Blinded Worm

Hiatus! I know it has been quite some time I did not updated my blog. Been away to bait another fish . Another new month emerged. Lately, I’m very busy studying new business venture that I think, need a good economic understanding and common sense.

As promised, I will blog about some of my business failures. In this edition (esehmen), I will share my business failure in the agricultural farm. It was in 2004, when I was being lured by one of my ex-bank collegue about a good business venture in the farming business. Specifically vegetable farming.

He got one piece of land about 5 acre in size, given by the Brunei Agricultural Department. It was not properly developed or run for some years, as he didn’t have enough time. He asked me, with certain business proposal to run the farm. Which I blindly agree as I was tempted by the good fortune it can generate from low investment and seemingly easy operation. Frankly speaking, I have zero knowledge in farming let alone doing house garden at home. I was being blinded by the $$$$$ it may generate.

Without much further ado, I handed over $10k to him and another $5k I used it as a working capital for the day-to-day running of the business. I employed an Indonesian worker, provided him vegetables seeds, pesticides, fertilizer supplies and a power generator to run it for me. You may wonder why I blindly gave away $10k to my friend. Well during the time I took over the farm, it was fully congested with tall grass and several high trees. And the water canal was blocked. So I asked my friend’s favour to do the cleaning and clearing for me. In another word, an extra pay to do the cleaning service.

It took one and a half month for the clearing job to finish. Soon after that, the farming began aggresively, with some help from the Agriculture Department. In my projection (in theory) most of the vegetables I farmed will ready for harvest in 40-60 days. Then I should have good income to pay for my worker and other operational expenses. I waited anxiuously for it. During this time, I’m visiting the farm every morning as part of my business monitoring schedule and to tackle any problems at its earliest moment.

In about 10 days before harvest, I suspected some growth deteoriations on the chilli segment, then a few days later it affected the cucumbers. Then I did all my checklist of what went wrong. My worker recommended me to buy one brand of strong pesticides and insecticides. Which I did, but to no help at all. And you guess what happen next…. bad harvest. Only the kangkongs were saleable at this time.

I then seek advice from the Agriculture Department and provide them with the vegetable samples. They then pointed out of disease that won’t be detected with naked eye at its early stage. They recommed me to take precautionary steps on the next crop cycle. Which I did….but it didn’t work.

Things never change alot after the next 6 month. Adding to the situation I found out my worker give exccesive pesticides and insecticides which will be harmful and irresponsible for the consumer. Exccesive use of it had cost me as well. Only cheap veggie such as kangkong were saleable but it cannot cover my expenses as for every 3kg of kangkong will only sell $1.00. Soon my cash for this project drained out as every month it will cost not less than $500 to run the farm.

On the 8th month, I decided to abandon the farm as I feel it won’t work for me and I was not passionate enough to explore the business further. I have more passion on fish and forex.

To conclude, never being blinded on low investment outlay for great income if you not passionate on the business you are doing or venture. Do a thorough study on the market and pitfalls of it from the experience people.

 Lesson learned.