RFP Sustainability Test
1.

Is your operation too much work? You can't run a sustainable business on unsustainable effort! 

1 = Dark to dark. (Out of the house before sunrise and back after sundown).

10 = Positions average 8 hours, 5 days a week (including your 2 mornings a week to work-on-the-business) and receive reasonable vacation time (>2 weeks/year).

1 (unsustainable) 10 (sustainable)  
 
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2.

Is your farm fun? How happy are you and the other stakeholders?

1 = You can barely drag yourself out of bed to face the day. 

10 = You wake up and go to bed with a smile. 


1 (unsustainable) 10 (sustainable)  
 
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3.

Is your operating business profitable using the RFP definition of profit?

Would there be money left after paying:
1. Market rate rent for ALL of the land it uses?

2. The full cost of labor? (It must NOT rely on unpaid family labor or sweat equity. Everyone is paid fairly for the work they do.)
3. Interest on ALL of the assets used in production (e.g. cows, machinery)?
4. All the other operating costs?


Score = 1 if using this definition, you never make a profit.
Score = 10 if you make a profit 10 years in 10.
1 (unsustainable) 10 (sustainable)  
 
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Results:

>24-30: Sustainable (provided there is no single score below 5).

>16-23: Above Average (provided there is no single score below 5). But keep in mind the average is BAD, so being "better" may just be "less bad" and fall short of being good.

<15: Unsustainable. You don't own a sustainable business. You own an unsustainable job. When are you going to make the structural changes needed to have a profitable ranch AND a life?

It could be useful to meet with stakeholders to discuss the sustainability of your ranch and strategies that set you on a more sustainable course into the future.