Farm Business Decision Making

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Rural Banking – Beyond the Royal Commission

I just wanted to share some observations on rural banking since the Banking Royal Commission has been completed. These observations come from both farmers and advisers that have been using the farm business software P2PAgri to help sharpen their farm business performance and improve the information they provide to their bank. Can you really negotiate low interest rates in rural banking? Interest rates are now at an historic low level with the Reserve Bank of Australia (RBA) decreasing interest rates twice in the last few months. See this in the Graph 1 below. This combined recent interest [...]

By |2025-05-15T01:16:28+00:00August 14th, 2019|Farm Business Decision Making, Farm Finances|0 Comments
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Expand your farm business or invest off-farm? Compare for profitability

There is no substitute for undertaking a professional approach to farm business analysis. There are positive options when deciding whether to expand your farm business through land purchase, land leasing and share farming, or instead investing off-farm. The key is, however, to undertake the correct analysis so the whole farm performance of liquidity, efficiency and wealth is understood. This will ensure sound decision making and improved risk management. Good, sound farm business analysis isn’t always easy, but it can be done using improved analytic technology, and is worth doing. Do this for yourself or use a professional farm business management [...]

By |2025-05-15T03:08:52+00:00July 17th, 2019|Farm Business Decision Making, Farm Business Risk Management|0 Comments
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Using Target Price & Target Yield to Help Determine Target Profit

Analysis of your tactical Target Yield and Target Price this season can help drive your farm business profitability goals. Our family enjoy a good game of cards when we get together on holidays. One of our favourites is 500. Most times it is played with fun and reasonably light-hearted joshing. Occasionally, it can become a little more intense! For those who are familiar with the game, you will know the exhilaration of picking up a good hand and then trying to win the bid and get your hands on the kitty! But no matter how good [...]

By |2025-05-15T02:58:00+00:00April 15th, 2019|Farm Business Decision Making, Farm Business Risk Management|0 Comments
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Your Farm Business Journey: Tracking Your Goals and Progress

This quote by Steven Covey is a great way to start anything – whether it is something short-term like a weekend fishing trip or a long-haul journey around Australia. But it is especially empowering for your farm business journey . What is your goal, or the ‘end’ that you hope to achieve? Even for a short-term goal like the weekend fishing trip, the ‘end’ may be very different for different people. Is it really about catching fish, or is it more a chance to get away and relax? Maybe it is a bit of both. Whatever the goal, and whether this is [...]

By |2025-05-15T02:49:53+00:00November 29th, 2018|Farm Business Decision Making, Farm Business Thinking|0 Comments
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Evaluating the Economics of Export Hay in Selected Farming Systems

This farm business analysis was conducted on behalf of the Australian Exporters Company (AEXCO) to assess the financial and risk management benefits of including the Export Hay enterprise in farming systems in Australia. The two farming systems used for this analysis were located in South Australia and Western Australia.  The inclusion of the Export Hay in these farming systems helped manage business and agronomic risk in the following major areas: Improved ‘Net Farm Profits’ and efficiencies, as measured by ‘Return on Assets Managed’. Competitive gross margins when compared to grain production and sheep. Economic balance to grain production as the financial [...]

By |2025-05-15T02:44:32+00:00June 5th, 2018|Farm Business Decision Making, Farm Business Thinking|0 Comments
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