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Developing the Finest Colored Huacaya Alpaca Herd in the World

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Herdsires

(Sounds Like JelloWood)

Developing the Finest Colored Huacaya Alpaca Herd in the World

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Herdsires

BelleauWood Partnership Plans

3P Paca Partnership Program

 

First, let me tell you how and why we thought of and believe in 3P. We believe that the alpaca industry offers a unique opportunity to realize an exceptional return on investment. In 1997, we purchased our first four alpacas. In November of 1998, we traveled through Colorado and New Mexico looking at some of the finest alpacas in the U.S. Of the 400 or so we looked at, we saw about ten that we thought could be the foundation of a superior herd. We were very excited, but we realized that all of our capital was going to go to starting our farm. We had to buy property, put up secure fencing, build a barn, buy a truck and a trailer, buy new computer equipment to create top notch sales literature, create quality advertisements and brochures, and the list went on. That was before any alpaca purchases. We also knew that we wanted to buy exceptional herdsires that were not going to come cheap. With only a few alpacas and all of the start-up expenses, we were afraid that we would not be able to build a large enough herd quickly enough to justify all of the expenses. We also knew from our personal experience as shoppers that farms with fewer than 20 alpacas had a hard time getting buyer traffic. We knew we had to make it worth people’s while to come see us. I also found that many breeders were interested in offering package discounts and if you were able to buy larger quantities, your costs could be greatly reduced. After talking to a friend who was also considering alpacas, I realized that the challenges facing us were not unique. Why should ten people all struggle with the start-up costs of ten farms, when pooling our resources makes so much sense. Pooling our resources results in a win/win situation allowing us all to benefit from a larger operation. 

We know we have to offer exceptional value to make the relationship attractive for our partners as well. We offer our partners a one-time initial investment, and we cover all other expenses. This one time investment not only reduces the complications of ownership, but allows our partners to put 100% of their investment into breeding females, resulting in an immediate savings and increased return on investment. We also use our marketing expertise to create superior programs which benefit as well as our partners. We think you will agree that 3P offers an excellent way to build your herd.  Here are just some other value and savings we offer.  

 

3P

Agisting

Farm Start-Up

Barns and Equipment

Free

Free

Costs

Land

Free

Free

Costs

Feed

Free

Free

Costs

Labor

Free

Free

Time Commitment

Stud Service

Free

Costs

Stud Fees/ Purchasing Herdsire

Shearing

Free

Costs

Costs

Agisting Fee

Free

Costs

Free

Routine Healthcare

Free

Some costs

Free for some/Vet Bills for others

So, how does it work?

Well, in a nutshell, you buy the females, and we do everything else.  Each six months, we split the crias 50/50.  It is a win/win situation for both of us.  We back up the relationship with a very sound contract that protects both of us.  After an initial two year commitment, we renew the contract on an annual basis.  If either party wants to end the relationship at the time of renewal, we will conduct a final split of offspring.  If and when you are ready to start your own farm, we will provide full transitional support including helping you with your business and marketing plan, helping you establish a web site and helping you plan your farm layout.  If you need help selecting stock, or would like us to do it for you, we always have several outstanding alpacas ranging in price in mind.  We are happy with whatever level of involvement you choose; from very involved to totally uninvolved.  We will look for bred females to offer the best value and diversify our gene pool, but we will also consider some exceptional weanlings that are on the market. 

Every six months, on January 1st and June 1st, we will evenly divide the crias.  The first time, you get first pick of the females and we get first pick of the males.  After that, we start off where we left the last split for that gender.  For example, if you had six females, three due in the Fall and three in the Spring; the first Fall, your females produce two males and one female.  You would get full ownership of the female, we would get full ownership of our top choice of the two males and you would get the other male.  In the Spring, your females produced two females and one male.  We would get the first pick of the females and the male because you had last choice the prior year.  You would get the second female.  At the end of the first year, you have two females and a male, and we have two males and a female. 

Herd Growth

I am sure your first concern is how splitting the crias is going to effect your herd growth.  When I began planning 3P, I thought this would be my biggest obstacle to overcome.  You can imagine how excited I was when I began to analyze the herd growth and realized that it was equivalent to the AOBA herd growth scenarios in their publications.  Combined with the reduce risk, labor, and all the other benefits we offered, the entire plan made perfect financial sense.  If you want to sell some of your stock, we can arrange to sell it at a time that doesn’t hurt our stake in the offspring.  We will market your animals at half off the going brokerage fees.  Below, I have outlined a typical 3P start-up scenario.  Remember, this is just one scenario.  I have built a detailed herd growth calculator and can provide you with a customized plan and projections based on your initial investment, investment time frame, income goals and other requirements.    

 

Start

Year 1

End

Year 1

End

Year 2

End

Year 3

End

Year 4

End

Year 5

 

#

Value

#

Value

#

Value

#

Value

#

Value

 

 

Grade A Adult Females

2

$50,000

2.00

$50,000

2.00

$50,000

2.00

$50,000

2.00

$50,000

2.00

$50,000

Grade B Adult Females

3

$60,000

3.00

$60,000

4.40

$88,000

5.80

$116,000

7.48

$149,600

9.44

$188,800

Grade C Adult Females

2

$30,000

2.00

$30,000

2.00

$30,000

2.00

$30,000

2.00

$30,000

2.00

$30,000

Weanling and Yearling Females

0

$0

1.40

$25,200

1.40

$25,200

1.68

$30,240

1.96

$35,280

2.30

$41,328

Senior Herdsire Males Males

0

$0

0.00

$0

0.28

$7,000

0.56

$14,000

0.90

$22,400

1.29

$32,200

Junior Herdsire Males

0

$0

0.28

$2,800

0.28

$2,800

0.34

$3,360

0.39

$3,920

0.46

$4,592

Fiber Animals

0

$0

1.12

$2,016

2.24

$4,032

3.58

$6,451

5.15

$9,274

6.99

$12,580

Total

7

$140,000

9.80

$170,016

12.60

$207,032

15.96

$250,051

19.88

$300,474

24.47

$359,500

Total ROI

 

 

 

21.44%

 

47.88%

 

78.61%

 

114.62%

 

156.79%

* Assumptions ~ 80% birthrate,  20% of all males are herdsire quality, crias are split 50/50.  Wool sales are not factored in, but would increase the ROI.  This assumes holding all offspring.  If you want create to current income, you will have to sell some of your stock and reduce your overall returns and herd growth.   

Give us a call today for a free, no obligation customized plan.  We can prepare a customized growth projection and investment potential spreadsheet for up to a 7 year investment timeline.  We will customize your plan to meet your cash outlay, income, and herd growth objectives. 

Click here to find out more about investing in alpacas!