Arkansas,
It is best to listen to these folks on here. My advice would be to lose the bad attitude. There are alot that will dish it out straight on here and thats hard for some to swallow. They have been through things you have never thought about. It does not mean you have to give up on your dreams but not listening to common sense is just idiotic. I am what most would consider a "hobby farmer" (I dont like that term because it infers I am raising pets
) but I expect and have been making a profit on what I do. On 20 acres you cant just run cows and expect to sell the calves at an auction and make a profit. Like someone else said you have to be more creative. You have to find what works for you, your land, your pastures and your set up. Start slow!! I am not saying this is right for everyone but here is what I do. I buy calves in the fall when they are the cheapest. NOT BOTTLE CALVES, they take way too much work (although I think the idea about the nurse cows was good if you had the time). I buy weaned beef calves at about 300 to 400 lbs. Give them hay and grain through the winter. They will gain about 1.5 lbs per day. I let them out on spring grass and then sell the majority of them about May or maybe early June. I overstock in the spring when the grass grows like crazy and then adjust to what I think it will hold in the summer (I have water issues so that is a limiting factor for me). This provides a way of having cattle that does not take alot of daily work (20 minutes feeding and looking over them on most days), provides a resonable cash flow (I dont have to wait a year for a cow to have and rais a calf), I could get out quickly and raise cash if I needed to without ruining my business. I then keep a few, fatten them and sell halves to family and friends. If you are going to raise cattle on any level you have to be comfortable with the fact that they all eventually become food. I lost money the first two years because I needed to learn how to feed them and I did not have the connections for supplies and services I needed. You have to look back at the previous year and look at how you did as if you were someone else. What could you do to improve the rate of gain,what could you do to improve the selling price, what could you do to decrease feed costs, etc. I make 10 to 20% over my costs (not including mortgage or land taxes so I probably do not come out even but I would own the land regardless). I make more on the land like this than if I rented it out but there are greater risks also. I have been fortunate about death loss to this point; someday I will come out on the losing end of that I am sure. Look at the land as a future investment that will accrue value over time but the cows on 20 acres will not pay for it. As Bez said cash flow will make or break you. It does not matter what your land is worth unless you have the cash to pay the bills. When you budget add extra to your expected expenses and budget alot less income and see if it works out for you. Look at selling prices for the last couple of years and take the lowest number for you income budget and then assume they will have really poor feed conversion. It better to have a nice surprise than something you have not planned for.
It is best to listen to these folks on here. My advice would be to lose the bad attitude. There are alot that will dish it out straight on here and thats hard for some to swallow. They have been through things you have never thought about. It does not mean you have to give up on your dreams but not listening to common sense is just idiotic. I am what most would consider a "hobby farmer" (I dont like that term because it infers I am raising pets
) but I expect and have been making a profit on what I do. On 20 acres you cant just run cows and expect to sell the calves at an auction and make a profit. Like someone else said you have to be more creative. You have to find what works for you, your land, your pastures and your set up. Start slow!! I am not saying this is right for everyone but here is what I do. I buy calves in the fall when they are the cheapest. NOT BOTTLE CALVES, they take way too much work (although I think the idea about the nurse cows was good if you had the time). I buy weaned beef calves at about 300 to 400 lbs. Give them hay and grain through the winter. They will gain about 1.5 lbs per day. I let them out on spring grass and then sell the majority of them about May or maybe early June. I overstock in the spring when the grass grows like crazy and then adjust to what I think it will hold in the summer (I have water issues so that is a limiting factor for me). This provides a way of having cattle that does not take alot of daily work (20 minutes feeding and looking over them on most days), provides a resonable cash flow (I dont have to wait a year for a cow to have and rais a calf), I could get out quickly and raise cash if I needed to without ruining my business. I then keep a few, fatten them and sell halves to family and friends. If you are going to raise cattle on any level you have to be comfortable with the fact that they all eventually become food. I lost money the first two years because I needed to learn how to feed them and I did not have the connections for supplies and services I needed. You have to look back at the previous year and look at how you did as if you were someone else. What could you do to improve the rate of gain,what could you do to improve the selling price, what could you do to decrease feed costs, etc. I make 10 to 20% over my costs (not including mortgage or land taxes so I probably do not come out even but I would own the land regardless). I make more on the land like this than if I rented it out but there are greater risks also. I have been fortunate about death loss to this point; someday I will come out on the losing end of that I am sure. Look at the land as a future investment that will accrue value over time but the cows on 20 acres will not pay for it. As Bez said cash flow will make or break you. It does not matter what your land is worth unless you have the cash to pay the bills. When you budget add extra to your expected expenses and budget alot less income and see if it works out for you. Look at selling prices for the last couple of years and take the lowest number for you income budget and then assume they will have really poor feed conversion. It better to have a nice surprise than something you have not planned for.
