4 Tips from an Ag Lender to Help Farmers Navigate 2018

January 4, 2018 12:00 PM
 
 

As farmers and ranchers prepare for 2018, many are busy looking at year-end finances. However, it’s a time that one ag banker suggests using to reflect on 2017 while preparing for the new year. Alan Hoskins, CEO of American Farm Mortgage, has four ag lending tips to help farmers navigate the new year.  

 

  • #1: Assess land—is it draining your cash? “My first tip for farmers out there is to really look at each piece of land that you're operating. Determine if it is a cash flow positive or cash or negative to you. Don't just look at this year; go back and look at multiple years so that you really see the trend. Look at the rent that you're paying and determine if it really makes sense to continue to have that in your operation.”

 

  • #2: Reevaluate living expenses. “Go back and look at living expenses. Sometimes you can be surprised by what the real number actually is. So I think it's really important to study that. We’re not saying that you have to cut it, but at least know what it is to make sure that where those dollars are going are indeed the best use of those dollars.”

 

  • #3: Have a Marketing Plan.  “If you do not have a marketing plan, make sure that you have one in place before 2018. I think if you look historically over the last couple of years, that has been the determining factor between profitable operations and individuals or operations who have struck gold from a cash flow standpoint. So, the marketing plan truly is imperative in order to make sure you know when those good opportunities are presenting themselves. The marketing plan is not something the banker provides for someone. And lastly don't try to do it on your own. There are great professionals out there that have different ideologies of marketing. I would urge people if they haven't had a marketing plan before talk to two or three before they move forward with it because at the end of the day, it's their marketing plan and they need to be comfortable that the way they're moving forward is the best for them.”

 

  • #4: Use All Your Resources. Make sure that producers are using all the resources that are available to them. Make sure that you have the discussions with your banker, with your accountant, with your attorney, with your crop insurance person and with your merchandiser. None of those individuals are going to tell you how to run your operation, but what they can do is give you insight into their area of specialty because the farmer is the CEO of the company, and it's always wonderful when a CEO reaches out for input. Farmers get to make the final decision, but it's going to make them sleep a lot better at night knowing that they have utilized input from individuals who have areas of specialty to formulate the final plan for how they're going to move their business forward.”

 

 

Back to news


Comments

 
Spell Check

Angela
El paso, TX
10/9/2018 05:25 AM
 

  Get rich today and take the risk of transforming your own life. Try and get an ATM card blank today (MR WANDY) and be among the lucky ones who are benefiting from this card. This ATM card in white set is capable of hacking into any ATM anywhere in the world. I have to know about this blank ATM card when I was looking for work online about a month ago..It has really changed my life forever and now I can say I'm rich because I am a living testimony. The less money I get in a day with this card is $ 3,000.Every now and then keep pumping money into my account. Although illegal, there is no risk of being caught, as it is programmed so that it can not track, but also has a technique that makes it impossible for the CCTV to detect you..For details on how to get yours today, email hackers: wandyhackersworld88@gmail.com

 
 
Donald Moore
San Diego, CA
6/17/2018 09:04 PM
 

  Finding a legitimate loan lender (mrdonaldmooreloanfirm@gmail.com) have always been a huge problem to clients who have financial problem and in need of solution to it. The issue of credit and collateral are something that clients are always worried about when seeking a loan from a legitimate lender. But we have made that difference in the lending industry by offering loans to individual and public sector that are in need of financial Assistance in a low interest rate of 2%. Bad credit acceptable, The Terms and Conditions are very simple and considerate. You will never regret anything in this loan transaction because we will make you smile. Our company has recorded a lot of breakthroughs in the provision of first class financial services to our clients, especially in the area of Loan syndication and capital provision for individuals and companies. We Render The Following Services: Mortgages, Home Loans/Business Loans, Bad Credit Loans/Commercial Loans, Start-Up Working Capital Loans, Construction Loans, Car loans/Hotel Loans, Personal Loans/Student loans, Debts Consolidation Loans OUR LOAN is 100% GUARANTEE with No social security, no credit check up and with 2% interest rate. We have a network of Investors that are willing to provide funds of whatever amount to individuals and organizations to start business and operations, All you need to do is let us know exactly what you want and we will surely make your dream come true. Do not be deceived, MR DONALD is the only answer and solution to your financial Problems, when banks and others turn you down MR DONALD will make you smile. For more details about our loan contact us via Email: mrdonaldmooreloanfirm@gmail.com phone contact: +1-202-381-1907 website: www.mrdonaldmooreloanfirm.bravesites.com

 
 
Donald Moore
San Diego, CA
6/17/2018 09:07 PM
 

  Finding a legitimate loan lender (mrdonaldmooreloanfirm@gmail.com) have always been a huge problem to clients who have financial problem and in need of solution to it. The issue of credit and collateral are something that clients are always worried about when seeking a loan from a legitimate lender. But we have made that difference in the lending industry by offering loans to individual and public sector that are in need of financial Assistance in a low interest rate of 2%. Bad credit acceptable, The Terms and Conditions are very simple and considerate. You will never regret anything in this loan transaction because we will make you smile. Our company has recorded a lot of breakthroughs in the provision of first class financial services to our clients, especially in the area of Loan syndication and capital provision for individuals and companies. We Render The Following Services: Mortgages, Home Loans/Business Loans, Bad Credit Loans/Commercial Loans, Start-Up Working Capital Loans, Construction Loans, Car loans/Hotel Loans, Personal Loans/Student loans, Debts Consolidation Loans OUR LOAN is 100% GUARANTEE with No social security, no credit check up and with 2% interest rate. We have a network of Investors that are willing to provide funds of whatever amount to individuals and organizations to start business and operations, All you need to do is let us know exactly what you want and we will surely make your dream come true. Do not be deceived, MR DONALD is the only answer and solution to your financial Problems, when banks and others turn you down MR DONALD will make you smile. For more details about our loan contact us via Email: mrdonaldmooreloanfirm@gmail.com phone contact: +1-202-381-1907 website: www.mrdonaldmooreloanfirm.bravesites.com

 
 
Close