Search results for query: *

I've been looking at the Paris TX barn prices. They look very good for pairs and replacement cows. I have 4, second calve cows due in the next 30 to 45 days that I do not intend to keep. Should I sell now or wait to sell the pair sometime in September?

So why do cow killers buy heavy bred cows? Is there a market for calf fetuses?

What's the use case of a highland bull?

I have 4 bred cows on my list to haul because at the the current hay prices it's cheaper to sell them, but bad weather has gotten in the way both times. Maybe next week.

The whole thing about merging your truck into people on the highway.

I wouldn't in a hundred years believe that from you.

Looks about normal where I'm at:

@kenny thomas in 2008 all banks went broke for making crappy mortgage loans and they got bailed by the tax payer. So while I would not default, I don't feel one ounce of empathy for the banking cartel when someone bails out on them.

You are probably right. I just pulled a number to illustrate the example. If I were to proceed, I'd have to plug market rates to the spreadsheet to see if it's profitable.

I agree with you 100%, @Brute 23. However, the loan, for me at least, would not be to purchase cows that I couldn't afford otherwise. My money would still be backing the loan, but it would be invested in other instruments like stocks or a conservative mutual fund that while they may go up or...

@Warren Allison no, it's not a HELOC (first time I hear the term). It's just a revolving line of credit from my local credit union fixed at 7.9%. I can repay at any time or pull more money at any time so long as I'm under my limit. Every month I have to make a min payment like you do with a...

It doesn't get much lower than buying for interest only.

On 60 acres, I would want to be conservative while using OPM.

@Warren Allison so I have a credit line for $20K that is sitting idle (no balance). It just clicked on me, after reading your comments, that if buy 10 weaned calves, roughly $7000, right before spring flush and carry them for 6 months I can finance the whole operation for the cost of interests...

@Warren Allison regarding the S-Corp, it requieres a board of directors, how do you meet that requirement? And why not do an LLC instead? It seems less complex and you still have the benefit of not risking your money. Thanks.

What that sayin, “when you owe the bank $1 million, the bank owns you. When you owe the bank $100 million, you own the bank.”

OPM is easier said than done. If you have the credit and wherewithal it can work, but if you’re expecting a banker to extend you $100K in credit for such a gamble just because the market looks good be prepared to be laughed out of the bank. Also, if the market turns, the bank may call your...

A revolving line of credit runs about 7 to 8%. What's the return on a 1000 steer if bought after weaning? I'd be a little scared to buy cattle on credit. Seems like it would be easy to fall behind the 8 ball.

Spread sheets don't lie. I'm culling 4 bred cows, the mommas of the calves I sent to market in early January. I should have shipped them too back then. At $140 per bale, it is not worth to feed them until mid April when the spring flush kicks in. I ran the number since I got the five pair back...

I'm coming to the realization that in the cattle business a penny not spent equals two pennies earned because whatever you spend on heads, you'll later have to spend on feed. So if you are free ranging, don't over stock to keep your inputs low. In spring, buy twice as much hay as you think...