Hey i have a family member and his friends who want to start a vineyard in a pretty nice area of northern california. Was hoping to hear from some vineyard owners on here your ideas and opinions. Some things about this venture scare me....3 years till first harvest, 5 years till peak production. per acre you can only yeild maybe 8k if your lucky, yet it costs so much more to setup. Compared to marijuana, the investment/return is terrible on grapes.
Now, my family member is not a total newb to this. He has connections to several people who already grow grapes and operate wineries. He has soil samples, general idea of how to grow grapes, experiance growing plants including marijuana.
Biggest obstacles so far-
1) setting up a vineyard. wow, so much work. first you gotta level the land which will costs thousands upon thousands. then set up the vines for 10 acres which will also be a ton of work. already, on top of the intial cost for the land, there will be another 100k or so for construction, setup, etc...
2) water.....we found some nice parcels but they only have 5gph wells...which means we gotta dig to find more GPH or do dry farming...again super COSTLY...id assume it would be better to pony up and buy land with a good GPH well...or maybe we can save money because good wells cause property values to rise alot...and gamble on finding a better well on site.
3) super long wait for returns. friends already in the business say they didnt break even until 4-5 years. so that means for 5 years the investors will be out 100k+...maybe its not so bad...but im just used to marijuana where you will get a investment return in as little as 3-6 months, and be pulling higher profits from then on.
Any advice or suggestions are appreciated and i will pass them on. I also might be working the vineyards myself so i will have a lot of research to do....
Now, my family member is not a total newb to this. He has connections to several people who already grow grapes and operate wineries. He has soil samples, general idea of how to grow grapes, experiance growing plants including marijuana.
Biggest obstacles so far-
1) setting up a vineyard. wow, so much work. first you gotta level the land which will costs thousands upon thousands. then set up the vines for 10 acres which will also be a ton of work. already, on top of the intial cost for the land, there will be another 100k or so for construction, setup, etc...
2) water.....we found some nice parcels but they only have 5gph wells...which means we gotta dig to find more GPH or do dry farming...again super COSTLY...id assume it would be better to pony up and buy land with a good GPH well...or maybe we can save money because good wells cause property values to rise alot...and gamble on finding a better well on site.
3) super long wait for returns. friends already in the business say they didnt break even until 4-5 years. so that means for 5 years the investors will be out 100k+...maybe its not so bad...but im just used to marijuana where you will get a investment return in as little as 3-6 months, and be pulling higher profits from then on.
Any advice or suggestions are appreciated and i will pass them on. I also might be working the vineyards myself so i will have a lot of research to do....