How Beef Stock Market Works

The Beef-Stock Market is a simple-to-use web site enabling anyone with access to the Internet, an Australian Business Number, a BPAY enabled Bank Account and a current email address to participate in the Australian beef cattle industry.

Cattle Prices

You can purchase one or an entire herd of beef cattle through the Beef Stock Market website. Cattle are purchased from BSM Beef Pty. Ltd. in a private sale. Indicative Finished Prices are the prices BSM can secure for the cattle as an agent for you. Unfinished cattle are sold back to BSM at a lower price with no commission.

Our “welcome” page quotes three prices:
Buy Price The price per kilogram at which you can purchase cattle
Indicative Unfinished
Sell Price
The price per kilogram for which cattle can be sold outside the period in which the livestock manager suggests it be sold.
Indicative Finished
Sell Price
The price per kilogram for which cattle can be sold when the livestock manager suggests.

Prices are all in Australian dollars ($AUD) and are revised at sale times. The quoted prices include GST however Finished Sale Prices don’t include transport costs to market, compulsory industry levies and additional marketing costs. See our pricing policy for more information.

Note: Non-GST registered buyers have a pricing structure that reflects the actual amounts after GST has been taken into consideration by BSM, its suppliers and customers (who are all GST registered).

Fees and Charges

During ownership:
Grazing Fees $1.15/kg gained - payable by direct debit each time your cattle are weighed.
At sale time:  
Agent's Commission 4% of the full sale amount.
Compulsory Industry Levy $5/head
Other Sale Costs Additional selling costs may include transport to market, marketing & advertising costs, official weighing etc.

Sales fees are automatically deducted from your sale proceeds. You may also be liable for additional veterinary expenses should one of your animals become ill. You will be notified should this occur.


How to purchase stock:

To purchase cattle through the Beef Stock Market, you need to read our Terms and Conditions of Cattle Purchase, Management and Sale, and complete the Registration and Order Form. Before completing the form, you will need to:

  • determine how much you wish to spend on purchasing cattle;
  • have a BPAY enabled bank account;
  • have a current email address;
  • be able to authorise BSM to directly debit backgrounding costs;
  • have an Australian Business Number or, alternatively, sign a hobby declaration form.

If your purchase order is complete and otherwise in order, we will allocate you with as many animals as possible up to the total amount you wish to spend. You must spend at least enough to purchase one animal (approximately $AUD550 inc. GST). All amounts must be paid using BPAY. You can only purchase a whole share in an animal as we will not allocate part shares in an animal between a number of different purchasers. If the amount you state in the registration form does not allow you to buy a whole share in an animal, we will only supply you with the number of whole animals that can be purchased for the amount you wish to spend.

Once your order has been accepted by us, you will receive an invoice followed by confirmation of purchase within seven days of receiving your payment. Also, you have the option of receiving monthly reports on weight gain, paddock condition, rainfall, and market trends e-mailed to you by the Livestock Manager. By using electronic identification, stock progress is monitored throughout the time you own them.

 

Why not Join up now? Or to be updated on stock progress and seasonal and market conditions Please join our mailing list. Sign up for Free...

How to sell stock:

To sell your stock (or any part of it), you need to decide whether to sell at the Finished Sell Price (which you will obtain if selling when we suggest) or the Unfinished Sell Price. The Finished Sell Price is generally higher than the Unfinished Sell Price. Our Livestock Manager will notify you by email when he believes your animal is ready for sale at the Finished Sell Price. Sales at the Finished Sell Price would generally occur between 6 to 12 months after purchase of each animal. If you wish, you can automate the selling process by choosing at registration to sell all your cattle at the Finished Sell Price. To do so you must elect to use the Free Sale Management Service by ticking the appropriate box in the Registration and Order Form. We will then automatically sell your cattle at the optimum weight and time to ensure you receive the highest possible return on your investment and take care of the sale process on your behalf. After sale of your stock, your net sale proceeds are returned to a bank account of your choice. Read our Questions Page for more information or contact us.

We will charge you a weight-gain based grazing fee of $1.15 inc. GST(per kilogram gained). This fee occurs each time your cattle are weighed at the paddock, and is direct debited from your selected bank account. This fee covers the cost of feeding your animal/s, all handling, identification, agistment and agent's costs. Certain standard veterinary medication costs and expenses will also be included in this fee. CLICK HERE for more information on these charges.

Additionally, we will also charge you a 4% commission at sale time based on the purchase price and sale price of each animal respectively. The commission charge will be deducted from your sale proceeds. Usually there are additional costs associated with getting cattle to market which are deducted on the sale invoice. The net return is paid to you by direct deposit to your bank account.

As shown in our Returns Forecasts Page, this opportunity is not only interesting and fun but has the potential to perform for you! As an additional benefit you may also wish to investigate tax advantages you may be eligible to receive by owning primary production related stock.

Having a cattle property ourselves we are well aware of the risks and benefits associated with this primary industry. We decided to invest with BSM because we believe that their economy of scale, and experience in backgrounding and marketing into the feedlot industry will minimise our exposure to the possible risks.

BSM Cattle Owner
Roma, QLD, Australia

 

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