Click here for a brief history of Alpacas

Raising and selling alpacas provides a unique opportunity to get into a lucrative business on the "ground floor."  This is still a business in its infancy in the U.S. and will be a breeders market for the next 10 plus years.  An alpaca fiber market in North America is being developed and supported by alpaca breeders and their very active, professional organization, Alpaca Owners and Breeders Association, Inc.

Alpaca fiber is non-allergenic, soft as cashmere and warmer, lighter and stronger than wool.  The fiber comes in more colors than any other fiber producing animal and is prized by spinners and weavers throughout the world.  Alpaca fiber is used in the high end garment industry.  Raw fiber can sell for $4.00 per ounce.

Why Invest in Alpacas?

• Attractive investment qualities with a potential high rate of return
• Alpacas are easy to tend to, healthy, don't cost much to feed, are not aggressive, have soft padded feet that are easy on the land, can be pastured up to 6 per acre, are quiet and intelligent.
• The supply of alpacas is limited and the demand is high
• Opportunity to enjoy a country lifestyle
• Don't have to kill them to get their end product which they produce every year.

Tax Deferred Wealth Building

Alpaca breeding allows for wealth building, while deferring tax on your investment's increased value.  Unlike putting your money in a Certificate of Deposit (CD), where any interest earned would be currently taxable, investing in alpaca breeding allows a small herd to grow over time without paying any taxes on the herd's increased size and value.  In addition, alpacas are depreciable, thereby offsetting the amount of tax due - unlike an investment in a CD, a money market account, or the stock market.

Non-Taxable Cash Flow

You can depreciate alpaca business assets against your total annual income, which includes income from the alpaca business as well as your other income (ex: your day job).  This allows you to expense the historic cost of an alpaca business asset to offset your present income.  The effect is to create non-taxable cash flow on a current basis.  This benefit is especially attractive in an environment of higher taxes.