Better ways of managing native biodiversity and farm business are examined on selected wool properties across the Central Victoria region in Australia, using the Ararat Hills as a case study. Future management options are being developed in close collaboration with each producer in order to enhance native biodiversity while maintaining or improving farm profitability. Detailed vegetation surveys have been carried out on each property, and a set of management options developed that are consistent with regional conservation priorities. The options involve various levels of capital expenditure and outlay of time and resources. The challenge of the project is to come up with solutions that help offset this outlay of resources and minimise the costs involved. Preliminary findings from the biodiversity surveys and the evaluation of the financial position of the farms are reported.