, animal husbandry and crop production.

Self-guided tours

Organizing a self-guided tour is one way you can offer the tour experience without having to staff the position or lead the tour yourself. A successful self-guided tour needs good signage, well-marked routes or trails, and a map for the guests to follow. The map may point out interesting things such as buildings or plants and offer guidance, indicating rough terrain and off-limit areas.

A successful self-guided tour needs good signage, well-marked routes or trails, and a map for the guests to follow.

We recommend that there is a person to greet visitors upon arrival and to answer questions.

An interactive option for a self-guided tour is a scavenger hunt, a list of locations to visit or items to find. This can be an engaging and organized way to have visitors tour the operation without a personal guide. A small prize or incentive may be offered for a completed scavenger hunt such as a drawing entry, coupon, or free gift.

While this style of tour requires minimal staffing, it may lose the personal touch of having an actual tour guide. Lack of supervision may also lead to visitors in areas that are not desired or off limits.

Tours for school groups

When designing a tour for school groups and children, there are a few additional factors to consider. Tours for children should be a faster pace and include activities that are hands-on and educational.

The age of the children should also be kept in mind. A tour and the corresponding information and activities for middle school students may not hold the attention of elementary school students.

Field trips can be a large expense for schools so it is important to follow through with what has been promised.

Also, it’s helpful to have specific days and timeslots set aside for larger groups when scheduling school tours so you can be prepared with extra staff and activities if needed. When booking group tours, be sure to review the itinerary and expectations so that teachers can be prepare students and have adequate volunteers.

Field trips can be a large expense for schools so it is important to follow through with what has been promised and give consistent, well-planned educational experiences. For more information and resources on farm school tours, please visit the Oregon Farm to School program.

Budgeting for tours

Consider how tours fit into your business plan. You may choose to provide short tours at no cost that draw customers to your farm to purchase your farm products or design in-depth educational tours that share about farm production and generate additional income. Either way, tours require additional staffing.

Charging for tours may be less risky than offering free or low-cost tour and hoping customers buy product.

To determine a tour cost, take into account expenses versus possible income. Income includes registration cost of the tour plus farm stand purchases, as offering tours can lead to more product purchases. Expenses may include staff time coordinating and hosting the tours, value of products sampled, advertising, signage, self-guided tour brochures and keeping facilities tidy and welcoming. Use a break-even analysis to determine the minimum amount of guests per tour to make these activities profitable.

Charging for tours may be less risky than offering free or low-cost tour and hoping customers buy product. However, you can encourage sales of farm products by ending at a farm store or place to purchase your farm products. Each operation is unique and one budget does not work for all.

Tour registration

Developing a way to keep track of your tour schedule is critical so that you are prepared and ready to welcome guests. Scheduling can be as simple as guests contacting the farm via phone or email and scheduling on a calendar, an organized computer spreadsheet or using a more advanced scheduling program such as Bookeo.

Before booking, you should know the minimum and maximum guests per tour.

Before booking, you should know the minimum and maximum guests per tour. Also, consider whether a deposit is required or if a late or no-show policy is right for you. Selling advanced tickets using online platforms such as Eventbrite, Brown Paper Tickets or through your farm website is another option.

Importance of customer service

Customer service and hospitality are essential for the staff, whether it's you or an employee leading the tours. When leading a farm tour, the guide is the face of the farm so having staff members who are energetic and social and have skills working with the public is important.

Explain the farm products in an easy and sequential way and use sensory elements when possible.

The tour guide should always introduce themselves and say what their position is on the farm. The guide is setting the tone of the tour so let the group know at the beginning if they can ask questions during the tour, where the restrooms are and how long the tour will take, etc. If the tour is longer than an hour, consider providing a rest stop where guests can sit, get out of the weather and possibly have a refreshment.

Explain the farm products in an easy and sequential way and use sensory elements when possible. Seeing, hearing, smelling and tasting may ingrain that farm experience deeper and make it more relatable to the guest. If visitor attention is diverted, stop and talk about what caught their interest and make it a teachable moment.

Photo opportunities with farm signage are fun for guests and provide another source of advertising as guests often share photos on social media.

At the end of the tour be sure to say thank you and explain what else there is to do on their farm visit. Can guests walk around the buildings? Are there places to picnic or stay after the tour?

Lastly, asking guests for a post-tour review, whether on paper or electronically, may help with feedback to improve the tour.

Safety and risk management

When welcoming visitors onto the farm, minimizing your risk and keeping everyone safe are priorities. Be sure that your liability insurance policy is up to date and covers the activities you provide.

It is your responsibility to minimize hazards as much as possible.

In Oregon, limited-liability signage is available to inform guests that they are entering a working farm and there are inherent risks with doing so. To be protected by this regulation, the signs must be placed at the entrance of the farm and at key points where agritourism activities are taking place.

You may make your own regulation sign, as long as the lettering is one inch in size and includes the language as listed in the law, or purchase one from Oregon Agritourism Partnership or Plate and Pitchfork . More information about ORS 30.671 to 30.677 can be found online.

It is your responsibility to minimize hazards as much as possible. This may include walking surfaces, structures, walking paths from cars and farm equipment. Animals that are unsafe or unhealthy should be removed from public view.

Make sure the correct warning signs are displayed and visible. Examples of warning signs are: electric fences, no climbing on hay bales or farm equipment, wet and slippery surfaces, guard dogs on duty, and moving machinery.

Promoting the tour

Promoting farm and ranch tours is not just limited to websites and social media. Partnering with other businesses to cross-promote can be beneficial for all involved. For instance, if a berry farm sells its products to a bakery for pies, the bakery may advertise for the farm tours.

Partnering with other businesses to cross-promote can be beneficial for all involved.

Connecting with lodging establishments may also help bring new visitors to the farm and give the lodging operators a confident recommendation to their guests who are looking for local activities.

Lastly, always keep websites and social media up to date with photographs and videos to give potential guests a sneak peek of the operation and what to expect when they visit.

• How to Develop a Farm Tour
• Oregon Farm to School program
• Oregon Agritourism Partnership Regulation Limited Liability signs
• ORS 30.671 to 30.677
• Plate and Pitchfork Regulation Limited Liability signs

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Agro Tourism Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Tourism & Hospitality

Do you want to start an agro tourism company and need to write a plan? If YES, here is a sample agro tourism business plan template & feasibility report.

An agro tourism agency is a good business to start in the United States because, aside from Israel, the United States can boast of having some of the best inventions when it comes to the agricultural industry. As a matter of fact, the united states is among the top destinations for foreigners looking for countries to understudy new breakthroughs in agriculture.

Agro tourism receives massive support from the government because it gives farmers and other stakeholders in the industry opportunity to generate additional income and an avenue for direct marketing of their produce to consumers. Aside from that, agro tourism provides educational opportunities to the public, helps to preserve agricultural lands, and allows states to develop business enterprises.

If you are sure this type of business is what you truly want to do after you must have conducted your feasibility studies and market research.

The next step to follow is to write a good business plan; a detailed blueprint of how you intend raising your seed capital, setting up the business, managing the flow of the business, sorting out tax and marketing your services. Below is a sample agro tourism business plan template that will help you write yours with little effort.

A Sample Agro Tourism Business Plan Template

1. industry overview.

The travel and tourism industry of which agro tourism belongs to is a big and profitable industry in the United States of America and in most developed countries with known breakthroughs in the agriculture industry. Agritourism or agro tourism involves any agriculturally based operation or activity that brings visitors to a farm or ranch especially for the purpose of understudying.

Agro tourism is a booming line of business in the United States. Agro tourists can choose from a wide range of activities that include picking fruits and vegetables, riding horses, tasting honey, learning about wine and cheesemaking, or shopping in farm gift shops and farm stands for local and regional produce or hand-crafted gifts.

According to the USDA Cooperative State, Education and Extension Service, “Tourism is becoming increasingly important to the U.S. economy. A conservative estimate from the Federal Reserve Board in Kansas, based on 2000 data, shows that basic travel and tourism industries accounted for 3.6 percent of all U.S. employment.

Even more telling, data from the travel industry Association of America indicate that 1 out of every 18 people in the U.S. has a job directly resulting from travel expenditures”.

According to the Small Farm Center at the University of California, “Agricultural tourism or agritourism, is one alternative for improving the incomes and potential economic viability of small farms and rural communities. Some forms of agritourism enterprises are well developed in California, including fairs and festivals.

Other possibilities still offer potential for development”. The UC Small Farm Center has developed a California Agritourism Database that “provides visitors and potential entrepreneurs with information about existing agritourism locations throughout the state.

The Tourism industry that agro tourism business is a subset of is a thriving sector of the economy of the United States and the industry generates over $970 billion annually from more than 443,165 tourism companies (strictly agro tourism agencies inclusive) scattered all around the United States of America.

The industry is responsible for the employment of over 5,546,023 people. Experts project the industry to grow at 1.0 percent annual rate. The market for the tourism industry is open to all stakeholders because no tourism agency has the lion market shares in the industry

A recent report published by IBISWorld shows that in the last five years, the Tourism industry has experienced relatively steady growth.

However, despite increasing consumer sentiment, declining unemployment and an increase in the number of trips domestic and international travelers were taking in the United States, revenue growth was sluggish early during the period amid heightened competition and unstable commodity markets.

Nevertheless, consumer spending continued to increase over the past five years, due to rising disposable income and positive consumer sentiment, benefiting industry operators.

Some of the factors that encourage entrepreneurs to start their own agro tourism business could be that the business is easy to set up and the startup capital is indeed affordable; you can actually start your own agro tourism business from a small farm.

But you must ensure that you have things in place or activities that will compel people (tourists) to travel from far and wide to pay to tour your farm.

2. Executive Summary

Frank Tyson® Commercial Farm Settlement, Inc. is a registered commercial farm with strong bias in generating additional income from agro tourism. The farm will be located in a farming community in Steamboat Springs – Colorado.

Frank Tyson® Commercial Farm Settlement, Inc. is a 500 – acre family – owned and operated farm that hosts over 40 attractions and activities for visitors between May and their Harvest Festival in October. Our visitors (tourists) have the opportunity to feed their baby animal addiction by visiting during the Baby Animal Days, or they can can participate in our many festivals, such as the Sunflower Festival.

From activities such as apple cannons and pig races, there are many different opportunities to entertain the entire family all the while learning about farm life. We will also offer agro tourists the chance to work on cattle ranches, and sometimes participate in cattle drives.

We are aware that while revenue and education are often primary drivers for farmers to diversify and invite guests onto their property, we will ensure that safety is always a top priority to us.

Frank Tyson® Commercial Farm Settlement, Inc. is a client-focused and result driven agro tourism business that provides excellent treatment and broad-based experience at an affordable fee that won’t in any way put a hole in the pocket of our clients.

At Frank Tyson® Commercial Farm Settlement, Inc., our client’s best interest would always come first, and everything we do is guided by our values and professional ethics. Which is why our visitors are greeted with a beautiful building that houses a café and souvenir shop.

We also have in the visitor center area an agriculture-themed escape room and interactive stations for people of all ages to learn about the agriculture industry and our farm, from what farmers do. We will ensure that we hire professionals who are well experienced in the industry.

Frank Tyson® Commercial Farm Settlement, Inc. will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible.

We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.

Frank Tyson® Commercial Farm Settlement, Inc. is founded by Frank Tyson and his immediate family members. He has over 15 years’ experience working at various capacity within the agriculture industry and of course the travel and tour industry in the United States of America.

3. Our Products and Services

Frank Tyson® Commercial Farm Settlement, Inc. is going to offer varieties of services within the scope of the agro tourism line of business in the United States of America. Our intention of starting our agro tourism business is to make profits from the industry and we will do all that is permitted by the law in the United States to achieve our business goals. Our business offerings are listed below;

• Giving visitors (tourists) first hand experience of farm life
• (Accommodation services) – Renting out our agriculture-themed escape room and interactive stations
• Food services and drinking place services
• Donkey, Cart and Horse rental
• Travel agent and tour arrangement services
• Sell our farm produce to visitors (farm market)

4. Our Mission and Vision Statement

• Our vision is to build an agro tourism brand that will become the number one choice for clients who are seeking to visit Steamboat Springs – Colorado or any commercial farms in the United States for the purpose of agro tourism.
• Our mission is to provide the most ideal environment, ambiance and activities that will encourage people to visit our farms.
• We will position the business to become the leading brand in agro tourism in the whole of Steamboat Springs – Colorado, and also to be amongst the top 20 agro tourism destinations in the United States of America within the first 10 years of operation.

Our Business Structure

Frank Tyson® Commercial Farm Settlement, Inc. will build a solid business structure that can support the growth of our business.

We will ensure that we hire competent hands to help us build the business of our dream. The fact that we want to become one of the leading commercial farms that is also engaged in agro tourism in the United States makes it highly necessary to build a well – structured business from the onset.

We will make sure that we hire people that are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit all the stakeholders.

As a matter of fact, profit-sharing arrangement will be made available to all our member of staff and it will be based on their performance for a period of ten years or more. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;

• Chief Operating Officer

General Farm Manager

Administrator/Accountant

• Cattle Ranch Manager/Supervisor
• Agro Travels and Tours Consultant
• Sales and Marketing Executive
• Field Employees
• Front Desk Officer

5. Job Roles and Responsibilities

Chief Operating Officer:

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
• Responsible for providing direction for the business
• Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the organization
• Responsible for the planning, management and coordinating all farm activities across the various sections on behalf of the organization
• Supervise other section managers
• Ensure compliance during project executions
• Providing advice on the management of farming activities across all sections
• Responsible for carrying out risk assessment
• Using IT systems and software to keep track of people and progress of the growth of crops, fishes, birds and animals
• Responsible for overseeing the accounting, costing and sale of farm produce after harvest
• Represent the organization’s interest at various stakeholders meetings
• Ensures that farming goals desired result are achieved, the most efficient resources (manpower, equipment, tools and chemicals et al) are utilized and different interests involved are satisfied. Responsible for preparing financial reports, budgets, and financial statements for the organization
• Defining job positions for recruitment and managing interviewing process
• Carrying out staff induction for new team members
• Responsible for training, evaluation and assessment of employees
• Oversee the smooth running of the daily farming activities across the various farming sections.

Agro Travel and Tour Consultant

• Responsible for booking flight tickets, securing transit visas, booking for shuttle buses/taxi cabs, car rentals, hotel bookings amongst many other agro tour services
• Liaise with clients (potential agro tourists) to identify their needs and to ensure customer satisfaction
• Conduct market research, gather information and negotiate contracts prior to closing any deals
• Provide feedback and periodic reports to stakeholders
• Propose ideas to improve provided services and agro tourism quality
• Ensure compliance with insurance, legal, health and safety obligations
• Cooperate with marketing and PR to promote and publicize agro related events
• Conduct pre- and post – agro events evaluations and report on outcomes
• Research market, identify agro tour opportunities and generate interest
• Responsible for overseeing the smooth running of HR and administrative tasks for the organization
• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Responsible for financial forecasting and risks analysis.
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensuring compliance with taxation legislation
• Handles all financial transactions for the company
• Serves as internal auditor for the company

Cattle Ranch and Animal Manager/Supervisor

• Responsible for managing boarding services, breeding services, dairy support services, livestock health services, farrier services, and shearing services et al.
• Work closely with the General Manager to achieve the organizations’ goals and objectives

Sales and Marketing Officer

• Identify, prioritize, and reach out to new partners, and business opportunities et al
• Identifies development opportunities; follows up on development leads and contacts
• Writing winning proposal documents, negotiate fees and rates in line with company policy
• Responsible for handling business research, marker surveys and feasibility studies for clients
• Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
• Document all customer contact and information
• Represent the company in strategic meetings
• Help increase sales and growth for the company especially as it relates to attracting agro tourists from within and outside of the United States of America.

Field Workers

• Serve as tour guides within the farm settlement
• Responsible for feeding cattle and other livestock as instructed by the supervisor
• Responsible for cleaning the cattle ranch
• Change the water in the water trough / trench as instructed by the supervisor on a regular basis
• Handles farm implements and machines
• Carries out task in line with the stated job description
• Handles any other duties as assigned by the farm manager

Client Service Executive/Front Desk Officer

• Welcomes visitors (agro tourists) by greeting them in person or on the telephone; answering or directing inquiries.
• Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
• Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
• Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients
• Receives parcels/documents for the company
• Distribute mails in the organization
• Handles any other duties as assigned by the manager

6. SWOT Analysis

Frank Tyson® Commercial Farm Settlement, Inc. engaged the services of a core professional in the area of business consulting and structuring to assist the firm in building a well – structured agro tourism business that can favorably compete in the industry.

Part of what the team of business consultant did was to work with the management of our organization in conducting a SWOT analysis for Frank Tyson® Commercial Farm Settlement, Inc. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Frank Tyson® Commercial Farm Settlement, Inc.;

The fact that we have a standard commercial farm, with vast land and facilities that will meet the needs of visitors (agro tourists) from within and outside the United States and also good working relation with travel and tour agencies gives us edge over our competitors.

We have a team that can go all the way to give our visitors value for their money; a team that are trained and equipped to pay attention to details when executing their jobs. We are well positioned and we know we will attract loads of visitors (agro tourists) from the first day we open our facility to visitors.

As a new agro tourism business, it might take some time for our organization to break into the market and gain acceptance especially from corporate clients who are looking for highly mechanized farms to visit; that is perhaps our major weakness.

• Opportunities:

This industry relies on the number of domestic day trips and overnight stays. The more consumers travel domestically, the more likely they are to spend on tourism-related activities. Domestic trips by US residents are expected to increase in the coming year, presenting a potential opportunity for the industry.

Outbound US resident travel results in a loss of potential revenue to the local industry due to purchases made overseas. However, some industry segments such as international airlines and travel agents, may still receive income from bookings. International trips by US residents are expected to increase in the coming year, posing a potential threat to the industry.

7. MARKET ANALYSIS

• Market Trends

In recent time, agro tourism has become a necessary means for many small farms’ survival. By diversifying business operations, farm operators are able to ensure a more stable income. This is because agritourism activities can occur during times of the year that crops may not be in season, and they provide a completely separate stream of income.

Some studies have found that agritourism operations often benefit their surrounding communities by drawing tourists to the area. The economic boost by the increase in traffic can be beneficial to rural areas in need of diversified streams of income.

The agro tourism line of business is in a continuous state of evolution and as such, ground breaking strategies and ideas that are once highly successful are no longer as productive as they were in time past.

Close observation of the trend in the industry reveals that the past few years has seen the rise and proliferation of social media and new tech tools. The trend also extends to increased attention paid to engagement and new market segments, adopting eco-friendly measures and sustainability when planning agro tours events.

As a matter of fact, social media has now become one of the most important tools agro tours agencies leverage on to disseminate information about their events, interact with clients, solicit feedback, and create year-round engagement with their target audience. Furthermore, new software apps and emerging technology have made it easier for agro tours agencies to gather all the needed data and information that will help them plan and project for the future.

Lastly, people have become more interested in how their food is produced. They want to meet farmers and processors and talk with them about what goes into food production.

For many people who visit farms, especially children, the visit marks the first time they see the source of their food, be it a dairy cow, an ear of corn growing in a field, or an apple they can pick right off a tree. Farmers and ranchers use this interest to develop traffic at their farm or ranch.  

8. Our Target Market

The market for agro tourism is usually divided into two groups; those who are looking to understudy a farm and the processes that are involved in the farm especially as it relates to farming techniques and of course those who are just looking for a farm settlement to tour and engage in fun-filled activities.

These groups of people cut across different divides in the community. In essence we will ensure we position our business to attract the following visitors (agro tourists);

• International tourists
• Family and household
• Newly wedded couples
• Research institutions

Our Competitive Advantage

The level of competition in the agro tourism line of business depends largely on the location of the business and of course the capacity of your farm especially as it relates to the activities and facilities you have on ground. If you can successfully create a unique brand identity for your agro tourism business or carve out a unique market, you are likely going to experience less competition.

For instance, if you are one of the few agro tourism farms in your location that owns a farm – themed guest house, you are sure going to be making monopolize the market. Frank Tyson® Commercial Farm Settlement, Inc. might be a new entrant into the industry in the United States of America, but the management staffs and owners of the business are considered gurus.

They are people who are core professionals and licensed and highly qualified agro travels and tours experts in the United States. Our farm, varieties of activities, our facilities are what agro tourists will pay to visit. These are part of what will count as a competitive advantage for us.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category in the industry meaning that they will be more than willing to build the business with us and help deliver our set goals and objectives.

9. SALES AND MARKETING STRATEGY

• Sources of Income

Frank Tyson® Commercial Farm Settlement, Inc. is established with the aim of maximizing profits in the business and we are going to ensure that we do all it takes to attract clients on a regular basis. Frank Tyson® Commercial Farm Settlement, Inc. will generate income by offering the following agro related services;

• Food and drinking service
• Travel and tour arrangement services

10. Sales Forecast

One thing is certain, there would always be individuals, families and corporate organizations who would travel on a daily basis within the United States and to other parts of the world basically for agro tourism.

We are well positioned to take on the available market in the U.S. and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow the business and our clientele base beyond.

We have been able to examine the agro travel and tour market, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the sales projection for Frank Tyson® Commercial Farm Settlement, Inc., it is based on the location of our business and the wide range of agro services that we will be offering;

• First Fiscal Year (FY1): $350,000
• Second Fiscal Year (FY2): $550,000
• Third Fiscal Year (FY3): $750,000

N.B : This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and natural disasters within the period stated above. There won’t be any major competitor offering same agro tourism activities as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

• Marketing Strategy and Sales Strategy

We are mindful of the fact that there are stiff competitions amongst commercial farms that are also engaged in agro tourism in the United States of America, hence we have been able to hire some of the best business developers to handle our sales and marketing.

Our sales and marketing team will be recruited base on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of the organization.

We will also ensure that our excellent job deliveries speak for us in the marketplace; we want to build a standard agro tourism business that will leverage on word of mouth advertisement from satisfied clients. Frank Tyson® Commercial Farm Settlement, Inc. is set to make use of the following marketing and sales strategies to attract clients;

• Introduce our business by sending introductory letters alongside our brochure to corporate organizations, schools, travel and tour agencies, households and key stake holders in all around the globe.
• Advertise our business in relevant agro and travels and tours magazines, newspapers, TV stations, and radio station.
• List our business on yellow pages ads (local directories)
• Attend relevant international and local agro travel and tours expos, seminars, and business fairs et al
• Create different packages for different category of visitors (tourists) in order to work with their budgets and still deliver quality experience and services to them when they tour our farms
• Leverage on the internet to promote our business
• Engage direct marketing approach
• Encourage word of mouth marketing from loyal and satisfied clients

11. Publicity and Advertising Strategy

We have been able to work with our brand and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. We are set to take the industry by storm which is why we have made provisions for effective publicity and advertisement of our agro tourism business.

Below are the platforms we intend to leverage on to promote and advertise Frank Tyson® Commercial Farm Settlement, Inc.;

• Place adverts on both print (international agro and travels – based newspapers and magazines) and electronic media platforms
• Sponsor relevant community based events/programs
• Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote our brand
• Install our Billboards in strategic locations all around Steamboat Springs – Colorado.
• Distribute our fliers and handbills in target areas
• Ensure that all our workers wear our branded shirts and all our vehicles are well branded with our company’s logo et al.

12. Our Pricing Strategy

At Frank Tyson® Commercial Farm Settlement, Inc. we will keep our fees below the average market rate by keeping our overhead low and by collecting payment in advance.  In addition, we will also offer special discounted rates to some clients, nonprofits, cooperatives, and small social enterprises seeking to visit our farm settlement.  

• Payment Options

The payment policy adopted by Frank Tyson® Commercial Farm Settlement, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Frank Tyson® Commercial Farm Settlement, Inc. will make available to her clients;

• Payment via bank transfer
• Payment with cash
• Payment via credit cards
• Payment via online bank transfer
• Payment via check
• Payment via mobile money transfer

In view of the above, we have chosen banking platforms that will enable our client make payment for all our services and accommodation without any stress on their part. Our bank account numbers will be made available on our website and promotional materials.

13. Startup Expenditure (Budget)

Below are some of the basic areas we will spend our startup capital in setting up our commercial farms and agro tourism business;

• The total fee for incorporating the business in United States of America – $750.
• The budget for key insurance policies, permits and business license – $2,500
• The amount needed to acquire/lease a farm land – $150,000
• The amount needed for the construction and furnishing of farm settlement lodges / accommodation – $200,000
• The amount required for preparing the farm land (for construction of cattle ranch and cages / fencing et al et al) – $100,000
• The cost for acquiring the required working tools and equipment / machines / fencing et al – $50,000
• The amount required for purchase of the first set of cattle (cows, oxen, bulls, bullocks, steers, heifers and calf et al) – $150,000
• The cost of launching an official Website – $600
• The amount required for payment of workers for a period of 3 months – $100,000
• Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,000

Going by the report from detailed research and feasibility studies conducted, we will need an average of $750,000 to start a standard agro tourism business in the United States of America.

Generating Funds/Startup Capital for Frank Tyson® Commercial Farm Settlement, Inc.

Frank Tyson® Commercial Farm Settlement, Inc. is a private registered business that is owned and financed by Mr. Frank Tyson and his immediate family members. They do not intend to welcome any external business partner which is why he has decided to restrict the sourcing of the startup capital to 3 major sources.

• Generate part of the startup capital from personal savings
• Source for soft loans from family members and friends
• Apply for loan from my Bank

N.B: We have been able to generate about $250,000 (Personal savings $150,000 and soft loan from family members $100,000) and we are at the final stages of obtaining a loan facility of $500,000 from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.

14. Sustainability and Expansion Strategy

The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and the business structure. If all of these factors are missing from a business, then it won’t be too long before the business closes shop.

One of our major goals of starting Frank Tyson® Commercial Farm Settlement, Inc. is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to offer our agro tourism services a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.

Frank Tyson® Commercial Farm Settlement, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.

We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List/Milestone

• Business Name Availability Check:>Completed
• Business Incorporation: Completed
• Opening of Corporate Bank Accounts: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of Insurance for the Business: Completed
• Conducting Feasibility Studies: Completed
• Generating part of the startup capital from the founder: Completed
• Applications for Loan from our Bankers : In Progress
• Writing of Business Plan: Completed
• Purchasing of farm land and construction of farm settlement accommodation: In Progress
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents: In Progress
• Design of The Company’s Logo: Completed
• Printing of Packaging and Promotional Materials: Completed
• Recruitment of employees: In Progress
• Building /construction of cages and fence et al: In Progress
• Purchase of the needed working tools, machines and equipment: Completed
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Farm land Treatment, Health and Safety Arrangement: In Progress
• Establishing business relationship with travels and tours agencies, institutions, vendors and key players in the industry: In Progress

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Agritourism

Overview Types of Agritourism Businesses Management Marketing Risk Management Resources and Links  

According to the U.S. Travel Association, travel and tourism is a $1,127 billion industry in the United States that has directly generated more than 9 million jobs. An increasingly popular and growing opportunity for agricultural producers is agritourism.

The U.S. Census of Agriculture shows an increasing trend in agritourism and related recreational services as well as direct sales of agricultural products. The Census of Agriculture first used the term “agri-tourism” in 2007 with a question about “agri-tourism and recreational services such as farm or winery tours, hay rides, hunting, fishing, etc.” Using this limited definition, agritourism income grew by 67% over 10 years (between 2007 and 2017) and more than doubled when including direct sales of agricultural products, which is viewed as an important part of agritourism by many definitions. According to the 2017 Census of Agriculture, 28,575 farms offered agritourism and recreational services resulting in $949 million in sales. In addition, direct-to-consumer sales brought in $2.8 billion in sales for 130,056 farms. The next Census of Agriculture will be performed in 2022.

Types of Agritourism Businesses

An agritourism business can be defined as any person, farm, or corporation actively engaged in the operation, management, or promotion of an agriculturally-related tourism business open to the public. Examples of agritourism activities include but are not limited to: 

• U-pick farms give customers a hands-on farm experience by inviting them to come pick products from the field to purchase and take home. Common types of products offered at u-pick farms include fruits, vegetables, pumpkins, flowers, and Christmas trees.
• On-farm markets give customers the opportunity to come purchase produce and/or products on the farm property. Common types of farm markets include farm stands (outdoor booth on the farm) and farm stores (enclosed store on the farm).
• Farms that grow and sell pumpkins. On-farm pumpkin patches often sell their pumpkins as a u-pick and/or through an on-farm market. 
• A maze cut out in a cornfield that customers can navigate through.
• Farms and businesses engaged in growing grapes for wine and/or wine making. Many wineries provide on-farm entertainment including, but not limited to, wine-tastings, wine-trails, music, and on-farm dinners.
• A flower farm that invites visitors to come see or experience the flower crop in the field . Floriculture farms may host events and workshops, provide a flower u-pick and offer photography opportunities.
• A working farm that invites visitors on their property to see or experience the farm . Examples of demonstration farms include but are not limited to dairies, conservation farms, and cattle ranches.
• A farm that invites customers to pick or buy Christmas trees on their farm.
• Farm stays invite visitors to stay on a farm property.
• A farm that engages with visitors by giving them a tour of their farm.
• An educational opportunity for kids to come experience a farm and engage in agriculture practices.
• On-farm dining experience, often including a specialty chef, farm fresh food, and entertainment.
• Opportunities for visitors to come interact with horses on the farm. Types of equine agritourism can include trail riding, horseback riding lessons, dude ranches, horse camps, boarding facilities, and equine therapy farms.
• Landowners opening up their pond to visitors for fishing.
• Landowners inviting visitors on their land to hunt usually for a fee.

Best Management Practices for an agritourism business include:

• Providing an authentic farm or ranch experience
• Providing an educational experience
• Providing excellent customer service
• Providing adequate public facilities
• Maintaining a safe and accessible environment
• Creating good community relations
• Planning for your financial future

When starting an agritourism business or assessing your existing operation, consult the available resources and consider the following best management practices:

• Authentic Farm or Ranch Experience  - Agritourism provides visitors with an educational experience aside from one that is solely commercial. It is important to keep in mind that your farm/ranch is often the “face of farming and ranching” in your community, region, or state. A product you offer to visitors may be the experience of farm or ranch living. It is also important to understand what aspects of agriculture your local associations (agricultural, tourism, and marketing) emphasize in your region so that you can develop your own niche in coordination with other farms and attractions nearby.
• Educational Experience  - Farms and ranches can offer an agriculturally-oriented educational experience suitable for different ages. Food and fiber production, land stewardship, and history of agriculture are common topics that visitors enjoy learning about.  Another way to diversify your operation and educate guests may be on-property recreational activities (e.g., fishing, hunting, trail riding, cross-country skiing, or hiking).
• Customer Service  - This should be an integral part of your business planning. Training your staff to interact with customers in an appropriate way will ensure a safe and high quality experience for customers. It also ensures these customers will return and tell other potential customers about your business.
• Adequate Public Facilities  - Your farm/ranch needs to have sufficient capacity (staff and infrastructure) to provide basic services such as parking, transportation, signage, customer assistance, education, and roads. In order to maintain a safe and customer friendly business, provision of services and facilities like restrooms becomes necessary.
• Safe and Accessible Environment  - You should ensure that your property and facilities are maintained and in compliance with zoning, health, food safety, and environmental regulations. It is useful as well to create a risk management plan for your farm/ranch. In addition, depending on your type of business, consider compliance with the Americans with Disabilities Act, which mandates equal customer access to certain facilities (entrances, exits, and bathrooms).
• Community Relations  - To create good community relations, it is important to regularly provide opportunities for organized groups and individuals in your community to visit your property (e.g., schools and business associations).
• Planning for your Financial Future  - Regularly review your business plan and appropriately add value (price) to all farm/ranch services, products, and experiences in order to provide for the long-term sustainability of your business.

What is your farm story? How you market and promote your farm is an essential part of managing your business. Telling your story, having a clear mission and creating a culture for customers to engage in will help develop an environment where customers feel welcome. It is important that you understand and are passionate about the agritourism business you are promoting.

Start by developing a marketing plan. Who is your target audience? What experience and education do you want to share with them? How are you going to communicate with them? Thinking about your target audience will help you narrow down your best marketing channels. Having an online presence through websites, blogs, social media, e-newsletters, and Google is a great way to reach a broad audience. It is important to keep your business information updated on a regular basis. Other forms of marketing may include print-ads, mailers, cooperative marketing, tourism organizations, and agritourism/farm associations.

A powerful business marketing tool is reviews from satisfied customers. Whether it is by word-of-mouth, social media, or Google reviews, satisfied customers will be an asset to your business. New customers grow your business; satisfied repeat customers sustain and market your business to another wave of customers. 

Many producers who are involved in agritourism note there is synergism in having non-competing agritourism enterprises in the area to increase traffic to the area and provide more tourism attractions for customers. A list of resources and organizations supporting agritourism can be found  here .

Risk Management

Farmers and ranchers are legally responsible (liable) for the well-being of their customers and employees.  Considering safety and minimizing risk are important parts of business planning. To protect your agritourism business, it is important to create a risk management plan.   Some of the main areas of risk and negligence include site safety risk, product risk, employee related risk, and financial risk.  To ensure the well-being of your business, it is recommended that you avoid certain activities, use liability waivers, purchase insurance, practice good management techniques, train employees, and pay attention to the legal structure of your business.

Checklist for Managing Risk

• Key consultants to determine your needs are lawyers, insurance agents, financial managers, and accountants.
• Before you start implementing any business plans it is critical that you review local, state and federal laws and regulations; such as zoning, signage, employee tax withholding, food-related inspections, licenses or fees, and the risk management planning associated with animal exhibits and animal-human health concerns. Contact your county planning department to learn about your property’s zoning requirements and to figure out what permits you may need.
• Site Safety: Consider physical site hazards including visitor activities and attractive nuisances such as farm equipment likely to attract children.
• Product: Consider what you are selling or producing and any health or safety regulations or considerations
• Employee related: Know your employees and know what will be required on-site to safeguard their health and safety
• Financial: Consider current record-keeping, billing processes, assets and debts
• Post rules for customers and conduct regular inspections
• Post and implement employee rules and regulations
• Using proper signage can help reduce liability, but it does not remove liability.
• Establish a labeling protocol for products
• Establish a protocol based on state regulations for handling products
• Business liability
• Product liability
• Workers’ compensation
• It is important to have a good insurance policy and a good working relationship with your insurance agent.
• Consider using preventative measures like waivers or product warnings if warranted.

Understand your state’s laws relating to your property and business. Work with a trusted lawyer to see that your farm is set up for success. 

Risk Management Education for Farmers with On-Farm Visitors, Iowa State University Extension & Outreach

This online curriculum offers information and tools to enhance the safety and health of an on-farm operation that allows visitors on their property. Participation in this program will lead to new skills and techniques to implement practical management solutions on your farm. 

Risk Management Education for Farmers with On-Farm Visitors Course Link  

Agritourism Safety and Health Best Practices Checklists, Iowa State University Extension and Outreach

Risk Management Planning

Risk Management Planning for Agritourism , University of Vermont Extension

“Don’t Break A Leg… Managing Risks on Your Small Farm,”  “Managing Marketing Risks” and other Risk Management Articles. The Small Farms Program-Cornell University

Farm Commons  

Health and Safety Guidelines National Institute for Occupational Safety & Health , Centers for Disease Control & Prevention (NIOSH)  Toll-Free: 800-CDC-INFO (800-232-4636) TTY: (888) 232-6348

National Safety Council  - Farm safety & workplace fact sheets (scroll down for Agricultural Safety) Toll-Free: 800-621-7615   NIOSH Agricultural Research Centers

The National Children's Center for Rural and Agricultural Health and Safety  

Insurance Information North American Farmer’s Direct Marketing Association  - Member’s liability insurance list, 62 White Loaf Road, Southhampton, MA 01073, 413-529-0386

National Center for Agricultural Law, Research, & Information , University of Arkansas, School of Law, 479-575-7646

Resources/Other Links

2019 Best Practices in Agritourism  (PDF)

How to Develop a Farm Stand  (PDF)

How to Develop a Farm Stay  (PDF)

How to Develop a Farm Tour  (PDF)

How to Host a Farm Dinner  (PDF)

How to Host a Summer Camp  (PDF)

How to Host Weddings  (PDF)

U.S. Travel Association , 2019. U.S. Travel and Tourism Overview

U.S. Census of Agriculture , USDA (2012, 2017). Table 6&7. Income From Farm-Related Sources

How Oregon State University Programming Supports the Development of Agritourism Activities (Including Farm-Direct Sales) in Oregon ,  2019

On-farm Agritourism Activities in Marion County, Oregon from 2017-2018 ,  2019

Vermont Agritourism Collaborative , University of Vermont Extension  

Additional Resources

National Resources USDA Risk Management Education Agency  - Develops educational materials for 50 states. National Ag Risk Library , University of Minnesota, St. Paul, MN, Toll-free 800-234-1111 Regional Risk Management Education Centers Northeast Center for Risk Management Education , University of Delaware, 302-831-2538

North Central Risk Mgmt Education Ctr , University of Nebraska, 402-472-2235

Southern Region Risk Mgmt Education Ctr , University of Arkansas, 501-671-2175

Western Center for Risk Management Education , Washington State Univ., 509-335-6360  

Accessibility Information and Technical Assistance on the Americans with Disabilities Act 800-514-0301 (voice) 800-514-0383 (TTY) State Resources Your State’s: Department or Agency of Agriculture, State Agritourism Organization, Department of Marketing or Tourism, University Cooperative Extension Service, and directories from the  National Association of Resource Conservation and Development Councils , and  Natural Resources Conservation Service .

Agritourism Value Added Producer Grant Profiles and Recipients 

African Alliance of Rhode Island (PDF)

Avena Botanicals (PDF)

Big Picture Farm (PDF)

Boothby's Orchard & Farm Winery (PDF)

Fuzzy Udder Creamery(PDF)

Gothberg Farms (PDF)

TMK Creamery (PDF)

When Pigs Fly Farm (PDF)

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• Public Safety
• Nation & World

Neighbors clash over Vernon Family Farm agritourism events in Newfields

NEWFIELDS — When Lynn Girard and her husband, Mark, moved to town five years ago, they attended the occasional events at the Vernon Family Farm .

However, Girard, whose property abuts the farm at 301 Piscassic Road, stated those events have increased significantly over the past year. With live music and the serving of food and alcohol, she said the events are causing a major disruption to the neighborhood.

“Not only is this affecting our quality of living at our home on the weekends when we have time as a family, but if these events continue, it is going to decrease our property value,” she wrote to the Newfields Select Board on April 11. “When one purchases land in a residential, agricultural area, one does not expect to have a neighbor conducting a commercial business in the area.”

She and other neighbors have asked the Newfields Select Board to intervene, accusing the farm of violating the town's noise ordinance and not complying with the town zoning.

The owners of the Vernon Family Farm have disputed accusations they are violating town bylaws. According to state law, farms are permitted to engage in agritourism, including attracting visitors for events, meals or overnight stays.

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Vernon Family Farm adds concerts and events

Located on 33 acres of conserved land, Jeremiah Vernon purchased the Vernon Family Farm in 2014, offering pastured livestock such as pigs and cows and organically grown produce such as garlic. 

Over the years, the farm expanded to include Vernon Kitchen , a seasonal outdoor restaurant highlighting ingredients grown at the farm, and outdoor events featuring local bands throughout the summer and early fall. Currently, the event schedule at the farm shows several concerts on Fridays and Saturdays, running from 4 to 8 p.m., through the end of October. 

Vernon said he is operating within the guidelines set by the town's Planning Board in 2022 . While agritourism is allowed, a farm can be subject to site plan review to “prevent traffic and parking from adversely impacting adjacent property, streets and sidewalks, or public safety.”

“We have a site plan that allows us and permits us to do what we’re doing,” said Vernon. “And that’s my plan, to continue to operate within the site plan that we have been approved for.”

Vernon said two of the three neighbors who filed formal complaints moved into the neighborhood years after the Vernon Family Farm was established and involved in agritourism. He said they should have known where they were moving to.

“One of them came to us and said, ‘I moved to the country to enjoy the outdoors, not smell farms,’” recalled Vernon. “You should never move next to a farm and farm country if that’s your goal.”

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Neighbors not happy farm has become a tourist attraction

Neighbor Scott Wachsmuth, however, said the “activities and events (at the farm) have escalated significantly in both scope and frequency."

In an April 19 letter to the board, he said the farm was now operating an "illegally open-air restaurant and bar, as well as amplified musical events.”

Wachsmuth explained per town zoning, restaurants are not allowed in a residential/ agricultural district, where the farm is located. He also alleged the Vernons did not meet necessary requirements, such as a septic permit from NHDES, to operate a restaurant.

Ruth Patterson and Gerald Cox, through their attorney, also filed a complaint with the Select Board. They asserted the farm is not complying with the conditions of their site plan approval, particularly with the restaurant and the noise levels at certain events on the property.

However, the farm also has its supporters.

In 2022, the state’s Agriculture Commissioner Shawn Jasper appeared at a Planning Board meeting to advocate on behalf of the Vernon family, stating what they were doing at the farm “is exactly what I believe the Legislature intended to do as far as agrotourism.”

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Newfields Select Board work to address complaints at Vernon Farm

Select Board Chair Michael Sununu said the town has been trying to address concerns from neighbors for the last two years.

He said part of the problem is that agrotourism was “poorly defined” in the state law. 

“This makes it very difficult for any town in this situation, and certainly this one, because the definition truly is in the eye of the beholder,” Sununu said.

At the May 28 Select Board meeting , Sununu noted at least 10 violations of the town noise ordinance last year on the property. The town did not take any action then, he said, but if required, the town will.

Sununu said the board is also “checking on the status” of operational guidelines provided by the Planning Board as part of the farm's site plan approval to ensure the Vernons are still in compliance. He said there are still “outstanding issues that need to be addressed.”

Select Board member Mark Kasper said he wants to "find common ground" between the neighbors and the Vernons and explore creative solutions that benefit the whole town.” 

“I like the compromise approach,” said Kasper.

However, some supporters of the farm feel the Select Board is wrongfully singling out Vernon Farm. David Partikian, who lives a quarter mile from the farm, filed a “public integrity complaint” to the Rockingham County Attorney’s Office, accusing the Newfields Select Board of "harassing the Vernon Family."

“The Newfields Select Board has gone out of its way to deal with the Vernon Family businesses in a litigious and confrontational manner," he wrote in the complaint.

Partikian accused the board of bullying them "into scaling back operations to the point where running a small farm is unprofitable.”

However, Sununu said the Select Board is just doing its due diligence in responding to complaints from the community.

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Vernon Farm owner says they have more supporters than not

Vernon said he wants to hold agritourism events to help support the farm operations, citing the expensive nature of the business.

Agritourism, he said, is a fundamental and necessary part of many successful farms in New England.

"This is why you see corn mazes, hay rides, sunflower mazes, petting zoos, farm dinners, farm stores, farm tours, and more offered at many of the farms in our community," he told the town's Planning Board in 2022. "Although many of us farmers would prefer to 'simply' grow and sell food, it is often financially unsustainable to do so."

In the last two years, Vernon said he estimates he spent more than $100,000 in legal fees addressing concerns from the Select Board and neighbors.

Vernon said what keeps him going is the support from the community, including a GoFundMe page created by a Newmarket resident in 2022, which raised nearly $30,000 to help the Vernons with legal fees.

“We live in a time where the voice of a single naysayer, or a small group of dissenters, has more clout than 100 yay-sayers and 100 supporters,” said Vernon. “I think somehow my three abutters have been able to successfully capture the momentum of two of our three Select Board members.”

• Report: High-Speed Internet Linked to More Farms Offering Agritourism

Home » Report: High-Speed Internet Linked to More Farms Offering Agritourism

University Park, Pa. — June 25, 2024 — The availability and adoption of high-speed broadband appears to boost the number of farms offering agritourism activities, according to a new study led by Penn State researchers. Their findings, the researchers said, bolster the argument for expanding broadband availability in support of farm operators who want to benefit from the growing consumer interest in on-farm experiences.

“Agritourism operations are consumer-facing businesses that offer activities to farm or ranch visitors, such as farm stands, pumpkin patches, corn mazes, hayrides and farm stays. They need to attract visitors, and most of their visitors find them online,” said Claudia Schmidt, assistant professor of marketing and local/regional food systems in Penn State’s College of Agricultural Sciences, who led the research. “Ours is the first study to examine the relationship between high-speed internet and agritourism specifically, and demonstrates a clear relationship.”

In the study, published in the Journal of the Agricultural and Applied Economics Association, the researchers used several data sources — including the 2017 Census of Agriculture and the Federal Communication Commission’s fixed broadband deployment data — to conduct a nationwide, county-level statistical analysis of the relationship between a county’s average adopted broadband speed in 2012 and the number of agritourism businesses in that county five years later, while controlling for other relevant factors. They included the five-year lag due to data limitations, according to co-author Luyi Han, a postdoctoral researcher at the Northeast Regional Center for Rural Development (NERCRD) based at Penn State.

“Once high-speed broadband becomes available in an area, it takes time for its widespread adoption and for that adoption to translate into business expansion,” Han said. “For that reason, using agritourism data from the same year as our broadband data in our analysis could be misleading. Since our broadband data is from 2012, we used the next available Census of Agriculture for our agritourism data, which was 2017.”

They found that, on average, U.S. counties that adopted broadband speeds one megabit per second above the national average in 2012 had about 5% more agritourism operations in 2017 than counties who stayed at or below the national average speed. The researchers also conducted a secondary analysis to examine the effects of this relationship across the rural-urban continuum and found it to be more than twice as strong in urban counties with a population of at least 250,000. In rural counties, the relationship was not statistically significant.

Schmidt surmised that this rural-urban difference could be attributed to overall differences in tourism infrastructure, or it might speak to issues of digital equity.

“Many rural areas lack essential services like restaurants and lodging, and as a result, farms may struggle to attract visitors to their operations,” she said. “Similarly, even in rural places where fast internet speeds are available, educational services that entrepreneurs can access to learn how to leverage fast internet for their businesses may not be available. That suggests a real opportunity for land-grant universities  and agricultural service providers to help expand agritourism by offering targeted internet trainings.”

She added that with the newest Census of Agriculture data released just earlier this year, they plan to examine this trend over a longer period of time in a future study.

In addition to Schmidt and Han, Stephan Goetz, Penn State Professor of Agricultural and Regional Economics and director of NERCRD, and Arian Khaleghi Moghadam, professor of economics at Bloomsburg University, also contributed to this research. The U.S. Department of Agriculture’s National Institute of Food and Agriculture and Multistate/Regional Research and Extension Appropriations funded this work.

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