Looking to invest in bulls

[Anonymous]

I'm new to cattle but interested in the potential of buying ownership in a top quality bull or two. My area of interest is in semen sales. I don't have a particular breed in mind other than I like herefords from what I've been reading. Can any of you shed some light on the best way to get involved with a top quality breeder? I'm interested in 1/2 to 3/4 interest with the other partner managing the bull. Is this a common practice and if so is it usually a profitable venture? I assume that it's better to find a bull with a name or at least good bloodlines which generates a demand for his seed. Thanks for any and all info. Dun do you have any advise?

 

[dun]

Strictly based on observations, it seems that the majority of the money making bulls are sold in syndication at a younger age. To go it alone in finding a top bull to invest in would be pretty tough.
Unless a bull is at least partially owned by one of the major studs I don't see how private parties could market the semen succesfully enough to recoupe the investments. Even if you receive 1/2 of the retail price per unit of semen, you're only looking at generally $10.00 a unit or less. It would take a long time to get a return on a $5-10k investment. To my mind the only way to make any money would be to use your share of the semen on some top cows that you own and sell the bull calves. Even then it would be a slow return.
Just my thoughts

dun

I'm new to cattle but interested in the potential of buying ownership in a top quality bull or two. My area of interest is in semen sales. I don't have a particular breed in mind other than I like herefords from what I've been reading. Can any of you shed some light on the best way to get involved with a top quality breeder? I'm interested in 1/2 to 3/4 interest with the other partner managing the bull. Is this a common practice and if so is it usually a profitable venture? I assume that it's better to find a bull with a name or at least good bloodlines which generates a demand for his seed. Thanks for any and all info. Dun do you have any advise?

 

[Campground Cattle]

Dun is right you would be better off buying good bloodlinesto long to get a return. The hereford bloodline that is hot right now is Feltons good cows. I prefer the Braxton Gaint, or Vindicator line myself. Go to Herfnet.com and you can research these lines.

 

[sillco]

Your partners should be an influencial breeder in the breed chosen. To manage your risk, invest in several bulls at reduced owenship levels. A ranch you may be interested in is in Texas and its name is Camp Cooley Ranch in Franklin. Contact Mark Cowan, President. They repersent three breeds, Angus, Brangus and Charolais. Their ranch size in the US is over 10,000 acres in Easy Texas. Their phone number is 409-828-3968 of visit http://www.campcooley.com
Tell them "hello" for me and good luck to you.
Harry Sutherland

 

[Rod]

I agree with dun, I think you would get a much quicker return on bulls than you would selling semen. I know the semen sales are a whole lot easier, but $10.00 a straw is an awful slow return. Might even consider AI your heifers and then selling them as well.

 

[jfont]

This is not from my personal experience, but from observing my neighbors operation.
He has a registered brangus herd and he runs three bulls. He ownes a 1/3 share in one of the bulls that he only keeps at his place a few months out of the year. This bull is only used to breed the owners cattle, and for seman sales. The other two bulls my neighbor owns 100% of them and he'll breed his cattle with them, and then he'll lease them out to other ranchers. He does this with a scedualed rotation.
Anyway, it would be more profitable if you could sell seman, and lease out the bull part of the year. Make money on seman, make money on leasing, and save on up keep. "Unless you buy some super awsome bull you dare not risk getting injured breeding cows" . But then your straw sales would be more than ten bucks a pop!

 

[la4angus]

This is not from my personal experience, but from observing my neighbors operation.
He has a registered brangus herd and he runs three bulls. He ownes a 1/3 share in one of the bulls that he only keeps at his place a few months out of the year. This bull is only used to breed the owners cattle, and for seman sales. The other two bulls my neighbor owns 100% of them and he'll breed his cattle with them, and then he'll lease them out to other ranchers. He does this with a scedualed rotation.
Anyway, it would be more profitable if you could sell seman, and lease out the bull part of the year. Make money on seman, make money on leasing, and save on up keep. "Unless you buy some super awsome bull you dare not risk getting injured breeding cows" . But then your straw sales would be more than ten bucks a pop!

You have several cost's involved besides buying the bull:
1___Upkeep
2___Collection
3___Freezing and Storage
4___Advertising
5___Discounts to Retailer
6___Insurance; if you want to protect your Investment
You could be looking at $6.00 to $10.00 per straw Expense per straw before you sell the first straw.
Most will give free shipping and discounts on volume purchases over 20 straws.

 

[WORANCH]

you need to look at a breed where seman will sell for more than 10-20 a straw . look for the ones that sell for 100-250 a straw...

 

[Anonymous]

Newbee,

Once again I disagree with the other posts. I assume your investing in a bull without knowing the cattle industry because you have money to spend. Owning a bull of the very best quality is satisfying and a good tax shelter. If you are looking for a hereford bull contact Monty Souls at Star Lake Cattle Company, Skaitook Ok. He is the best promoter and you just might make money. If your in a high income tax bracket you at least have the advantage of fifty cent dollars and you wont have any expense if you draw the contract properly. You can also write off some expense going to shows and such. Good luck