Business analysis of foliage plant nurseries in south Florida

J. Robert Strain

Alan W. Hodges

Economic Information
Report 230

Business Analysis of Foliage Plant
Nurseries in South Florida, 1985

Food E Resource Economics Department
Agricultural Experiment Stations and
Cooperative Extension Service
Institute of Food and Agricultural Sciences
University of Florida, Gainesville 32611

December 1986

ABSTRACT

Average sales, costs and returns information are presented for 24 wholesale
foliage plant nurseries in South Florida for the tax year of 1985. Average
value of plant sales was $992,333. Cash costs including a return to the opera-
tor averaged $875,064. Non-cash costs and allowances including a '2 percent
return on investment amounted to another $165,990. Deducting the return to
operator and return on investment left total costs of $867,285. After adjust-
ments for change in plant inventory value and additions for miscellaneous
income, net nursery income averaged $165,964, and return to capital averaged
11.2 percent. Comparable information is presented also for the average of the
nine largest and eight smallest nurseries in the study.

KEY WORDS: Foliage nursery business analysis, income, costs, investment,
efficiency measures, South Florida.

ACKNOWLEDGEMENTS

This report was made possible by the cooperating 24 foliage plant nursery
operators who made available their production and accounting records on a con-
fidential basis for analysis and averaging. Assistance and encouragement were
supplied by Extension Ornamental Horticultural Agents Loretta Hodyss and
DeArmand Hull. Acknowledgement and appreciation of the help received, however,
does not alter the fact that errors in the data or in the interpretation of the
information presented herein are the sole responsibility of the authors.

TABLE OF CONTENTS
Page
ABSTRACT . . . . . . . . .
ACKNOWLEDGEMENTS . . . . . . . i
LIST OF TABLES . . . . ... ......... iii
LIST OF FIGURES. . . . . ... . .... iii
INTRODUCTION . . . ... . . . 1
PROCEDURE. . . . . ... . . .... 1
DEFINITIONS. . . . . ... . . . 3
DATA AND RESULTS . . . . ... . . 4
Size of Business . . . . . ...... 4
Rates of Production. . . . . ... . 6
Labor Efficiency . . . . ... . . 7
The Use of Space . . . . ... . . 8
Efficiency in the Use of Capital . . . . 10
Dollar Costs by Expense Category*. . . . . ... 12
Percent of Total Costs by Expense Category*. . . ... 14
Cost Per Square Foot of Total Bed and Bench Space* . ... 16
Cost Per Square Foot of Propagating and Finishing Space' ....... 18
Cost Per Dollar of Sales Adjusted for Inventory Change,'. . .. 20
Cost Per Dollar of Sales*. . . . . .. . 22
Income Summary . . . . ... . . .24
Total Gain . . . . .. . . . 24
Net Nursery Income . . . . ... .. ... 24
Return on Capital. . . . . ...... 24
Balance Sheet. . . . . ... . .... 26
Current Assets . . . . . . 26
Long Term Assets . . . . ... .. ... .26
Total Assets . . . . ... . . .27
Liabilities. . . . . ... . ... 27
Net Worth. . . . . .. . . 28
Total Profitability Model. . . . . ... . 28
Margin Management. . . . . ... ...... 28
Asset Management . . . . .. ...... 28
Leverage Management. . . .. .... . . 28
Factors Associated With Level of Profits . . . ... 30
Size of Business . . . . ... .. .. .30
Production Rate. . . . . ... ...... 30
Labor Efficiency . . . . ... .. .32
Space Use Efficiency . . . . ... ... 32
Use of Capital . . . . . .. .33
Level of Costs . . . ... ... .. .. .33
Cost Efficiency . . . . ... . 34
Growth in the Business . . . . ... . 34
Range of Figures . . . . ... . . .34
CONCLUDING COMMENTS. . . . . ... . .... 35

*These sections also contain the following subcategories:
Salaries and Wages
Production Supplies Total Cash Costs
Other Production Costs Non-cash costs
Administrative and Overhead Total all costs

LIST OF TABLES

Table Page
1 Size of business, 24 wholesale foliage plant nurseries in
South Florida, 1985 . . . .. ... ........ 5

2 Rates of production, 24 wholesale foliage plant nurseries in
South Florida, 1985. . . . ... .... 6.

3 Labor efficiency, 24 wholesale foliage plant nurseries in
South Florida, 1985. . . . . ... . 7

4 The use of space, 24 wholesale foliage plant nurseries in
South Florida, 1985. . . . . ... .. 9

5 Efficiency in the use of capital,
24 wholesale foliage plant nurseries in South Florida, 1985. 11

6 Dollar costs by expense category,
24 wholesale foliage plant nurseries in South Florida, 1985. 13

7 Percent of total costs by expense category,
24 wholesale foliage plant nurseries in South Florida, 1985. 15

8 Costs per square-foot of total bed and bench space,
24 wholesale foliage plant nurseries in South Florida, 1985. 17

9 Costs per square foot of propagating and finishing space,
24 wholesale foliage plant nurseries in South Florida, 1985. 19

10 Costs per dollar of sales adjusted for change in plant inventory,
24 wholesale foliage plant nurseries in South Flori-da, 1985, 21

11 Cost per dollar of sales (no adjustment for change in plant inven-
tory, 24 wholesale foliage plant nurseries in South Florida, 1985 23

12 Income summary, 24 wholesale foliage plant nurseries in
South Florida, 1985. . . . . ... ..... 25

13 Balance sheet, 24 wholesale foliage plant nurseries in
South Florida, 1985. . . . ... .... 27

14 Factors associated with level of profit, 24 wholesale
foliage plant nurseries in South Florida, 1985. . ... 31

15 Range of figures on factors associated with level of profit,
24 wholesale foliage plant nurseries in South Florida, 1985. 35

LIST OF FIGURES

Figure Page
1 Total profitability model, 24 wholesale foliage plant nurseries in
South Florida, 1985 . . . .... . .29

BUSINESS ANALYSIS OF FOLIAGE PLANT NURSERIES IN SOUTH FLORIDA, 1985

J. Robert Strain and Alan Hodges

INTRODUCTION

This publication contains information on sales, costs, returns and produc-
tion efficiency for foliage plint nurseries in South Florida for 1985. Other
publications in this series includes reports on Central Florida foliage plant
nurseries, container grown ornamental plant nurseries and field grown
ornamental plant nurseries-.
-Purposes of the nursery business analysis series include:
1) Furnishing nursery operators with various physical and economic meas-
ures that may be used in evaluating the efficiency of individual nurseries;
2) Supplying cooperating nursery operators with data so that they may make
more informed management decisions;
3) Providing individuals considering entering the wholesale plant produc-
tion business with an estimate of the input requirement and revenue potential;
4L and Providing Florida Extension personnel with data for conducting
educational programs with nursery operators.

PROCEDURE

The information and averages presented in this report are based on data
supplied by 24 nursery operators in the form of confidential production and ac-
counting records. Their nurseries are located in the South Florida counties of
Dade, Broward, and Palm Beach. They participated in the program voluntarily and
do not represent a statistically selected sample. In fact, the nursery opera

J. ROBERT STRAIN *s an extension economist and professor, and ALAN HODGES
is a research assistant, both in IFAS Food and Resource Economics Deoartment,
University of Florida, Gainesville.

tors participating in the Florida Nursery Business Analysis Program are
thought to represent some of the more efficient foliage plant nurseries in
South Florida, rather than being typical of the foliage plant nursery industry.
Data were collected for the 1985 tax year. In some cases, data were
received for a fiscal year that did not coincide with the 1985 calendar year.
Data for fiscal years ending after July 1, 1984 and up to June 30, 1986 were
included with the 1985 calendar year data.
Not all nursery operators drew a regular salary from their operation. In
these instances, an estimate of the value of the time of the operator was col-
lected and used in the analysis in order to provide a more equitable basis for
comparing data. For the same reason, interest expense paid by the individual
nursery operator was excluded from the costs listed in this report. Instead,
an interest charge for the total owned investment was calculated at the rate of
12 percent per year and included as a non-cash cost allowance.
The value ofowned capital or investment in the nursery reflects the depre-
ciated book value of buildings, improvements, machinery and equipment. This is
a total value; related debt is not deducted in determining this value of capi-
tal owned. Growing plants also are included as a part of the owned capital
investment, but at a value lower than the regular wholesale price. This is
because, in a normal growing operation, most of the plants in inventory are not
of a salable size. Some will barely be started, some ready to sell, and others
scattered in-between. A common practice is to value all plants, whether just
started or almost finished at 50 percent of their wholesale price if finished.
However, some nursery operators use other methods. For this report, the values
received from the nursery operators were the values used. Land included in
owned capital investment was valued at the original purchase price. While this
may not represent the investment of a nursery operator if he or she were to buy
the land in 1985, it does represent the investment actually involved in the
operation.
The data from individual nurseries are averaged and presented in tablular
form. The tables present average values for all 24 nurseries, for the nine
"largest" nurseries, and for the eight "smallest" nurseries. The largest nur-
series had plant sales valued at $700,000 or more. The smallest nurseries had
less than $200,000.

DEFINITIONS

In general, the terms used in this report are thought to be self explana-
tory. However, experience indicates that some of the terms used here are less

familiar than others.

They are defined as follows, and again later where they

are used:

Value of own plants sold: the value of total plant sales minus the cost of
plants purchased for immediate resale. The cost of plants purchased for grow-
ing-on are not deducted.

Fulltime equivalent employee: the equivalent of one person paid for 2080
hours a year (40 hours a week for 52 weeks a year including vacation time, if
any). The most common method for obtaining the number of fulltime employees
for this report was to divide the total annual payroll hours for the nursery by
2080, and then add on the number of family and management people not paid on an
hourly basis.

Capital owned: the current value (cost after adjusting for depreciation
taken in prior years) of capital assets, or current investment in the nursery
operation. Related debt is not deducted in this determination of current value
of capital owned.

Capital managed: the sum of capital owned plus the value of additional
capital items used and under the control of the manager. The value of rented
land and leased buildings, equipment, etc., would be added to the value of
capital owned to obtain the value of capital managed in the nursery operation.

Annual turnover of capital: the percentage that results from dividing the
value of own plant sold by the value of capital (either owned or managed). It
is annual plant sales stated in terms of percent of the capital involved.

Total gain: the sum of plant sales, changes in plant and supply invento-
ries, and miscellaneous cash income. It represents the total effect of the
year's operation, be it in the form of cash received or in the form of change
in values of inventories.

Net nursery income: the net effect of the year's
all cash costs (except operator's salary), and all
interest on capital) are subtracted from total gain.
for the time and managerial skills of the operator,
capital invested in the operation.

operation. To obtain it,
non-cash costs (except
The result is the return
and for the use of the

Return to capital: the portion of net nursery income that is left
subtracting the salary or time value of the operator. It is what the
capital earned.

after
owned

Rate of return on capital: return to capital divided by the value of owned
capital. It is the rate earned on the capital invested.

DATA AND RESULTS

The data in the first 11 tables present various size and efficiency mea-
sures. Data in Tables 12 through 15 relate to the profitability of nurseries.
In the first five tables, more than one measure of efficiency could be used.
The first item in each table has traditionally been presented as "The one best
measure." It is followed by other measures that also are useful for certain
purposes or are meaningful to many growers. Where information in the tables is
presented to the nearest whole number, arithmetic inconsistencies from rounding
may be noted.

Size of business (Table 1)

Size of business data in Table 1 is basic. When combined with cost data in
Table 6, it provides the nursery operator most of the data required for devel-
oping the remaining tables in this report.
For size of business, the one best measure selected was "Value of own
plants sold" (Table 1 item A). In other words, this is income from the sale of
the plants grown in the nursery. This averaged $992,333 for the 24 nurseries.
For the nine largest nurseries, it was $2,265,856 or more than double the
average. The smallest ones had $111,326, or about one ninth of the average.
Adjusting sales for change in value of plant inventory (Table 1 item B) did not
alter materially these relationships.
Total bed and bench space (Table 1C) averaged 606,270 square feet for the
24 nurseries. For the nine largest nurseries, it was 1,423,270 square feet, or
2.3 times the average. The eight smallest nurseries had 50,909 square feet, or
about a twelfth of the average.
Capital owned (Table 1P) averaged $949,894 for the 24 nurseries. For the
nine largest nurseries, it was $1,837,241, or 1.9 times the average. The
eleven smallest nurseries had $279,640 or 29 percent of the average.
Capital managed (Table IX) averaged $1,108,533 or 16 percent more than the
capital owned by the nursery operators. This difference was primarily in the
value buildings and land. For the nine largest nurseries, it was $2,190,019, or
19 percent more than they owned. The eight smallest nurseries managed 18 per-
cent more than the capital owned, or $332,058. For these groups, the differ-
ence was also in the value of buildings and land rented.

Table 1.--Size of business, 24 wholesale foliage plant nurseries in South
Florida, 1985.
~~~~r~3~5 ----------------= -==-- = P lp?
Item Unit Average Average Average Your
all 24 9 largest 8 smallest nursery
The one best measure
A Value of own plants sold(a) S 992,333 2,265,856 111,326
Other useful indicators of size

value or own plants sold
B adjusted for change in
plant inventory value

C Total bed & bench space.

D Propagating & finishing
bed & bench space .

E Stock plant bed &
bench space . .

F Total nursery area .
G Total nursery area .

H Average fulltime
.equivalent employees(b).

Capital owned(c) in:
I Growing plants . .
J Buildings, fences, wells .
K Machinery & equipment. .
L Land . . .
M Supplies . . .
N Accounts receivable .
0 Cash/checkbook balance .
P Total.owned capital .

Capital managed(d) in:
Q Growing plants . .
R Buildings, fences, wells
S Machinery & equipment.
T Land . . .
U Supplies . . .
V Accounts receivable .
W Cash/checkbook balance
X Total managed capital

$ 1,029,946

2,341,821

sq ft 606,270 1,423,270

sq ft 548,569 1,287,462

sq ft 57,700

sq ft
acres

number

135,808

709,130 1,590,223
16.28 36.51

-22.6

353,403
208,995
51,324
177,463
9,675
131,621
17,413
949,894

353,403
221,859
54,366
320,197
9,675
131,621
17,413
1,108,533

127,849

50,909

47,164

3,745

90,336
2.07

49.4

593,218
439,562
107,663
333,491
12,821
316,159
34,327
1,837,241

593,218
461,784
110,441
661 ,269
12,821
316,159
34,327
2,190,019

133,473
51 185
14,976
54,144
7,256
10,927
7,679
279, 640

133,473
64,778
19,351
88,594
7,256
10,927
7,679
332,058

'~1P=E = = j P= S==========---------===3=== --- -
(a) Value of own plants sold--is the value of total plant sales minus the
cost of plants purchased for immediate resale. The cost of plants purchased
for growing-on is not deducted.
(b) Fulltime equivalent employee--is the equivalent of one person paid 2080
hours (40 hours a week for 52 weeks a year including paid vacation time, if any).
(c) Capital owned--is the current value (original cost less depreciation
taken) of capital assets, or current investment in the nursery operation. Re-
lated debt is not deducted in this determination of the value of capital owned.
(d) Capital managed--is the sum of capital owned plus the value of addition-
al capital items used and under the control of the manager (e.g., rented land).

Rates of Production (Table 2)

"Value of own plants sold per square foot of total bed and bench space"
(Table 1 item A divided by item C) is the traditional rate of production
measure used among nurseries. The average value for the 24 nurseries was
$1.64. For the nine largest nurseries, it was $1.59, or 5 cents less than the
average. The five smallest nurseries had 2.19, or about one third greater
sales per square foot of bed and bench space than the average. When sales were
adjusted for change in inventory value (Table 1 item B divided by item C), the
smallest nurseries showed almost 50 percent greater value per square foot than
average.
Sales per square foot of propagating and finishing space (Table 1A divided
by 1D) is a more accurate indicator of growing efficiency. Output from stock
plant areas may reduce costs, but pay no bills unless cuttings are sold. It is
the plants grown on the propagating and finishing space that pay the bills for
the entire nursery operation. This amounted to $1.81 per square foot for the
24 nurseries. For the nine largest nurseries, it was $1.76, or 3 percent less

than the average. The eight smallest nurseries had $2.36
greater than the average.

Table 2.--Rates of production, 24 wholesale foliage plant
Florida, 1985.

which was 31 percent

nurseries in South

Item Unit Average Average Average Your
all 24 9 largest 8 smallest nursery
The one best measure
Value of own plants sold per
sq ft of total bed & bench
space - (Table IA/IC) $ 1.64 1.59 2.19
Other useful indicators
Value of own plants sold per
sq ft adjusted for inventory
change - (Table 1B/1C) $ 1.70 1.65 2.51

Value of own plants sold per
sq ft of propagating & fin-
ishing space (Table 1A/1D) $ 1.81 1.76 2.36
--- adjusted for inventory
change - (Table 1B/1D) $ 1.88 1.82 2.71

Value of own plants sold per
acre - (Table 1A/IG) $ 60,956 62,067 53,681
--- adjusted for inventory
change - (Table 1B/1G) $ 63,267 64,148 61,649
=IP=PI~e--e=-----------------------------

Labor Efficiency (Table 3)

"Value of own plants sold per employee" (Table 1A divided by 1H) was selec-
ted as the one best measure of labor efficiency. This averaged 543,838 per
employee for the 24 nurseries. For the nine largest nurseries, sales averaged
$45,869, or 5 percent more than the average. The eleven smallest nurseries had
$22,650 in sales per employee, or half the average. Adjusting for change in
plant inventory value (Table 18 divided by 1H) slightly increased the average
for all 24 nurseries to $43,499. For the nine largest nurseries, this in-
creased their sales per person to $47,407. The smallest nurseries were up to
$26,012 per person.
Total bed and bench space per employee (Table 1C divided by 1H) averaged
26,783 square feet. For the nine largest nurseries, it was 28,812 square feet,
or 7 percent more than the average. The eight smallest nurseries had 10,358
square feet per person, or 39 percent of the average.
Propagating and finishing space per person (Table 10 divided by 1H) aver-
aged 24,234 square feet per employee. For the nine largest nurseries it was 8
percent greater at 26,063 square feet. The smallest nurseries had 60 percent
less, at 9,596 square feet.

Table 3.--Labor efficiency, 24 wholesale foliage plant nurseries in South
Florida, 1985.

Item Unit Average Average Average Your
all 24 9 largest 8 smallest nursery
The one best measure
Value of own plants sold per
employee (Table 1A/1H) $ 43,838 45,869 22,650
Other useful indicators
Value of own plants sold per
employee adjusted for change
in inventory (Table 1B/1H) $ 45,499 47.407 26,012

Total bed & bench space per
employee (Table 1C/1H) sq ft 26,783 28,812 10,358

Propagating & finishing space
per employee (Table 1D/1H) sq ft 24,234 26,063 9,596

Total nursery area per
employee (Table 1F/1H) sq ft 31,327 32,192 18,380
=== ----------= = = = = = = = = -= = =

The Use of Space (Table 4)

The one measure selected as best for measuring the intensity of space use
was "Annual turnover of plant inventory value" (Table 1A divided by 1I). This
indicates the number of times that funds tied up in plant inventory were repre-
sented by sales during the year. The reliability of this number depends upon
the care and accuracy with which plant inventory records are kept. Some nur-
sery operators in the program keep careful inventories of plant numbers, while
others tend to approximate their figures. But the idea is deemed valid, and
should be especially useful to those who compare their figures with their own
data of the previous year. In this case, the nursery operator has first hand
knowledge of the nature and the dependability of the comparison.
Annual turnover of plant inventory value in the 24 nurseries averaged 281
percent. This means that annual plant sales amounted to 2.81 times the value
of plants in inventory. For the nine largest nurseries, turnover was 382 per-
cent. Thus, their annual plant sales were 3.82 times the value of plants in
inventory; The eight smallest nurseries had a much lower turnover rate, 83
percent.
Vacant bed and bench space is a measure of efficiency of space use. Gener-
ally, reducing the percent of space vacant on the average is desirable. How-
ever, some vacancy is inevitable between the time a plant is removed for sale
and the time another is put in its place to start growing. The average amount
of vacant space during the year divided by total bed and bench space (Table 1C)
shows the average percent of vacant space. This was 4.65 percent for the 24
nurseries. For the largest ones, it was 4.19 percent. The smallest nurseries
had 9.82 percent.
Other useful indicators to study are percent of total nursery area includ-
ing buildings and roadways that is bed and bench space, and the division of bed
and bench space between propagating and finishing space and stock plant area.
Other things being equal, the higher the percentage of total nursery area
devoted to bed and bench space, and the higher the percentage of bed and bench
space used for propagating and finishing rather than stock plants, the better.
However, other things are seldom equal, such as the cost of raising rather than
buying cuttings, and availability of quality material when needed.
The 24 nurseries averaged 606,270 square feet of bed and bench space, which

was 85.49 percent of their total nursery area. The nine largest nurseries
averaged 89.50 percent of their total area in bed and bench space, while the
eleven smallest nurseries utilized 56.36 percent of their total nursery area as
bed and bench space.
Propagating and finishing area averaged 548,569 square feet for the 24 nur-
series. This was 90.48 percent of the total bed and bench space (Table 10 di-
vided by IC). For the nine largest nurseries, it was 1,287,462 square feet, or
2.3 times the average. This represented 90.46 percent of the total bed and
bench space. The eight smallest nurseries had 47,164 square feet for propaga-
ting and finishing, which was only 9 percent of the average. However, this
space represented 92.64 percent of their total bed and bench space. Thus, the
smallest nurseries devoted a slightly greater proportion of their growing area
to plants for sale. This is probably natural, since smallest nurseries, espe-
cially those just getting started, may not be able to afford the luxury of
maintaining as many stock plants as they would like.

Table 4.--The use of space, 24 wholesale foliage plant nurseries in South
Florida, 1985.
--------------~~P3----------------------====------
Item Unit Average Average Average Your
all 24 9 largest 8 smallest nursery
SIntensity of space use
Annual turnover of plant in-
ventory value (Table 1A/1I) % 281 382 83
Efficiency of space use
Vacant bed & bench space sq ft 28,180 59,681 4,997
- (divided by Table 1C) % 4.65 4.19 9.82
Other useful indicators
Total nursery area (Table 1F) sq ft 709,130 1,590,223 90,336
Total bed & bench space sq ft 606,270 1,423,270 50,909
- - (Table 1C/1F) % 85.49 89.50 56.36

Propagating & finishing bed sq ft 548,569 1,287,462 47,164
& bench space (Table 1D/1C) % 90.48 90.46 92.64

Stock plant bed & bench space sq ft 57,700 135,808 3,745
- - (Table 1E/1C) % 9.52 9.54 7.36
= 0 =='=I==-P===I ======

Efficiency in use of capital (Table 5)

A number of possibilities exist for measuring efficiency in the use of cap-
ital. The one selected as the best single indicator was "Annual turnover of
owned capital value." This is the percentage that results from dividing the
value of own plants sold by the value of capital owned (Table .A divided by
1P). Annual turnover averaged 104.5 percent for the 24 nurseries. This means
that sales for the year were slightly more than the capital invested. For the
nine largest nurseries, it was 123.3, which was a 19 percent faster turnover
rate than the average. The eight smallest nurseries had 39.8, which was about
40 percent of the average turnover rate.
Managed capital turnover averaged 89.5 percent for the 24 nurseries. Thus,
there was enough additional capital being managed to reduce the turnover rate
by 15 percent. For the nine largest nurseries, it was 103.5 meaning there was
enough additional capital involved in the operation to reduce the turnover rate
by 20 percent. The eight smallest nurseries managed a small amount of addi-
tional capital, reducing turnover by only 6.3 percent to 33.5.
Capital invested per employee (Table 1P divided by 1H) averaged $41,963 for
the 24 nurseries. For the nine largest nurseries, it was $37,193, or about 11
percent less than the average. The eight smallest nurseries had $56,895 which
was 36 percent above the average.
Average capital investment per acre of nursery area (Table 1P divided by
IG) was-$58,350 for the 24 nurseries. For the nine largest nurseries, it was
$50,326, or 14 percent lower than the average. The eight smallest nurseries
had a much higher figure, 134,842, or 2.3 times the average. Calculations for
managed capital (Table 1X divided by 1G) showed the largest nurseries managing
about 12 percent less than the average per acre, and the smallest nurseries
having about 2.35 times more than the average.
Growing plants represented 31.9 percent of the capital managed by the 24
nurseries. For the largest nurseries, it was 27.1 percent. The smallest nur-
series had 40.2 percent of their capital tied up in plants.
Buildings and installations averaged 20.0 percent of the total. Largest
nurseries had about the same, 21.1 percent. Smallest ones had 19.5 percent.
Machinery and equipment took between 4.9 and 5.8 percent of the capital.
Land required 28.9 percent of the capital on average. Largest nurseries used
30.2 percent of their capital for land. Smallest nurseries used less than the

average for land, 26.7 percent. Accounts receivable accounted for 11.9 percent
of all capital managed. Largest nurseries required 14.4 percent of the total.
Smallest ones only had 3.3 percent of their capital utilized this way.

Table 5.--Efficiency in use of capital, 24 wholesale foliage
in South Florida, 1985.

plant nurseries

Item Unit Average Average Average Your
all 24 9 largest 8 smallest nursery
The one best measure
Annual turnover(e) of owned
Capital value (Table 1A/1P) % 104.5 123.3 39.3
Other useful indicators

Annual turnover(e) of managed
capital value (Table 1A/1X)

Per employee:
Capital owned (Table 1P/1H)
Capital managed (Table 1X/1H)

Per acre:
Capital owned (Table 1P/1G)
Capital managed (Table 1X/1G)

Managed capital per person in:
Plants- - (Table 1Q/1H)
Buildings (Table 1R/IH)
Mach & equip- (Table' S/1H)
Land- - (Table IT/1H)
A/R - (Table 1V/1H)

Managed capital per acre in:
Plants- - (Table IQ/IG)
Buildings (Table 1R/1G)
Mach & equip- (Table 1S/1G)
Land- - (Table 1T/1G)
A/R - (Table IV/1G)

Percent of capital managed in:
Plants- - (Table 1Q/1T)
Buildings (Table 1R/1T)
Mach & equip- (Table 1S/1T)
Land- - (Table IT/1T)
Supplies- (Table 1U/1T)
A/R - (Table 1V/1T)
Cash- - (Table 1W/1T)
Total nursery- (Table 1X/1T)

89.5

41,963
48,971

58,350
68,094

15,612
9,801
2,402
14,145
5,815

21,709
13,628
3,340
19,669
8,085

31.88
20.01
4.90
28.88
0.87
11.87
1.57
100.00

103.5

37,193
44,334

50,326
59,990

12,009
9,348
2,236
13,387
6,400

16,250
12,649
3,025
18,114
8,660

27.09
21.09
5.04
30.19
0.59
14.44
1.57
100.00

33.5

56,895
67,560

134,842
160,118

27,156
13,180
3,937
18,025
2,223

64,361
31 ,236
9,331
42,720
5,269

40.20
19.51
5.83
26.68
2.19
3.29
2.31
100.00

----------------------- ------------------
(e) Annual turnover of capital value--the percent resulting from dividing
the value of own plants sold by the value of capital (Table 1A/1P or IX).

Dollar Costs by Expense Category (Table 6)'

Dollar costs by expense category were obtained from the annual profit and
loss statement or tax records of the participating nurseries. The cash cost
categories were grouped into wages and salaries, production supplies, other
production costs, and administrative and overhead expense. Dollar costs should
be useful for comparing the relative magnitude of the various cost items, and
as a guide to persons interested in South Florida foliage nurseries as an
investment, either as buyers, sellers or lenders.
Salaries and Wages
The salary and wage group includes operator salary or time value. Average
was $312,108. Largest nurseries had $674,044, more than twice the average.
The smallest nurseries had $60,023, or 19 percent of the average.
Production Supplies
Production supplies include the group starting with "plants and seeds"
through "other production supplies." They averaged $393,598 for the 24 nurser-
ies. For the largest nurseries, they were $922,343, or 2.3 times the average.
The smallest nurseries had $38,976, or 10 percent of the average.
Other Production Costs
Other production costs include "facility repairs/maintenance" and "equip-
ment operating costs." They averaged $49,285 for the 24 nurseries. Largest
nurseries had $112,907, or 2.3 times the average. The smallest ones had
$8,150, a sixth of the average.
Administrative and Overhead
Administrative and overhead expenses usually cannot be assigned to any par-
ticular crop or growing activity, yet must be covered in order to remain in
business. They include the group starting with "travel and entertainment"
through "other cash expenses." They averaged $120,073 for the 24 nurseries.
For the largest nurseries, they were $272,427, 2.3 times the average. The
smallest nurseries had $19,287, or 16 percent of the average.
Total Cash Costs
Total cash costs averaged $875,064. Larger nurseries had $1,981,722, over
twice the average. Smaller ones had $126,436, or 14 percent of the average.
Non-Cash Costs
Non-cash costs include depreciation allowances, decreases in the supply in-
ventory (using supplies purchased during a previous time period), and an inter-
est charge for the use of the capital invested in the nursery. These costs av

eraged $165,990. For the largest nurseries, they were $312,244, 1.9 times the
average. The smallest ones had $44,557, or 27 percent of the average.
Total All Costs
Total costs averaged 51,041,054. Larger nurseries averaged S2,293,966, or
2.2 times the average. Smaller ones had $170,993 (16 percent of average).

Table 6.--Dollar costs by expense category, 24
in South Florida, 1985.

wholesale foliage plant nurseries

= IPm=P=~m========= m=======P~=-= --.-'-

I tem

Cash Costs
Operator's salary . .
Other wages/salaries . .
Salaries and wages . .

Plants & seeds to grow on .
Pots/growing containers . .
Fuel for production heat .
Peat/soil/shavings, etc .
Fertilizer/lime . . .
Pesticides/other chemicals .
Packing boxes/supplies . .
Other production supplies .
Production supplies . .

Facility repairs/maintenance .
Equipment operating costs .
Other production costs .

Travel/trade shows/entertainment.
Insurance . . .
Telephone . . .
Electricity . . .
Taxes/licenses/bonds . .
Advertising . . .
Rent: land and/or buildings .
Other cash expenses . .
Administrative and overhead .
TOTAL CASH COSTS . .

Non-Cash Costs
Depreciation: mach/equipment
Depreciation: bidgs/fences/wells.
Inventory decrease in supplies.
Interest on capital @ 12% .
NON-CASH COSTS . .

TOTAL ALL COSTS . .

Average
all 24

60,865
251,244
312,108

207,765
44,048
8,462
32,237
18,088-
21,086
23,532
38,379
393,598

26,333
22,952
49,285

9,590
21,680
10,611
7,112
6,709
9,443
11,473
43,455
120,073
875,064

23,537
27,957
1,591
112,904
S165,990

1,041,054

Average Average Your
9 largest 8 smallest nursery
- Dollars - - -

108,511
565,533
674,044

490,445
98,139
19,757
71,579
41,358
49,814
57,243
94,007
922,343

61,130
51,777
112,908

20,085
49,358
22,376
14,254
14,735
22,169
27,483
101 ,967
272,427
1,981 ,722

42,762
45,792
3,087
220,602
312,244

2,293,966

20,289
39,734
60,023

20,775
5,655
1,211
4,469
1,795
2,236
1,633
1,202
38,976

5,030
3,120
8,150

2,559
2,801
2,340
2,524
1 ,632
1 ,102
1,216
5,113
19,287
126,436

4,082
8,514
0
31,962
44,557

170,993

'I' = ==l = = = = === == = == = =

t==~==r==

Percent of Total Costs by Expense Category (Table 7)

While expenditures in the form of dollars show the magnitude of expenses
for various cost categories, they are not very helpful for comparing cost rela-
tionships between different sizes of nurseries. But costs as a percent of total
costs are useful for this purpose. These are obtained by dividing each of the
dollar expense items in Table 6 by the corresponding "Total all costs" figure
at the bottom of the table.
Salaries and Wages
Salaries and wages (includes operator) averaged 29.98 percent of all costs.
For the nine largest nurseries, they were-about the same, 29.38 percent. For
the eight smallest nurseries they were higher, 35.10 percent.
Production Supplies
Production supplies ("plants" through "other production supplies") averaged
37.81 percent for the 24 nurseries. For the largest nurseries, they were 40.21
percent, or 2.40 percent more than the average. The smallest nurseries averaged
22.79 percent of total costs, or 15.02 percent below the average.
Other Production Costs
Other production costs ("facility repairs" and "equipment operation") aver-
aged 4.73 percent for the 24 nurseries. For the nine largest nurseries, they
were 4.92 percent. The smallest nurseries averaged 4.77 percent.
Administrative and Overhead
These costs ("travel" through "other cash expense") averaged 11.53 percent
for the 24 nurseries. For the nine largest ones, they were 11.88 percent. The
smallest nurseries had 11.28 percent.
Total Cash Costs
Total cash costs represented 84.06 percent of all costs and allowances for
the 24 nurseries. For the largest ones, it was 86.39 percent, or 2.33 percent
above average. The smallest ones had 73.94 percent, 10.12 percent less than
the average in cash costs.
Non-Cash Costs
Non-cash costs ("depreciation" through "interest on capital") are the addi-
tional costs that need to be covered eventually, though not necessarily with
cash during this accounting period. They averaged 15.94 percent of total costs
for the 24 nurseries. For the nine largest ones, they averaged 13.61 percent,
or 2.33 percent less than the average. Hence, the largest nurseries had a

15

higher percent of their total operating expense in the form of cash costs. The
eleven smallest nurseries had 26.06 percent of their total as non-cash costs.
This was more than one and one half times the average and nearly twice as much
as the largest nurseries. The largest differences were in the percentages of
total costs represented by interest on capital.

Table 7.--Percent of total costs by expense category, 24 wholesale foliage plant
nurseries in South Florida, 1985.
------------------~e~~~~l-------------------------------

Item

Cash Costs
Operator's salary . . .
Other wages/salaries . .
Salaries and wages . .

Plants & seeds to grow on . .
Pots/growing containers . .
Fuel for production heat . .
Peat/soil/shavings, etc ....
Fertilizer/lime . . .
Pesticides/other chemicals .
Packing boxes/supplies . .
Other production supplies . .
Production supplies . .

Facility repairs/maintenance .
Equipment operating costs . .
Other production costs . .

Travel/trade shows/entertainment
Insurance . . . .
Telephone . . .
Electricity . . .
Taxes/licenses/bonds . .
Advertising . . .
Rent: land and/or buildings .
Other cash expenses . .
Administrative and overhead .
TOTAL CASH COSTS . .

Non-Cash Costs
Depreciation: mach/equipment
Depreciation: bldgs/fences/wells
Inventory decrease in supplies
Interest on capital @ 12% .
NON-CASH COSTS . .

TOTAL ALL COSTS . .

Average
all 24

5.85
24.13
29.98

19.96
4.23
0.81
3.10
1.74
2.03
2.26
3.69
37.81

2.53
2.20
-4.73

0.92
2.08
1.02
0.68
0.64
0.91
1.10
4.17
11.53
84.06

2.26
2.69
0.15
10.85
S 15.94

100.00

Average Average Your
9 largest 8 smallest nursery
- Percent -- - -

4.73
24.65
29.38

21.38
4.28
0.86
3.12
1.80
2.17
2.50
4.10
40.21

2.66
2.26 .
4.92

0.88
2.15
0.98
0.62
0.64
0.97
1 .20
4.45
11.88
86.39

1.86
2.00
0.13
9.62
13.61

100.00

11.87
23.24
35.10

12.15
3.31
0.71
2.61
1.05
1.31
0.96
0.70
22.79

2.94
1.82
4.77

1.50
1.64
1.37
1.48
0.95
0.64
0.71
2.99
11.28
73.94

2.39
4.98
0.00
18.69
26.06

100.00

=IPPI=PI==--P I= ---- ='rP=PI

~==~--=e=

Cos:s Per Square Foot of Total Bed and Bench Space (Table 8)

While expenses as a percent of total costs facilitate comparing operating
statements, they do not allow easy comparison of relative growing costs between
nurseries. But costs per square foot do. The traditional basis for comparison
is costs per square foot of total bed and bench space. These were obtained by
dividing each of the dollar cost figures in Table 6 by the appropriate area in
production figure from Table 1C, "Total bed and bench space."
Salary and Wages
Salaries and wages (includes operator) per square foot amounted to 51.5
cents ($.52) in the 24 nurseries. For the nine largest ones, they averaged
47.3 cents, or about 4 cents below the average. The smallest nurseries had
117.9 cents, or more than double the average.
Production Supplies
Production supplies ("plants and seeds" through "other production sup-
plies") averaged 64.9 cents ($.65) per square foot. For the largest nurseries,
they were nearly the same, 64.8 cents. The smallest ones had 76.6 cents, or 12
cents above the average.
Other Production Costs
Other production costs ("facility repairs" and "equipment operation") aver-
aged 8.1 cents. For the largest nurseries, they were 7.9 cents. The eight smal-
lest nurseries had 16.0 cents, or about double the average.
Administrative and Overhead
These costs ("travel" through "other cash expenses") averaged 19.8 cents.
For the largest nurseries, they were 19.1 cents. The eleven smallest nurseries
had higher overhead costs, 37.9 cents, or 18 cents above the average.
Total Cash Costs
Total cash costs in the 24 nurseries averaged 144.3 cents ($1.44) per
square foot of total bed and bench space. For the nine largest nurseries, they
were 139.2 cents, down by five cents. The eight smallest nurseries had 248.4
cents, over one dollar above the average.
Non-Cash Costs
Non-cash costs ("depreciation" through "interest on capital") averaged 27.4
cents for the 24 nurseries. The largest nurseries had 21.9 cents. The smallest
nurseries had 87.5 cents, or 60 cents above the average.

17

Total All Costs
Total costs per square foot of total bed and bench space averaged $1.72.
For the largest nurseries, they were S1.61, or S.11 below the average. The
smallest ones had $3.36, or $1.64 above the average.

Table 8.--Costs per square foot of total bed & bench space, 24 wholesale
foliage plant nurseries in South Florida, 1985.

Item

Cash Costs
Operator's salary . . .
Other wages/salaries . .
Salaries and wages . .

Plants & seeds to grow on . .
Pots/growing containers . .
Fuel for production heat . .
Peat/soil/shavings, etc . .
Fertilizer/lime . . .
Pesticides/other chemicals .
Packing boxes/supplies . .
Other production supplies . .
Production supplies . .

Facility repairs/maintenance .
Equipment operating costs . .
Other production costs . .

Travel/trade shows/entertainment
Insurance . . . .
Telephone . . . .
Electricity .. . .
Taxes/ icenses/bonds . .
Advertising . . .
Rent: land and/or buildings .
Other cash expenses . .
Administrative and overhead .
TOTAL CASH COSTS . .

Non-Cash Costs
Depreciation: mach/equipment .
Depreciation: bldgs/fences/wells
Inventory decrease in supplies. .
Interest on capital @ 12% . .
TOTAL CASH COSTS . .

TOTAL ALL COSTS . .

Average Average Average
all 24 9 largest 8 smallest
- Cents -

10.1 7.6 39.8
41.4 39.7 78.1
51.5 47.3 117.9

34.3
7.3
1.4
5.3
3.0
3.5
3.9
6.3
64.9

4.3
3.8
8.1

1.6
3.6
1.8
1.2
1.1
1.6
1.9
7.2
19.8
144. 3

3.9
4.6
0.3
18.6
27.74

171 .7

34.5
6.9
1.4
5.0
2.9
3.5
4.0
6.6
64.8

4.3
3.6
7.9

1.4
3.5
1.6
1.0
1.0
1.5
1.9
7.2
19. 1
139.2

3.0
3.2
0.2
15.5
21.9

161.2

40.8
11.1
2.4
8.8
3.5
4.4
3.2
2.4
76.6

9.9
6.1
16.0

5.0
5.5
4.6
5.0
3.2
2.2
2.4
10.0
37.9
248.4

8.0
16.7
0.0
62.8
87.5

335.9

Your
nursery

=~=--='==e=PD=====P=================I"=

Costs Per Square Foot of Propagating and Finishing Space (Table 9)

Costs per square foot of total bed and bench space is the traditional basis
for comparisons between nurseries. However, costs per square foot of propaga-
ting and finishing space are more appropriate for estimating individual plant
growing costs, or for comparing growing cost efficiency between nurseries.
These costs were obtained by dividing the dollar cost figures in Table 6 by the
plant production area from Table ID, "Propagating and finishing bed and bench
space."
Salary and Wages
Salaries and wages (includes operator) per square foot amounted to 56.9
cents ($.57) in the 24 nurseries. For the nine largest ones, they averaged
52.3 cents, or 4.6 cents below the average. The smallest nurseries had 127.3
cents, or more than double the average.
Production Supplies
Production supplies ("plants and seeds" through "other production sup-
plies") averaged 71.7 cents ($.72) per square foot. For the largest nurseries,
they were 71.6 cents. The smallest ones had 82.6 cents, or 11 cents above the
average.
Other Production Costs
Other production costs ("facility repairs" and "equipment operation") aver-
aged 9.0 cents. For the largest nurseries, they were 8.8 cents. The eight smal-
lest nurseries had 17.3 cents, or 8 cents above the average.
Administrative and Overhead
These costs ("travel" through "other cash expenses") averaged 21.9 cents.
For the largest nurseries, they were 21.2 cents. The eleven smallest nur-
series had much higher overhead costs, 40.9 cents, or 19 cents above the
average.
Total Cash Costs
Total cash costs in the 24 nurseries averaged 159.5 cents ($1.60) per
square foot of propagating and finishing space. For the nine largest nur-
series, they were 153.9 cents, down by 5.6 cents. The eight smallest nurseries
had 268.1 cents, or 68 percent greater than the average.
Non-Cash Costs
Non-cash costs ("depreciation" through "interest on capital") averaged 30.3
cents for the 24 nurseries. The largest nurseries had 24.3 cents. Smallest
nurseries had 94.5 cents, or 64 cents above average.

Total All Costs
Total costs per square foot of propagating and finishing space averaged
$1.90. For the largest nurseries, they were 31.78, or S.12 below the average.
The smallest ones had $3.63, or S1.73 above the average.

Table 9.--Costs per square foot of propagating and finishing space,
24 Wholesale nurseries in South Florida, 1985.
= I li PIDIL = = X -==~~- -= = = -

Item

Average
all 24

Cash Costs
Operator's salary . .
Other wages/salaries . .
Salaries and wages . .

Plants & seeds to grow on . .
Pots/growing containers . .
Fuel for production heat . .
Peat/soil/shavings, etc . .
Fertilizer/lime . . .
Pesticides/other chemicals .
Packing boxes/supplies . .
Other production supplies . .
Production supplies . .

Facility repairs/maintenance .
Equipment operating costs . .
Other production costs . .

Travel/tr-ade shows/entertainment
Insurance . . . .
Telephone . . . .
Electricity . . .. .
Taxes/licenses/bonds . .
Advertising . . .
Rent: land and/or buildings .
Other cash expenses . .
Administrative and overhead .
TOTAL CASH COSTS . .

Non-Cash Costs
Depreciation: mach/equipment
Depreciation: bldgs/fences/wells
Inventory decrease in supplies. .
Interest on capital @ 12% . .
NON-CASH COSTS . .

TOTAL CASH COSTS . .

11.1
45.8
56.9

37.9
8.0
1.5
5.9
3.3
3.8
4.3
7.0
71.8

4.8
4.2
9.0

1.8
4.0
1.9
1.3
1.2
1.7
2.1
7.9
21.9
159.5

4.3
5.1
0.3
20.6
30.3

189.8

Average Average Your
9 largest 8 smallest nursery
- Cents - -

8.4
43.9
52.3

38.1
7.6
1.5
5.6
3.2-
3.9
4.4
7.3
71.6

4.8
4.0

1.5
3.8
1.7
1.1
1.1
1.7
2.1
7.9
21.2
153.9

3.3
3.6
0.2
17.1
24.3

178.2

43.0
84.3
127.3

44.1
12.0
2.6
9.5
3.8
4.7
3.5
2.5
82.6

10.7
6.6
17.3

5.4
5.9
5.0
5.3
3.5
2.3
2.6
10.8
40.9
268.1

8.7
18.0
0.0
67.8
94.5

362.6

==D I~== --== = 1I P = = == = ='=

al 24 -

Costs Per Dollar of Sales.Adjusted for Inventory Change (Table 10)

Costs per square foot of growing area are important for comparing relative
costs between nurseries, and for estimating individual plant growing costs.
However, they do not indicate the profit potential of a nursery operation as
well as do costs per dollar of sales. Adjusting sales for changes in inventory
value shows how the business is doing in total, not just cash-wise. These fig-
ures were developed by dividing the dollar costs shown in Table 6 by the appro-
priate figure from Table 1B, "Value of own plants sold adjusted for change in
plant inventory value."
Salaries and Wages
Salaries and Wages (includes operator) averaged 30.3 cents per dollar of
sales after adjusting for changes in inventory. For the nine largest nur-
series, they were 28.8 cents, 1.5 cents below the average. The smallest nur-
series had 47.0 cents, 16.7 cents above the average.
Production Supplies
Production supplies ("plants and seeds" through "other production sup-
plies") averaged 38.2 cents. For the nine largest nurseries, they were 39.4
cents, or a cent above the average. The smallest nurseries had 7.7 cents
below the average, or 30.5 cents.
Other Production Supplies
Other production costs ("facility repairs" and "equipment operation") aver-
aged 4.8 cents per dollar of adjusted sales. For the largest nurseries, they
were also 4.8 cents. The smallest had 6.4 cents.
Administrative and Overhead
These costs ("travel" through "other cash expense") amounted to 11.7 cents
per dollar of adjusted sales. For the nine largest nurseries, they were 11.6
cents. The smallest nurseries had 4.6 cents more, or 15.1 cents.
Total Cash Costs
Total cash costs per dollar of adjusted sales averaged 85.0 cents. For the
largest nurseries, they were 0.4 cents less, or 84.6 cents. The smallest nur-
series had 98.9 cents, 14 cents above the average.
Non-Cash Costs
Non-cash costs ("depreciation" through "interest on capital") averaged 16.1
cents. Largest nurseries had 13.3 cents, or 2.8 cents below average. The

21

smallest nurseries had more than double the average, 34.9 cents (18.7 cents
above the average).
Total All Costs
Total costs per dollar of adjusted sales averaged 101.1 cents. For the
Largest nurseries had 97.9 cents. Smallest ones had 133.8 cents, or a deficit
of over 33 cents per dollar of sales adjusted for plant inventory change.

Table 10.--Costs per dollar of sales adjusted for change in plant inventory,
24 foliage plant nurseries in South Florida, 1985.
= ~~~~=P~llP =PD= --9========= -------------------------------------= =

Cash Costs
Operator's salary . . .
Other wages/salaries . .
Salaries and wages . .

Plants & seeds to grow on . .
Pots/growing containers . .
Fuel for production heat ..
Peat/soil/shavings, etc . .
Fertilizer/lime . ... .
Pesticides/other chemicals .
Packing boxes/supplies . .
Other production supplies . .
Production supplies . .

Facility repairs/maintenance .
Equipment operating costs . .
Other production costs . .

Travel/trade shows/entertainment
Insurance . . . .
Telephone . . . .
Electricity . . .
Taxes/licenses/bonds . .
Advertising . . .
Rent: land and/or buildings .
Other cash expenses . .
Administrative and overhead .
TOTAL CASH COSTS . .

Non-Cash Costs
Depreciation: mach/equipment .
Depreciation: bldgs/fences/wells
Inventory decrease in supplies. .
Interest on capital @ 12% . .
NON-CASH COSTS . .

TOTAL ALL COSTS . .

I tern

Average Average Your
9 largest 8 smallest nursery
- Cents - - -

Average
all 24

5.9
24.4
30.3

20.2
4.3
0.8
3.1
1.8
2.0
2.3
3.7
38.2

2.6
2.2
4.87

0.9
2.1
1.0
0.7
0.7
0.9
1 .1
4.2
11.7
85.0

2.3
2.7
0.1
11.0
16.1

101.1

15.9
31.1_
47.0

16.3
4.4
1.0
3.5
1.4
1.7
1.3
0.9
30.5

3.9
2.4
674

2.0
2.2
1.8
2.0
1.3
0.9
0.9
4.0
15.1
98.9

3.2
6.7
0.0
25.0

133.8

4.6
24.2
28.8

20.9
4.2
0.8
3.1
1.8
2. 1
2.4
4.0
39.4

2.6
2.2

0.9
2.1
1.0
0.6
0.6
1.0
1.2
4.4
11.6
847.6

1.8
2.0
0.1
9.4
13.3

97.9

3P=PPPP=='~I--=='==PP=====p=====a===p--=

=n=~s,-~

Costs Per Dollar of Sales (Table 11)

While total business position is indicated by costs per dollar of sales ad-
justed for changes in inventory value, bill paying ability depends upon costs
relative to cash received. These figures were developed by dividing the dollar
costs shown in Table 6 by the appropriate figure from Table 1A, "Value of own
plants sold."
Salaries and Wages
Salaries and wages (includes operator) amounted to 31.4 cents per dollar of
cash received. For the nine largest nurseries, they were 29.8 cents, or 1.6
cents less than the average. The smallest nurseries had 53.9 cents, or 22.5
cents over average.
Production Supplies
Production supplies ("plants and seeds" through "other production sup-
plies") averaged 39.7 cents per dollar of cash sales. For the nine largest
nurseries, they were 40.7 cents, or one cent greater than average. The smal-
lest nurseries had 35.0 cents, or almost five cents below average.
Other Production Costs
Other production costs ("facility repairs" and "equipment operation") aver-
aged 5.0 cents per dollar of cash received. For the nine largest nurseries,
they also were 5.0 cents. The smallest ones had 7.3 cents, or 2.3 cents above
average.
Administrative and Overhead
These costs ("travel" through "other cash expense") averaged 12.1 cents per
dollar of sales. For the nine largest nurseries, they were 12.0 cents. The
smallest nurseries had 17.3 cents, or 5 cents above average.
Total Cash Costs
Total cash costs averaged 88.2 cents per dollar of cash received for all 24
nurseries. This means that they were able to meet current bills with about 12
cents to spare per dollar of sales. For the largest nurseries, they were 87.5
cents, or 0.7 cents lower than average. The smallest ones had 113.6 cents,
about 25 cents over the average, and almost 14 cents per dollar of sales short
of covering cash costs.
Non-Cash Costs
These costs ("depreciation" through "interest on capital") averaged 16.7
cents per dollar of sales. For the nine largest nurseries, they were 13.7

23

cents. The eight smallest nurseries had much higher non-cash costs, 40.0 cents
per dollar of sales.
Total All Costs
Total all costs averaged 104.9 cents per dollar of cash sales. Largest
nurseries averaged 101.2 cents and smallest nurseries 153.6 cents. Hence, none
of the groups took in enough cash to cover all the non-cash costs for the year.

Table 11.--Costs per dollar of sales (no adjustment for change in plant inven-
tory), 24 foliage plant nurseries in South Florida, 1985.

Item

Average
all 24

Cash Costs
Operator's salary . . .
Other wages/salaries . .
Salaries and wages . .

Plants & seeds to grow on . .
Pots/growing containers . .
Fuel for production heat .
Peat/soil/shavings, etc . .
Fertilizer/lime . . .
Pesticides/other chemicals .
Packing boxes/supplies . .
'Other production supplies . .
Production supplies . .

Facility repairs/maintenance .
Equipment operating costs .. ...
Other production costs . .

Travel/trade shows/entertainment
Insurance . . . .
Telephone . . . .
Electricity . . .
Taxes/licenses/bonds . .
Advertising . . .
Rent: land and/or buildings .
Other cash expenses . .
Administrative and overhead .
TOTAL CASH COSTS . .

Non-Cash Costs
Depreciation:. mach/equfpment
Depreciation: bldgs/fences/wells
Inventory decrease in supplies .
Interest on capital 12% .
NON-CASH COSTS . .

TOTAL ALL COSTS . .

6.1
25.3
31.4

20.9
4.4
0.9
3.3
1.8
2.1
2.4
3.9
39.7

2.7
2.3
5.0

1.0
2.2
1.1
0.7
0.7
1.0
1.2
4.4
12.1
88.2

2.4
2.8
0.1
S 11.4
160.7

S 104.9

Average Average Your
9 largest 8 smallest nursery
- Cents - - -

4.8 18.2

25.0 35.7
29.8 53.9

21.6
4.3
0.9
3.2
1.8
2.2
2.5
4.2
40.7

2.7
2.3
5.0

0.9
2.2
1.0
0.6
0.7
1.0
1.2
4.5
12.0
817.5

1.9
2.0
0.1
9.7
13.7

101 .2

18.7
5.1
1.1
4.0
1.6
2.0
1.5
1.1
35.0

4.5
2.8
7.3

2.3
2.5
2.1
2.3
1.5
1.0
1.1
4.6
17.3
113.6

3.7
7.6
0.0
28.7
405.

153.6

~l~n~ ==r == = == = =o =r=== == ==

======--==

Income Summary (Table 12)

This section concentrates on developing net nursery income and allocating
it between the time and effort of the owner-operator and a return on the money
invested in the operation. After all is said and done, it is for a payment on
his time that a nursery operator works, and it is for a return to capital that
nursery operators and lending institutions invest funds in nursery operations.
Total Gain
Total gain refers to the total effect of the year's operation. It is the
sum of plant sales, changes in plant and supply inventory values, and miscella-
neous income. Miscellaneous income refers to income received from sources
other than plant sales. Included could be rent income, interest income, deliv-
ery income, boxing charges, and income from the sale of fertilizer and
supplies.
Total gain for the 24 nurseries averaged $1,033,248. Largest nurseries
averaged more than double that amount, or $2,349,677. Smallest nurseries had
12.5 percent of the average, or $129,273.
Net Nursery Income
Net nursery income is the total return for the year for the time and man-
agerial skills of the operator plus the capital invested in the operation. To
obtain it, all cash costs from Table 6 except the operator's salary, and all
non-cash allowances shown there except interest on capital, are subtracted from
total gain. The result is net nursery income, or income for all the time and
capital investment (including borrowed funds) supplied by the owner-operator.
For the 24 nurseries, it averaged $165,964. For the nine largest nur-
series, it was $384,824, or 2.3 times the average. Smallest nurseries had
$10,530, or 6.3 percent of the average.
Return to Capital
From net nursery income is subtracted the salary or time value of the own-
er-operator to obtain that part of net nursery income attributable to capital.
This is the earnings of the money invested in the nursery. Dividing it by the
value of capital invested gives the rate of return earned by the investment.
When the owner and operator are the same person, dividing net nursery income
between the operator and return to capital may not seem important. But when
the owners are outside investors, then accurate division is important. In

either case, rate of return is a common indicator for evaluating an investment
or for selecting between alternative investment alternatives.
Return to capital for the 24 nurseries amounted to $105,099, or a return of
11.17 percent. For the nine largest nurseries, it was $276,313 for 15.03 percent
or a 3.86 percent greater than the average return on the capital investment.

The smallest

nurseries averaged -$9,759 for a -3.66 percent return on the

capital invested.

Table 12.--Income summary, 24 wholesale foliage plant nurseries in South
Florida, 1985.

Item Unit Average Average Average Your
all 24 9 largest 8 smallest nursery
- - Dollars - - -
Value of own plants sold - $ 992,333 2,265,856 111,326
Plant inventory change - $ 37,613 75,966 16,523
Supply inventory change- - $ 0 0 1,137
Miscellaneous cash income- S 3,302 7,855 288
Total gain(f) ---------$ 1,033,248 2,349,677 129,273.

Deduct cash costs less op salary $( 814,199)(1,873,211) ( 106,147)(_
Deduct non-cash costs less int $( 53,085) ( 91,641) ( 12,596)(
Total deductions- ------- $( 867,28) (1,964,853) ( 118,743)(

Net nursery income(g)- - $ 165,964 384,824 10,530
Deduct op salary or time value $( 60,865) ( 108,511) ( 20,289)(

Return to capital(h) - 105,099 276,313 -9,759
Rate of return to capital(i) 11.17 15.03 -3.66

(f) Total gain--the sum of plant sales, change in plant and supply inven-
tories, and miscellaneous income. It represents the total effect of the year's
operation, be it in the form of cash or change in inventory value.

(g) Net nursery income--the net effect of the year's operation. To obtain
it, subtract all cash costs (except operator's salary), and all non-cash allow-
ances (except interest on capital) from total gain. The result is the return
for the time and managerial skills of the operator, and for the use of the
capital invested in the operation.

(h) Return to capital--the portion of net income that is left after sub-
tracting the salary or time value of the operator. It is what the owned capi-
tal earned.

(i) Rate of return to capital--return to capital divided by the value of
owned capital. It is the rate of return earned on the capital invested.

Balance Sheet (Table 13)

This section is a new addition to the Florida Nursery Business Analysis se-
ries. It was made possible by the collection of additional fiscal information
last year. These balance sheet figures represent the mid-year financial situa-
tion of the firms. They were derived as an average of year-beginning and year-
end figures.
Current Assets
Current assets consist of cash, accounts receivable, and inventory values.
They are cash, or items deemed convertible to cash within a year's time. Cash
on hand includes funds in checking accounts, savings accounts, and money market
funds. Average cash on hand was $17,413. Largest nurseries had twice this
amount ($34,327). Smallest ones had 44% of the average ($7,679). Accounts
receivable are the uncollected funds due. Most of this is payments due for
plants sold. Generally, this figure should be minimized. Uncollected funds
pay no bills and earn no interest. They averaged $131,621. Largest nurseries
had over twice this amount, or $316,159. The smallest nurseries had $10,927,
or about 8 percent of the average. Inventory values are the investments in
growing plants and supplies presented previously in Table 1. They averaged
$363,078. Largest nurseries averaged 67 percent more ($606,039). Smallest had
39 percent of the average ($140,729). Total current assets averaged $512,112-
For largest nurseries, they were $956,525, or 1.9 times the average. Smallest
averaged $159,335, or one third the average.
Long Term Assets
Long term assets are investments in buildings, machinery and land that
normally would not be converted to cash within a year. Current values of
investments are the original cost less accumulated depreciation. Comparing
original cost with the value remaining after subtracting accumulated deprecia-
tion provides an idea of the degree to which capital assets have been depleted.
Original investments averaged $633,904. Subtracting accumulated depreciation
of $205,145 leaves a current value of $428,759 (67.6 percent of original cost).
Largest nursery original cost was $1,257,783. Subtracting accumulated deprecia-
tion of $375,956 gives a remaining value of $881,827 (70.1 percent of original
cost). Smallest nursery original investment was about one fourth the average, or
$152,802. Subtracting accumulated depreciation of $45,791 makes the current
value $107,011 (70.0 percent of the original cost).

Total Assets
Total assets averaged S940,871. Largest nurseries had twice this amount
($1,838,352). Smallest nurseries had 28 percent of the average ($266,346).
Liabilities
Liabilities may be "current" (payable during the current year) or "long
term" (payable at some time after the current year). Current liabilities aver-
aged $64,327. Largest nurseries had 2.3 times this amount ($151,510). Smal-
lest ones had 6 percent of average ($3,563). Long term liabilities may be
notes or mortgages. They averaged $257,348. Largest nurseries had 1.5 times
this amount ($394,442). Smallest ones had 30 percent of the industry aver-
age ($75,627). Total Liabilities represent that part of the nursery that
belongs to someone else. They averaged $321,675, or 34 percent of the assets.

Table 13.--Balance Sheet, 24 wholesale foliage plant nurseries in
South Florida, 1985
1Item Averag&PPP~~~~~tlP~

- Item Average7
all 24

Assets

Average Average Your
9 largest 8 smallest nursery
- Dollars - -

Current Assets
Cash on hand . . .
Accounts receivable . .
Inventories: Plants . .
Supplies .
TOTAL CURRENT ASSETS .

Long Term Assets
Machinery & equipment .
Buildings & fixtures . .
Land . . . .
Sub-total (original cost).
Less accumulated depreciation.
TOTAL LONG TERM ASSETS .

TOTAL ASSETS . .

17,413
131,621
353,403
9,675
512,112

34,327
316,159
593,218
12,821
956,525

146,654 29:
318,810 62
168,440 33'
633,904 1,25
( 205,145) ( 37
428,759 881

940,871 1,83

3,865
9,316
4,602
7,783
5,956)
1,827

3,352

7,679
10,927
133,473
7,256
159,335

24,331
87,621
40,850
152,802
( 45,791)
107,011

266,346

Liabilities and Net Worth

Liabilities
Current liabilities. . .. 64,327 151,510 3,563
Long-term liabilities. ... 257,348 394,442 75,627
TOTAL LIABILITIES ...... 321,675 545,952 79,190

NET WORTH. .......... 619,196 1,292,400 187,156

TOTAL LIABILITIES & NET WORTH 940,871 1,838,352 266,346
=llPI~~n'P~a3'r-- ='= r = =' P= P

( )

Largest nurseries had 1.7 times. this amount, or $545,952 (30 percent of -the
assets). Smallest ones had 25 percent of the industry average, or $79,190 (30
percent of the assets).
Net worth
Net worth is the difference between "total assets" and "total liabilities".
This is what the owner owns. .The average net worth of all 24 nurseries was
$619,196 (66 percent of the assets). Largest nurseries had $1,292,400 (70
percent). Smallest nurseries averaged $187,156 (70 percent of the assets).

Total Profi tabi ity Model

The Total Profitability Model combines operating statement and balance
sheet figures in three sections: margin management, asset management and lever-
age management. Together, they-indicate the firm's return on net worth.
Margi n Management
Figures for this section come from Table 12. From nursery total gain
($1,033,248) are subtracted toial deductions ($867,285) plus operator's salary
($60,865) to give return to capital ($105,099).- This divided by total gain
($1,033,248) yields an average net profit margin of 10.17 percent. Largest
nurseries averaged a net profit margin of 11.76 percent. Smallest nurseries
averaged -7.55 percent.
Asset Management
Figures for this section come from the asset portion of Table 13. Current
assets ($512,112) plus long term assets ($428,759) make total assets of
$940,871. Total gain ($1,033,248) divided into total assets ($940,871) gives
an asset turnover figure of 1.10. Asset turnover times net profit margin
(10.17 percent) results in an average return to capital of 11.17 percent. Lar-
gest nurseries averaged 15.03 percent return to capital. Smallest had -3.66.
Leverage Management
Figures for this section come from the liabilities and net worth portion of
Table 13. Current liabilities ($64,327) plus long term liabilities ($257,348)
gives average total liabilities of S321,675. Thi- subtracted from total assets
($940,871) yields average net'worth of $619,196. Total abilitiess and net
worth divided by net wo-tth gives a leverage factor of 1.52. Leverage times re-
turn to capital (11.17 percent) gives a return on ne: worth of 16.97 : o-rcent.
Largest nurseries had 21.37 percent. Smallest nurseries averaged -5.21 percent.

MARGIN MANAGEMENT

NET PROFIT
MARGIN

LONG TERM ASSETS

LEVERAGE MANAGEMENT

1 75,6271 I 167,1561 I 187,156 1

Figure 1.--Total profitability model, 24 wholesale foliage plant nurseries in
South Florida, 1985.

RATE OF

RETURN ON
NET WORTH

TOTAL LIABILITIES

Factors Associated With Level of Profit (Table 14)

In this section, information presented earlier is re-grouped to concentrate
attention on factors that are generally deemed related to level of profit in a
foliage nursery. The factors are presented in the same sequence that they ap-
peared before. But here, the average for all 24 nurseries is compared with the
average for the eight most profitable and the eight least profitable of the
nurseries participating in the program. As will be seen, profit or lack of
profit does not depend upon performance in any single area, but, rather, on the
balance of performance in all areas. Nevertheless, nursery operators analyzing
their own operations may find r thi-~ section especially valuable for indicating
the general area of their bLujsin(s, di.cedirg. additional study and analysis.
"Net nursery income" from Table 12 was selected as the indicator for level
of profit. Average for all 24 nurseries was $165,964. The most profitable
third of the nurseries averaged 2.8 times this amount, or $465,816. The least
profitable third averaged $-26,031. The following compares the average for
these three groupings of foliage nurseries using one indicator from most of the
proceeding tables. A more completee analysis would use all indicators listed
for each table. For in most cases, each indicator measures things from a
little different angle.
Size of Business
The indicator of size of business selected from Table 1 was "Value of own
plants sold." The 24 nurseries averaged $992,333. The most profitable third
had $2,375,397 in sales, or 2.39 times more. The least profitable group aver-
aged $292,164, or about 29 percent of the average. This does not mean that
small businesses cannot be profitable, but it does indicate that larger profits
tend to be associated with higher dollar volumes of business.
Production Rate
The indicator of rate of production selected from Table 2 was "Value of own
plants sold per square foot of total bed and bench space." In general, other
things being equal, increasing sales per square foot of total bed and bench
space should increase the profitability of a nursery operation, hence is desir-
able. The average for all 24 nurseries s as $1 .64 per square foot. The most
profitable third had 5 percent less, or $1.56, and the least profi able third
had S1.79, or 9 percent abc-'e he h .vei age.

These figures show that higher sales per square foot of bed and bench space
in a nursery do not necessarily accompany higher profits. However, lower sales
per square foot may indicate a number of things, such as devoting excessive
space to stock plants, letting plants continue to grow after reaching salable
size, letting space sit vacant too long between the time a plant is sold and
another is put in place to start growing again, selecting varieties that grow
slower or are priced low relative to their growing time and space requirements,
and having disease and quality problems that reduce yields of salable plants.
In addition, nursery layout and fertilizing and growing techniques can alter

Table 14.--Factors associated with level of profit, 24 wholesale foliage plant
nurseries in South Florida, 1985.

Item -Unit Average Average 8 Average 8 Your
all 24. most profit least profit nursery
Level of profit
Net nursery income (Table 12) $ 165,964 465,816 -26,031
Factors associated with level of profit
Size of business (Table 1)
Value of own plants sold $ 992,333 2,375,397 292,164

Production rate (Table 2)
Sales/sq ft of total
bed and bench space - $ 1.64 1.56 1.79

Labor efficiency (Table 3)
Own plant sales/employee $ 43,838 45,270 36,965

Space use intensity (Table 4)
Annual turnover of plant
inventory value - % 281 412 102

Use of capital (Table 5)
Annual turnover of owned
capital value - - % 104 128 53

Level of costs (Table 8)
Cost/sq ft of total bed space- $ 1.72 1.55 2.48

Cost efficiency (Table 10)
Cost/$ sales adjusted for
change in inventory value $ 1.01 .95 1.41

~== P= eP"1= ==f-=e=3=I

the time and space used for the same crop in two different nurseries. Also,
different marketing programs can alter the returns received for the same crop.
Labor Efficiency
The indicator of efficiency in the management and use of labor selected
from Table 3 was "value of own plants sold per employee." Average for all 24
nurseries was $43,838 per person. Sales were 3.3 percent higher than average
at $45,270 for the most profitable third, and around 84 percent of the average
at $36,965 for the least profitable third of the nurseries. Higher sales per
employee viewed alone at this point in time might seem to indicate true effi-
ciency. On the other hand, it viewed together with other indicators, it might
instead show less than optimum number of employees for volume of plants being
handled. This could result in tardy or untimely plant care, hence, slower
growth and lower quality plus a failure to restock empty space promptly. In
this case, other indicators such as production rate, space use intensity, capi-
tal turnover, and costs per square foot would not support the labor efficiency
indicator.
Lower sales per employee can result during periods of rapid expansion when
extra help is needed to care for larger numbers of plants before they begin
reaching salable size. Or it can also be the result of difficult economic
times when sales are slow, but plant care must go on. Differences between nur-
series can be the result of differences in investment in labor saving capital
items, the result of any or all of the factors noted above that lower produc-
tion rate, or the result of poor management practices in the planning and
utilization of labor.
Space Use Intensity
The indicator of intensity in the use of space selected from Table 4 was
"Annual turnover of plant inventory value." Generally speaking, larger per-
centage turnover numbers are desirable, because they indicate that the value of
money tied up in inventory is being revolved faster. Average turnover was 281
percent, meaning that the value of own plants sold was 2.81 times the average
investment in plant inventory. For the most profitable third, it was 412 per-
cent. For the least profitable third, it was 102 percent.
Reduced intensity of space use may be the result of things that increase
the amount of money invested in inventory such as excessive investment in stock

plants, rapid expansion of the business so that plant values are up although
accompanying sales have not yet started, poor labor management so there is not
enough labor at crucial times for rapidly refilling empty space, selecting
varieties that grow slowly relative to the price they receive, inadequate fer-
tilization program resulting in slow plant growth, or holding plants too long
after they reach salable size. Or it can be the result of any of the items
that reduce sales volume for a given nursery as mentioned earlier. Either over
or under valuing inventory can also change the intensity of use figure. How-
ever, variations- n the indicator for this reason are fictitious, and do not
provide a sound basis for management evaluations or decisions.
Use of Capital
The indicator for efficiency in the use of capital selected from Table 5
was "Annual turnover of owned capital value." This is expressed in- percent.
In general, larger percentage turnover numbers are desirable, for they indicate
greater sales per dollar of investment in the nursery.
Annual turnover of owned capital averaged 104 percent, meaning that the
value of own plants sold during the year amounted to slightly more than the
capital invested. For the most profitable third, it was 128 percent. The rate
for the least profitable third was considerably lower than the average at 53
percent. They require nearly two years of sales to turn capital once.
Problems that lower turnover rate include any of the items already men-
tioned that lower production rate hence sales volume for a given nursery
investment. Low capital turnover is particularly common in nurseries just
getting started, or in nurseries that are expanding rapidly. Excessive invest-
ments in land, labor saving machinery and equipment, or expensive (though maybe
unnecessary) niceties will also tend to lower capital turnover rate.
Level of Costs
The indicator of level of costs selected was "Costs per square foot of
total bed and bench space" from Table 8. This is a traditional indicator for
comparing costs between nurseries. Other things being equal, a lower cost per
square foot is desirable.
Costs for total bed and bench space averaged 51.72, or 8 :ents more than
sales per square foot before adjusting changes in plant inventory value
Si1.654. For the most profitable third, costs were S1.55 oer square foot or 17

cents less than the average and 1 cent less than sales per square foot
($1.56). The least profitable third averaged $2.48 cents, which was $.69 per
square foot more than sales (SI.79).
Problems that cause costs per square foot to increase include inefficient
planning and utilization of labor, insufficient investment in labor saving cap
ital items, destruction or theft of supplies and plants, not checking for best
price before purchasing needs, and not carefully managing the nursery opera-
tion. Other causes of increased costs may not be a problem if they result in
increased revenue. One example might be increased costs for sleeves and pack-
aging in order to satisfy the requirements of a premium market.
Costs Efficiency
The indicator of cost efficiency selected was "Cost per dollar of sales ad-
justed for change in plant inventory." This shows how well the nursery did in
total, cash plus change in inventory values. In general, lower costs per dol-
lar of sales are desirable.
The average cost per dollar of sales adjusted for change i-n inventory for
the 24 nurseries was 1.01 cents. The similar figures for the most profitable
and least profitable third of nurseries was 95 cents and $1.41. Thus, the
least profitable third of nurseries had a deficit in meeting all costs of 41
cents per dollar of sales adjusted for change in plant inventory.

Range of Figures (Table 15)

In this section, the average for all 24 nurseries is repeated for ease of
comparison. The remainder of the table differs from the previous section in
that the three best and three worst numbers for each factor were averaged to
provide the range of high-low figures shown. In the previous section, figures
for all factors were for the same groups of high profit and low profit nurser-
ies. This section shows the average for the best three and worst three numbers
regardless of the nursery or profit level to which they belong.
As can be seen in Table 15, quite a range of figures was found for most of
the factors. Nursery operators analyzing their own operation should be suspi-
cious about any of their figures that fall outside these ranges. The discus-
sion of things that contribute to variations in the figures in the previous
section would also apply here.

Table 15.--Range of figures on factors associated with level of profit,
wholesale foliage plant nurseries in South Florida, 1985

Average 3 best 3 worst
item Unit all 24 factor factor Your
nurseries average average nursery
Level of profit
Net nursery income (Table 12) $ 165,964 910,225 ( 39,785)
Factors associated with level of profit
Size of business (Table 1)
Value of own plants sold $ 992,333 5,121,415 93,421

Production rate (Table 2)
Sales/sq ft of total
bed and bench space - $ 1.64 7.83 0.93

Labor efficiency (Table 3)
Own plant sale/employee- $ 43,838 67,376 19,367

Space use intensity (Table 4)
Annual turnover of plant
inventory value - 281 883 56

Use of capital (Table 5)
Annual turnover of owned cap--
ital value - - 104 197- 35

Level of costs (Table 8)
Cost/sq ft of total bed space- $ 1.72 1.03 8.02

Cost efficiency (Table 10)
Cost/$ sales adjusted for
change in inventory value'- $ 1.0T .85 1.86

CONCLUDING COMMENTS

Nursery operators who are interested in seeing how they compare with those
participating in the Florida Nursery Business Analysis Program may calculate
their own numbers using the formulas shown and write the results on the lines
of each table provided for this purpose. Another alternative is to acquire
the University of Florida microcomputer program, FOLAGNBA.BAS, for making
these calculations. Either alternative should provide some valuable insight
into the business side of operating a folia-ge nursery. It should improve
management decisions concerning things that affect the profitability o0 tn.
-ursery operation.

36

Nursery operators who find this kind of information to be useful, but have
difficulty finding the time or energy to engage in the tedium of doing their
own calculation may wish to consider becoming a participant in the Florida Nur-
sery Business Analysis Program. If you would like to do so, contact the orna-
mental agent in your nearby county Extension office, or contact the authors in
Gainesville. Nursery operators who authorize a commercial accounting firm to
supply the data required for the program can participate with a minimum of
effort on their part.

	Front Cover
	Abstract
	Table of Contents
	Main

MILLISECOND	CLASS.METHOD	MESSAGE
0	sobekcm_page_globals.constructor
0	sobekcm_page_globals.constructor	Application State validated or built
0	sobekcm_database.verify_item_lookup_object
0	sobekcm_page_globals.constructor	Navigation Object created from URI query string
0	sobekcm_database.verify_item_lookup_object
0	sobekcm_page_globals.display_item	Retrieving item or group information
0	sobekcm_page_globals.get_entire_collection_hierarchy	Retrieving hierarchy information
0	sobekcm_assistant.get_entire_collection_hierarchy
0	cached_data_manager.retrieve_item_aggregation
0	cached_data_manager.retrieve_item_aggregation	Found item aggregation on local cache
0	item_aggregation_builder.get_item_aggregation	Found 'all' item aggregation in cache
0	system.web.ui.page.page_load (ufdc.page_load)
0	sobekcm_page_globals.constructor.on_page_load
0	html_echo_mainwriter.add_style_references	Adding style references to HTML
0	html_echo_mainwriter.add_text_to_page	Reading the text from the file and echoing back to the output stream
57	html_echo_mainwriter.add_text_to_page	Finished reading and writing the file