bull breeding shares

[braunvieh]

Has anyone had experience with selling either breeding shares on a bull or selling a percentage of a bull? Was wondering on shares, with selling only X number of straws if the seller or buyer pays the costs to collect the straws. We have someone wanting to purchase 10% of a bull for unlimited in-herd semen use and then sharing in 10% of expense & income on semen sales. I am wondering how common the unlimited thing is used, it seems to be a red flag for me. Appreciate any advice or experiences

Thank you!

 

[MikeC]

Has anyone had experience with selling either breeding shares on a bull or selling a percentage of a bull? Was wondering on shares, with selling only X number of straws if the seller or buyer pays the costs to collect the straws. We have someone wanting to purchase 10% of a bull for unlimited in-herd semen use and then sharing in 10% of expense & income on semen sales. I am wondering how common the unlimited thing is used, it seems to be a red flag for me. Appreciate any advice or experiences

Thank you!

I've partnered on semen bulls before and usually it's a good idea for the bull to be used a lot for data collection. But.............

I wouldn't go the "unlimited" way. I would write the agreement as such that the owners could buy semen from the Partnership, if there was plenty available, at a cost at, or above, collection costs.

A 10% share owner could wind up using 90% of the semen if the usage was not capped somehow.