Cost and Profit

Instructions Assumptions
Worksheet

How to Use the Poultry Profit Calculator

This poultry profit workbook will help you estimate and track the overall costs and revenue from your poultry operation
costs of processing your birds on the farm using the Mobile Processing Unit vs. paying for off-farm butchering. This w
levels you need to obtain for a desired level of profit with your poultry operation. Some data fields have been pre-popu
who are new to poultry raising.

General Instructions
Areas with yellow highlighting are for your inputs. Areas with grey highlighting are calculated output values that you m

Before you begin editing, we recommend that you first save a copy of the sheet as it is defined now, in case you need

Using Named Fields in Formulas

Many of the calculated fields use named cells, like "num_chicks", which makes the formulas easier to read than if the
to find where a particular named cell is located within the workbook, so that you can change its value, use the Name B
of your formula bar. On Excel for Mac, the formula bar is a floating pane that appears when using the formulas section
on the name box to display the list of named values. Click on a particular name to be taken to its location in the workb

Displaying the Row/Column headings and gridlines

For readability, the workbook has the gridlines and the row and column headers suppressed. If you want to add/delete
display the row/column headers. You can also turn on the gridlines, if you like.
To display the row/column headers and gridlines:
• On Windows: under Tools -> Options -> View, click the checkbox for Row/Column headers or Gridlines.
• On Mac: click on the Toolbox icon to display the formatting palette. The checkbox for row/column headers and for G

Sheet 1: Costs and Profit Worksheet

1. Enter number of birds: Start by entering the number of chicks you will acquire per batch, and
for the year.

2. Edit expense categories: Expenses are divided into sections for acquiring birds, raising the bir
processing. For processing expenses, there are separate sections for on-farm slaughter with the M
cost categories that you would like to track, delete categories that are not applicable to you. To ad
Display the Row and Column headers (see above). Your expenses should fall into either the per
subsections. For items that are purchased once and used for several years, such as brooder supp
that you want to charge to this year's poultry operation in the annual expenses section. It is proba
( per bird / per batch / per year) in each expense section, because the subtotals are used in formu

3. Edit expenses: Enter your estimated, or actual costs in the column indicated (column E). Norm
gradually enter your actual expenses as they occur. If you would like the worksheet formatting to in
Format -> Style, and choose either 'actuals' or 'estimates'.

Your total revenue per bird, and per year will be automatically calculated using your cost and reven

Sheet 2: Assumptions
Some basic calculations and ratios have been created for you on the assumptions sheet. This dat
calculations on the main Costs and Profit worksheet, but has been moved here to try to reduce clu
the number of pounds of feed that a bird will eat to reach slaughter weight are estimated here for y
panel of farmers participating in focus groups at the New England Small Farms Institute. Feel free
accurate data from your own operation, and to add new assumptions that you might need. We rec
Insert menu) for any additional fields you add to this list, so that you can use the name rather than

Other advanced features

Your total revenue per bird, and per year will be automatically calculated using your cost and reven

Sheet 2: Assumptions
Some basic calculations and ratios have been created for you on the assumptions sheet. This dat
calculations on the main Costs and Profit worksheet, but has been moved here to try to reduce clu
the number of pounds of feed that a bird will eat to reach slaughter weight are estimated here for y
panel of farmers participating in focus groups at the New England Small Farms Institute. Feel free
accurate data from your own operation, and to add new assumptions that you might need. We rec
Insert menu) for any additional fields you add to this list, so that you can use the name rather than

Other advanced features

You can use the built-in features of excel to perform some advanced calculations. For example:
• Goal-Seek: Excel can determine the value that one cell needs to be changed to, in order to produ
cell. This is useful, for example, to calculate the number of birds you would need to raise to achiev
the Goal Seek function. You will want to display the row/column headings before using the goal se
set a profit target, click in cell I149, Under Tools -> Goal Seek, then enter:
o Set cell: I149(the profit cell)
o To value: (your revenue target)
o By changing cell: E5 (the number of birds per batch)
 from your poultry operation, and is designed to facilitate comparing the
off-farm butchering. This worksheet should help you decide the price
a fields have been pre-populated with rough estimates to assist those

d output values that you might not want to change.

ned now, in case you need to see the original formulas later.

s easier to read than if they used cell references like "A4". If you need
e its value, use the Name Box. The name box is located at the top, left
n using the formulas section of the toolbox. Use the dropdown control
to its location in the workbook.

d. If you want to add/delete rows of cost categories, you will need to

s or Gridlines.
column headers and for Gridlines are both in the Page Setup section.

cquire per batch, and the number of batches you will raise

ng birds, raising the birds, marketing, other expenses, and

rm slaughter with the MPPU vs. off-farm slaughter. Add any
pplicable to you. To add or remove rows, you will need to
fall into either the per bird/ per batch/ or per year
, such as brooder supplies or housing, enter the amount
es section. It is probably best to leave all 3 subsections
otals are used in formulas that calculate the section totals.

ated (column E). Normally, you will start with estimates and
rksheet formatting to indicate which entries are which, go to

ng your cost and revenue estimates.

mptions sheet. This data is used to support other

ere to try to reduce clutter on the main sheet. Items such as
re estimated here for you with figures gathered from a
rms Institute. Feel free to change these numbers with
ou might need. We recommend defining a name (on the
e the name rather than a cell location in formulas.
 ng your cost and revenue estimates.

mptions sheet. This data is used to support other

ere to try to reduce clutter on the main sheet. Items such as
re estimated here for you with figures gathered from a
rms Institute. Feel free to change these numbers with
ou might need. We recommend defining a name (on the
e the name rather than a cell location in formulas.

ations. For example:

ed to, in order to produce a particular value in a calculated
need to raise to achieve a certain profit goal. To do this, use
efore using the goal seek tool (see above). For example, to
 Cost and Profit
Instructions Assumptions
Worksheet

Poultry Profit Calculator

Number of batches 4
Number of chicks per batch 100
Total birds purchased 400 Which processing option to use:
Birds expected to live to slaughter date Option
380A: On-farm Processing with MPPU:
Unit 1: open air unit
Unit 2: enclosed unit

Acquire Birds
Estimated
Per bird expenses Annual total
Purchase price $1.75 $700.00
Vaccination $0.50 $200.00
$900.00
Per batch expenses
Shipping/transportation $20.00 $80.00
$0.00
$0.00
$80.00
Annual or one-time expenses
$0.00 $0.00
$0.00
Total Bird Acquisition Expenses: $980.00

Raise Birds
Per bird expenses
Feed costs $9.64 $3,857.14
(Auto-calculated based on expected feed per chick and cost of feed) $0.00
$3,857.14
Per batch expenses
Hired Labor $0.00 $0.00
Veterinary/breeding/medicine $50.00 $200.00
Supplements (incl. grit, calcium) $40.00 $160.00
Electricity for brooders $30.00 $120.00
Bedding $10.00 $40.00
$520.00
Annual or one-time expenses
Small equipment/tools (brooder lamps, waterers, etc.) $150.00 $150.00
Additional Labor Costs $0.00 $0.00
Utilities $30.00 $30.00
Water $10.00 $10.00
New Structures or Capitalization of existing structures $200.00 $200.00
Shipping costs for poultry supplies $0.00 $0.00
Pasture enhancement: fertilizers and lime $30.00 $30.00
Equipment rental $0.00 $0.00
Repair/maintenance for coops/brooders $30.00 $30.00
Seeds/plants (for pasture) $50.00 $50.00
 $500.00
Total Bird Raising Expenses: $4,877.14

Marketing
Per bird expenses
$0.00 $0.00
$0.00
Per batch expenses
$0.00 $0.00
$0.00
Annual or one-time expenses
Farmers market stall rental $0.00 $0.00
Selling charges/commissions (i.e. charge card) $0.00 $0.00
Website development/ hosting fees $75.00 $75.00
Advertising/promotion $75.00 $75.00
$150.00
Total Marketing Expenses: $150.00

Other expenses
Per bird expenses
$0.00 $0.00
$0.00
Per batch expenses
$0.00 $0.00
$0.00
Annual or one-time expenses
Rental fee for land/buildings $0.00 $0.00
Car and truck repair/maintenance/other expenses $20.00 $20.00
Fuel $500.00 $500.00
Bank service charges $0.00 $0.00
Travel/tolls (not processing-related) $0.00
Business licenses and permits $150.00 $150.00
Dues, memberships and subscriptions $0.00
Charitable contributions and goodwill $0.00
Office supplies $20.00 $20.00
Postage and delivery $30.00 $30.00
Books and other publications $50.00 $50.00
Telephone expenses $0.00
Legal/Administrative $0.00
Insurance $100.00 $100.00
$870.00
Total Other Expenses: $870.00
Subtotal Expenses Before Processing: $6,877.14

Costs for Processing option A: on-farm slaughter with the Mobile Poultry Processing Unit

Which Mobile Processing Unit are you using? Unit 1: open air unit
Miles to transport unit to your processing site: 100
Per bird expenses
MPPU per-bird fee $2.25 $855.00
Packaging materials (bags/labels) $0.40 $152.00
$1,007.00
Per batch expenses
In-kind contribution for helpers (lunch, etc.) $50.00 $200.00
Hourly paid labor $0.00 $0.00
Ice $100.00 $400.00
Electricity $20.00 $80.00
Propane $35.00 $140.00
MPPU transport fee (based on miles you entered above) $75.00 $300.00
Knives (replacement/sharpening) $10.00 $40.00
Aprons $10.00 $40.00
MPPU per use fee $80.00 $320.00
$1,520.00
Annual or one-time expenses
MPPU annual fee $100.00 $100.00
State slaughter license $225.00 $225.00
Town licensing fees $75.00 $75.00
Other regulatory charges $0.00
Small equipment (e.g. bag sealer) $15.00 $15.00
Freezer for ice/processed birds $200.00 $200.00
Bird transport crates $250.00 $250.00
$765.00
Total Processing Expenses with MPPU: $3,292.00
Grand Total Expenses with MPPU processing: $10,169.14

Costs of Processing option B: off-farm slaughter

Per bird expenses
Bags/labels $0.40 $152.00
Slaughter fee $5.00 $1,900.00
$2,052.00
Per batch expenses
Transportation $180.00 $720.00
$720.00
Annual or one-time expenses
Bag sealer $15.00 $15.00
Freezer $200.00 $200.00
Bird transport crates $250.00 $250.00
$465.00
Total Processing Expenses off-farm: $3,237.00
Grand Total Expenses with off-farm processing: $10,114.14

Number of birds sold 380 Annual total

Average dressed weight per bird (in lbs) 4.50
Selling price $/lb: retail $5.00 $8,550.00
Selling price $/lb: wholesale $4.00 $0.00
Other income (such as selling organs / feet / stock) $600.00 $600.00

Total Revenue: $9,150.00

Annual total
 Option A: On-farm Processing with MPPU -$1,019.14
Option B: Off-farm Processing -$964.14

Expected annual hours of labor - production 400

Expected annual hours of labor - processing w/ MPPU 100

Option A: On-farm Processing with MPPU: -$2.04

Option B: Off-farm Processing (custom exempt) -$2.41
ator
ng option to use:
ing with MPPU:
r unit
d unit

% of Annual
Per bird expenses
$1.75 7%
$0.50 2%
$2.25 9%

$0.20 1%
$0.00 0%
$0.00 0%
$0.20 1%

$0.00 0%
$0.00 0%
$2.45 10%

$9.64 38%
$0.00 0%
$9.64 38%

$0.00 0%
$0.50 2%
$0.40 2%
$0.30 1%
$0.10 0%
$1.30 5%

$0.38 1%
$0.00 0%
$0.08 0%
$0.03 0%
$0.50 2%
$0.00 0%
$0.08 0%
$0.00 0%
$0.08 0%
$0.13 0%
 $1.25 5%
$12.19 48%

$0.00 0%
$0.00 0%
0%
$0.00 0%
$0.00 0%

$0.00 0%
$0.00 0%
$0.19 1%
$0.19 1%
$0.38 1%
$0.38 1%

$0.00 0%
$0.00 0%

$0.00 0%
$0.00 0%

$0.00 0%
$0.05 0%
$1.25 5%
$0.00 0%
$0.00 0%
$0.38 1%
$0.00 0%
$0.00 0%
$0.05 0%
$0.08 0%
$0.13 0%
$0.00 0%
$0.00 0%
$0.25 1%
$2.18 9%
$2.18 9%
$17.19

g Unit

$2.25 8%
$0.40 1%
$2.65 10%
 $0.53 2%
$0.00 0%
$1.05 4%
$0.21 1%
$0.37 1%
$0.79 3%
$0.11 0%
$0.11 0%
$0.84 3%
$4.00 15%

$0.26 1%
$0.59 2%
$0.20 1%
$0.00 0%
$0.04 0%
$0.53 2%
$0.66 2%
$2.01 8%
$8.66 32%
$25.86

$0.40 2%
$5.00 19%
$5.40 20%

$1.89 7%
$1.89 7%

$0.04 0%
$0.53 2%
$0.66 2%
$1.22 5%
$8.52 32%
$19.37

Per bird

$24.08

Per bird
 -$2.68
-$2.54

per hour
per hour
 Cost and Profit
Instructions Assumptions
Worksheet

This sheet includes typical figures for some poultry productio

Assumptions
Percent of birds lost before slaughter 5%
number of birds lost 20
Cost of feed in $/lb $0.50 expected dressed weight conversio
Feed conversion ratio 3
Expected lbs feed per bird 19.29
percent of birds sold at retail price 100%
percent of birds sold at wholesale price 0%
ssumptions

for some poultry production expenses

Dressed-to-live weight converter

expected dressed weight: 4.5

expected dressed weight conversion: 70%

live weight: 6.43

 Instructions Cost and Profit Worksheet Assumptions

Massachusetts has currently fielded two mobile processing units. Due to their differing construction, the u
Unit 1: The open air unit, used primarily in the Pioneer valley
Unit 2: The enclosed unit, fielded for Eastern Mass

First, select the unit you will use the dropdown box in cell E96 of the Costs and Profit Worksheet.
The correct fees (according to the chart below) will then be incorporated into your cost analysis in the mai
You've currently selected: Unit 1: open air unit

Transport Cost per mile $0.75

Use fee per bird $2.25
Use fee per use $80.00
Annual fee $100.00

Fee schedule:
Please refer to the web page periodically and update this fee schedule when you want the
Unit 1: open air unit Unit 2: enclosed unit
Annual fee $100.00 $0.00
Transport Cost per mile $0.75 $0.90
Use fee per use $80.00 $250.00
Use fee per bird
up to 100 $2.25 $0.00
101 - 200 $2.00 $0.00
201 - 400 $1.75 $0.00
 Assumptions

their differing construction, the use fees are different for each unit.

sts and Profit Worksheet.

into your cost analysis in the main worksheet.

schedule when you want the new rates to be reflected in your cost worksheet.
osed unit

(See fee schedule published by NESFP)

About this calculator
You are using the Chicken Profit Calculator, version 2.1, published
August, 2011
This spreadsheet is provided to help you with cost estimation only.
Please check the NESFI/NESFP websites from time to time to see the
current charges for using the Mobile poultry slaughter units.
This tool is distributed under a Creative Commons Attribution-ShareAlike 3.0 Unported
License. See http://creativecommons.org/licenses/by-sa/3.0 for terms.

Created for the New England Small Farm Institute and New Entry Sustainable Farming
Project, thanks to financial support from Massachusetts Department of Agricultural
Resources
Designed and Programmed by Donna Byron (www.donnakbyron.com)