So, someone comes to you and says “Here’s a COA, I’ve got XXX kg of material that matches this, what will you give me for it?” or “I want to do a split where I get X%” or similar.

Here’s one way to think about how one might go about putting together a reasonable answer to that question. FYI The pricing numbers in the example are 100% made up and don’t correlate to anything in reality. At all.

Note that the last column says “Client profit” - why do you care?

Because if you make sure that your customers don’t go out of business from lack of revenue then you generally keep your customers around.

If you adjust the table at the bottom left of the calculator, you can input your own yield numbers if you have them. I like keeping a “conservative (industry standard)” and an “actual” set of numbers on hand.

If you don’t have accurate yield expectation, you need some.

Anyways, here’s a spreadsheet, go have fun.

35 Likes

Spreadsheets make the business go round!! I really like this layout and it looks like you covered it all!

Another incredible post!

8 Likes

Thanks!

I’m going to ramble on a bit and toss in some keywords for anyone who is at the search bar trying to find something like this later on.

This is an excel-based financial model that you can use to start to answer the question “how much should I charge” or “how much can I charge” … and should be informed by answering the question “how much do I NEED to charge.”

Can I make money on this?

How much money do I expect to make on this?

How much can I get away with charging my clients?

If I have the option to buy biomass for \$X or do a split at Y%, what makes the most sense? Cash now vs cash later is an important consideration for this one.

Once you know how much it costs you to convert a kilo (or 2.205 lbs) of biomass into isolate or distillate (or whatever), you can plug those numbers into this sheet and get an idea as to if a given biomass split or rate makes sense.

Or, sellers of biomass can use the same to get an idea of what kind of \$ they might (should?) be getting from their purchasers, if they’re running splits.

Or if how much more money they could be making if they had a retail brand.

4 Likes

Hell to the yeah! Thanks @Lincoln20XX

3 Likes

I’ve had someone ask for the excel file for this. I’m not averse to handing it out if someone really wants it, but when I put the solvent thermodynamics calculator out into the world, it became impossible to bug fix it if anything broke, or distribute new copies when I made updates/edits fixes. So generally, I’m not going to default to excel files anymore.

These files should always exist on our website in the same spot.

If for whatever reason at some point in the future I’m not longer part of the company and they disappear (unlikely), I’ll re-host them on a personal site and make them available that way.

If you want your own copy of this that will exist no matter what happens with the internet, I suggest saving the html file of the page. Then you can open it in your browser of choice and the world is your oyster.

Oh, this was made with Appizy - I think it’s a super cool tool for making HTML versions of spreadsheets, and the developer seems pretty responsive to queries/suggestions. I highly recommend it if you could make use of such a tool.

8 Likes

That is fantastic! I’m going to direct people to this resource!

3 Likes

@sidco I want this on the app

1 Like

Total #mommove

2 Likes

Nicely done, man! Reminds me of having to build on Excel when I was doing planning for Motiva (Shell). Spreadsheets make everything so much easier and if everyone using them is in tune.

Great work!

5 Likes

This is a fantastic resource!
we arent running our processor yet but this will help double checking our extractiors data or estimating value for biomass.
THANK YOU for making this public here.

1 Like

Well, I keep getting asked, so here’s the excel version. I made a few changes to the web version, they’re integrated into this one. You’re on your own for updates to the excel version from here on out.

Revenue estimator.xlsx (20.8 KB)

4 Likes

Hi Mate im in Australia nad was wondering if i could get teh formatted sheet emailed to me. all good if not

2 Likes

Hi there! How’s it going on Australia? What’s your legislation like?

1 Like

If you just click the link that looks like this in the post above yours, you should be able to download a copy of the excel sheet. If that doesn’t work feel free to DM me your email and I’ll send you a copy.

Holy. Shit.

This has been my entire day for the past few months 7 days a week. Thanks! Holy shit this makes it so much easier to make digestible information to people who aren’t exactly in tune with numbers off the fly.

Thank you again!

2 Likes