Managing a farm and business in the country requires a wide range of economic, technical and human analytic abilities. This includes identifying the requirements of the customers your farming operation is uniquely placed to meet, planning production and marketing, and ensuring that the resources you have are used efficiently and effectively. It is also crucial to periodically evaluate the effectiveness of current practices and latest technology.
A solid financial plan is vital to an efficient farm operation. This involves preparing annual budgets and plans for the farm, along with cash flow statements. These are used to create management action plans as well as to assess the performance of the business in relation to achieving its objectives. It is crucial to establish an emergency plan of action for what use this link could happen to the business if catastrophe occurs or if you decide to sell your business or reduce it to hobby status.
It is crucial to seek out advice and support whether it’s from a consultant in business who has experience in the agribusiness or a sounding-board for ideas you’ve written down on scraps of paper. There are also many organizations in Wisconsin that can help farmers and food-related businesses begin and grow. One such example is Farm Answers, which features a collection of how-to guides and tips, as well as a list of beginner farmer training programs.
Effective farm managers have a plan in place to arrange for their children or other close family members to take over the business at some moment in the future. This isn’t always straightforward and could cause tension, but it’s a good idea to start the discussion early.