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Would you buy a sale barn?
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LKM
Posted 7/2/2015 21:26 (#4658598 - in reply to #4658309)
Subject: RE: Would you buy a sale barn?


Ridgway, IL
I wonder, what revenue streams are available to the owner of a sale barn that are not available to patrons of the sale barn?

The only one I think of, is the commission right?

Anyone can sit in there and buy any stock coming through the ring.... Or go as an order buyer, etc

So if it does 10,000 hd a yr x 1500/hd, 15mil is gross sales... Of which you get 2%? That's 300k/yr in commission revenue. that sure doesn't seem like enough money to get involved when you start thinking about expenses.

Is there money coming in from other angles?

I thought you were gonna build another feedlot pen?
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