Cost of production

[BAP]

I think part of the problem is you are looking for a magic formula that is going to give the answer you want, but it doesn't exist in Maple. The reason is, Maple like most farming, has too many different variables that are different for each person. The other thing is, for most people it is a small part of another business, or a second job or a hobby. Each individual is going to different input costs and labor. The best thing you can do is to figure out your own costs and expenses, then create your own financial statements that give you the information you want.

[johnpma]

I think part of the problem is you are looking for a magic formula that is going to give the answer you want, but it doesn't exist in Maple. The reason is, Maple like most farming, has too many different variables that are different for each person. The other thing is, for most people it is a small part of another business, or a second job or a hobby. Each individual is going to different input costs and labor. The best thing you can do is to figure out your own costs and expenses, then create your own financial statements that give you the information you want.

this is all very true! I saw my great grand father's dairy farm in the 70s go from profit to extreme loss especially when the government decided to implement taxes! Let's all be thankful at all lev els that the maple industry is not going thru what dairy farmers did in the 70s

[johnpma]

I think the majority of people are missing my point. And / or don't understand the question.

There are many different divisions of costs from an accounting stand point. Take a look at a ballance sheet, cost of production is just one of the many. All of the parts come together to make a return on profit schedule (or break even point). There are many moving parts.

If I was to sit down and figure how much I've spent then yes, It's somewhere I'm in the area of $1000 to make a gallon. I'm not looking to make a million selling syrup. No way no how, but I also don't want to be throwing out $45 dollars in every gallon I sell.

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at the small scale level you could be minutes away from throwing a gallon of syrup in the rubbish it hurts the small hobby producers more than the gallon producers.........I think in many ways profitability and break even comes with the time you put in to refining your own process

[acafro]

I think part of the problem is you are looking for a magic formula that is going to give the answer you want, but it doesn't exist in Maple. The reason is, Maple like most farming, has too many different variables that are different for each person. The other thing is, for most people it is a small part of another business, or a second job or a hobby. Each individual is going to different input costs and labor. The best thing you can do is to figure out your own costs and expenses, then create your own financial statements that give you the information you want.

What I'm looking for is what others have done. But it is becoming apparent that this doesn't seem to be something many people take into consideration.

What do others take into consideration? Maybe some of those work for me, maybe some don't.

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[wmick]

It cost about $30,000 to make my first gallon

"Quote of the Week Prize" goes to Michael..

(dealing with my Wife's misunderstanding right now, as a newby) She'll come around. Its not my first "project" / "investment"...

[johnpma]

What I'm looking for is what others have done. But it is becoming apparent that this doesn't seem to be something many people take into consideration.

What do others take into consideration? Maybe some of those work for me, maybe some don't.

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my neighbor has a veggie stand in front of his small farm. It's an honor system. He was robbed three times this past summer once being his cash box. He did not expect this! He worked all summer for free because all of his profit was wiped out by thieves........variables How thing played out! But he is doing the stand again this year!!

Let's reverse all this......how much do you want to make a gallon???

[acafro]

my neighbor has a veggie stand in front of his small farm. It's an honor system. He was robbed three times this past summer once being his cash box. He did not expect this! He worked all summer for free because all of his profit was wiped out by thieves........variables How thing played out! But he is doing the stand again this year!!

Let's reverse all this......how much do you want to make a gallon???

The end game is that I sell plastic for an average of $65 / gallon. And I'd like to be making some form of profit on what I sell.

Now obviously, I'm nowhere near being profitable. I've invested a lot of capital this season and even more over the past 3 seasons.

The whole reason for the post is because including all of my investments over the past 3 years and trying to see how much I'm making (or not) is foolish because I'm obviously not turning a profit. Maybe it's just my way of thinking.

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[SDdave]

I am curious if anyone has determined how much it costs them to produce a gallon of syrup and if so the style of formula you used. previously I have just ball parked my cost of production but would like to be a bit more accurate with my numbers. I have looked through the business side of thing through the 2014 posts with no help and really don't feel like re-inventing the wheel.

Thanks!
Adam

I only really see one formula to figure out cost/gal. Grab a pen and paper and start walking thru the start to finish of the season. Write down everything that you have used, and take note of anything that can be used for multiple years. Whatever is a one time use is an immediate cost, 1 to 5 years intermediate cost, 5 to 10+ years a long term cost. You'll have to use the cost per expected lifetime for anything above immediate usage (ex. evaporator cost $1000 with a life span of 5 years=$200/year). Now add up all the costs and divide by output. Start a spreadsheet and keep track from year to year.

I choose not to do this as it would be far less expensive for me to have you ship syrup to me. But I would lose out on all the fun.

SDdave

[johnpma]

I only really see one formula to figure out cost/gal. Grab a pen and paper and start walking thru the start to finish of the season. Write down everything that you have used, and take note of anything that can be used for multiple years. Whatever is a one time use is an immediate cost, 1 to 5 years intermediate cost, 5 to 10+ years a long term cost. You'll have to use the cost per expected lifetime for anything above immediate usage (ex. evaporator cost $1000 with a life span of 5 years=$200/year). Now add up all the costs and divide by output. Start a spreadsheet and keep track from year to year.

I choose not to do this as it would be far less expensive for me to have you ship syrup to me. But I would lose out on all the fun.

SDdave

the price for family and fun would over 10k/gallon There is no price for sitting with my 72 year old dad boiling sap

[Robert K]

There is no price for sitting with my 72 year old dad boiling sap

That quote is priceless in my books

If I kept any ( books that is) then the wife might have some kind of idea how much I spend on this hobby. ��