01Start with the production target
Container farm economics should start with the crop, target output, selling format and realistic selling price. Equipment cost alone cannot show whether a project is commercially viable because crop cycle, market price, labour and climate conditions change the operating model.
02Separate CAPEX from operating cost
Capital cost can include the growing platform, lighting, climate equipment, fertigation, controls, shipping and site preparation. Operating cost is different: electricity, labour, water, nutrients, consumables, maintenance and replacement parts should be modelled over time.
03Model electricity by actual duty
Peak connected load is not the same as monthly energy use. Lighting, HVAC, dehumidification, pumps and auxiliary equipment operate on different schedules, so each load should be calculated by operating hours and realistic duty.
04Use conservative revenue assumptions
Base revenue on saleable crop rather than theoretical planting capacity. Include crop cycle, propagation time, harvest loss, occupancy, downtime, packaging and a realistic selling price. A base case and a downside case are more useful than one optimistic scenario.
05Calculate payback after the operating model is complete
Simple payback compares initial investment with annual operating cash contribution. For better planning, also review cumulative cash flow, maintenance allowance and multi-year profit. The GROWSPEC ROI Calculator is a planning tool, not a project quotation.