3 ways suckler beef producer sharpened business skills

Budgeting, stock valuations and targeting effort where the rewards are greatest have helped put a farming business in the Scottish Borders on a firmer footing.

Robert Wilson, who runs Cowbog Farm, Morebattle, with wife Lucy and “largely retired” parents Ron and Joan, was already getting help navigating challenges to his business as one of Scotland’s Monitor Farms.

This had put him “in the mindset for change”.

Then a podcast featuring US rancher and consultant Dallas Mount piqued his interest.

See also: How a forest grazing project doubled a suckler herd

Farm facts

Robert Wilson © MAG/Judith Tooth

Cowbog Farm, Morebattle, Scottish Borders

• 273ha – 105ha tenanted and 168ha contract farmed/grazing agreements
• 120 spring-calving pedigree Hereford suckler cows
• Heifers kept as herd replacements, sold for breeding, or finished at 20 months; bulls sold for breeding, finished by 16 months, or sold store as steers
• Finished cattle supplied to AK Stoddart, Ayr
• Permanent pasture with increasing area of grass leys and forage crops, 60ha arable crops
• Agritourism diversification

Robert was certain it would be a good use of time to attend Dallas’s Ranching for Profit course, delivered via AHDB’s Roots to Resilience programme.

A year later, he says he is in a much better position to fully evaluate the farming business and make decisions, rather than “guessing and hoping”.

“We were encouraged not to be afraid to make mistakes or give a damn what the neighbours think,” he adds.

He shares what he found most useful during the four-day course and the changes he has made to the farming business.

Management accounts

Robert realises now that he was not budgeting properly – either physically or financially.

“I was hoping,” he admits. Now, he sees more value in looking forwards to help him plan and make better decisions.

“Previously, I might have had a rough idea in my head, and a gut feel, but nothing was written down.

“Going on the course gave me a kick to get on and do that, and be more business-minded.”

He reveals that rather than trying to be 100% accurate when budgeting income and expenditure for the year, the aim is to hit 80%.

“You won’t be spot on, but you’ll be in the right ballpark. It challenges you to think – not just do the same as before.”

Neither does this process rely on sophisticated software programs: two columns of estimates (one for income, one for expenses) for each enterprise, jotted down in a notebook are enough to give the “big picture” needed, says Robert.

He was within £2,000 of his budgeted figures this year.

Armed with more information, it is also easier to be proactive and plan for investments in infrastructure, rather than acting on impulse.

“I feel more in control, definitely,” he says.

Balancing livestock numbers

Robert says he is now making better use of the livestock reconciliation tool on MyHerdStats, a free data management tool from ScotEID (Scotland’s livestock traceability system).

This calculates numbers and types of stock at the start and end of the year.

For example, calves listed at the start of the year will move into the 12- to 24-month section at the end (with a resulting change in financial value).

“I was using it before, but didn’t have a full understanding of the usefulness of putting values against the numbers of stock,” he says.

“I can see now that if I’ve got, say, 50 heifers moving up, there will be a change in value and that will affect the overall balance sheet [and resulting tax liability].

“It focuses the mind and helps you see where it’s sensible to head.”

Robert now plans to use this process to help him assess whether he would be better off farming more extensively with a few more cows and lower inputs, or maintaining the same level of inputs and significantly increasing cow numbers .

The “normal” way, he says, would be to simply increase cow numbers – and hope.

“Instead, if we look at the economics, that will help us make better business decisions.

“It’s all about turning farms into better businesses,” he says.

The 80/20 rule

Applying the Pareto principle has also helped Robert’s decision-making.

Also known as the 80/20 rule, it is the concept that 80% of outcomes come from 20% of causes.

“Or, as Dallas puts it, 20% of the effort makes 80% of the profit,” he explains.

As a result, after several years of arable crops breaking even at best, he decided they were not worth the effort and stopped growing them on the tenanted land, except for 5ha (12 acres) of winter bird food in a five-year environmental scheme.

And the area grown on the contract-farmed land has dropped by about 30ha (74 acres) to 60ha (148 acres). He says further reductions may follow.

Understanding this principle has also encouraged Robert to look at the balance of effort and reward in his beef enterprise.

Traditionally, he ran a split-calving system for his suckler herd to provide a timely supply of different-aged breeding bulls for both spring- and autumn-calving herds.

Autumn calvers moving into spring block © MAG/Judith Tooth

With a decline in the number of autumn-calving herds in the UK, he had started to adjust the calving pattern in favour of spring.

“Doing the course pushed us firmly this way,” he says.

To effect the change, better autumn calvers (previously wintered indoors) were moved into the spring block, which is outwintered.

In addition, more heifers have been served to calve in spring.

“Even for the small number of autumn cows we had – 20 out of 100 in 2024 – it will have reduced the requirement for silage by 300 bales, saving nearly £6,000 on contractors before rent and growing costs for silage.

“Given this year’s dry spell in April and May, it’s been a good move.”

Outwintering these former autumn calvers will also save about £4,500 on straw at £115/t – though some of these savings will be offset by outwintering feed costs.

Former arable land is now being used to grow grass and forage crops.

These include a pea, barley and vetch mix undersown with grass and harvested as wholecrop.

Fast-growing winter forage crop © MAG/Judith Tooth

And 16ha (40 acres) of a fast-growing mix of Westerwolds, Italian ryegrass, crimson clover, balansa clover (a winter-hardy annual species), stubble turnips, forage rape and phacelia for winter grazing.

Sown in May, cows start grazing this in late October.

Mission and vision

Next on Robert’s to-do list is for the family to devise a mission (or purpose) and vision (or plan) for the farming business.

“The mission might be something like ‘breeding great cattle, agritourism and managing the farm with nature’, but we’ll all have a say.

“The vision is how that might look and how we might achieve it,” he explains.

“There’s so much uncertainty in farming, and that can cause issues, especially in families.

“But if everyone is on the same page and agreed on a plan, they know what’s going on and can work towards it.

“That’s why I’ve taken on board so much from the course – it’s enlightened me.”