I want to rule the Jersey Wooly show world!!!

(<--- There was no "maniacal laughter smilie" so that one will have to do) Hehe.
My reasonings most closely resembles those of woodleighcreek. This is a hobby for me. A much needed and loved hobby. I LOVE showing because of the great people I meet and have become friends with. It also feeds my competitive spirit and balances my very busy life of motherhood and wife-dom.
Hobbies cost money so I'm okay with not making money off of this and I
could say that bragging rights should be enough but keeping rabbits costs money and they need to give back in some way. Feed is expensive and I want a little back for how much of myself I've put into my herd.
Since I'm only breeding for myself, my goals are high, don't breed just to produce bodies to sell to others and, as a general rule, don't sell "strictly pet" rabbits, I've learned to cull by processing (for our table) any extras that I wouldn't be proud to sell to fellow exhibitors.
Over time, I've learned enough (but can always learn more) to feel I know what I'm doing and have developed a quality herd, good show record, and some sort of favorable reputation so I now have a waiting list for my rabbits that are sold at very fair prices. I don't advertise except occasionally on my website and my breed national yahoo group to announce when I have stock available to bring to national shows. That is exactly the spot I want to be and it'll take work to stay there but I like the work.
One thing I've learned is that show animals and quality breeding stock go for the highest prices (compared to meat and pet) and there is always demand for them. Excellent show animals can go for $60 - $500 depending on the breed and if the breeder is at the top of their game or not.
That said, I recommend doing your research before jumping in. Find out what breed is best for you. That might be based on your personal loves, what sells in the pet market, or is best for meat production and the housing set up that works best in your situation. Then, research your ARBA breeders to find the best stock you can afford. FYI, pet people enjoy gorgeous, high quality rabbits, too, so investing in quality stock even if you're breeding " for pets IS an investment.
Did I mention you should join the ARBA to learn a lot more about all aspects of the rabbit world? The price of membership is well worth the ARBA handbook and Domestic Rabbits magazine subscription alone. They come FREE with said membership. Join your national breed club as well. It will help you get connected with like minded people. They will be a great resource for you.
Also, I suggest buying Storey's Guide to Raising Rabbits by Bob Bennett. Read it. You'll understand a lot more about the various reasons people raise rabbits and a little bit about ways you can market what you've got based on your goals.
I feel that whatever you do, what ever your reasons for raising rabbits, that is is important that you enjoy the journey. That is not to say that you won't have great frustrations and tears along the way but, you've got to love what you do and not be completely focused on the $$ aspect of it. Otherwise, you may peter out fast.
I hope that makes some kind of sense. I'm just spitting things out there.