2016 Wool Sheep

Enterprise Budget
The purpose of this enterprise budget is to evaluate the profit potential of a sheep enterprise in wh
individual fleeces are sold. Market lamb sales are also important. It is suitable for wool and dual-purpos
It is assumed that ewes lamb annually and that replacements are kept from the flock and bred to lamb as

[1] Assumptions
[2] Income
[3] Feed costs
[4] Veterinary costs
[5] Other Expenses
[6] Capital investment
[7] Summary

This budget was developed by Susan Schoenian, Sheep & Goat Specialist at the University of
Maryland's Western Maryland Research & Education Center in Keedysville, Maryland.

The budget is password-protected to protect the formulas and structure of the

spreadsheet. To make changes, contact Susan at sschoen@umd.edu for the password.
ntial of a sheep enterprise in which
table for wool and dual-purpose breeds
m the flock and bred to lamb as yearlings.

Specialist at the University of

r in Keedysville, Maryland.

as and structure of the

umd.edu for the password.
2016 Wool Sheep Enterprise Budge
FLOCK COMPOSITION

30 Number of ewes
2 Number of rams
5.0% Adult death loss
20.0% Ewe replacement rate
33.0% Ram replacement rate
135% PERCENT LAMB CROP RAISED (copied from below)

Percent lamb crop is the most important factor affecting profitability of a sheep enterprise.
It is the number of lambs available to sell or keep for replacements divided by the number
of ewes exposed for breeding. Use the table below to calculate it. Enter values in yellow cells.

CALCULATION OF PERCENT LAMB CROP

30 Number of ewes exposed for breeding (copied from above)

97% Percent ewes lambing
29 Number of ewes lambing
150% Percent lambs born live (live lambs ÷ # ewes lambing)
44 Number of lambs born live
5.0% Percent pre-weaning death loss
41 Number of lambs weaned
2.5% Percent post-weaning death loss
40 Total number lambs produced
34 Number of lambs sold for market
6 Number of ewe lambs kept for replacement
135% PERCENT LAMB CROP RAISED
ise Budget

Enter data in the yellow cells. The other cells are password-protected.
Data in the white cells are automatically calculated from other values in the spreadsh
Hover over the red triangle in the upper right corner of the cell to display useful comm

from below)

of a sheep enterprise.
ivided by the number
er values in yellow cells.

OP

g (copied from above)

# ewes lambing)
d-protected.
other values in the spreadsheet.
e cell to display useful comments.
 2016 Wool Sheep Enterprise
INCOME CALCULATION
Item Number Amount Total
Fleeces @ price 1 5 6.0 30
Fleeces @ price 2 10 6.0 60
Fleeces @ price 3 10 6.0 60
Skirtings, 25% of fleece weight 25 2.0 50
Commercial wool (not skirted) 7 8.0 56
Wool LDP 32 8.0 256
Unshorn lamb LDP 40 6.865 278
Market lambs: male 17 100 1722
Market lambs: ewe 14 90 1279
Cull ewes 5 160 720
Cull rams 0.6 220 123
Enter other source of income
Enter other source of income
Total income
Enter data in the yellow cells. The other cells are password-protected.
Data in the white cells are automatically calculated from other values in the spreadsheet.
Hover over the red triangle in the upper right corner of the cell to display useful comments.
Enterprise Budget
CULATION
Unit Price/unit Total Per ewe
pounds $ 20.00 $ 600 $ 20.00
pounds $ 10.00 $ 600 $ 20.00
pounds $ 5.00 $ 300 $ 10.00
pounds $ 0.75 $ 38 $ 1.25
pounds $ 1.00 $ 56 $ 1.87
pounds $ - $ - $ -
pounds $ - $ - $ -
pounds $ 1.80 $ 3,099 $ 103.29
pounds $ 1.80 $ 2,303 $ 76.76
pounds $ 0.80 $ 576 $ 19.20
pounds $ 0.80 $ 99 $ 3.29
$ - $ -
$ - $ -
$ 7,670 $ 255.66
 2016 Wool Sheep Enterprise Bud
Feed accounts for a significant amount of the cost in raising sheep, as much as 70 percent of the total. As
important to enter realistic data. There are also different ways to feed sheep, so feed costs can vary

FEED COSTS
EWES Head Amount Unit Cost/unit
Legume hay 32 0.15 ton $ 160
Grass hay 32 0.15 ton $ 120
Grain 30 132 pound $ 0.075
Protein supplement 30 33 pound $ 0.18
By-product feed 30 0 pound $ 0.16
Silage 30 0 ton $ 50.00
TMR 30 0 pound $ 0.10
Minerals 32 12 pound $ 0.50
Annual pasture planting 0 acres $ 50.00
Pasture maintenance 5 acres $ 50.00
Pasture rental 0 acres $ 75.00
Protein tubs 0 tubs $ 50.00
Other feed purchase
Total ewe feed costs

LAMBS Head Amount Unit Cost/unit

Creep feed (10-60 days) 41 0 pound $ 0.16
Finishing ration 41 0 pound $ 0.09
By-product feed 41 0 pound $ 0.16
Hay 41 0 ton $ 160.00
Silage 41 0 ton $ 32.00
Minerals 41 0 pound $ 0.50
Annual pasture planting 0 acres $ 50.00
Pasture maintenance 0 acres $ 30.00
Pasture rental 0 acres $ 50.00
Milk replacer 2 bags $ 45.00
Other feed purchase 0
Total lamb feed cost

TOTAL FEED COSTS

Enter data in the yellow cells. The other cells are password-protected.
Data in the white cells are automatically calculated from other values in the spreadsheet.
Hover over the red triangle in the upper right corner of the cell to display useful comments.
prise Budget
70 percent of the total. As a result, it is very
ep, so feed costs can vary considerably.

Total Per ewe cost

$ 768 $ 25.60
$ 576 $ 19.20
$ 297 $ 9.90
$ 178 $ 5.94
$ - $ -
$ - $ -
$ - $ -
$ 192 $ 6.40
$ - $ -
$ 250 $ 8.33
$ - $ -
$ - $ -
$ - $ -
$ 2,261 $ 75.37

Total Per ewe cost

$ - $ -
$ - $ -
$ - $ -
$ - $ -
$ - $ -
$ - $ -
$ - $ -
$ - $ -
$ - $ -
$ 90.00 $ 3.00
$ - $ -
$ - $ -

$ 2,261 $ 75
 2016 Wool Sheep Enterprise Bud
HEALTH & VETERINARY COSTS
Expenditure No head Amount Unit Cost/unit
Deworming: adults 32 1 doses $ 0.75
Deworming: lambs 40 1 doses $ 0.75
Coccidia treatment: lambs 40 1 doses $ 1.00
Other parasite control
Clostridial vaccination: adults 32 1 doses $ 0.50
Clostridial vaccination: lambs 40 2 doses $ 0.50
Abortion vaccination: ewes 30 0 doses $ 0.50
Other vaccination 0 0 doses $ -
Other vaccination 0 0 doses $ -
Veterinary medicine
Professional veterinary services
Other health and veterinary costs
Other health and veterinary costs
Total health and veterinary costs
Enter data in the yellow cells. The other cells are password-protected.
Data in the white cells are automatically calculated from other values in the spreadsheet.
Hover over the red triangle in the upper right corner of the cell to display useful comments.
prise Budget
S
Total cost Per ewe cost
$ 24 $ 0.80
$ 30 $ 1.01
$ 40 $ 1.35
$ - $ -
$ 16 $ 0.53
$ 40 $ 1.35
$ - $ -
$ - $ -
$ - $ -
$ 200 $ 6.67
$ 300 $ 10.00
$ - $ -
$ - $ -
$ 651 $ 21.71
 2016 Wool Sheep Enterprise Bud
OTHER EXPENSES
Other costs Number Unit
Supplies 30 head
Shearing 32 head
Bedding 30 head
Wool testing 30 test
Ram replacement 0.7 head
Hauling 24 head
Marketing 24 head
American lamb check-off - live animal 2153 pounds
American lamb check-off - first handler 0 head
Livestock guardians (feed, veterinary care)
Enter other cost
Enter other cost
Enter other cost
Enter other cost
Total other costs
Enter data in the yellow cells. The other cells are password-protected.
Data in the white cells are automatically calculated from other values in the spreadsheet.
Hover over the red triangle in the upper right corner of the cell to display useful comments.
terprise Budget
ES
Cost/unit Total Per ewe
$ 5.00 $ 150 $ 5.00
$ 5.00 $ 160 $ 5.33
$ 5.00 $ 150 $ 5.00
$ 12.00 $ 360 $ 12.00
$ 500.00 $ 330 $ 11.00
$ 5.00 $ 121 $ 4.05
$ 5.00 $ 121 $ 4.05
$ 0.007 $ 15 $ 0.50
$ 0.420 $ - $ -
$ 500 $ 16.67
$ - $ -
$ - $ -
$ - $ -
$ - $ -
$ 1,908 $ 63.59

comments.
 2016 Wool Sheep Enterprise Bud
CAPITAL PURCHASES
EXPENDITURE Number Cost Unit
Breeding ewes 30 $ 250 head
Breeding ram(s) 2 $ 500 head
Livestock guardian(s) 1 $ 500 head
Pasture establishment, improvement 5.0 $ 100 acre
Fencing
Housing, including lots and pens
Watering system(s)
Handling system
Feeders (fenceline, hay, grain, minerals)
Feed storage, e.g. bulk bin, silo
Farm machinery, e.g. tractor, manure spreader
Supplies and misc. equipment
Enter other investment cost
Enter other investment cost
Enter other investment cost
TOTAL INVESTMENT
Enter data in the yellow cells. The other cells are password-protected.
Data in the white cells are automatically calculated from other values in the spreadsheet.
Hover over the red triangle in the upper right corner of the cell to display useful comments.
rise Budget

Total Per ewe

$ 7,500 $ 250
$ 1,000 $ 33
$ 500 $ 17
$ 500 $ 17
$ 10,000 $ 333
$ 5,000 $ 167
$ 500 $ 17
$ 1,500 $ 50
$ 1,000 $ 33
$ - $ -
$ - $ -
$ 200 $ 7
$ - $ -
$ - $ -
$ - $ -
$ 27,700 $ 923
 2016 Wool Sheep Enterprise Bu
BUDGET SUMMARY
Income Total
Wool $ 1,594
Market lambs $ 5,402
Cull ewes and rams $ 675
Other income $ -
Total Income $ 7,670

Expenses Total
Feed costs $ 2,261
Ewe feed cost $ 2,261
Lamb feed cost $ -
Veterinary costs $ 651
Other costs $ 1,908
Total expenses $ 4,820

Profit $ 2,850

Expenses ÷ Income 63%

Total investment $ 27,700

Years to repay investment in enteprise 9.72

Rate of return on investment (ROI) 10%

prise Budget

Per ewe %
$ 53.12 20.8%
$ 180.06 70.4%
$ 22.49 8.8%
$ - 0.0%
$ 255.66

Per ewe %
$ 75.37 47%
$ 75.37 47%
$ - 0%
$ 21.71 14%
$ 63.59 40%
$ 160.67

$ 94.98

63%

$ 923.33

9.72
10%