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Size
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The AKC standard for the sheltie is a dog about 13 to 16 inches in height at the shoulder. The collie can be as tall as 26 inches at the shoulder and weigh up to 75 lbs. Due to its smaller size the sheltie will often exhibit smaller and more refined features than the collie.
Color
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Collies can be found in four colors. Sable and white is the most common color and will remind people of the famous Lassie. Other colors include the tri-color, similar to the sable and white with the addition of black, blue merle, a bluish dilution of black and white hair and pure white. Shelties also are most commonly the sable and white coat pattern with an all black coat and the blue merle is also possible.
Temperament
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According to the website Dogs.net, shelties generally have a more active temperament and personality than collies. Collies are more noted for their calmness and refined temperament.
Coat
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Collies occur in two coats. The rough-coated collie is the more common and better known than the smooth-coated collie. Shelties only occur in the equivalent of the rough coat and always exhibit the longer coats.
Working Characteristics
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Both the sheltie and the collie are herding breeds developed to aid in the control of livestock. The sheltie was specially bred to work sheep in the rocky pastures of the Shetland Islands while the collie served the same purpose in the larger pastures of Scotland. The larger collie would also have herded cattle in Scotland while cattle are less common in the Shetland Islands. Both make loyal and intelligent pets.
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Sheltie Vs. Collie
According to the American Kennel Club both the Shetland sheepdog, often known as a sheltie, and the collie trace their roots back to the border collie of Scotland. The collie developed in Scotland as a herding dog while the sheltie was developed on the Shetland Islands. The sheltie is often referred to as a miniature collie because of the similar appearance, other than size, of the two breeds. There are other differences between the two breeds.