Owning a Barn

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Owning a Barn

This is a discussion on Owning a Barn within the Farm Forum forums, part of the Barns, Boarding, and Farms category
  • Cost of running a barn
  • Horse barn operating costs

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  • 1 Post By moderncowgirl

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    01-25-2012, 10:35 PM
Owning a Barn

I am 15, and I have no idea what it's like to own a farm. I have a horse, and I know how expensive it can be, but I don't live on a farm. I just want to know how much (roughly) it is to own and upkeep a horse barn annually. Like a decent or upscale 10-20 stall barn, with an outdoor and indoor arena. I know there are so many things that go into having a stable, but just give me an estimate.

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    01-26-2012, 01:40 AM
First buying hay and putting the light on in this area NY $6:25 able and you will need a ton or more light bill $100:00 mouth or more is there a well for water or you buy water it depends on your area but it could cost you about $4:00 per horse so bored will have to cover that and then something for your living expense
    02-03-2012, 11:13 PM
Hey, thought maybe I could help, I run a small boarding barn and took the course finance and risk management. First off you need to the propery value in your area. I know right now in mine is about 10 000 a an acre with buildings. That being said the rule of thumb I belive (or is close to 1.5 acers) per horse to keep pastures at a good stability. Now you need to think that included in that acerage is buildings such barn, arena, house.

After that you need to calculate all your expenses to run the barn.Such as:

Hay cost
Feed costs
Bedding costs
Maintance to property costs
Vet costs (some vets bill the barn than barn gets money from boarder)
Salary or wadges cost
Insurance costs
Bank costs

Than take that and costs and divide that between each potenial horse. Now take in mind if you keep the board costs just for 20 horses to cover all your costs what happens if you lose a boarder? Your going to be in the hole. Plus yoou want your business to grow financially as well. So I would say for rough estimate base your costs on 20 horses but the cost of that divided by 12. For example I rent a pasture with run ins now and provide boarding. Here a rough idea how I calculated my costs:

12 horses
14 round bails of hay a month at 30.00 is $360.00
Rent of pasture is 500.00 this icludes hydro for me.
General maintaince a month 60.00
Salt licks 30.00 a month
My monthly pay: 600.00 a month (I have horses there as well so I don't pay myself much)
Total to cost to run is a month is 1550.

Now the running costs per horse is rounded up to 130.00 a month.

If I charged that there would not be any net profit.

So I charge 250.00 per horse (going rate in my area)

@250.00 x 12 horse equals income of 3000.00 a months

Minus my operating expenses of 1550.00

Leaves a net profit of 1450.00 which is business' money.

Now if you are starting off having buy everything you need to come up with start up budget and than projected cash flow, and remember a business usually suffers withing first 3 months. It a lot to go through belive me. My best advise is see a small business advisor and because your still in school take accounting and business course!
Good luck!! :)
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    02-03-2012, 11:15 PM
Green Broke
The location will make a world of difference. Property taxes , land values, utilities vary by a large amount.
    02-04-2012, 03:36 AM
Thanks moderncowgirl, that's really helpful.
    02-12-2012, 07:27 PM
It's expensive believe me! I live on one and have seen some of the bills!!
    02-12-2012, 07:29 PM
No problem!!!
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