> Nope, not quite that simple.  Net _operating_ income from beekeeping,
> _averaged_ over any five year span must be positive -- after return on
> capital and labour.  Not just cash flow, or totals including extraordinary
> income.


If you keep losing money over that span, the US  IRS tends to look on it as
a hobby But, any good accountant can help you through that wicket. You are
still losing money, just looks better on paper. My wife is an artist, so I
know.

My brother-in-law has run several businesses. I consider them hobbies
because he is wealthy and can afford to lose lots of money. At dinner one
evening he mentioned that one had actually made 50K that year, until it was
pointed out that he had to give the business $100k earlier that year. Did
not matter to him- he made some money and that, to him, was what was
important. He could afford to lose that much for 20 years before it became
obvious to him that he was actually losing money.

It would be nice if that did not apply to beekeepers, but we had a very long
and productive exchange long ago (in the archives) on how to accurately
measure your profit. A good businessman knows exactly what the business
costs and what he is really taking home no matter what the number of
colonies.Some beekeepers have no idea but just look in their pocket at the
end of the year.

Bill Truesdell: Standard disclaimer- I am a hobby beekeeper, but my colonies
still are cheaper to maintain than a dog, and the bee's output is much more
pleasant. A fact I point out to beginning beekeepers.
Bath, Maine

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