Best cash flow for cattle

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Brute 23
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Re: Best cash flow for cattle

Postby Brute 23 » Mon Jul 31, 2017 1:34 pm

NonTypicalCPA wrote:
Brute 23 wrote:Nurse cows?

I have not done this but I was thinking the other day if I had a small place i would buy 4 or 5 really good papered females. I would AI them to good bulls and sell them private treaty for breeding and/or show animals.


This is exactly what I'm doing. Four registered Beltie cows, but I also bought a nice registered bull instead of AI. Calves at 12 months selling for $2,000 to $2,500 on the low/middle end. I'm only on 15 acres.


That's awesome... 4 x $2500 aint bad at all.

I was talking with a friend a while back that sells all his heifers private treaty. Most go to kids for show animals. He has pure Brahmans and Tigers. He starts at $2k at weaning age for them. They are purebred but not papered.
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wacocowboy
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Re: Best cash flow for cattle

Postby wacocowboy » Tue Aug 01, 2017 2:01 am

I know few guys with small places

One guy plows his every fall and plants oats and runs feeders

One guy goes to the auction each week and only buys skinny bulls then fattens them and sells them. Better have good fences if you have neighbors with cows in heat. Most of the bulls are old but they love a cow in heat.

Another guy buys the best 800lb heifers he can find breeds them to his LBW Angus bull then sells heavy bred. We have a running joke about that bull getting around 15 virgins every year.

The last guy buys any 6 years and up 7months or more bred calves them out then sells either as pairs if cow is still good or sells at 5 months cow for slaughter calf for feeder.

I don't get into other people's money business so don't know how much they make but they make some and get to claim a tax exemption on places smaller than 40 acres.
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Re: Best cash flow for cattle

Postby farmerjan » Tue Aug 01, 2017 8:35 am

Wacocowboy gave you a couple of really good examples. We do some cattle trading although we are basically a cow/calf operation. But I do buy some older cows, sometimes breds and some with calves by their sides. I try to stay in the $1000 range as I can sell the calf for around 500 and the cull cow for the same on years when prices aren't very good... but because we often will have some land with grass, can usually put some pounds on the cow and make a bit on her and the calf. IT IS ALWAYS A GAMBLE.
Have bought some 4-5 wt bulls and banded and sold as 6 wt feeders and made a little. Sometimes keep more of our heifers than we are going to retain as replacements and feed a little heavier than the usual 4-5 wt weaned size and then just watch the markets and sell when we need to move them off grass or the market takes an uptick.
Will not get into feeding any bulls, too much possible problems with fences and seldom if ever see a thin bull here, most are sold as getting too big or been there for too many years, and the farmer has to find a new bull. We have about 10 bulls of our own at any one time and they are all GOOD bulls as far as being what we want for breeding and will not bring in anything else to risk any injury or problem with fences or attitudes with people. But it could work in the right situation if there are thin bulls to be had. I would think it would be a better deal for someone VERY experienced with cattle.
Feeder prices fall off here after the middle of june most of the time, so waiting until the "rush to get feeder cattle" is over will often get you some fairer priced animals to run.
If you don't have to worry about neighbor bulls, heifers are usually a bit cheaper and will usually bring near per pound what you paid so the added pounds they put on will be gain. That is why we have started keeping some of our heifers that we really don't plan on breeding, they will bring close to the same price per pound at 400 that they will bring at 6-700. Let someone else do the breeding etc because the replacement market here is not all that great. I can sell an open 7-800 lb heifer and not have to breed her and feed her for another 6 months to sell as a bred for only a couple hundred more. But different conditions different places.
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Caustic Burno
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Re: Best cash flow for cattle

Postby Caustic Burno » Tue Aug 01, 2017 10:59 am

wacocowboy wrote:I know few guys with small places

One guy plows his every fall and plants oats and runs feeders

One guy goes to the auction each week and only buys skinny bulls then fattens them and sells them. Better have good fences if you have neighbors with cows in heat. Most of the bulls are old but they love a cow in heat.

Another guy buys the best 800lb heifers he can find breeds them to his LBW Angus bull then sells heavy bred. We have a running joke about that bull getting around 15 virgins every year.

The last guy buys any 6 years and up 7months or more bred calves them out then sells either as pairs if cow is still good or sells at 5 months cow for slaughter calf for feeder.

I don't get into other people's money business so don't know how much they make but they make some and get to claim a tax exemption on places smaller than 40 acres.


Unless the law changed in Texas all you need is ten acres in production to claim the exemption.
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Re: Best cash flow for cattle

Postby Rafter S » Tue Aug 01, 2017 11:11 am

Caustic Burno wrote:
wacocowboy wrote:I know few guys with small places

One guy plows his every fall and plants oats and runs feeders

One guy goes to the auction each week and only buys skinny bulls then fattens them and sells them. Better have good fences if you have neighbors with cows in heat. Most of the bulls are old but they love a cow in heat.

Another guy buys the best 800lb heifers he can find breeds them to his LBW Angus bull then sells heavy bred. We have a running joke about that bull getting around 15 virgins every year.

The last guy buys any 6 years and up 7months or more bred calves them out then sells either as pairs if cow is still good or sells at 5 months cow for slaughter calf for feeder.

I don't get into other people's money business so don't know how much they make but they make some and get to claim a tax exemption on places smaller than 40 acres.


Unless the law changed in Texas all you need is ten acres in production to claim the exemption.


I'm pretty sure that varies some between counties.
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Caustic Burno
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Re: Best cash flow for cattle

Postby Caustic Burno » Tue Aug 01, 2017 11:21 am

Just looked it up.

A Texas Agricultural Tax Exemption can be used as a land owner uses their land for hay production, raising livestock or managing wildlife. It also can be used for hunting or have their land used as agricultural productivity. This means pastureland, mixed timber, native pasture, wildlife management or if they apply for hunting lease. There are different acreage requirements between the counties but are typically required to have at least 3 acres for goats and sheep and 20 acres minimum for cattle.
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Re: Best cash flow for cattle

Postby wacocowboy » Tue Aug 01, 2017 12:12 pm

Caustic Burno wrote:
wacocowboy wrote:I know few guys with small places

One guy plows his every fall and plants oats and runs feeders

One guy goes to the auction each week and only buys skinny bulls then fattens them and sells them. Better have good fences if you have neighbors with cows in heat. Most of the bulls are old but they love a cow in heat.

Another guy buys the best 800lb heifers he can find breeds them to his LBW Angus bull then sells heavy bred. We have a running joke about that bull getting around 15 virgins every year.

The last guy buys any 6 years and up 7months or more bred calves them out then sells either as pairs if cow is still good or sells at 5 months cow for slaughter calf for feeder.

I don't get into other people's money business so don't know how much they make but they make some and get to claim a tax exemption on places smaller than 40 acres.


Unless the law changed in Texas all you need is ten acres in production to claim the exemption.


Yeah I wasn't speaking really as to the law just saying they are making a go of it on a small place. According to your other post the guy with bulls is just a hair over the 20 acre limits. I've never asked but I doubt it is more than 25 and I has a house and barn on it.
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Re: Best cash flow for cattle

Postby backhoeboogie » Tue Aug 01, 2017 1:05 pm

wacocowboy wrote:
Yeah I wasn't speaking really as to the law just saying they are making a go of it on a small place. According to your other post the guy with bulls is just a hair over the 20 acre limits. I've never asked but I doubt it is more than 25 and I has a house and barn on it.


If you already have an ag-exemption it is pretty easy to tag on for small parcels elsewhere. Fertilize it and bale it. or park equipment on it. They were balking at me and I took aerial photos. Hay was stored on one end, cows in the middle, and equipment on the other end. They added it on.
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Re: Best cash flow for cattle

Postby backhoeboogie » Tue Aug 01, 2017 1:09 pm

trin wrote:Wanting to get you folks opinion. If you have 36 acres what would be the best way to make money in cattle?


Rustling is probably the only sure way. Just don't get caught. Or shot!

No one takes kindly to it. Your robbing individuals who are struggling. They're trying to earn a nickel too. You would be the worst sort of life form known to man. 5 generations from now you'll still be remembered.
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