Investor money found

[Beef11]

When i was younger i seriously wanted some investor capital to get me going strong. Then i later decided i didn't need it and quit looking. Now i have a buddy who says he wants to invest in the cattle market through me. It would be beneficial to both of us. I'm just leery of other peoples money. Any thoughts?

 

[Hippie Rancher]

Never buy a car from a friend.

 

[KMacGinley]

Let him buy the cattle and charge him a daily fee for taking care of them. I charge a neighbor, $1 per head per day for this.

 

[Green Creek]

Neither a borrower nor a lender be;
For loan oft loses both itself and friend,
And borrowing dulls the edge of husbandry.
This above all: to thine own self be true,
And it must follow, as the night the day,
Thou canst not then be false to any man.

William Shakespeare, "Hamlet"

 

[grannysoo]

I agree with everything said above.

 

[dun]

Don;t do it

 

[shorty]

Do what you can handle on your own.

 

[Wisteria Farms]

Have had a few offers over the years to "buy in" to my company... I wasn't looking and won't EVER do it. Been down that road once before and it never works... You either need to be on your own or have a large group of investors who vote/etc. I don't advise it that way whatever you do you either take the blame 100% or relish the benefit 100%.

 

[Nowland Farms]

When i was younger i seriously wanted some investor capital to get me going strong. Then i later decided i didn't need it and quit looking. Now i have a buddy who says he wants to invest in the cattle market through me. It would be beneficial to both of us. I'm just leery of other peoples money. Any thoughts?

Sounds like a good way to lose a frendship.

 

[Calman]

If ya wan't to remain buddies don't do it.
Never go into a buisness with family or friends.

Cal

 

[john250]

A few make it work. Damned few, but they tend to be among the most successful operations.
Extra capital is huge to a capital hungry business like cattle. But your buddy is going to want his share. If you will be the manager, then you will have to have the money. On time. He is becoming your banker.
So, ask yourself if you are willing to keep professional grade records and invest in a lawyer (or other qualified help) to write the agreement between you.
Negotiating the agreement will give you a lot of clues about where this will go. If you lose your optimism, call it off.
Good Luck. It's fun, I think.

 

[ga. prime]

Neither a borrower nor a lender be;
For loan oft loses both itself and friend,
And borrowing dulls the edge of husbandry.
This above all: to thine own self be true,
And it must follow, as the night the day,
Thou canst not then be false to any man.

William Shakespeare, "Hamlet"

Hey, remember when the castaways on "Gilligans Island" did Hamlet? Very memorable. Season 3, episode 72.

 

[Jogeephus]

Add a person add a problem. Besides, you may already have one boss and if so I'm pretty sure she wants you to pick up some milk and eggs and a loaf of bread and don't forget to do the dishes before you go to bed. :lol:

 

[mnmtranching]

Add a person add a problem. Besides, you may already have one boss and if so I'm pretty sure she wants you to pick up some milk and eggs and a loaf of bread and don't forget to do the dishes before you go to bed. :lol:

Hey Joe 8) That's some good advice. :D :D

 

[Brute 23]

I have a little different take on this... the word investors makes the wheels start turning and I do have some experience with this. It can be done.

My first thought is... What kind of friend is this?
Long time childhood friend or work friend, neighbor friend, ect.... It makes a difference.

Then the next thing would be... Is the possible profit from this joint venture worth possibly losing that friend?
It does not have to come to that but it may and you need to know how this "friend" ranks in your book.

After that yall need to sit down and talk out exactly how this is going to be ran. Are yall going in as equal partners, is he a silent partner, is he soley and investor. Basically you got to know in the end who makes the call.
I would be weary of equal partnerships but if it is actually possible for that person to invest and let you make the final calls then it could be a good deal.

Last of all,,, after yall have figured out where every one stands,,, put it in writing. Make up basically a contract that says every thing yall have decided on. That away every thing is done according to how it was stated by both parties or there will be penalties. IF you make the calls.... he is just an investor... and he startes pushing his way in trying to make calls you want the contract to cover you so you can get out with your fair share and/ or compensation.

I have deals worked out with a couple people where they own the cattle. I take care of them and make ALL the final decisions. They pay me a small salary along with a percentage of profits. It has all worked out good so far... no complaints.

 

[L.A.]

Don;t do it

:stop:

Dun speaks the truth!!! :stop:

 

[pdfangus]

My senses are screaming no don't do it but my acutal life experience is different.

I am a small time guy with just a few acres of land. but I have been around cattle all my life and registereda angus for thirty years now.

In 1986 when I bought my small place I had a neighbor who was clearing land and going to put hereford cattle on it.

My first thought was oh crap, I am going to have a hereford bull coming over the fence all the time breeding my half dozen cows unless I build the great wall of china.

I offered to provide him with a black bull. that was the start of a beautiful relationship. We now have a joint herd of Registered angus cows. He owns his and I own mine but we run them together. basically he maintains the cow herd on his larger property. I raise the replacments, house the bulls during non breeding season because I demanded that we have breeding season and I AI breed the cowss and schedule the herd managment and tag and weigh and that sort of stuff..

We both have to make compromises as no two people agree on everything. but I have gotten to own more cattle than i could on my own and he has benefitted from my experience and technical expertise.

we don't have formal agreement but have operated for nearly twenty years on a gentlemans agreement and a handshake. He is a judge and a man of great integrity so I knew I was on pretty firm ground. when we have a problem we talk about it and usually there is a resolution. we accept each others limitations and he probably has to accept a lot more than I do.

conversely my son has been burned three or four times because he is the sort who likes everybody and sees the good in them and not the bad, and has formed some deals that took him for a ride.

 

[kerley]

When I was a young man and started my business a retired contractor friend of mine told me, " What you need most is God and your Banker'. Most of the partnerships do not last. Some one seems to feel that they are doing all the work and the partner is making all the money. My business partner has always been my wife.We can go broke by ourselves. Kerley

 

[Beef11]

What kind of friend is this?
Long time childhood friend or work friend, neighbor friend, ect.... It makes a difference.

Then the next thing would be... Is the possible profit from this joint venture worth possibly losing that friend?
It does not have to come to that but it may and you need to know how this "friend" ranks in your book.

After that yall need to sit down and talk out exactly how this is going to be ran. Are yall going in as equal partners, is he a silent partner, is he soley and investor. Basically you got to know in the end who makes the call.
I would be weary of equal partnerships but if it is actually possible for that person to invest and let you make the final calls then it could be a good deal.

Last of all,,, after yall have figured out where every one stands,,, put it in writing. Make up basically a contract that says every thing yall have decided on. That away every thing is done according to how it was stated by both parties or there will be penalties. IF you make the calls.... he is just an investor... and he startes pushing his way in trying to make calls you want the contract to cover you so you can get out with your fair share and/ or compensation.

I guess he is a church friend, I've known him about 6 months both of us are serial entrepreneurs. He has made big bucks and wants to invest in something real and available should hard times come. Basically if hard times come he wants to come over and eat steak, if we don't have hard times he wants a decent return on investment.

 

[ALACOWMAN]

What kind of friend is this?
Long time childhood friend or work friend, neighbor friend, ect.... It makes a difference.

Then the next thing would be... Is the possible profit from this joint venture worth possibly losing that friend?
It does not have to come to that but it may and you need to know how this "friend" ranks in your book.

After that yall need to sit down and talk out exactly how this is going to be ran. Are yall going in as equal partners, is he a silent partner, is he soley and investor. Basically you got to know in the end who makes the call.
I would be weary of equal partnerships but if it is actually possible for that person to invest and let you make the final calls then it could be a good deal.

Last of all,,, after yall have figured out where every one stands,,, put it in writing. Make up basically a contract that says every thing yall have decided on. That away every thing is done according to how it was stated by both parties or there will be penalties. IF you make the calls.... he is just an investor... and he startes pushing his way in trying to make calls you want the contract to cover you so you can get out with your fair share and/ or compensation.

I guess he is a church friend, I've known him about 6 months both of us are serial entrepreneurs. He has made big bucks and wants to invest in something real and available should hard times come. Basically if hard times come he wants to come over and eat steak, if we don't have hard times

• > he wants a decent return on investment.<

you are talking about cattle ain't you? ;-)