The Alpaca Business Planner
By Mike Safley
The Business Planner by Mike Safley
2 Phone: 503-628-3110
First and foremost, I think prospective alpaca breeders should realize that alpacas are a
business, not an investment. Investments have traditionally been thought of as financial stocks,
bonds, gold, silver, and real estate. All of these things can be owned passively, and when need
be, you can sell them by calling your broker and asking him to liquidate the asset on your behalf.
Alpacas are a business opportunity. They need to be fed, cleaned up after, shorn, housed,
and marketed before you can profit from them. And, you need to pay the bills before you can
determine your profit. While I may be stating the obvious, this is an important concept to
understand. There is no better tool to help make this clear than a business plan.
We have created this business planning tool to help you through all of the decisions that a
prudent person would make prior to committing their hard-earned capital to start an alpaca
business. First, it is important to choose your alpaca marketing niche and decide how much
money that you would like to make. You will also need to make decisions about whether you
are going to treat alpacas as a business or hobby, what business entity to use, the tax
consequences of your investment, the initial start-up costs, ongoing expenses, and decisions
about whether to pay cash or to buy your alpacas on terms.
If you would like input on all of these decisions, we recommend that you attend our
seminar, “How to Buy Breed, and Succeed in the Alpaca Business.” Once you have made these
decisions, we have created the business planning calculator to assist you in creating a financial