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Equipping	
  for	
  Efficiency	
  2014
Tim	
  Livingstone
Strawberry	
  Hill	
  Farm
www.strawberryhillfarm.ca
Why	
  use	
  equipment
• Replace	
  Labour	
  –	
  make	
  work	
  easier
• Improve	
  quality/producJon
• Ease	
  pinch	
  points	
  in	
  producJon	
  Jming
• Physically	
  do	
  jobs	
  you	
  can	
  do	
  by	
  hand
– Plow
– Lay	
  plasJc	
  Jghtly
– Mow
– LiN	
  weights
Type	
  of	
  system	
  long	
  term?
• Max	
  2	
  acre	
  market	
  style	
  garden?
• What	
  about	
  Livestock?
• Is	
  good	
  farmland	
  very	
  limited?
• What	
  system	
  is	
  best	
  suited
– All	
  by	
  hand	
  
• Most	
  work,	
  least	
  cost,	
  most	
  efficient	
  use	
  of	
  space
– Walk	
  behind	
  tractors
• Easier,	
  faster,	
  more	
  expensive,	
  and	
  sJll	
  quite	
  efficient
– Larger	
  Tractors	
  (40	
  hp	
  and	
  up)
• Much	
  easier,	
  much	
  faster,	
  much	
  more	
  expensive,	
  less	
  
efficient	
  use	
  of	
  space
$$	
  What	
  is	
  a	
  reasonable?
• Our	
  basic	
  cost	
  proporJons?
– Crops:	
  25%DC,	
  	
  50%	
  Labour,	
  25%	
  Farm
– Livestock:	
  50%DC,	
  25%	
  Labour,	
  25%	
  Farm
• Try	
  to	
  allocate	
  10%	
  of	
  gross	
  sales	
  to	
  equipment	
  
and	
  other	
  capital	
  improvements	
  every	
  year.
– Want	
  to	
  see	
  overall	
  farm	
  net	
  worth	
  constant	
  or	
  	
  
rising	
  all	
  the	
  Jme.	
  	
  Usually	
  do	
  a	
  full	
  assessment	
  
once	
  a	
  year	
  and	
  spot	
  check	
  throughout.
How	
  to	
  spread	
  the	
  $
• Lease	
  –	
  expense	
  the	
  equipment
• Outright	
  purchases	
  –	
  10%	
  tax	
  rebate	
  in	
  NB
– Up	
  front	
  Purchase	
  –	
  3%	
  savings	
  possible
– Purchase	
  over	
  Jme	
  	
  
• ie:	
  12	
  month	
  no	
  interest
• ie:	
  72	
  month	
  with	
  monthly	
  payments
Making	
  the	
  choice!
• $	
  Spent	
  versus	
  $	
  Saved
– Tunnel	
  paid	
  in	
  first	
  year
– Bed	
  shaper	
  and	
  plasJc	
  mulch	
  layer	
  pays	
  annually
• MulJ-­‐use	
  equipment
– Tractor	
  with	
  loader
– S-­‐Jne	
  culJvator
• Equipment	
  with	
  the	
  most	
  hours	
  uJlized
Borrow/Rent,	
  or	
  Own
• Borrowing	
  or	
  renJng	
  can	
  be	
  ideal
– Round	
  baler	
  for	
  120	
  round	
  bales	
  a	
  year
– Get	
  to	
  know	
  the	
  neighbors
– Buy	
  a	
  trailer	
  so	
  you	
  can	
  transport	
  equipment
– “Borrow”	
  and	
  fix	
  up	
  an	
  old	
  implement
• Own	
  the	
  items	
  you	
  use	
  a	
  lot	
  and	
  don’t	
  have	
  
other	
  access	
  to
• Benefit	
  of	
  using	
  a	
  more	
  tradiJonal	
  tractor
– More	
  likely	
  to	
  find	
  a	
  bush	
  hog	
  then	
  a	
  BCS	
  flail	
  
mower
New	
  or	
  Used
• Are	
  you	
  a	
  mechanic?
• Do	
  you	
  have	
  employees	
  using	
  it?
• Does	
  it	
  have	
  lots	
  of	
  moving	
  parts?
• Can	
  you	
  find	
  it	
  used?
Few	
  other	
  Factors
• Concurrent	
  Use
– Self	
  powered	
  zero	
  turn	
  mower
– Gator	
  
– Truck	
  with	
  flat	
  bed
• Changing	
  Implements	
  /	
  FuncJons
– Belly	
  mount	
  versus	
  3	
  point	
  hitch
• Maximizing	
  labour	
  in	
  busy	
  Jmes
– Ex:	
  PlasJc	
  mulcher	
  versus	
  a	
  vacuum	
  seeder
– Gator	
  or	
  UTV
Other	
  Equipment	
  for	
  Efficiency
• Vacuum	
  Seeder
• Storage	
  boxes	
  and	
  bins
• Storage	
  faciliJes
– Truck	
  box
– Heated/cooled	
  rooms
• Drum	
  Washers
• Furnace
• Flame	
  Weeders
• Covers	
  and	
  Sand	
  bags
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency
Equipping for Efficiency

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Equipping for Efficiency

  • 1. Equipping  for  Efficiency  2014 Tim  Livingstone Strawberry  Hill  Farm www.strawberryhillfarm.ca
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  • 4. Why  use  equipment • Replace  Labour  –  make  work  easier • Improve  quality/producJon • Ease  pinch  points  in  producJon  Jming • Physically  do  jobs  you  can  do  by  hand – Plow – Lay  plasJc  Jghtly – Mow – LiN  weights
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  • 8. Type  of  system  long  term? • Max  2  acre  market  style  garden? • What  about  Livestock? • Is  good  farmland  very  limited? • What  system  is  best  suited – All  by  hand   • Most  work,  least  cost,  most  efficient  use  of  space – Walk  behind  tractors • Easier,  faster,  more  expensive,  and  sJll  quite  efficient – Larger  Tractors  (40  hp  and  up) • Much  easier,  much  faster,  much  more  expensive,  less   efficient  use  of  space
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  • 13. $$  What  is  a  reasonable? • Our  basic  cost  proporJons? – Crops:  25%DC,    50%  Labour,  25%  Farm – Livestock:  50%DC,  25%  Labour,  25%  Farm • Try  to  allocate  10%  of  gross  sales  to  equipment   and  other  capital  improvements  every  year. – Want  to  see  overall  farm  net  worth  constant  or     rising  all  the  Jme.    Usually  do  a  full  assessment   once  a  year  and  spot  check  throughout.
  • 14. How  to  spread  the  $ • Lease  –  expense  the  equipment • Outright  purchases  –  10%  tax  rebate  in  NB – Up  front  Purchase  –  3%  savings  possible – Purchase  over  Jme     • ie:  12  month  no  interest • ie:  72  month  with  monthly  payments
  • 15.
  • 16. Making  the  choice! • $  Spent  versus  $  Saved – Tunnel  paid  in  first  year – Bed  shaper  and  plasJc  mulch  layer  pays  annually • MulJ-­‐use  equipment – Tractor  with  loader – S-­‐Jne  culJvator • Equipment  with  the  most  hours  uJlized
  • 17. Borrow/Rent,  or  Own • Borrowing  or  renJng  can  be  ideal – Round  baler  for  120  round  bales  a  year – Get  to  know  the  neighbors – Buy  a  trailer  so  you  can  transport  equipment – “Borrow”  and  fix  up  an  old  implement • Own  the  items  you  use  a  lot  and  don’t  have   other  access  to • Benefit  of  using  a  more  tradiJonal  tractor – More  likely  to  find  a  bush  hog  then  a  BCS  flail   mower
  • 18. New  or  Used • Are  you  a  mechanic? • Do  you  have  employees  using  it? • Does  it  have  lots  of  moving  parts? • Can  you  find  it  used?
  • 19. Few  other  Factors • Concurrent  Use – Self  powered  zero  turn  mower – Gator   – Truck  with  flat  bed • Changing  Implements  /  FuncJons – Belly  mount  versus  3  point  hitch • Maximizing  labour  in  busy  Jmes – Ex:  PlasJc  mulcher  versus  a  vacuum  seeder – Gator  or  UTV
  • 20. Other  Equipment  for  Efficiency • Vacuum  Seeder • Storage  boxes  and  bins • Storage  faciliJes – Truck  box – Heated/cooled  rooms • Drum  Washers • Furnace • Flame  Weeders • Covers  and  Sand  bags