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Functional test and financial test


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#1
Saint

Saint

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Can anyone clarify a point on the functional and financial tests:
Suppose someone grows 5 acres of fruit and makes around £20,000 profit. In addition they have 8 breeding pigs plus associiated offspring and 100 chicken on 8 acres of land which makes a profit of £2,000.

Arguably the daily routine of managing laying hens , breeding sows and weaners/growers justifies a worker living on site but the income from the animal enterprises is not sufficient on its to meet the financial test. BUT add in the income from the fruit and total farm income could pass the financial test, although the fruit part of the business does not pass the functional test.

The question is are there any guidelines or rules which clarify whether the holding as a whole must pass the tests OR if the enterprises meeting the functional need must also meet the financial test on their own, disregarding the income from the fruit?

Many thanks for any help offered.
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#2
che

che

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On viability it is the income from all your enterprises so you will have no problem there. The functional test is best covered by the pig enterprise and you would be advised to look up other succesful applications that appear on this site.
You look like you are well on the way, good luck
Dave C
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che

#3
saffire

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Hello all

This is an interesting point! I too am growing orchard fruit as well as chickens for eggs, honey, herbs, timber for fwood burning etc which will provide bulk of farm income. Worth remembering I also need to include other livestock in order to live on land... maybe an assortment of 'petting' animals to add interest for groups of school children I have visiting.

Saffire
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