Different business models?

[Edgoat]

Hello, I am new to this forum, but have been reading old posts. They are very informative.

I have several questions, but will give a little background first. I am in NW Louisiana. I have been around livestock (including cattle) and even had a small goat operation for about 10 years, so I am not a total newbie.

I am thinking of buying some land for an eventual residence, but also for some part-time ag venture. I am not "set" on a cow/calf operation. Thus, the following questions:

Would it likely be profitable to bale hay in the summer and overwinter small groups of steers for sale in the spring?

Is there much market for people to use improved pasture and intensive rotational grazing to "custom graze" cattle owned by others on a per pound of gain basis?

Do you have any other ideas about possible cattle business plans other than cow/calf.

Thanks,
Eddie

 

[denoginnizer]

Welcome aboard.

How much land are you considering buying? This would be helpful info.

 

[TXCOWBOY]

Welcome.

Question 1. No it would not be profitable to bale hay in the summer yourself and background a "small" amount of steers over the winter. Economies of scale are not tilting in your direction.

Question 2. You can make an arrangement to have a lessee to pay you per lb of gain in a lease contract. This is one of three common methods of structing a pasture lease. You are not looking at that much in the end.

Question 3. Cow/calf is still the way to go in my opinion because time, gain, prices, and raising calves from spring to fall weaning with mommas on a growing pasture set up in your direction more favorably.

 

[Brandonm2]

Hello, I am new to this forum, but have been reading old posts. They are very informative.

I have several questions, but will give a little background first. I am in NW Louisiana. I have been around livestock (including cattle) and even had a small goat operation for about 10 years, so I am not a total newbie.

I am thinking of buying some land for an eventual residence, but also for some part-time ag venture. I am not "set" on a cow/calf operation. Thus, the following questions:

Would it likely be profitable to bale hay in the summer and overwinter small groups of steers for sale in the spring?

Is there much market for people to use improved pasture and intensive rotational grazing to "custom graze" cattle owned by others on a per pound of gain basis?

Do you have any other ideas about possible cattle business plans other than cow/calf.

Thanks,
Eddie

Oh yes if you have enough land both of those operations are feasible in Louisiana. You can probably find somebody who will pay you so much a month to graze their cows on your improved, overseeded pastures and they probably will buy the hay too.

If you don't go that route, there are many, many people who buy fall calves to turn them into heavy stockers when the market peaks. Traditionally, the ticket is to buy 285 lb to 410 pound growthy weaned calves off of the culls when everbody dumps their stock in the fall. Buy bulls and cut the nuts off, buy horned ones and dehorn them, implant them, and get paid for it in the spring that is a good business. Just be sure to deworm them and vaccinate them for Blackleg, BVDV, parainfluenza, shipping fever, and all the normal calf killers. Just don't buy heifers your first time around. It is too easy to get attached to them and keep them for beef brood cows and that is NOT the way to start a cowherd.

 

[bwranch]

I only cut hay if I have to. IMO it's much more efficient to let the cows harvest it for you. We stockpile as much grass as we can and buy our hay. Haying equipment (purchase and maintenance), time investment, storage, fertilizer etc. etc. could eat up your profits from stockers pdq. Then again, I'm not getting rich at this doing it my way.

Lee

 

[Edgoat]

I am currently looking at several tracts of land that vary from 10 to 40 acres with prices ranging from $1500 to $4000 per acre depending on proximity to town (a concern due to my job in town). The property I am most interested in, is 32 acres in size, but divided by a highway (about in half). It is about 30 miles from my current home.