Question for the big boys...

[Wisteria Farms]

Hi guys..(and gals)... I'm asking this question for a friend...
He has grown up raising cattle and has inherited the farm where he managed his grandfather's cattle. Instead of running his own herd, he'd like to just manage (a commercial herd).
He would provide the land and facilities and do the day-to-day feeding and healthcare. He has a real impressive set-up.
Is this considered backgrounding?
What do you pay/recieve for this type arrangement? If you do this, and wouldn't mind sharing how its done in your area I would really appreciate it so I can pass it on to him. Thanks so much!

 

[Texas PaPaw]

Here's a link for a book written by a guy who has done what you are inquiring about. IMO, its a must read for anyone considering custom grazing. It tells a lot of the do's & don'ts based upon his actual experience.

http://www.stockmangrassfarmer.net/cgi- ... d=360.html

 

[larryshoat]

Everybody is trying to bank on the other guys money . In other words there are not many deals where you don't have to put your own money in it . Just my opinion.

Larry

 

[Wisteria Farms]

Here's a link for a book written by a guy who has done what you are inquiring about. IMO, its a must read for anyone considering custom grazing. It tells a lot of the do's & don'ts based upon his actual experience.

http://www.stockmangrassfarmer.net/cgi- ... d=360.html

PaPaw... thanks a bunch... I'll forward the info. He's raised a lot of cattle but I think has been hit too many times by the ups & downs of the market to keep taking the hit in his own pocketbook.

 

[Wisteria Farms]

Everybody is trying to bank on the other guys money . In other words there are not many deals where you don't have to put your own money in it . Just my opinion.

Larry

Larry, I don't think this is banking on the other guys money... its offering a service and is a business arrangement. No different than sharecropping or landleaseing, etc. He won't own the cattle or any share-of... but he's got one helllofa setup and is used to working it. He's a good guy so I'd like to see him do well....

 

[simangus23]

i WOULD SUGGEST HE RAISED SOME DAIRY HEIFERS FROM 5 MONTHS TO 15 MONTHS+ (BREEDING) IF HE CAN DO AI AND KNOWS HOW TO RAISE A GAIRY HEIFER i THINK THAT WOULD BE THE BEST TIME SPENT AS THERE ARE PLENTY OF PEOPLE OUT THERE THAT NEED THIS SERVICE OFF THE FARM. NORMALLY PAYMENT IS RECIEVED MONTHLY FOR A SET PRICE TO RAISE THESE HEIFERS.
hOPE tHIS wORKS FOR YA

 

[iowafarmer]

It's not backrounding sicne backrunding is when you buy calves at about 200-400 and take them to 600-800 weights. It would be custom grazing. Personally i would rather work with my own cows but thats his choice and with the market doing all these highs and lows i can't blame him. Just make sure that he has a good contract wit hthe guy and they get a long good and he has to have really good management practices. Also he may not like what the other guy wants to do with his cows but he will have to live with it and be at the beckon call of the guy who owns the cows. Hope it works out for him.

 

[larryshoat]

Everybody is trying to bank on the other guys money . In other words there are not many deals where you don't have to put your own money in it . Just my opinion.

Larry

Larry, I don't think this is banking on the other guys money... its offering a service and is a business arrangement. No different than sharecropping or landleaseing, etc. He won't own the cattle or any share-of... but he's got one helllofa setup and is used to working it. He's a good guy so I'd like to see him do well....

I hope he does well too . Maybe more of that kind of thing goes on in your area but, most of what I've seen they expect you to own the cattle while you have them as in a stocker program . Who knows he might find a deal right off . People that have been in this business and have a lot of experience are usually very cautious . I wish him the best .

Larry