Alpaca investing is not a “Get Rich Quick” scheme:  You won't get rich quick, but growing your investment exponentially in the long term appears very likely if you're willing and able to fully embrace the lifestyle for 5 to 10 years.

Reality of a “Breeders Market”:  Although there are four "revenue events" in the Alpaca industry (livestock sale, stud fees, fiber sales, and product sales),  by far the majority of your income will come from sale of livestock.

Herd Growth Compounding in reverse:  Because the income comes largely from livestock sale, you'll need to reach a critical mass in your herd (about 15 to 20 Alpacas) before you can generate a substantial income.  Prior to reaching this level, it's usually not a good idea to sell too many offspring because it interferes with your 'production capacity'.  Generating income requires that you sell your females  and if you sell too many before your herd is large enough, you won't be able to increase in size as fast by breeding)

Don’t be Overly Kind to Uncle Sam:  There are a number of significant tax benefits and write- offs, which vary from state to state.  You'll need to consult with a certified accountant to advise you in particular, but the government usually provides incentives to make it easier to get started, as long as you treat your alpacas as a BUSINESS.

Position Yourself for Success:  Although there are a variety of ways to reach critical mass, how much you invest in a quantity of livestock to start with, and how avidly you engage in the lifestyle are the two most important factors.  Theoretically, it's possible to buy your way to critical mass right off the bat, but this might also overwhelm the inexperienced Alpaca investor

No More Excuses:  You don't necessarily have to have the land, or the money in the bank to get started.  Options for boarding ("agisting") and financing your initial Alpacas are available from most breeders.  

Reduce the Risk: You can (and probably should) insure your Alpaca investment at an approximate cost of 3% of the value of your herd, per year. Herd discounts are generally available.  There are a number of livestock insurers in the marketplace, some specializing in alpacas.

Growth Potential:  Generating a 6 figure income each year is realistic if you're willing to grow your herd to 35 to 40 Alpacas.  Some farms do a lot more than this, and 7 figures is not impossible.  Of course, this means a lot of hard work marketing and devoting the time by making this venture a full time business.

Heritage Farm Suri Alpacas | Tim & Beth Sheets | Flora, IN | www.OurHeritageFarm.com

It’s Not All About Money: If you're only in it for the money, you might be better off investing in something else.  But if you love and passionately embrace the lifestyle, the money should follow.  Just how much is up to you!

Bottom Line on Alpaca Investing