Where are these millionaire pet breeders, anyway?
I researched a viral tweet about big bucks being made. Here's what I learned.
I stumbled across this viral tweet recently.
The author showed a path to easy wealth:
Pet breeding.
Buy a few reptiles, breed them, and sell one for huge bucks.
(Great! Except for bringing dates to your house with 400 snakes in your living room.)
Girdley in Wonderland
Alongside a few colleagues (Jake Varra and Mason Richlen), I searched for these rich pet breeding operations.
We scoured all the usual sites where businesses sell.
Something weird happened:
We didn’t find any doing well.
If they’re so good…where are all the millionaire pet breeders?
I took a walk and realized:
This was one of those internet posts that we can’t trust.
Let’s think about this business.
Barriers to Entry
Breeding is not a difficult field to enter.
You need a male and a female and a space to occupy.
Easy.
You need cages and basic materials such as a thermostat and heater.
An all-in start-up might be around $10-20k.
Very low.
We have our first problem: it’s easy to enter this market.
Oh, but wait, it gets worse.
Regulation
Each state is different, but many states require licensing for breeding operations.
Oh, and PETA makes a career out of hassling licensed pet breeders.
(Don’t believe me? Check their website.)
And…
The licensing is easy to get.
This is OPPOSITE of the licensing you want – ideally tough to get, so it limits competition.
Competing with Hobbyists
Another big problem with this business:
Hobbyists are terrible competitors.
They’re often in it for the “joy” of breeding Pomeranians.
So care little about profit.
It Gets Worse
Besides all this, you’ve also got to figure out how to sell these pets.
Good luck finding a home for the entirety of your production.
Just terrible all around.
While there may be some millionaire pet breeders out there somewhere, there are better ways to get rich.
The lesson for me is:
Be careful what you read on the internet about business. It’s a nasty place sometimes!
Michael
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