RPh":22ot16yp said:
My Grandfather has been buying and selling 2 or 3 cows a year for a long time. It's mostly just a hobby. I'm wanting to invest some money with him and I need some help deciding how. I'm doing it so we can have something to talk about, maybe make a little money and also to learn something new. I'd like to put up about $15,000 to start.
1. Is there a place to get general information on the cattle industry? I guess I mean is there a book called "the cattle industry for dummies." He knows a good bit about the business, but I don’t want to look stupid.
2. We live in Louisiana so should we concentrate on a certain breed or just go for commercial cattle? How far will $15,000 go on either one?
3. We have about 10 acres fenced. How many head could we eventually handle?
4. Should we make our purchase from a cattle auction or is there any other options?
5. Is their any money in this stuff or would I just be throwing money away?
1.Take a look at Story's book and learn some basics. Contact your Parish Ag Extenson office and ask for the publication "Beef Cattle Management Tips" by Hollis Chapman. If it is still available, it is a good publication.
Learn from your grandfather. If he has been doing it, he probably has learned what works best from experience.
2 I would go commerecial cattle.
Most any breed will work. For your size I would look for gentle, tame cattle. Angus or Hereford would be good.
You may want to just buy steers, graze them to put on some weight, and sell them. I'll bet your Grandfather knows how and when.
3.Depends. How much grazable pasture you have. Kind of grass you have. I think I would not count on over 5 or 6 head.
Theoreticaly you could run more. But this is under ideal conditions.
4.Go to
http://www.ldaf.state.la.us
Get a subscription to the Market Bulletin. I think it is $10 for two years.People advertise cattle in it and you can get an idea of what you can get and prices you would have to pay.
5. Yes and yes.
Depends on what your grandfather has available as to equipment, working facilities, etc.
With only 10 acres you cannot afford to put much money into equipment. If you don't have a tractor available, you will have to hire any tractor work done. You will need to build a good pen for working them and you need to make sure you have good fences.
Nice headgates, squeeze chutes, etc. may be imperative for larger operations. But you have to keep cost to a minimum. If you have a strong pen, you can do a lot with a rope and halters working them. Of course you would have to learn to "cowboy" a little. This is why I suggested tame cattle.
If you plan to have a cow calf enterprise, then you have to breed your cows. There is a problem. For such few cows I think the expense of buying and maintaining a bull would be too high. If you AI, you will probably need better facilities. Maybe borrow a bull???
This is another good reason to consider just grazing steers.
You may make a few dollars, but not a large amount. But you can't put much money in and come out ahead. You are not going to have enough cattle to pay for very much operating expense.
Just do it for the fun of it, and to work with your Grandfather. If you break even consider yourself ahead of the game.
Don't get excited and go spend a lot of money.
I hope our posts will give you a starting place to be able to discuss the subject intelligently with your grandfather.
Best to you whatever you decide.
