[ReefTECK]

From above:

"I kept all of my costs on Quickbooks. I know what it costs, and that is why I am going with a greenhouse. Power is your primary cost, and if you can eliminate that you can make a profit."

This is mostly true, I've been evaluating a frag farm as a secondary source of income, and it would be most profitable if you can eliminate most energy costs. This means building a greenhouse in a southern climate where the cost of heating a building is less than the energy required for 12hr/day lighting via metal halides or T5 (which is probably the only thing you would really want to use).

Two really great examples of successful coral farms are that of Jurgen Wendel, and those guys at Extreme Corals, although EC does alot of importing. Jurgen Wendel was featured in Coral Magazine Oct-Nov 2007. He has about 2500 gallons of water, all T5 lighting, mostly Tunze Stream pumps, and all of his corals are grown from frags.

Marketing is really the key here, and I think if you want to actually make money back within 5 years you have to 1: Promote yourself and a website, 2: take as much free money as possible (I was just awarded $45,000 in grant money for my aquaculture project) 3: Run numbers, know the market, and look at the demographics in your area. This hobby requires a market with alot of disposable income. Don't try to run a coral farm in Michigan, Iowa, Missouri, etc.

Furthermore, aquacultured and captive raised corals make up less than 2% of the total amount of corals offered in the United States as of 1996. At that point, the United States represented more than 80% of live coral exports, accounting for some 3000 tons, or at least 350,000 individual pieces. Since then the export and growth has continued to boom by 20-30% per year. (all data per MAC). Those of us contributing to the captive harvest of live coral specimens are truly laying the groundwork for this hobby's survival.

I've been working on a business plan for four years, and things are finally coming together. Hope this clears some things up.

-andy