Whew – I thought making the decision to be an alpaca farmer was tough work.  It gets tougher and the questions get harder to answer.  So before I share our plan (and it has become OUR plan since my daughter and husband have joined the Sage Hill Farms team), here are some decisions we had to make.

What kind of business entity will you operate under?  Sole Proprietorship, Partnership, S Corp? We will be a sole proprietorship (husband and wife are considered as one by the IRS – hmm). Talk to your CPA. 

1.  What size operation are you planning (based on what we have seen, this could change!).  Small (under 20 alpacas), Medium (20 – 60), Large (60 - ?)  We will strive for a medium size operation.  It’s tougher to make money when you are a small farm we’re told.
2. What investments will you need to make? Do you have land?  A barn?  Fencing? And if not, what will it cost you to get them?
3. What is your purpose/mission ( this is not one to skip over)?  For example are you striving to breed for the best fiber?  Are you hoping to be a provider of top quality herdsires? Back to the questions of what is your promise?  What will encourage customers to buy their alpacas from you?  What can you offer that other farms don't?