Financial Aspects of Alpaca Ownership
Chapter 10: Creating a Herd
First, determine your goals for alpaca ownership. Would you like
to own an inexpensive pair of gelding males for fiber production
or as pets for you and your family? Are you going to be a full-time
or part-time breeder? Will you invest in alpacas for current financial
returns or are you going to build a herd toward the goal of being
a full-time breeder? Once you've decided on your goal, the path
to alpaca ownership will be more easily defined.
If you're interested in acquiring a producing alpaca herd with
immediate sales, you may want to consider a larger initial outlay.
You would probably buy a number of pregnant females who would deliver
a cash crop of crias immediately. This larger expenditure might
also encourage you to become more involved in the industry and spend
more time marketing your herd. Some breeders with larger herds have
full-time ranch managers or hire additional labor to assist them
with the day-to-day chores. However you choose to be involved, there
is an "Alpaca Approach" suitable for you. The industry
is young and innovative strategies abound. Very few assets have
the potential to reproduce themselves every year as an alpaca does.
Today's smaller breeder can choose to be almost any size in the
future. An owner who likes the return alpacas offer, or the lifestyle
they provide, can choose any level of ownership.
The above text is
an excerpt from the AOBA Breeder's Guide Article: Financial Aspects
of Alpaca Ownership.
2. Who Buys Alpacas?
3. Supply & Demand
4. Alpaca Values
5. Capital Requirements
6. Hands-On Ownership
7. Financial Observations
8. Tax Consequences
10. Creating a Herd
11. Purchase Contracts