Gross profit/acre hay

   / Gross profit/acre hay
  • Thread Starter
#31  
Builder, Think about it like this. If you were approached by a potential customer to build his house, but let's say that to do the job you would have to purchase a new compressor for your air nailers and a 16" backhoe bucket to dig the footings and a couple other odds and ends, you would do it right?

This hay business is no different. If you are planning on doing it the rest of your life, then make the investment. If this is just a occupation to fill any empty time while the construction industry is in the toilet, I would steer clear.

Your roots are in construction. There is absolutely nothing wrong with going in a different direction. It's simply a matter of whether your investment in equipment will ever payoff.

Excellent way to put it. yes roots are in construction, but have diversified over the last 5 years into large property maintenance.
I do plan to STAY in the L/P maintenance business because I enjoy it more and it's a bit more recession-proof. :thumbsup:
 
   / Gross profit/acre hay #32  
Well, boys, if you have a way to get them to Texas then you can double dip on those prices. More per bale and shipping ($3.50-$4/mile). By the time a 4x5 is getting to San Antonio they are selling for $135 at the feed stores. If you can find a private seller 2-3 states away, then you can get a semi load for $95/bale for 40 +/- bales.

If you have seen a jump in your local hay prices, blame/thank the Texas drought!

On the other hand, cattle is being shipped out of the state by the semi load too. There again, blame/thank the Texas drought for your decrease in cattle prices.

The grass IS greener on the other side of the fence this year.
 
   / Gross profit/acre hay #33  
If you can find a % balance that is good for your customer and you then go for it, but I'll tell you one thing, make bad hay for them or decide you want to quit haying for them, it may put you in a bind.

Where are you anyways? In a dry climate its not as stressful making hay.
 
   / Gross profit/acre hay
  • Thread Starter
#34  
If you can find a % balance that is good for your customer and you then go for it, but I'll tell you one thing, make bad hay for them or decide you want to quit haying for them, it may put you in a bind.

Where are you anyways? In a dry climate its not as stressful making hay.

I definately have already written off the 1st year, as anyone in a new business venture would, a total loss.....a learning year....school of hard knocks, etc. Then maybe some progress in later years when I hit my stride.

I'm in PA
 
   / Gross profit/acre hay #35  
Im in PA also Builder. This past summer I started getting into makin a lil hay on our 10 ac n helped neighbor on his 30 ac. Very big learning curve. Now I just dabbled in it n had a lot of fun and was very rewarding but did not hav rite equipment. I just purchased old used equipment I have under 3k invested between a SP nh 1469 haybine, a 479 haybine, hs tedder, nh 56 rake, nh 68 baler, n nh 269 baler. I found all,my stuff in last 2 month locally on craigslist. Also hav sickle bar n old crimper for back ups. I got sum good deals I think so im redy to hav at it next year it can be stressful but its very reewarding for me. We have 3 horses so im hopin to make enough for them on my land and then help neighbor n split hay 50\50. Defently tuff getting it to dry n all done in 4 days without rain. But im still gona give it a shot.
As far as price around PA I think average per small bale is maybe 3 bucks/bale.
 
   / Gross profit/acre hay #36  
I would say give it a try. Good used equipment will depreciate very little over a couple of years of use on 25 acres. If you decide to quit you could sell it all without costing you very much. You might find out you enjoy it and get some more opportunities to hay more ground. I started up 2 years ago with about 5 acres of alfalfa at my home place and 15 acres of grass at my grandfathers place. This summer i did a total of about 40 acres in fields, a mile of interstate right of way, and 2 miles of county road ditches.

Horse people can be picky but I find if you are honest about what you have and what you charge it all works out. The hay market is crazy this year. I have had calls from texas, new mexico, oklahoma, colorado, and wyoming.
 
   / Gross profit/acre hay #37  
I dont see why hay machinery has to be expensive . We do over 200 acres with a $1500 12 ft NH haybine and 2 $500 siderakes ..The baler is a little different as we moved to the big square market and had to buy a $24'000 baler to sell to US dairies but did it up until 3 years ago with a $2000 NH chain baler (855) but it's getting hard to find truckers who will haul round ones row and none will cross the border with round .
 
   / Gross profit/acre hay
  • Thread Starter
#38  
Im in PA also Builder. This past summer I started getting into makin a lil hay on our 10 ac n helped neighbor on his 30 ac. Very big learning curve. Now I just dabbled in it n had a lot of fun and was very rewarding but did not hav rite equipment. I just purchased old used equipment I have under 3k invested between a SP nh 1469 haybine, a 479 haybine, hs tedder, nh 56 rake, nh 68 baler, n nh 269 baler. I found all,my stuff in last 2 month locally on craigslist. Also hav sickle bar n old crimper for back ups. I got sum good deals I think so im redy to hav at it next year it can be stressful but its very reewarding for me. We have 3 horses so im hopin to make enough for them on my land and then help neighbor n split hay 5050. Defently tuff getting it to dry n all done in 4 days without rain. But im still gona give it a shot.
As far as price around PA I think average per small bale is maybe 3 bucks/bale.

I'm looking at a self propelled NH1499 as we speak.
Thing looks like a lot of upkeep, but quite honestly, I've never seen so much machine for the money. I can get a 12' SP haybine, dsl engine, cab w/ AC & heat, good tires, low hours for ~8 grand. Problem is, I have to travel between 2 properties divided by a highway. That would be a challenging drive. :laughing:
 
   / Gross profit/acre hay #39  
Builder said:
I'm looking at a self propelled NH1499 as we speak.
Thing looks like a lot of upkeep, but quite honestly, I've never seen so much machine for the money. I can get a 12' SP haybine, dsl engine, cab w/ AC & heat, good tires, low hours for ~8 grand. Problem is, I have to travel between 2 properties divided by a highway. That would be a challenging drive. :laughing:

Yes I know wat you mean. Mine is only a 9ft cut n much older then a 1499. Mine does not hav steering wheel n is goin to take a lot to get use to 2 levers. Thought it would b like skid steer or zero turn mower but it does not seem to be at all. I payed my local Ag Equip. Store to haul it home. Was pretty slick n easy with there roll back I got mine for 500 plus 250 to haul n we just charged battery n she stRted rite up, rollers are great shape n cutter is brand new. I paid more for a nh 479 thats actually probably junk b4 I new wat I was lookin for. My ground is not very flat so my 1469 may just stay at my neigjbors farm to be used there cause im not sure I can drive it down his steep driveway. Worse case if it doesnt work well with our operation im pretty confident I can get my money back and then some to put towards a decent pull behind. Im redy for next summer im anxious to use my new to me equipment. It will pay for itself if I just make enough hay for our horses. I think we hav potential to make atleast 2,000 bales 1st cutting at neigjbors farm which im hoping will b splitting I hav all the hay equipment. He is the mechanic though. I will b pleased if I make 2k or 3k plus put away 1000 bales for myself. I just cant wait im addicted to this hay making.
 
   / Gross profit/acre hay #40  
The average cash cost of my 4 by 5 roll is $18 per roll. Thats cash that I spent or will spend this year. Doesnt include any fixed, dep. or replacement.

I dont sell.
A small square market exist for squares in the 2 to 4$ range but i aint going there.
 

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