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To charge per bird or per pound?

post #1 of 5
7/4/12 at 2:56pm
Thread Starter 

I'm reviewing finances associated with our 25 Freedom Rangers we just finished. 

 

We split the order of 25 birds by 5 families.  Everyone got 5 birds.  This was our first 'go around' and I wasn't sure I wanted 25 birds in my freezer all at once!  Hence, the split.  (Now I know better, YES, I want 25 birds!)

 

I have kept track of all expenditures and charged our friends only for feed and bedding.  The set-up and equipment costs we did not include in the totals.  So, simple math - add all expenses (feed and bedding), divide by 25 and that's the cost per bird.  Figure most were 4#'s, that was our cost per pound.  Charged each accordingly.  Came out to $2.09 per pound, roughly.

 

Well, upon review - I think I've done the math wrong. 

 

Because if I know the total pounds produced in meat carcasses - THAT number should have been divided by costs, yes?

 

I also forgot to include the costs of the freezer bags.  Neither did I include a processing cost (and no one tipped us), although two friends did come and process their own chickens with me, so two families didn't do squat or give us a tip. 

 

As we will be repeating this exercise come September....how do YOU figure out what to charge? 

 

(Yes, I'll only be dealing with the two families that came and helped process.  The others treated us like a grocery store and I'm kind of offended at this point.  Still friends, but my perspective has changed.)   

-- Blessed are the flexible, for they will not break --

Beloved spouse of wonderful husband, Mom to two men-in-training, 6 Eastern 3-toed box turtles, 1 spoiled parrotlet, 1 pompous feline and a jealous dog.  Growing Black Java laying flock - 5 hens (hatched 4/1/11) - with 1 hen added (5/20/12)  - with 5 incubated models (2/7/13) and now 5 eggs in the bator!  Love our Java's!  Meaties on order...

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-- Blessed are the flexible, for they will not break --

Beloved spouse of wonderful husband, Mom to two men-in-training, 6 Eastern 3-toed box turtles, 1 spoiled parrotlet, 1 pompous feline and a jealous dog.  Growing Black Java laying flock - 5 hens (hatched 4/1/11) - with 1 hen added (5/20/12)  - with 5 incubated models (2/7/13) and now 5 eggs in the bator!  Love our Java's!  Meaties on order...

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post #2 of 5
7/4/12 at 3:19pm

I am in the middle of doing my own backyard flock of 10. Have processed 3 so far, and it is a LOT of work! Suddenly those birds are a lot more valuable to me than a regular store-bought chicken.  If it was me selling birds to my friends, I would encourage them to either work off some of the 'unchargable' costs by helping out at processing time- or by buying a 6-pack, nice bottle of wine, bring lunch over at processing, or what have you.  Now you know how long it will take, so let them know up front.  They should also see how much work goes into the whole project, and value the product accordingly. Otherwise, I wouldn't want to deal with them.

 

When we buy a chicken at the store, all of those costs of feed, electricity, processing, packaging, etc have gone into the price per pound- so it shouldn't be any different for you next time.

 

I figured a rough cost of $2.30/lb for my dressed organic birds based on feed alone- but that doesn't include the extra benefits to me of great compost from the feathers, bedding and blood, great chicken stock from the feet, organ meat, and dog food. The only waste we have were the intestines and random innards which came out to about 1.3 lbs total for 3 birds.  I almost gave that to the dogs, too, but we buried it instead. Maybe next time.

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post #3 of 5
7/5/12 at 10:28am
Pound, no question. More complicated, but fair.

And sell to the families that treat you like,a store. Just treat them like customers rather than friends and make a buck or two.

"There are too many books in the world to read in a single lifetime; you have to draw the line somewhere." --Diane Setterfield, The Thirteenth Tale

What I'm reading now:  Bullspotting: Finding Facts in the Age of Misinformation, by Loren Collins.

 

 

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"There are too many books in the world to read in a single lifetime; you have to draw the line somewhere." --Diane Setterfield, The Thirteenth Tale

What I'm reading now:  Bullspotting: Finding Facts in the Age of Misinformation, by Loren Collins.

 

 

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post #4 of 5
7/5/12 at 11:57am

We generally sell by the pound.  I feel it is more fair to the customer and our business.  We have had weeks where our birds averaged 4.5lbs and weeks where they averaged 5.5lbs.  I don't think a person who gets a 4lb bird should pay the same as someone who gets a 6lb bird.  With that said, we have started a new program on our farm where a person buys a subscription and they get a monthly (or every other month), box that has a two whole chickens, 10lbs of beef, and 4lbs of lamb.  In this case, they are paying by the bird basically but we will try our best to make certain everyone gets as close to a 5lb bird as we can.
 

Heather, Homeschooling Mom to two boys, two dogs, 13 layers, hundreds of meaties; turkeys, steers, goats, and sheep!
We raise chicken, turkey, lamb, and beef for sale.  PM me if you live in Southern California and are interested in organically grown, pasture fed chicken, turkey, lamb, or beef.

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Heather, Homeschooling Mom to two boys, two dogs, 13 layers, hundreds of meaties; turkeys, steers, goats, and sheep!
We raise chicken, turkey, lamb, and beef for sale.  PM me if you live in Southern California and are interested in organically grown, pasture fed chicken, turkey, lamb, or beef.

Reply
post #5 of 5
7/5/12 at 8:39pm
Thread Starter 
Quote:
Originally Posted by Buster52 View Post
And sell to the families that treat you like,a store. Just treat them like customers rather than friends and make a buck or two.

Well said!  I'll think about that strategy and give it some consideration.  For yes, this is not a grocery store (well, except for my own family!  Kids picking peas fresh off the vine, chickens rooting around the remaining lettuces looking for bugs.....yeah, I know those 'customers'!), but I would like a bit more, um, consideration for efforts?  So next go-round there is going to be a 'processing charge' of two bucks a bird, three if they want plucked, not skinned.....

 

Although perhaps I'm just miffed and hot and exhausted.....which will pass when the hot air dome disappears....maybe.....

-- Blessed are the flexible, for they will not break --

Beloved spouse of wonderful husband, Mom to two men-in-training, 6 Eastern 3-toed box turtles, 1 spoiled parrotlet, 1 pompous feline and a jealous dog.  Growing Black Java laying flock - 5 hens (hatched 4/1/11) - with 1 hen added (5/20/12)  - with 5 incubated models (2/7/13) and now 5 eggs in the bator!  Love our Java's!  Meaties on order...

Reply

-- Blessed are the flexible, for they will not break --

Beloved spouse of wonderful husband, Mom to two men-in-training, 6 Eastern 3-toed box turtles, 1 spoiled parrotlet, 1 pompous feline and a jealous dog.  Growing Black Java laying flock - 5 hens (hatched 4/1/11) - with 1 hen added (5/20/12)  - with 5 incubated models (2/7/13) and now 5 eggs in the bator!  Love our Java's!  Meaties on order...

Reply
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