Farming Part Time

4 posts
Wed, 12/28/2011 - 22:36 #1

Member for

12 years 10 months
shieldsy
Last seen: 03/08/2018 - 21:05
Joined: 12/28/2011 - 22:29

Farming Part Time

Hi,

I'm looking at buying a farm just outside Dubbo of appoximately 500 acres, however my job in town won't cover the mortgage repayments. Would it be viable to keep my job in town whilst somehow working the farm part time to offset the extra mortgage cost? I was looking at something along the lines of buying in Weaners, fattening them up and reselling them so it wouldn't be as labour intensive and any work required could be done in the afternoons and on weekends. Any other ideas are most welcome!

Thanks!

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Mon, 01/02/2012 - 20:20 #2
charlie
Last seen: 12/26/2018 - 09:21
Joined: 05/31/2011 - 09:44

Hi Shieldsy,

I live not far from dubbo and know the area well. Whether you leave or keep your job will purely come down to the numbers and if you can make them work.

Borrowing to buy a farm can be risky if you don't know how to manage the risks. Most banks will usually charge 1.5-2 percent risk factor on top of standard interest rates for agricultural loans. They also require upwards of 50 percent equity (deposit) or other capital as security before they will lend.

Running cattle will be much less work and cost than sheep and you should be able to to manage the work and on the weekends and after work. You could look at back grounding cattle for a local feedlot, there are a few around Dubbo which will help keep the cost of transport down.

Most local feedlots feed for the domestic market and will require cattle at 350-380kg live weight. You could buy them in at 220-250kg liveweight and add 100-150kg of in 3-4 months. If you worked your numbers on averaging $180-220 per head profit, less your fixed costs.

The beauty of back grounding cattle for a feedlot is that the cattle do not need to be finished or have a even fat coverage, they just need to meet the weight, breed, age and animal health requirements of the feedlot.

Before you buy a farm make sure you have adequate cattle yards, fences, water and that you understand the pastures and previous fertiliser history. These will be important if you want to run the farm with a low labour input.

Let me know if you require any further information.

Charlie

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Fri, 01/13/2012 - 09:26 #3
snow
Last seen: 01/12/2012 - 23:54
Joined: 01/12/2012 - 22:46

Yeah, I agree with the other bloke, just remember Dubbo was just hit with a major drought. Its a risk that a 5 year drought would cripple you unless you have permanent water that will last in dry times. Drought is the biggest killer with Australian farmers and just be careful and also watch and study the cattle market to get the best price.

Snow

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Sat, 01/14/2012 - 16:48 #4
princemyheart
Last seen: 03/08/2018 - 21:05
Joined: 12/06/2011 - 16:08

The simplest and easiest part time farming IMHO is to buy and sell cattle at the same market.

Have an agent buy you store cattle.

When they have put on kilos. Send them off to market and buy replacements on the same day.

In general the profit is made then. If prices are high or low, you get the difference in your stock's value.

 Nothing is perfect of course, but that is the easiest farming.

Good cattle yards and low stocking rate, hopefully would mean small demands on husbandry and feed management, with stock mustered maybe four times a year.

Alternately consider leasing out your land to nearby farmers. A regular income with the land improved and managed by others until you are able to take it over.

Just a few thoughts. Good Luck Royce

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