100 day beef finishing margins.

[Hilly]

The only thing of any importance is the difference between what you sell a beast for and what you pay for its replacement.
The increase in value between buying and selling is irrelevant, because what you paid for it is history and can't be changed.

The successful finishers are the ones who continue to work on that basis and stick with it through times good and bad and ride the fluctuations in store and fat prices.
The one's who get their fingers burnt are the ones who buy an animal and think that they will sell it and make a profit. And when they find they haven't, they give up and go and jump into some other way of losing money..

So i buy for 1k sell for 1500 , replace for 1k first one might have cost me 600 too keep !!! cost of keep is the most important bit no ?

 

[davidroberts30]

The only thing of any importance is the difference between what you sell a beast for and what you pay for its replacement.
The increase in value between buying and selling is irrelevant, because what you paid for it is history and can't be changed.

The successful finishers are the ones who continue to work on that basis and stick with it through times good and bad and ride the fluctuations in store and fat prices.
The one's who get their fingers burnt are the ones who buy an animal and think that they will sell it and make a profit. And when they find they haven't, they give up and go and jump into some other way of losing money..

and if you spend 400 "keeping it"....

 

[beefandsleep]

£3 per day

 

[Werzle]

The only thing of any importance is the difference between what you sell a beast for and what you pay for its replacement.
The increase in value between buying and selling is irrelevant, because what you paid for it is history and can't be changed.

The successful finishers are the ones who continue to work on that basis and stick with it through times good and bad and ride the fluctuations in store and fat prices.
The one's who get their fingers burnt are the ones who buy an animal and think that they will sell it and make a profit. And when they find they haven't, they give up and go and jump into some other way of losing money..

You have baffled me with this comment. Reminds me of comments like- 'cant afford not to' and it will 'pay for itself".

 

[Poorbuthappy]

Agrivator's suggestion works with something like buying ewe hogs and running to shearlings, because you sell and buy on the same season's trade. But constantly buying stores on a quick finishing system isn't the same cos the store trade doesn't necessarily track the finished trade in the same way.
(Whether it should is another question!)

 

[wellingtonfarmer]

£3 per day

Is £3 a day making you a profit or breaking even?

 

[beefandsleep]

Is £3 a day making you a profit or breaking even?

A small profit.You need numbers to spread fixed costs and I am taking a margin out of homegrown feed, straw etc. It’s about the system as a whole. The arable and finishing enterprises compliment each other, labour and machinery costs are spread, fertility is maintained, value is added to the crops. If you have to buy in feed and straw then forget it.

 

[haymaker80]

You have baffled me with this comment. Reminds me of comments like- 'cant afford not to' and it will 'pay for itself".

Agrivators comment makes perfect sense. From when you buy a beast to selling it 100 days later the base price could fall or rise and this affects the margin on that beast. It is more sensible to use the difference between the price of the fat beast with the cost of its replacement, this is where your cashflow comes from.

 

[Werzle]

Depends on your finances where your cash flow comes from, i would rather go by what profits left after you have paid to feed each beast or each batch. No point just having money to buy a replacement, money made is key.