RAISING ALPACAS = $$$$

THE TRUE DOLLAR & SENSE OF RAISING ALPACAS

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 6-12 months old. Yearly average income: Fleece as yarn $200.00 to $300.00 net Cria if male $1,000.00 to $10,000.00 average $5,500.00 Cria if female $7,000.00 to $18,000.00 average $12,500.00 Therefore, each female alpaca should return $5,500.00 to $12,500.00 depending on the sex of the cria. Using conservative yearly average income of $9,000.00 times 15 productive years, each female has the potential of returning $135,000.00. Where can you invest $18,000.00 in any other investment and have if fully insured for 3.25% and have a potential return of an average of $9,000.00 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. Rather, they are considered real livestock and produce the world's most luxurious fleece. Currently the demand for alpacas far exceeds the supply available, and the demand for breeding stock and fleece is growing rapidly. There are several factors that make raising alpacas a promising and sound long-term business.

    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 alpaca's true investment potential, the more people will want to start 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 6-8oz 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 to $500 per year.

D. OFFER GOOD TAX ADVANTAGES

    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.

    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 expense 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!

• Feed, hay, bedding, fertilizers, seeds, sprays, veterinarian care, supplies, medication
• Farm repairs, maintenance, upkeep, gasoline, fuel, oil, tires and equipment repairs
• Real property improvements such as barns, fences, sheds, ponds, 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 $4000.00 yearly for work clothes (per couple) or $5000.00 per family
• Farm, business or investment related expenses, new computer with the works
• Advertising fees, postage, office supplies, promotional supplies and shipping cost Outside stud fees and alpaca insurance costs Small tools, shovels, rakes, buckets, brooms, etc.

    The number of alpacas you raise a year is not the determining factor that differentiates a farmer or a 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 are really and truly an investment you can hug!