Livery yard

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Sarah6

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18 October 2006
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Hey im looking into the finance of a livery yard and i need to do a balance sheet, profit and loss account, master budget and break-even analysis anyone have any ideas on this? or how much u'd spend out in a full livery yard with 20 horses?
thanx
 
An absolute fortune. We have spent in excess of £50k on fencing, re roofing, guttering, drainage for the yard. Water troughs, a tractor and the implements needed. Tack room fixtures and fittings rubber matting. 6 internal stables to add to the 14 we already had and hardcore tracks around the yard. Plus field maintenance - repairs, fertiliser, rolling, harrowing, topping and hay making.

The most expensive aspect was the tractor and machinery but you need it to manage the land.

If you buy the Sage line 50 software for accounts it will guide you through a profit and loss and all your budgets plus provide our invoices for your clients. and do your VAT return each quarter. And it's notthat expensive. And don't forget to cost in your time and effort.
 
We put in a 8 stable 1 tack room stable block, a 20m x 40m outdoor arena and post & railed our 20 acres into paddocks which cost us £62K, this will take a good 10yrs to earn back on livery income alone as the council slap on business rates at £5.5k per year and then the tax man takes a chunk. The idea of having full livery owners is nice but they are far and few between as they realise they can increase their mortgage by £70k for the same monthly amount they would be paying on full livery, this means they can buy a 6 acre field with school and stables or a property of less granduer but with equestrian facilities for their normal monthly out-goings. Hope this gives you some idea.
 
I would have a chat with the council about your business rates that seems ridiculously high - we are pay £30 a month business rates - . We get 50% off the business assessed business rate because of where we are - Devon and rural - and then they reduce that by approx 50% So our max Business rate with no discount would be no more that £1400. The tax man only takes a chunk if you are earning over a certain amount - and don't forget the set up cost is put into the business as a directors loan so that you don't pay your self a wage you simply repay your directors loan - tax free until your directors loan is repaid. The business is unlikely to pay corporation tax until you have earned over the threshold and the chances of that are quite low in the equestrian industry

Full liveries are in short supply in certain areas - far more likely near large cities. In rural areas like us most people work fairly locally and want DIY or Part.
 
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I would have a chat with the council about your business rates that seems ridiculously high - we are pay £30 a month business rates - . We get 50% off the business assessed business rate because of where we are - Devon and rural - and then they reduce that by approx 50% So our max Business rate with no discount would be no more that £1400.

Blimey, council tax rates are kind round your way. Domestic rate on homes in my location is on a par with yours - and businesses (not horses) are way, way higher
 
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