"Small is Successful" report

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"Small is Successful" report
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tahir

Joined: 28 Oct 2004
Posts: 45706
Location: Essex

Posted: Fri Jul 01, 11 9:36 am Post subject:

shadiya wrote:

Blimey Tahir, if you don't think ï¿½22,000 will pay any bills

then please can I have a borrow of your petty cash tin?

ï¿½22k of turnover, not ï¿½22k of profits. You could turn over ï¿½22k and be losing serious money, even in a best case scenario there ain't much room for a profit at that turnover level.

I'm not going to get into another protracted argument about this, people can make their own minds up on what they deem an acceptable income, all I'm saying is that:

a) We spend more than that in general living and stuff we do on the farm

b) It's VERY dangerous to infer any level of potential profitability based just on turnover.

RuthG

Joined: 01 Jul 2011
Posts: 268
Location: Village near Durham

Posted: Fri Jul 01, 11 9:36 am Post subject:
ï¿½22k worth of produce isnt the same as ï¿½22k profit to spend. Much of the money would have to be used to transport the produce, buy in seeds for next year, repair the holding, etc etc. The first case study said they produced something like ï¿½28k of veggies, but the profit was only ï¿½5.5k because of overheads. Living on ï¿½5.5k is pretty hard!

tahir

Joined: 28 Oct 2004
Posts: 45706
Location: Essex

Posted: Fri Jul 01, 11 9:36 am Post subject:

RuthG wrote:

ï¿½22k worth of produce isnt the same as ï¿½22k profit to spend. Much of the money would have to be used to transport the produce, buy in seeds for next year, repair the holding, etc etc. The first case study said they produced something like ï¿½28k of veggies, but the profit was only ï¿½5.5k because of overheads. Living on ï¿½5.5k is pretty hard!

Exactly, thanks Ruth

Ty Gwyn

Joined: 22 Sep 2010
Posts: 4613
Location: Lampeter

Posted: Fri Jul 01, 11 9:53 am Post subject:
Had a look through last night, One of the links to Energy ,mentioned 74% of the UK are in favour of Wind energy Are there that many MP`s? Running some of them business`s relying on Cheap labour,is a cop out ,not to do the work themselves, If they paid minimum wage,they would`nt survive

cassy

Joined: 04 Feb 2008
Posts: 1047
Location: South West Scotland

Posted: Fri Jul 01, 11 10:16 am Post subject:

RuthG wrote:

ï¿½22k worth of produce isnt the same as ï¿½22k profit to spend.!

cassy wrote:

After business costs, they were left with around ï¿½11,000. As they have kept their overheads down, as gz says, it seems ï¿½22,000 worth of produce can and does pay their bills.

It seems to me that it is up to the individual to say whether they are able to manage on that level of income. Other people might not be able to / might not want to, but if they can and do ....

I don't think any of them were claiming that it is easy. It says in the report that a common factor in the success of these projects was their attitude.

markjadams

Joined: 06 May 2006
Posts: 109
Location: South West Wales

Posted: Fri Jul 01, 11 11:04 am Post subject:
Does anyone know where Holly Tree Farm is based as it does not say and I can't find any reference to them on the internet. We are in a very similar business but with a much larger annual turnover we have acheived this on 5 acres without a problem. Mark.

tahir

Joined: 28 Oct 2004
Posts: 45706
Location: Essex

Posted: Fri Jul 01, 11 11:08 am Post subject:

markjadams wrote:

We are in a very similar business but with a much larger annual turnover

Are you happy with your profitability? Does it give you a living and a surplus to re-invest?

markjadams

Joined: 06 May 2006
Posts: 109
Location: South West Wales

Posted: Fri Jul 01, 11 3:35 pm Post subject:
That is a difficult question to answer, I would always like to earn more but yes the business does have money to reinvest and grow. I do not feel that it is currently the right time to be investing any money I am just trading as normal and waiting to see what happens. It would be very helpful if the price of feed could drop a little as this is the main cause for concern at the moment.

tahir

Joined: 28 Oct 2004
Posts: 45706
Location: Essex

Posted: Fri Jul 01, 11 4:28 pm Post subject:
Excellent, well done.

shadiya

Joined: 02 Feb 2008
Posts: 1285

Posted: Sun Jul 03, 11 7:44 pm Post subject:
I may be a muppet but even I know that turnover doesn't equate with profit, it was more of joke than any kind of serious comment, though I could live the hi life with a22k income

markjadams

Joined: 06 May 2006
Posts: 109
Location: South West Wales

Posted: Wed Jul 06, 11 6:32 pm Post subject:

RuthG wrote:

RuthG,

I think you are missing an importing note which says that they have 5.5K profit AFTER PAYING THE OWNERS WAGES. It is not 5.5K for them to live on.

markjadams

Joined: 06 May 2006
Posts: 109
Location: South West Wales

Posted: Fri Aug 19, 11 9:23 am Post subject:
Does anyone know who and where they duck hatchery featured in the article are? Mark.

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