sambo":3kohuawq said:
BEZ, sorry I'm new to the cattle business and the boards. I will have access to all 100 acres.
No need to apologize - just needed the info.
Lots of options.
Most important - spend as little as possible. Use profits - if any to build up your program.
If your wallet is thick and you are a gambler - prices are strong. But NEVER forget this is a cyclical game - what goes up will always - without fail - eventually come down. Not good if you hit the top of the cycle and have to sell into a losing market. Might happen this year - might happen in 10 - take your pick.
Have you actually sat down to work out a budget to see if there is any available cash for the start up? Keep the debt load down.
Have you sat down with any cattle folks to work out a possible plan of action - every province, state, county usually has an organization that is willing to help. While I can throw some info your way, it is vital to recognize you require LOCAL advice. I guarantee you that what works here will NOT work where you are. So beware of experts outside your region - but do use them for ideas. :lol:
Have you attended any ag courses? Always go to any and all cattle association information meetings. Do not be afraid to ask the stupid question - because folks will laugh - but they also realize only stupid people do not ask questions!
Do you have a full line of equipment - sounds like you might.
Cheapest way we found to get started is to use the calves as cash. Breed to AI - you do not really have enough cattle for a bull to pay for himself - yet.
Sell your excess hay to pay for one or two or more if able additional good animals each year - save ONLY the best heifers from your small herd - cull hard - it is NOT a numbers game - it is a QUALITY game.
Save about one to two years of forecast hay usage - trust me - you will run into a feed problem down the road - want to go broke? Buy feed for your herd over a long term. Got that T-shirt on this place. Always have a little extra in your back pocket for sale or personal use.
Keep the money from the lease to pay taxes and improvements.
Do it right and you can have a full up and running operation with 40 - 50 animals inside 5 years. All paid for and all quality animals.
Remember - unless you are full time in the business you will likely be working out. That means you need good infrastructure, better animals and an excellent breeding program. All of this can be done if you plan ahead.
Your question as you can see is not simply answered in one thread and two or three comments.
Once you are full up - then take back the lease - or reduce the size of the lease and use the land you take back to continue to grow. Use the money from any land still leased out to pay taxes and development costs.
10 years and you will have a heck of an operation - all paid for to boot.
Looking ahead that 10 years may seem like a long time. When you get there it will have passed as quick as a blink of an eye.
Regards,
Bez!