Hi Ulrik - I'm not aware of farms which have slaughter facilities on-site (is this more common in the US than in the UK maybe?) and the 'small, local high welfare farm' is also a bit of a myth. The majority of farmed animals (85% in the UK, 99% in the US) are factory-farmed (i.e. raised in the most intensive conditions), are killed at a fraction of their natural lifespans, transported and killed in high-speed slaughterhouses - whilst abuses have been documented in both large and small 'local' slaughter facilities. The 2 conditions / requirements you have stipulated in your post are hypothetical / wishful-thinking type scenarios which are, unfortunately, not borne out by the realities of farming and killing billions of animals for consumption.
Industrialised animal farming is the single biggest cause of suffering, the most neglected / under-reported and under-funded and therefore deserves all the funding it can possibly source. Moreover, reducing animal agriculture would also reduce risks (zoonoses / pandemics); environmental harms and improve human health outcomes. It would be a win-win for multiple cause areas.