This is not always the case. Take the time to do the calculations yourself when comparing different feedlots. Other fees and charges Others fees include medicine, vaccine, implants, processing and chute usage charges, and other miscellaneous fees. In some cases vaccines, medicine, and implants are marked up, as well as feed. It pays to ask before placing cattle so there are no surprises.
Some lots also charge special fees for use of hospital pens when cattle are sick.
Risks Involved in Retaining Ownership Retaining ownership is not without risk. Bad markets, poor performance, high feed grain prices, and death loss can all contribute to negative returns when feeding cattle. Using marketing tools such as hedging, options, and forward contracting can be used to reduce risk but they cannot cure bad markets or poor performance. If your equity position warrants the use of these tools, you should strongly consider using them. Unforeseen risks such as inclement weather, storms, and other problems can reduce performance and drive up cost of gain.