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Recip cows

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bgc

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Sep 29, 2011
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Just needing some numbers from some people who know. I am managing some recip cows for an angus breeder here in MO and currently I own all the recip cows, he implants them and then pays me for the calf. He is talking like he wants to buy some more recips and pay me to take care of them. They would be his cows and he would take care of all the recip costs, and I would manage them right along with my other recip cows. He asked me what I would need to keep say 20 cows for him on my place. I know what my costs are on my place for my cows, but I have no idea what to say to him. If I do this I would like to make some money at it, not just cover costs. What are some thoughts and figures from people who have done this type of thing.
 
You gonna run 'em yr around?

You know what yours are costing.

You should have an idea how much they're grossing/netting.

With his, you got no risk or investment.

What's that worth to you?

Would it work if you did it for $100 less than your avg gross on owned cows?

Another thing i don't know---how good of a deal is it for you to run recips compared to just 'commodity cattle'? If you're getting a nice premium for the extra hassle, maybe you could do it for a little less?
 
How much profit per cow would you like to make on your own cows in a good year? $200 per cow would beat the averages all to heck. I dunno, just the first thing that came to mind.

The $2.00 per day deal seems out of whack to me. Lots of feedlots only charge 35 cents per head per day for yardage. Course, I'm not saying that's what you should charge. You could double that and get $255.

Have fun figuring.
 
With the position of the cattle market I think I am going to tell this guy $1000 per head per year and see what he says. I am sure he will counter offer, but I dont want to start too low.
 
bgc said:
With the position of the cattle market I think I am going to tell this guy $1000 per head per year and see what he says. I am sure he will counter offer, but I dont want to start too low.

If he passes on your offer, I'll be glad to do it for $950.
 

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