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Let’s say you have an idea that adds value to the products you grow on your farm. How do you get your idea from a twinkle in your eye to an honest-to-goodness service or product?

An Ag Innovation Guide developed by the Agriculture Innovation Center at the Missouri Department of Agriculture gives producers steps on getting from idea to implementation. The center also offers a booklet called "Building a Successful Agriculture Business." Both publications and more resources are available through the organization’s Web site, which you can access through www.ofbf.org

The guide and booklet describe similar steps that will help take your idea through the different stages involved in starting any business.

First
Phase one involves exploration and assessment and sets the stage for your value-added venture. First, form a steering committee and identify your purpose, vision, mission and values. Then, develop your business ideas by conducting an initial assessment of the market opportunities, identifying resource providers, preparing a budget for start-up and developing a financial plan for paying for these expenses. Then, hire experienced legal counsel to help you file all the necessary legal documents and to make sure you’re complying with state law.

Second
Is your business feasible? The Ag Innovation Center suggests you conduct market research to narrow down your options for potential business opportunities. Develop a feasibility study that answers all the questions you need answered to help make the decision whether to continue with your project or not.

Third
Write your business plan, determine your equipment needs and figure out how you’re going to finance your venture. Now is also the time to make sure you’re complying with all the laws of your state, county and township.

Fourth
Now it’s time to implement all your plans. Hire staff, prepare investment documents if you’re going to open your business up to public investors. Develop your facilities and get your capital in order.

Finally
Now you can start production and fully implement your new value-added enterprise. Establish a system to monitor performance of your employees and quality of your product, and start thinking about how you might be able to expand.

All of these stages are critical, according to the guide. "Starting a new value-added agriculture business requires a tremendous amount of work, and the group of producers involved in the project needs to be able to carry through a project to the end."