Lathis
Chameleon Enthusiast
This would be a question for your CPA. Even if you have a loss, I believe you would still have to file.
Chams as a business
- Thread starter sking21
- Start date
This would be a question for your CPA. Even if you have a loss, I believe you would still have to file.
My suggestions is to get started with your projects, see how successful you are, and then determine when/if you need to contact an attorney and a accountant.
I think there are 2 key areas where they can help, 1) writing off expenses around feeders and 2) sales tax implications.
But I wouldn't sweat it until you can show that you can produce and sell chameleons successfully. Don't put the cart before the horse. Ha.
Some species of chameleons are much easier to breed than anyone on this forums wants to admit. Calyptratus and pardalis aren't difficult breeding ventures. They don't costs a lot of money to initially put together(compared to other hobbies or even other reptile projects), they don't take a ton of time(although it's difficult to go on vacation, even for a long weekend, when you have babies to feed), and you can start producing in a year - there's no written rule you have to purchase babies and raise them up. That's just a bit of a chameleonsforum culture kind of thing, same with variety of feeders, vet bills, etc. There's not a lot of room for 'these are all my pets!' attitude in this type of venture. You're going to be your own vet, you're going to feed based on what is most productive financially to raising babies to 3", etc.
But there in lies the rub, they are easy. Calypratus and pardalis breeders have all efficiencies built into these ventures. So ultimately, you'll need all the help you can get from your accountant for a legitimate business venture. You may find that you indeed need to breed your own feeders which may become your everyday chore even moreso than caring for chameleons. Who's ready to breed some crickets !! Yikes. You'll need to make sure you don't sell off all your future breeders b/c you need the money - if you're wondering why pardalis are still retailing for over $100, look no further.
FYI, if I had room(and an extra hand who didn't cost anything - my kids are all under the age of 4, I need a few more years.ha) I would be commercially breeding these 2 species. So I've thought about this a lot, like you. I bred several generations back in late 90s early 2000s. But I'd worry about accountants & lawyers once I proved again to myself that I could produce & sell. If you can't make it work as a hobby, it's going to be tough to turn into a legit business. Start worrying about tax issues when you're wildly successful. !
Regards,
Shea Peterson
I think there are 2 key areas where they can help, 1) writing off expenses around feeders and 2) sales tax implications.
But I wouldn't sweat it until you can show that you can produce and sell chameleons successfully. Don't put the cart before the horse. Ha.
Some species of chameleons are much easier to breed than anyone on this forums wants to admit. Calyptratus and pardalis aren't difficult breeding ventures. They don't costs a lot of money to initially put together(compared to other hobbies or even other reptile projects), they don't take a ton of time(although it's difficult to go on vacation, even for a long weekend, when you have babies to feed), and you can start producing in a year - there's no written rule you have to purchase babies and raise them up. That's just a bit of a chameleonsforum culture kind of thing, same with variety of feeders, vet bills, etc. There's not a lot of room for 'these are all my pets!' attitude in this type of venture. You're going to be your own vet, you're going to feed based on what is most productive financially to raising babies to 3", etc.
But there in lies the rub, they are easy. Calypratus and pardalis breeders have all efficiencies built into these ventures. So ultimately, you'll need all the help you can get from your accountant for a legitimate business venture. You may find that you indeed need to breed your own feeders which may become your everyday chore even moreso than caring for chameleons. Who's ready to breed some crickets !! Yikes. You'll need to make sure you don't sell off all your future breeders b/c you need the money - if you're wondering why pardalis are still retailing for over $100, look no further.
FYI, if I had room(and an extra hand who didn't cost anything - my kids are all under the age of 4, I need a few more years.ha) I would be commercially breeding these 2 species. So I've thought about this a lot, like you. I bred several generations back in late 90s early 2000s. But I'd worry about accountants & lawyers once I proved again to myself that I could produce & sell. If you can't make it work as a hobby, it's going to be tough to turn into a legit business. Start worrying about tax issues when you're wildly successful. !
Regards,
Shea Peterson
I like this idea, its where my thought process stands at the moment. Though if it start to take shape or if I start just supling reptiles for the pet store ill def talk with a lawyer. And my meeting for my accountant is long overdue
I haven't bred chameleons in over a decade simply b/c I travel too much for work to feed babies. That's the only reason. But I've breed carpet pythons for a long time and I spoke with an accountant friend a few years ago about when I need to categorize this as more than just a hobby. And he said, keep good records, and lets talk when you're profiting several years in a row over a few thousand dollars. That was off the cuff advice from a buddy. An accountant following the law, who you don't know or is not a personal friend, may give you different advice that may not be beneficial to your project.
Shea Peterson
chams
Hi sking21. I live in northern MD and I have a daughter and son-in-law starting up with chams. I get my first Nosy Be on tues. I am strictly doing Nosy Bes and they are doing Ambilobes. I know how you feel. Fortunately, I am a stay at home mom and granny, so I have enough time. I think that is the most important thing. I am only going to have 4 Nosys, for the time being. If you decide to go with it, I wish you well. BTW: research, research!!
Hi sking21. I live in northern MD and I have a daughter and son-in-law starting up with chams. I get my first Nosy Be on tues. I am strictly doing Nosy Bes and they are doing Ambilobes. I know how you feel. Fortunately, I am a stay at home mom and granny, so I have enough time. I think that is the most important thing. I am only going to have 4 Nosys, for the time being. If you decide to go with it, I wish you well. BTW: research, research!!
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