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RUNNING CATTLE ON SHARES

Larry Russell

New member
I would like to know what kind of agreements are standard for running cattle on shares. I run some on shares with a guy last year. He had moved back to farm,after his father passed away. They were on a 70-30 split. He didn't have alot of extra capital to get started. So i agreed to supply bulls first year. Know he wants to supply bulls,but he wants me to pay vet bill on calves. I would like to know what is kind of standard. I am located in South Dakota,if that makes any difference. thanks to any and all replys
 

randiliana

Well-known member
For the last 4 years we have been running cattle on shares. We are the operators (caring for the cattle). We have been getting a 60% share of them, we are responsible for all vet bills, but the owner supplies the bulls, and replaces any lost/dry/cull cows.
 

Denny

Well-known member
I have 29 on a 60/40 split not that great but I did it more so to get the land lease that came with the cows so it figures out that I run 29 cows for the total lease which works pretty well for me..
 

I Luv Herfrds

Well-known member
Husband got his herd by 70-30 split with his dad. Hubby got the bulls and replacement calves from his shares. He manged the herd. As his Dads cows got old they got sold and the money went to his Dad. Because a majority of the calves were his, his Dad got just a couple each year until all of his cows were gone.
Also did shares with his cousins on a 60-40 split. we supplied the bulls except for one year. Same sort of a deal like his Dad. Kept a couple of replacement calves from the cousins and he brought in any extra cows when they were needed. What he paid us went into vaccines and other costs.
 

PureCountry

Well-known member
Larry Russell said:
I would like to know what kind of agreements are standard for running cattle on shares. I run some on shares with a guy last year. He had moved back to farm,after his father passed away. They were on a 70-30 split. He didn't have alot of extra capital to get started. So i agreed to supply bulls first year. Know he wants to supply bulls,but he wants me to pay vet bill on calves. I would like to know what is kind of standard. I am located in South Dakota,if that makes any difference. thanks to any and all replys

What do you mean he wants you to pay the vet bill on the calves? Just for their vaccinations, or are you backgrounding the calves and feeding them out too? That could get costly. Hell even the vaccinations are costly. Around here most do a 70-30 or 75-25, but the guy caring for them covers everything. Some owners will supply bulls, depending on the desired outcome of the breeding program, which has to be taken into consideration.
 

Shortgrass

Well-known member
I was starting to feel bad. I have 10 head I keep for my grown daughter. She has a job in town. I furnish all the management, feed, medications, bulls, I even hauled the calves to the sale; she gets 25%, I keep 75%. Same deal my father-in-law offered me, except I furnished labor only, he had feed, expences & cows, I got 25%. We figured 50% for feed & expences, 25% for the cow, and 25% for the labor. We discussed 70/30 and she owned the bull.
 

jigs

Well-known member
I like the lease I have with my FIL. 30 cows valued at $750 / head. pay 6.5% interest on the value.
figures to about $1450 per year. I keep 100% of the calves, and pay all expenses.
when I cull I have the option of replacing the cow with a heifer, or giving him the money the cow brought and cutting the lease by that number sold.

a truley rare situation, but he wants me to grow a herd of my own, not "work for him" on a typical lease or share.

Now I am in a spot where I need to add about 25 cows this year, and cull off 10 or so of his, they are getting old.
anybody has some good solid Hereford cows they want to move, drop me a PM. !!
 

Larry Russell

New member
Ok. I talked to him a little more,and what he wants is for me to pay the vet bill on my share of the calves. We don't finish out the calves. They will be sold in January. Will have to think about this and do a little figuring to see if it works out. Thanks to all who replyed. It sounds like their are alot of different agreements out there.
 

Horseless

Well-known member
I always thought a cash lease is easier to work with. It is easier to split money than a part of an animal. If I did a share lease I would want about 80%. Unless you trust the other party on their selection of genetics, I would never allow them to supply bulls. Regardless of cash or shares, there alot of things to consider. One of the big problems is what needs to be culled and when.
 

PureCountry

Well-known member
True Horseless. It works so much better when you have someone you know well and trust. Rkaiser and I have the same eye for cattle, and the same managerial theories, so when I say something should be culled, he's already had her in mind for a while, usually. When we talk about future herdsires, we always pick out the same bulls. Just makes the whole arrangement easier.
 
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