Mobile Chicken Units and Static Second-Hand Units

Many people ask us why we do not offer mobile units for free range egg production, especially when obtaining planning permission for large units is, at times, a great challenge. The simple answer is that we see the marketing of mobile units - the ones that are extremely difficult and cumbersome to move - as a very attractive, quick, profitable short-term business opportunity for the seller, which usually offers the buyer a miserable lifestyle and a mostly unprofitable future. The attractive aspect of selling these units is that once these customers fail, the units can usually be purchased back very cheaply and are relatively easy to sell on again, giving a second, very profitable, bite at the cherry. We are long-term players with a proven track record of offering financially viable business opportunities which, in turn, encourages many referrals for others to do business with us. Our proven business model has stood up well over a long period of time and we have no plans to change, so we will not be offering large moveable free range units for sale.

There are too many drawbacks with this type of system to list, but the best way of assessing them is to go and work on one for a few days in winter when you can gain some real hands-on experience of the working conditions. Performance data is best gained a couple of years after establishment, operating costs must not be confused with those of a larger permanent-type unit and opinions of working in the units are best obtained from the people who actually carry out the day-to-day work who have been doing it for at least a full year. Finally, insist on seeing the actual proven financial figures on at least two or three farms.

If you are still determined to go ahead with this type of free range production, then we suggest advertising for second-hand units, there are normally many available to buy!

This type of unit attracts more of the “lifestyle operators” and may be more suited to people with limited acreage and limited capital who can manage the unit themselves and market all the eggs themselves. Mobile units can work, but it takes a lot of skill, effort and determined dedication that many would not find proportionately rewarding.

Anyone marketing all the eggs themselves may require different houses with different aged birds to guarantee them a continuous supply of eggs. This can draw them into the perils of a "multi-age site" - a problem that can adversely affect production. This problem always arises eventually and no one appears to have the answers to it.

Static Second-Hand Units

As with the above, we also receive many enquiries for second-hand wooden and steel buildings. We do not deal in used structures because they can prove as, or more, expensive than new ones, even when on many occasions they are offered free of charge, with the buyer just paying for dismantling and removal. This can be because the buildings, especially the roof and linings, can be contaminated with asbestos. Should you accidentally incur this problem, the costs will be horrendous in endeavouring to correct such an issue, never mind the legal implications.

The buildings are rarely the desired size so you cannot keep as many birds as planned, bearing in mind that it is the last few birds which can produce most, if not all, of your profit. If the building is too large, then you are paying for something that is not required.

Repairing damaged parts and replacing parts that go missing en route can be expensive. The costs to convert the sheds can also be unexpected and horrendously expensive.  Sometimes the buildings can be too short or tall to the eaves which can either necessitate the added cost of dwarf wall construction or lead to excessive feed consumption because it’s too high. The building size is usually not optimal for the purpose of minimising your equipment costs.

The list goes on and on.  In many situations the final issue is that you, the buyer, despite what you have been told, find yourself ultimately responsible for Health and Safety. This could potentially result in such a heavy fine that you could lose your farm or, even worse, you could finish up in prison. Look on the internet and see the details of the fine incurred by my company for breaching these rules which resulted in a minor accident that involved workmen employed by an outside contractor. It’s a minefield that many are not aware of.

Many buying second-hand units fall for the trick of jumping into a deal that appears exceptionally attractive, i.e. buying a building standing ex-site or buying delivered, not realising that the actual new building costs are a small proportion of the total setting up costs. Many do not realise how cheap new buildings actually are, especially new steel. So, before you rush off with your cheque book into a deal that many who are experienced within the trade would avoid, look at new costs and you could be pleasantly surprised that new could be similarly priced when EVERYTHING IS TAKEN INTO CONSIDERATION. This may save you some considerable time and aggravation.

I am well-qualified to make such a statement because my company has, in the past, probably sold and moved more second-hand buildings than any other organisation.

If you are still insistent on going down the second-hand route, then I suggest you advertise for a building, offering free removal in payment, and if you employ contractors then ensure you get a detailed contract stating what is included in the deal(s). Do not release a penny until the building is constructed on your site, finished in a style ready to house birds. One way to achieve this is to lodge a deposit or the full amount with a solicitor, who is instructed not to release a penny until the work has been completed to your satisfaction. It’s also a good idea to get references from previously satisfied customers who have used the contractor’s services in the past.

My advice to anyone entering this industry is: if you think you are smarter at securing a better deal than others who have been in the trade for years, then tread extremely carefully, because it is doubtful that the grass will be as green as it appears. If you are clever enough to enter into a new venture and secure the deal of a lifetime, then forget egg production and come and work for me and I will pay you more than you can earn from eggs.

John Bowler