There are several different options from the supplier of the embryos paying for every calf weaned, to agreements where the resulting calves are split at weaning.
Here is one I know of: the breeder supplies the embryos, and pays the associated ET costs ( drugs and implantation). The co-operator herd supplies good young recip cows. Co-operator herd supplies all feed, vaccinations, vet supplies , vet costs and creep feed for the calves until weaning. At weaning the breeder can purchase all the ET calves at $900 each, or he has the option of only taking 80% of the ET calves and leaving 20% with the cooperator herd.
Another option is to simply split the ET calves 50:50 which results in no big output of cash on the breeder's part, and it allows the co-operator herd to market his share of the calves( 50%) any way they want, or they can retain them for their own herd. One of the parties splits the ET calves into two groups, then the other party gets to take first pick of which group he wants. The person who splits the calves gets the remaining set of calves. This method eliminates one person from stacking all the good ones in one group. Another way is to simply alternate selections until all the calves are selected. If it goes into year two, whoever had first pick the previous year, gets second pick the following year.
I had an agreement with a neighbour here to use a few of his cows and I simply paid him $.25/ LB over top market price on October 20th each year for the ET calves. I had the option to pick out up to three calves in each calf crop that were paid for at fair market price if they were inferior such as calves that had pneumonia, scours, injured, etc.
To me the person you are getting involved with is as important as the costs involved. The co-operator has to be honest, reliable, provide good management and keep commumication lines open with the breeder who supplies the embryos. If either party is not happy in the deal, it will not work.
Where are you located? I may be interested myself in something like this. I have over 300 embryos in inventory after implanting 40 here and will implant another 8-10 yet in a few weeks. Right now, I am looking at my options, and may be interested in making an agreement with the right person.It may be only a few for the first year, until we see how it goes, but it could grow if things work out right.
