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Consequences of increasing your dairy herd a.k.a. the size of your meal bill

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Comments

  • #202
    Farmer Pudsey
    Registered Users, Registered Users 2 Posts: 6,326 ✭✭✭Farmer Pudsey


    frazzledhome wrote: »
    I know a guy with two and no planning. Leak detection on both, certification was all he was ever asked for

    I have heard a story lately have not confirmation of a lad some of who'es land is due for CPO. He has a few sheds on it that have no planning and has been informed that there will be no compensation for them. Councils differ, I be very wary of lagoons without planning even with certification and leak detection etc.

    A lot depends on whether you have neighbours near by or not. While planning may be awkard in general you get it. It also tends to be much more expensive to apply for retrospective planning as there are different fees for it.


  • #203
    kowtow
    Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    milkprofit wrote: »
    Say 10 acres At 11000 e / acre from bank would cost 1000e per acre for 20 years
    Including tax

    But the land cost for the purposes of this thread is the interest, together with transaction costs amortised over, say, 20 years if you want to be really precise.

    Alternatively ignore the cost of purchase, interest, etc. however the land is acquired and simply apply a land charge - somewhere close to long term rental value would be a good place to start - to all of the land including the original platform.

    The problem with the accounting / profit models we are used to is that they were traditionally designed to answer the question "how to get the most money from the farm I have"... whereas the question being discussed here is "what is the most profitable way to run an (expanding) dairy farm".

    Both questions are important, but it is vitally important to see the difference between them.


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