Making a Profit on a Small Farm or Homestead with Cattle. (Financial Plan Explained)
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- Опубликовано: 8 фев 2025
- Raising Cattle can be a profitable venture and comes with many other benefits for the small farmer or homesteader, but so many people are either confused or misinformed about the financial truth that comes. In this video we cover a real scenario with financial numbers to demonstrate the reality of Cattle Farming/Ranching. This video is meant to teach the process that you can use to track and plan for success in your venture. But not showing the best or correct way to make a profit, because everyone situation and goals are different and will have different results.
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Starting a small farm or homestead series.
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Thanks for watching the Strong Roots Farm. We are a small regenerative farm in Southern Ohio, raising Grassfed Beef, and Pasture Raised Pork, and Eggs. We are a profitable farm that strives to produce the highest quality of meat to our customers, and although we are focused on quality production on our farm we have a Homestead feel compared to the rest of our Big Ag community. Our Channel is focused on providing education through our experience to small farmers and homesteaders in order to build a strong sustainable community with Faith, Family, and Farming as the focus.
We are not full-time farmers. My wife, Jenny teaches 4th grade math at our local elementary school, and I'm an Industrial Engineer working at a near by production facility. We have 3 young boys and are all firm believers in Jesus Christ. I am a US Army Veteran who served 2 tours in Iraq. Together as a family we are extremely grateful that you have chosen to spend time with us by watching and commenting on our videos. Please let us know if we can help you on your journey in any way.
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I question myself everyday whether I still want to be a farmer “when I grow up” and I really appreciate you reinforcing my reasons for getting up everyday, going to work in the city, and striving to get my farm ready to support a diverse, regenerative farm.
Thanks for watching, I know exactly what you mean.
Excellent, excellent video. One thing to consider that even though they made little to no money, 10 years later , a developer or large corp will come in and buy that farm for 5 million more than they paid for it. At the end of the day they did amazing.
Great video. Farming in Zimbabwe and still relevant
Cool, thanks
Great video. I have family members in Central Illinois, who raise half a dozen head. More for a life and family experience like you said, learning the lifecycle creating work ethic and respect for the land and animals you raise. putting meat in your freezer. And at the end of the day, if you make a few dollars off the sale of your animals. Bartering is so important. This family will help other land owners with their needs. In return to get their hay cut and bailed for them. like you said it gives you a reason to get up and stay productive and hopefully stay healthy. A good work ethic is a healthy life. A lot of people misunderstand that.
I’m a big believer in bartering and trading services.
I'm just getting started and only have one Jersey cow that is nursing a Charolais calf and a Charolais/Herford cross calf. Seeing your numbers is a big help. My goal is to raise healthy food and to make enough profit to justify the investment. But, even without any profit, I enjoy the work and the ability to bring friends and family out to the farm.
I would add. That farming is a very peaceful, relaxing lifestyle. As long as you don't go in over your head. As for the subdivision, lot of them are not bankrolling their cash.They're buying, play toys.R VS boats, cottages, vacation trips 2nd. Morgage=pile of debt.So at the end of the day, I would not say there really any further ahead
Big fan of analysis
We are just starting to get into beef cattle we have poultry and dairy cattle and have experienced pretty much what you outlined numbers are different but the approach lines up. We are adding beef for our security and to provide good food to our community. We never thought this would be a way to add big money to our bank account but we enjoy the lifestyle and the people we meet. Our grandkids are learning tons just as you pointed out.
Great video thank you for taking the time do this and to be honest. Appreciate you very much
It’s nice to meet people who are so passionate about providing for their families and communities.
Always enjoy listening and learning. Great vid . Keep them coming.
Thanks for watching, glad you enjoyed it.
Great video! I don't own cattle, but would like to, but starting at 60 years old may be tough.
How are you doing ? 😊
That was very helpful, thanks!
Glad to help, thanks for watching!
Hi can I get to know you better ?
Most excellent video. I’d say the emphasis should be on enterprise stacking. Thank you for being honest, glad you get to Paris once in a while. Haha😂
Great video, very well stated.
Thanks for watching.
I run a small angus herd, but I just buy them as weeners at the saleyards, for $1000 say then sell at 2-3 years old at $2-2500, so roughly double my money. Its a grassfed feeder operation I suppose. Its a way to have cattle, keep pasture down, make a profit, but not break the bank or worry about breeding. But yes, a cow calf operation would be more profitable. I am in south east Australia, very similiar to mid west USA country. Having said all that, I plan on moving to a heritage breed grass finished operation with direct to consumer or direct to small butcher sales.
Handling facility should be mentioned. With headgate or chute. It adds to the cost but will help you stay safe and efficient.
Agree
What's crazy is cattle is one of the most profitable farm businesses. Def. for the lifestyle. Thanks for the video.
Actually.....almost every single economic study will prove that commodity beef (cow/calf) is one of, if not the least, profitable animal ag enterprises.
Poultry (all types), hogs, sheep & dairy (#1) are more profitable, year in and year out, than commodity beef sold through the local sale barn.
@@willbass2869 Yah, I know this video is about cow/calf but I wasn't referencing that with my comment. D2C grass fed private label. Maybe he will do that operation next. :)
@@willbass2869 Depends on your operation type and size, running sheep could be more profitable at scale, running poultry on a small block would be too, but in that middle 50 acre size property, cattle would be more profitable and more reliable IMO, especially if you put stud animals in the mix. I have both cattle, sheep and poultry btw.
@@Seanology101 disagree. You match the animal or crop to the soil/forage quality. Extensive vs intensive enterprises.
Land "rent" & land capacity, in most cases, determine ag enterprises.
You can run sheep in arid sub 12" rainfall area not so much grass based dairy or pastured poultry.
Great video
Great video! Thank you for making these informative videos for ppl like me, lol. I'm new to this. I have 2 low line Aberdeen heifers. They're calfs and small.. I have 5 acres. Since they are smaller cows, can i have, say, 5? I also want to rotate them. I also have a small herd of goats, a flock of chickens, and thought about pigs and sheep. Would like a small variety of livestock, basically. My husband built a fence, but it needs help. Kinda frustrated at this point. We're in SW Michigan. Good thing for water heaters!
I would stick with two until you get more comfortable. Thanks for watching.
All depends on preservative, does said person want to work a full time job and sell 12 beef on the side? In my opinion the big guy in this example still won because he gets to build his dream and not go to work for someone else building theirs. . . But not all people see it that way and thats fine, it takes all kinds to make this world go around. . . .
At 4:26 Folks.......talk to a few junk dealers !!! You can get steel posts for a dollar a piece ! The heavy duty posts too ! And check with them for barb wire. Often they get rolls of barbed wire and even rolls of woven wire and will sell or give it to you ! Cheap ! I just checked with my local junk man...... I bought 1000 steel posts for a dollar each. Open the eyes ! Same is true with anything relating to metal.....gates etc. Take a drive... ask farmers if they would consider selling things !
Bulls...... For years Ive rented my bulls for around 450 dollars for two months. Other costs are to feed the bull. Cheap !
Water..... Cattle do not like treated water ! Chlorine stinks !!!! Production drops !!! I know.....my dairy cows almost went dry in the few days it took to clean the well after I shock treated the well. Use anything but city water ! It will cost you ! Use creek water.....pond water.... or old well water .
Thanks for the video, what I understand from your video, this business is totally for hobby not for making money. 10 yrs of labor, possible market fluctuations etc. at this scale, this is just for fun. It might be considered as a real business only if you are doing this with 100+ animals. Imao!
Pay off your property with your day job and you can retire early if you wish is the main goal for a lot of us
I’ve got minimal expenses I cut and dry my own hay with a zero turn with a bagger 2k for a 10 year old model all temporary fence so about 1/4 of the cost but I can move it to any where on my property or someone else’s but I started with less head than my land could handle bought 2 heifer calf’s 1100$ now their pregnant only 100$ for AI they graze all year except when it’s precipitating and freezing I’ll let them have access to the barn my labor I count as my quality of life and exercise their dairy heifers bred with angus so calf’s will either be for meet or heifers for my meat breeding I’m under 4k investment for breeding hogs and heifers chickens rain collection feed for 2 years I’m an extreme penny pincher I find enjoyment doing the most with the least anyone can farm can’t plow a field turning over in your mind gotta get up and do something today to benefit your tomorrow I’m not gonna see profit until this summer with my 2 litters of pigs and my 2 heifers coming into milk it takes time for sure but I think I’d rather have tangible investments than some numbers that don’t mean squat on a screen that you can’t touch for 10 years or more that aren’t guaranteed to still be there or worth the inflation of what you could’ve done with that dollar in the present. God bless and good luck to everyone getting in on food security for yourselves and those who support you
I think a cow eats much more than 4 balls of hay each year
That’s my opinion
so all the cows these novices bought were fertile for 10 years?
Did they buy heifers or cows?
If they bought heifers they’re 2 years out from a profit, if they bought bred heifers, to start with, that was a horrible decision to begin with.
Also, same cows same bulls for 10 years? No account for replacements or new bills or anything? This is a bad example
Error #1.... don't conflate cattle business with land business. Treat your cattle business like.
.
.
.
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a REAL business.
Cattle must turn a profit (or breakeven) from day one. You can't run a hamburger stand or a welding shop or a legal practice without making a profit. Don't think cattle can either. Youre using your "town job" to subsidize a cowboy dream.
Not to be harsh, but you're mixing or even equating "lifestyle" with business. They aren't the same.
My unsolicited advice....with 21 acres you need to get out of the cow/calf biz and simply buy in weanling steers and raise them up to 800 pounds. They'll be ready for the feedlot. There is a large, well establushed mkt for just that animal. Maybe mix in 4 or 5 steers to grass finish and sell yourself.
Your land base is too expensive to be used on low profit enterprises like cow/calf.
Good luck
I agree and this is not our situation nor our numbers. We did use our “town job” to build the equity to get started and it took 4 years to pay that back because we continued to build, but our farm pays for itself and then some. We are currently between 8-10% profit every year, which is not as good as I would want to see in a full time business but for the other rewards it is not bad as a side hustle for us. If I ever felt like my engineering role was paying for cows and not going to my family I’d quit and buy 6-10 acres and just buy a few calves every year to raise our own beef. I agree with the stocker mentality on 20 acres and that’s what I suggested, but not the route they chose. Thanks for the comment.
We strictly raise beef for our own families consumption and only take 1 animal to butcher per year. However, we are doing so in a way that ends up costing us less money than if we were to buy the same amount of beef from the grocery store. A dollar saved is a dollar earned as they say!
Cows are a pain in the booty. Sheep are docile and do not destroy your ponds and they have multiple births which builds your heard way faster. I can put five to six head of sheep per acre compared to one cow per acre but hey, to each his own.