No matter what you decide to do in life, it's always wise to turn to those who came before you for advice. In the ranching industry, veterans have a lot to offer the younger generation as to what works - and what doesn't - when operating a successful ranch. Buying a ranch in Texas and maintaining a steady profit can be challenging at first, but with a little help, this hard work will pay off.
To help, here are five key pieces of advice from expert ranchers:
1. Live within your means
It might be tempting to buy that brand new tractor or baler when you have a profitable year, but veteran rancher Nelo Mori, told Beef Magazine, that it's best to avoid making expensive investments like this too soon.
Instead, use this influx of funds to reinvest in your ranch's infrastructure or save it for a rainy day. It's important not to live outside of your means before you have a fully established operation, but even then, it's best to spend and invest your money carefully.
"Look for help from veteran ranchers."
2. Pay attention to the small details
When you're first running a ranch, you need to sweat the small stuff. Know exactly what the cost of your living and overhead expenses will be, along with how long it will take to generate a steady cash flow.
This comes from keeping a detailed, accurate record of all your spending. It also promotes smart short and long-term financial planning. Paying attention to the small details will not only help you run a more organized, profitable ranch, but it will also make it easier for your lender to work with you.
3. When in doubt, ask for help
Just as you look for help from veteran ranchers, these same people did the same to those who came before them. Asking for advice and assistance is not an indication of weakness, but rather, a sign of strength and maturity.
As a young or first-time rancher, you will have many questions along the way and it never hurts to ask questions and seek out authentic answers. After all, you can only read so many guide books or watch so many how-to videos before you feel ready to throw in the towel. Learn from others, no matter how long your operation has been in operation.
"Ranching is tough and takes a lot of hard work."
4. Manage personal stress
Stress is one of the most detrimental conditions for any worker. From teachers to CEOs, stress affects a majority of the American workforce. When you are first starting out, you may feel the pressure to see instant results or struggle to maintain a positive outlook when costs are pilling up.
This is why you need to be careful to keep a long-term perspective for your organization. For example, while your operation has a lot of overhead now, which may be leading to a lot of your stress, this doesn't have to stay this way. Cut costs and redirect your focus.
Remember that you went into this business because you are passionate about the work and enjoy the lifestyle. Don't let the small details keep you down and make an effort to participate in de-stressing activities. Whether you take up yoga or seek out professional help, manage your stress effectively now in order to succeed in the future.
5. Work hard - and don't give up
Ranching is tough and takes a lot of hard work. However, this doesn't mean you need to get discouraged or grow weary early on. Don't give up: instead, seek out advice from those who ranched before you.
If you are are still deciding to buy land in Texas for your future cattle ranch, make sure to choose Heritage Land Bank as your financing partner. We know and love Texas land just as much as you do, so you can rest easy, knowing we will help you buy the perfect property for your needs. Contact us today to see how Heritage will make your cattle farming dreams possible.