wildcat_farmer - 11/28/2015 16:32

Let me get this started by a bit of a background about myself.

Im 24, got a solid job as a crop consultant with a very respected older agronomist so I am fully confident in the future of having a job. I have a small background in the cattle industry. Worked for a farmer/rancher through college and helped out on his herd. Mostly doing daily chores in the winter and running them through the chute. Also, I have good relationships with other farmer friends and the local vet that would lend me advice.

One of the farmers we consult for is looking to retire in the next 2-3 years. I haven't fully sat down and discussed with him but he has made notions or interests if i would like to take over his herd. Which i would be fully thrilled to do. I understand its not a huge money making venture and I'm not looking to strike it rich, I feel running a herd has always been a thought but never really took it serious until this opprotunity has shown up.

His herd is 8ish head now, black angus heifers on black angus bulls. His current method is to sell the cull cows and not replace them, as he's gotten older the smaller herd every year is easier for him to deal with. Pasture and range grass is safe, he owns majority of the acres. Right now, the avg age of the herd is 5-8 years old, good cows.

Whats all your thoughs on taking on this operation? Looking at the direction of the market is headed and future.

Would most likely go through the FSA and get a beginning farmer loan for the majority of it.

Would still need to finance a pickup/stock trailer, bale feeders & feed, and all the rest of the other equipment needed.d

Forget the pickup and stock trailer for now - - - make a deal to use his for the few times you will need them. The items with heavy depreciation are the ones you want to hold of buying - - - if you can.
If you shop early and work at it you should be able to find feed where you can feed the cows for what you get for your steers. I did that for lots of years. Went from 10 to 15 year to about 100 a number of times its not a lot of fun but it happens. If you are aiming for larger numbers once you pass 100 things move a lot faster - - - its the first few years that are a lot of work and no real money!.

Some of the best advice I ever got was to do the opposite of that the thundering herd is doing! (Everybody says no money in cows - - get some, everybody wants cows - - - sell some!) There was a Bud Williams system where you calculate the value of animals all related to the present fats pricing - - - that's real good stuff too. Your job will help you lots (its great having a regular paycheck) and will cost you the best part of 5 days of your week. You can make it work - - - make sure your girlfriend knows what you're into or things won't be good further down the road - - - she can help you make it or she can break you - - - pick a good one - - - she's the linchpin to the rest of your life!!