RAISING ALPACAS = $$$
THE TRUE DOLLARS & SENSE OF RAISING ALPACAS

To be a good sound investment it must:
                A. Provide Sound Returns
                B. Be a Long Term Investment
                C. Have Low Yearly Maintenance Costs
                D. Offer Good Tax Advantages
                E. Offer A Good Profit Potential.

A. PROVIDE SOUND RETURNS (PROFIT) EACH YEAR

A producing female alpaca produces two separate incomes per year  from the sale of her fleece (as yarn) and the sale of her cria (baby) at 5 to 12 months old.
     Yearly average income:
     Fleece as yarn       $500.00 net
     Cria if male            $3,500.00 to $8,500.00 average $5,000.00
     Cria if female          $13,500.00 to $18,500.00 average $15,000.00

     Therefore, each female alpaca should return $5,500.00 to $15,000.00 depending on the sex of the cria. Using conservative yearly average income of $10,500.00 times 15 productive years, each female has the potential of returning $157,500.00.


"I AM smiling!"

   Where can you invest $18,000.00 in any other investment and have it fully insured for 3.25% and have a potential return of an average of $10,500.00 per year for approximately the next 15 years?

B. WHY ALPACAS PROMISE TO BE A LONG TERM INVESTMENT

      There is a huge demand for alpacas in the United States by investors who have already done their homework and realize "Raising Alpacas = $$$." Alpacas are not cutesy exotic pets, but the World's most luxurious fleece producers with a rapid growing demand for the breeding stock and fleece. Currently the demand for alpacas far exceeds the supply available. There are several factors that make raising alpacas a promising and sound long-term business.


Some of "The Girls."

     With the closure of the Alpaca Registry by its voting members in 1999, the raising of alpacas as a business was actually protected. Only the crias from sires and dams already included in the registry would now qualify for registration. No more alpacas could be imported and included in the United States Registry. Closure of the registry protected the quality of alpacas being bred and the future business for the United States breeders. Alpacas  can only produce one cria per year by natural service, as artificial insemination and embryo transplants are near impossible. It will take many years to fill just the current demand. But it doesn't stop here! For many years to come breeders can derive high profits for the sale of their crias and yarn. Most alpaca investors are already making good money in a short start up time.
     The more people see the success and learn about the alpacas' true investment potential, the more people want to get started raising them. There goes the demand - increasing even more and promising many more years of secure business and steady profits. The demand for alpacas is absolutely skyrocketing.

C. HAVE A LOW YEARLY MAINTENANCE EXPENSE

Alpacas have a low maintenance expense and are extremely hardy, efficient and economical to maintain. These unique animals utilize every bit of nutrition possible from the food they consume. Their main food source is pasture grass and they only eat about two quarts of grass per day! That is a great deal less than a goat or sheep. During the winter when pastures are dormant or snow-covered, your alpaca will thrive on 6-8 oz of grain (given twice daily) and consumes only 2-3 bales of hay per month!

You can easily feed and maintain and adult alpaca for approximately $400.00 per year.

Yearly Average Expenses
Sand Bedding
Hay                                      36 bales @ $3.00
Feed                                     400lb @ *our mix
Vitamin & Mineral                1 bag @ $40.00
Ivermectin Wormer               1 50cc bottle
Yearly Tetanus 4 way shot
Total

Our Custom Feed Formula Using *Agway Grains
200# Crimped Oats/Molasses
100# Soybean pieces
100# Cracked Corn
 


$ 70.00
$108.00
$100.00
$  40.00
$  50.00
$  18.00
$385.00


 


Best Friends

     *This mixture makes 400# of grain, which is your total yearly feed per alpaca. These grains can be purchased in 50# bags and mixed easily in smaller batches to ensure freshness.

D. OFFER GOOD TAX ADVANTAGES

     "It's Nice to Make It - and Even Nicer to Keep it."

     Raising alpacas offers great tax advantages that can help you keep a higher percentage of your total income, even if you work off the farm, at a second job or career.

     "It's not what you make that's important, but what you get to keep."

     If you purchase alpacas as a business investment to make a profit by selling their crias and fleece, you are a true alpaca breeder - not a hobby farmer. Even if you only have two alpacas, IRS looks upon you as a true agricultural business and you are immediately eligible for very important tax advantages.
     The expenses incurred in your alpaca business can be written off against your income (profit earned from your alpaca business and other outside sources of income. Many alpaca business related expenses can be depreciated over 5 to 25 years, giving you an additional dedication to write off each year against the income you would normally have to pay taxes on. When you raise and sell alpacas as a business, your home becomes an important part of that business. Many expenses you have always had to pay to maintain your home are now eligible as Tax Deductible Expenses!
     You may claim up to 60% of these normal expenses as a business deduction if you are now using your home and acreage in your alpaca business. Total Yearly Real Estate Taxes, Insurance (Fire, Home Liability and Auto), Electric, Telephone, Gas, Oil and Even Your Heat. These are all expenses used in your home business that now become deductible expenses you can write off against your income - thus helping you keep more of what you earn.

Other expenses eligible for deductions are:
*   Feed, hay, bedding, fertilizers, seeds, sprays, veterinarian care, supplies and medication
*   Farm repairs, maintenance, upkeep, gasoline, fuel oil, tires and equipment repairs
*   Real property improvements such as barns, fences, sheds, ponds and drainage
*   Equipment - trucks, tractors, mowers, spreaders, trailers, fans, clippers, snowplows, yep - even that 4X4 ATV you use to carry feed and hay or check the fence or on pregnant females in the "North Forty" is now tax deductible!
*   Interest on your mortgage, new equipment purchased, rent and lease costs if any on farm equipment or land
*   Attorney fees and tax preparation fees
*   Labor hired to help run and maintain your farm or the kid's chore wages
*   Up to $4,000.00 yearly for work clothes (per couple) or $5,000.00 per family.
*   Farm, business or investment related expenses, new computer with the "works"
*   Advertising fees, postage, office supplies, promotional supplies and shipping costs
*   Outside stud fees and alpaca insurance costs
*   Small tools, shovels, rakes, buckets, brooms, etc.

Fully depreciate the cost of your alpacas and the purchase price of your farm!

The number of alpacas you raise a year is not the determining factor that differentiates a farmer or breeder from a hobby farmer. To qualify for these great tax advantages as an alpaca farmer or breeder, you must establish that you are in business to make a profit. By showing a profit in 3 out of 7 years, you meet this qualification and with alpacas, it is very easy to do.

   E. OFFER A GOOD PROFIT POTENTIAL

     Have You Really Invested In The Right Stock? Alpaca Livestock! The real profits of raising alpacas are the everyday pleasures you and your family experience with these wonderful creatures. In this day and age it is very satisfying to live the relaxed lifestyle that naturally comes with raising alpacas. The full cycle of life will be renewed each year with the birth of another new cria and the shearing of the fleece, yet you don't have to kill the animal to derive a profit. It is comforting to know that in no way was the earth or the animal harmed to provide a wonderful living for you and your family.

     Profit is great...But...  When that first baby walks boldly up to you with no fear of man, and you bend over so you can rub its velvet muzzle on your cheek, you'll understand why these wonderful alpacas really truly are an investment you can hug!

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