Option F: Tiered Offering (Rent, Coached, Full Service on One Unit and Cooler)
Status: candidate (new 2026-10-03, research round 5). The question as posed: “there’s likely some combination of offering as well that could be part of the price tiering. consider that in the final pass”. This option combines Option D (rent), Option E (coach) and Option B (full service). See all options on Business Model Options. Not legal advice. The tier boundaries below are a reading of the texts. Only VDACS OMPS can settle them.
How it works
One unit, one cooler, one free Custom Permit held by the company. The owner chooses a tier per animal and adds options a la carte.
| Tier | What’s included | Who does the work | Legal basis | Draws from |
|---|---|---|---|---|
| T1 Rent | Unit for the day (company delivers and collects it, because a 53 ft semi needs a Class A CDL), certification before the first rental, carcass storage in the company cooler | Owner kills and cuts. Staff deliver, clean and inspect, and never touch the animal or carcass (the owner hauls and hangs the carcass; see workflow below) | Personal use, 9 CFR 303.1(a)(1). The closest VDACS text is the buyer-uses-facility sentence, which addresses a seller who is also the facility owner; applying it to a rental company is an analogy [inferred] (Option D). A producer selling shares instead uses their own free Custom Permit | Option D |
| T2 Coached | T1, plus a pre-kill planning visit, a cut-sheet and aging plan, phone support, and hands-off coaching at the kill or cut | Owner does all physical work. Staff advise only (Option E levels 0-3) | As T1. Level 3 (verbal coaching at the kill) is a gray zone | Option E |
| T3 Full service | Farm-call kill, hang and age in the cooler, cut, vac-pack, label “Not for Sale”, owner pickup | Company staff | Company’s VDACS Custom Permit, which covers a “mobile slaughter and processing unit” | Option B (or Option C if the cooler is storage only) |
T1/T2 workflow with cooler storage. The owner cannot cut in the unit after the carcass leaves for the cooler, so a stored T1/T2 head takes one of two routes: - (a) Kill on the farm on day 1. The owner hauls the carcass to the cooler and hangs it. After aging, the unit returns to the farm and the owner hauls the carcass back to cut. That is 2 unit days per head [inferred]. - (b) The owner cuts at the company cooler dock. That is only possible at an M2 site, and it needs VDACS confirmation (see the matrix row on cutting at the dock). - With no storage, the owner kills and cuts in one unit day and takes the carcass home.
Off-season variant (Feb-Apr): T1 and T2 for hogs, sheep and goats, as in Option D’s variant. The RA family-use exception names “cattle, sheep, swine, goats and fowl” (RA).
Price-structure precedents: - Gore’s (Frederick County incumbent): a base kill fee plus a per-lb cut rate, with labor-heavy upcharges and storage billed only after a free window (Gore’s). In 2023 its ladder also had a kill-and-age-only tier ($105) and primals with no wrap ($0.70/lb). Neither appears on the 2026 web pages. - Spring Hill (VT, operator-run poultry unit, 2009): a base per-head fee, per-unit packaging add-ons, one-way mileage, and a per-stop minimum that small producers could meet by pooling at a booked site (Spring Hill).
Legal basis
A tier is a legal configuration, not only a price. Every text found turns on who physically performs the slaughter or processing, not on payment [inferred] (Option E). - VDACS: “If the seller participates in the slaughter or processing activity, then the facility owner is subject to the custom exempt criteria and must have a Custom Permit.” “Participates” is not defined (VDACS). - Vermont, by analogy only: providing a site, implements or offal disposal is not “assisting” (Vermont). - Consequence [inferred]: any hands-on staff act on a T1 or T2 job makes that job custom-exempt with the company as the custom operator, so it is legally a T3 job. That includes stunning, sticking, running the winch, a demonstration cut and SRM removal. The company’s own Custom Permit is the safe harbor (8160.1). The job must then meet the custom criteria: owner-household use, “Not for Sale”, and records. It should also be billed as T3. - Storage differs by tier. T3 carcasses are custom product (owned by the animal’s owner) that the company holds as custom operator; whether the Custom Permit covers the cooler is Option B open question 3. T1 and T2 carcasses are owner-held, uninspected personal-use product. Holding them for a fee may fall in the VDACS Meat and Poultry Handlers Permit “public warehouse” class or § 3.2-5404 registration (Handlers Permit; § 3.2-5404). Whether the two kinds may share one cooler, and how they must be kept apart, is open from round 4. - “Own raising” gap: a T1 renter who bought the animal does not fit the federal text literally (9 CFR 303.1). Get VDACS’s position in writing.
Bundle compatibility matrix
Key: - Clean: fits the stated basis [inferred]. - Flips to custom: the job becomes custom-exempt with the company as operator, so bill it and run it as T3. - VDACS: needs written OMPS confirmation. - Zoning: conflicts with Frederick County use lists.
| Combination | Status | Why |
|---|---|---|
| T3 + SRM handling, offal haul-off, mileage, delivery | Clean [inferred] | All inside the company’s own custom operation. Delivered product stays marked “Not for Sale” (VDACS Note 18: the operator may act as the owner’s agent for delivery of “Not for Sale” product) |
| T3 + cooler storage, extra storage, dry-aging | VDACS | Whether the Custom Permit covers the cooler is Option B open question 3. The Handlers Permit source also lists a locker holding only owner-held custom-exempt product as an open OMPS question |
| T1/T2 + unit delivery and pickup by staff | Clean [inferred] | Providing the site and implements (Vermont analogy). Staff leave or stand clear before the animal is handled |
| T1/T2 + vacuum-pack supplies, cleaning fee, certification | Clean [inferred] | Supplies and training, with no act on the animal |
| T1/T2 + offal haul-off by the company | VDACS (likely clean) | Vermont excludes offal disposal from “assist”. VDACS is silent (Option E level 2) |
| Staff move or hang an owner’s T1/T2 carcass in the cooler | VDACS (may flip to custom) | Handling the carcass may count as participating [inferred]. The owner hauls and hangs it, or the job is billed as T3 |
| T1/T2 + cooler storage or dry-aging of the owner’s carcass | VDACS | Handlers Permit or § 3.2-5404 for owner-held personal-use carcasses. Whether they may be stored alongside custom product |
| T2 at levels 0-1 (classroom, planning visit, cut sheet) | Clean | No slaughter or processing happens |
| T2 at level 3 (hands-off verbal coaching at the kill or cut) | VDACS | Gray zone: “participates” is undefined (Option E questions 1-2) |
| T2 + “just one demo cut” or staff stunning | Flips to custom | Staff performed part of the work (Option E level 4) |
| T1/T2 + SRM / over-30-month removal by staff | Flips to custom | Removing the spinal column is processing. The owner does it, or the job is T3 |
| Split job: staff kill, owner cuts on own farm | Flips to custom (kill stage) + VDACS | The company is the custom slaughterer. VDACS Note 13 lets the owner move the custom carcass between custom facilities when marked “Not for Sale”. Whether the owner’s own cutting of a custom carcass is personal use needs confirming |
| T1/T2 by a renter who bought (not raised) the animal | VDACS | Federal “own raising” text against VDACS’s buyer guidance |
| T1/T2 by a share-selling producer under the producer’s own Custom Permit, stored in the company cooler | VDACS | The producer is the custom operator. Does the company need a Handlers Permit to hold another operator’s custom product? |
| Same unit used for T3 on some days and T1/T2 rentals on others | VDACS | Option E question 5: sanitation and records for each use |
| T1/T2 renter cuts at the company cooler dock | Zoning (plus VDACS) | Cutting is “Animal Slaughtering and Processing”: M2 by right or an RA CUP only, so not at a B3 storage cooler. At an M2 site the closest VDACS text is the buyer-uses-facility sentence, which addresses a seller/facility owner; applying it to a rental company is an analogy [inferred] |
| T3 cutting at a B3 storage cooler | Zoning | Same use class. With a B3 cooler, T3 must cut on the farm (Option C) |
| Off-season T1/T2 for hogs, sheep, goats | As T1/T2 | RA exception covers the farmer’s own swine, sheep and goats. Hog scalding water adds a waste question [inferred] |
Zoning and site (Frederick County)
The tiers do not change the site answer. They inherit it (Article VI; RA): - M2 site (Option B): all three tiers are possible. Storing T1/T2 carcasses in the same cooler is part of the processing building [inferred, ask the Zoning Administrator]. - B3 storage-only site (Options C/D): “Warehousing and Storage” and trailer rental are by right, but no cutting can happen on site, in any tier. T3 becomes Option C (cut back on the farm). The 53 ft semi’s rental classification is still uncertain. - Farm side: T1/T2 fit the RA farmer-family-use exception when the owner raised the animal. T3 carries Option B’s open question (is a farm kill a “slaughterhouse” use?).
Waste
- T1: offal stays on the renter’s farm (9VAC20-81-95 D.4) (DEQ). The rental agreement requires blood capture and a holding tank. The pro forma charges no rendering.
- T2: as T1, or the company hauls offal as an add-on.
The model’s
renderingCoached= 1 assumes it does, and that legal status still needs confirming. - T3: as Option B. Dock wash water goes to sewer at an M2 site.
Capacity and labor
Staff hours per head, used for the calculator’s labor check only: - T3: 9 hours (about 8 to cut plus about 1 to kill, NMPAN/Lorentz 2010) (NMPAN costing). - T2: 3 hours [placeholder]. - T1: 1.5 hours [placeholder].
Hours available are employee hours plus 2,500 unpaid owner hours.
| Mix (T3/T2/T1) at Y3, 375 head, 3,080 employee h | Hours needed | Utilization |
|---|---|---|
| 100/0/0 | 3,375 | 60.5% |
| 50/30/20 | 2,137.5 | 38.3% |
| 20/30/50 | 1,293.75 | 23.2% |
| 0/0/100 (test only) | 562.5 | 10.1% |
- DIY tiers free up cutters, which is the Option B ceiling. Every head moved from T3 to T1 saves about 7.5 staff hours [placeholder arithmetic].
- The unit calendar becomes the new ceiling
[inferred]. The model assumes 1 rental day per T1/T2 head
[placeholder]. That understates the stored variant, which needs 2 unit
days per head (route (a) above) [inferred]. T3 batches about 4 head per
kill day [placeholder]. At 375 head:
- The 20/30/50 mix needs 300 rental days, more than a roughly 250-working-day year before any T3 kill or cut days.
- The 50/30/20 mix needs about 188 rental days.
- Remedies: price per rental day with several head per day, pool neighbors at one farm stop (the Spring Hill rule), or run T1/T2 only in off-peak months.
- Delivering the semi for every rental adds staff driving time, which the 1.5 h/head T1 placeholder may understate [inferred].
Economics
Results are from the calculator’s tier model
(site/proforma.js, with defaults from
site/assumptions.json). Revenue per head: - T3:
$930. This is Option B: $125 kill + $30 mileage + $1.00/lb ×
750 lb + $25 extras. - T2: $825. $400 rental
[placeholder] + $375 coaching (3 h × $125 [placeholder]) + $50 storage
(2 weeks × $25 [placeholder]: T&E’s 2025 rate applies only past 14
days, and incumbents give a free base window). - T1:
$450. $400 rental + $50 storage.
The model also changes variable costs by tier. Packaging applies to T3 only. Rendering applies to T3, and to T2 when the company hauls the offal.
Presets (default staffing 2,080 / 3,080 / 3,080 employee hours; 200 / 300 / 375 head):
| Preset | Revenue/head | Y1 cash | Y2 cash | Y3 cash | Break-even, cash ≥ 0 | Break-even with $50k owner draw | Y3 labor utilization |
|---|---|---|---|---|---|---|---|
| Full service only (defaults) | $930 | $17,799 | $70,685 | $129,507 | 210 | 274 | 60.5% |
| Balanced 50/30/20 | $802.50 | -$630 | $43,041 | $94,952 | 238 | 311 | 38.3% |
| Rental-heavy 20/30/50 | $658.50 | -$23,721 | $8,406 | $51,658 | 286 | 373 | 23.2% |
| 100% rental (test only) | $450 | -$59,169 | -$44,767 | -$14,808 | 413 | 538 | 10.1% |
Lean staffing. The presets above keep the default payroll even where the labor check says it is not needed, so their cash is conservative. These variants cut employee hours to fit the mix [placeholder hours]:
| Variant | Employee hours Y1/Y2/Y3 | Y1 / Y2 / Y3 cash | Break-even (cash ≥ 0 / with draw) | Y3 utilization |
|---|---|---|---|---|
| Balanced 50/30/20, lean | 1,560 / 2,080 / 2,080 | $12,652 / $68,584 / $120,495 | 201 / 274 | 46.7% |
| Rental-heavy 20/30/50, lean | 1,040 / 1,040 / 1,040 | $2,844 / $60,513 / $103,765 | 196 / 282 | 36.5% |
What mix keeps break-even feasible [inferred]: - Full service alone needs about 274 head with owner draw, within Option B’s 300-400 head/yr cutter capacity. - At default staffing, every DIY share pushes break-even up, to 311 head at 50/30/20 and 373 at 20/30/50. - With staffing matched to the mix, break-even stays near 274-282 head. The binding limits then become demand for DIY tiers and the unit calendar, not cash. - A mix at or above about 50% T3 with payroll matched to labor keeps break-even inside one unit’s capacity. Rental-heavy mixes need about 300+ rental days a year, so they need a second (towable) unit or multi-head rental days.
Add-on price sheet
Any tier means T1, T2 or T3, subject to the matrix above.
| Add-on | Tiers | Price | Source and year |
|---|---|---|---|
| Dry-aging beyond 14 days | T3; T1/T2 (VDACS) | $25/head/week | T&E Meats 2025 (Valley prices). Gore’s: over 21 days “discuss at booking” (2026) (Gore’s) |
| Cooler storage, base window | T1/T2 | 2 weeks × $25/head/week in the model [placeholder] | No incumbent found charges for the first 2 weeks. T&E’s $25 rate (2025) applies past 14 days, so using it for the base window is [inferred] |
| Late pickup / extra storage | Any | $50/week after 3 free weeks (Gore’s Stephens City, 2026); $10/day per cart after 72 h (Blue Ridge Meats, 2026) | Gore’s; Blue Ridge. Incumbents use storage fees as a late-pickup penalty, not as revenue |
| SRM / over-30-month handling | T3 only (staff work) | $50/head | T&E 2025; Gore’s 2026 |
| Offal haul-off | T3; T1/T2 (VDACS) | $100/head beef, $60 pork/lamb/goat | Backyard Butchery OK 2025 (farm-kill prices). Gore’s $20 rendering is at a fixed plant (2026) |
| Farm-call mileage / unit delivery | Any | $2.65/mile one way (Backyard Butchery 2025); $0.95-1.05/mile one way (Spring Hill VT poultry, 2009-2010). Model average $30/head [placeholder] | Farm-kill prices; Spring Hill |
| Daily minimum / pooled farm stop | Any | $500 daily minimum (Backyard Butchery 2025). Spring Hill set a per-producer minimum, waived for producers who pool at a booked site (2009) | Same |
| Vacuum-pack supplies (bags, labels, boxes) | T1/T2 | Cost plus margin [placeholder]. The model’s packaging cost is $50/head [placeholder]. Gore’s charges vac and paper wrap at the same rate (2026). Spring Hill charged $0.75/bird to vac-pack (poultry, 2009, structure only) | Gore’s; Spring Hill |
| Labor-heavy cut options | T3 | Single-steak packs $30/whole; patties $0.65-0.75/lb; liver slicing $5 | Gore’s 2023 sheets |
| Box delivery to the owner | T3; T1/T2 (VDACS) | Refrigerated delivery $225 for 0-50 mi (1-2 pallets) | Seven Hills 2026 (Valley prices) |
| Renter certification (required before first T1/T2) | T1/T2 | $75 first 2 years (Kentucky State 2013). The model’s Option E line uses $150 [placeholder] | KSU |
| Cleaning fee on unclean return | T1/T2 | $50-100 | NC Extension 2026 (NC fee sheets) |
| Off-season small-ruminant / hog rental day | T1/T2 | [placeholder] (no red-meat rental rate found). Benchmarks: Gore’s lamb $115 flat and pork $90 + $1.05/lb (2026); Backyard pork/lamb/goat slaughter $50 under 600 lb (2025) | Gore’s; farm-kill prices |
| Hands-on harvest workshop seat | Separate product (Option E F3) | $675-775/student | Farmstead Meatsmith 2026 (Farmstead) |
Price-gap check [inferred]: - T2 vs T3. T2 ($825) is only $105 below T3 ($930), yet the owner does all the work. The gap is probably too small to draw buyers who don’t want to learn, so T2 has to sell on learning, on scheduling (no wait for a T3 slot), or a lower coaching fee for repeat renters. - T1 vs Gore’s. T1 ($450) compares with Gore’s 2023 $105 kill-and-age tier plus the farmer’s own trucking and cutting. That is the local anchor.
What it fixes
- Uses one capital stack (unit + cooler + permit) to serve three customer types: owners who want it done, owners who want to learn, and owners who want it cheap.
- Moves head away from the cutter ceiling, Option B’s binding constraint, and fills the off-season.
- Gives Options D and E a home as tiers rather than standalone businesses, which is how their verdicts already framed them.
- The company’s Custom Permit makes a T1/T2 job that slips into hands-on work a permitted custom job rather than an unpermitted one [inferred], provided the job meets the custom criteria (records, an owner list made before slaughter, “Not for Sale”).
What it costs
- Compliance discipline: every job needs a recorded tier before the kill. If staff go hands-on, the job is re-tiered and re-billed as T3 (“hands in pockets” for T1/T2).
- Two storage regimes in one cooler until VDACS answers the Handlers Permit question.
- Liability: amateurs on company equipment. Virginia voids pre-injury personal-injury waivers (Hiett, 1992) (Hiett). Spring Hill’s successor closed its unit to outside users “due to liability risk” (2018) (Spring Hill).
- Lower revenue per head on DIY tiers. Cash suffers unless payroll is actually cut.
- The unit calendar is shared, so DIY rental days compete with T3 kill and cut days.
- Price and menu complexity for a small operator.
Open questions
- VDACS OMPS: Option E’s questions 1-7, especially storage of owner-held personal-use carcasses next to custom product, and dual use of one unit.
- VDACS: in a split job (staff kill, owner cuts), is the owner’s cutting still personal use?
- Zoning Administrator: storage of T1/T2 carcasses at an M2 processing cooler; semi rental classification in B3.
- Demand: what share of Valley owners would pick T1/T2 over T3, and at what price gap?
- A red-meat rental-day price (none found). Does a pooled multi-head rental day work?
- Broker quote: rental-equipment GL and inland marine with renter additional-insured certificates.
Verdict
Candidate. Working hypothesis [inferred]: keep T3 full service as the core (at least about 70% of head). Offer T1 and T2 as an off-season and overflow tier, capped at about 20-30% of head, priced per rental day with pooled stops. Gate it on certification, and run it only after written VDACS answers on storage and coaching. Match payroll to the labor check so DIY head does not carry T3 staffing.
What would change it: - VDACS says level-3 coaching is participation: drop T2 to classroom and planning only. - VDACS requires a separate permit or a separate cooler for personal-use storage: price that cost into T1/T2, or drop storage from those tiers. - Demand tests show strong DIY interest: raise the T1/T2 cap and add a towable second unit. - T3 cutters can’t be hired: shift the mix toward T1/T2 by necessity. - Only a B3 site is available: T3 becomes Option C, and the tiers still apply.